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Legislative Hearing

House Veterans Affairs Committee, Economic Opportunity Subcommittee

January 21, 2026 (recording here)

HEARING INFORMATION

Witnesses & Written Testimony (linked) (Panel One):

• Mr. Kenneth Smith: Assistant Deputy Undersecretary, Veterans Benefits Administration, Department of Veterans Affairs

• Ms. Chantile Stovall: Acting Executive Director, Veterans Benefits Administration, Department of Veterans Affairs

• Mr. Jeremiah Workman: Assistant Secretary, Veterans' Employment and Training Service, Department of Labor (DOL)

Witnesses & Written Testimony (linked) (Panel Two):

• Mr. Sam Cook: President, Superior Van & Mobility

• Mr. Larry Smith: Semiconductor Industry Expert

• Ms. Julie Howell: Associate Legislative Director for Government Relations, Paralyzed Veterans of America

• Ms. Kathryn Monet: Chief Executive Officer, National Coalition of Homeless Veterans

Keywords mentioned:

• Veterans, veteran suicide, homelessness, mental health, backlog, unpaid claims, TAP, adaptive equipment, veteran employment,

IN THEIR WORDS

OPENING STATEMENTS FROM THE SUBCOMMITTEE

• (Acting) Chairman Tom Barrett opened by emphasizing a non-partisan, collaborative approach to improving economic opportunities for veterans. He expressed frustration regarding the late arrival of VA and DOL testimony and stressed the importance of receiving information earlier to make informed legislative decisions. Chairman Barrett highlighted his own bill, the CRUISE Act, which aimed to centralize payments for adaptive automobile equipment to eliminate significant backlogs. He concluded by noting that while twelve bills were under consideration, the committee would remain mindful of policy and cost concerns during the evaluation process.

• Ranking Member Chris Pappas expressed disappointment over the absence of a Department of Defense witness but welcomed the participation of the Department of Labor. He voiced support for several cost-neutral bills while cautioning that certain proposals regarding transition and employment programs required structural changes to be effective. Regarding the CRUISE Act, he shared concerns that the bill lacked the necessary staffing and funding to actually resolve existing payment delays. He finished by calling for a continued bipartisan focus and urged the Chairman to balance the ratio of majority and minority bills moving forward.

• Rep. David Valadao introduced the Improving Mental Health Care and Coordination for Homeless Veterans Act to address critical gaps in how the VA tracks vulnerable service members. He cited an Inspector General report that found failures in documentation and follow-up care often left homeless veterans without life-saving services. His bill proposed a mandate for the VA to conduct comprehensive health and housing assessments within three days of identifying a veteran in need. He argued that these steps were necessary to ensure that the 10% of veterans experiencing homelessness were not lost in the system.

• Rep. George Whitesides spoke in support of his legislation to increase transparency and oversight within the VA Home Loan Program. He expressed concern that a lack of consistent, detailed data prevented Congress from identifying financial stress among veteran borrowers before it reached a crisis point. His proposal requires the VA to publish regular reports on loan performance, denial rates, and office staffing levels to ensure the program's long-term solvency. He emphasized that better data would empower stakeholders to respond more quickly to economic shocks and protect veteran homeownership.

• Rep. Thomas Kean introduced H.R. 5634, the Veterans Flight Training Responsibility Act, to provide student veterans with greater flexibility in pursuing aviation careers. He noted that current GI Bill requirements often conflicted with the unique, accelerated timelines and high costs associated with flight training. The bill sought to remove the one-year requirement for accessing benefits, allowing veterans to complete their programs without facing significant out-of-pocket expenses. He stated that this adjustment would better align federal benefits with the practical realities of the aviation industry.

• Rep. John Mannion advocated for H.R. 5436, the End Transcript Withholding for Veterans Act to stop universities from using academic records as a debt collection tool. He explained that many veterans were being blocked from jobs or further education due to minor or disputed debts that triggered transcript holds. While recent Department of Education rules addressed this for some students, he noted that veterans using GI Bill benefits were still being unfairly excluded from these protections. His legislation aimed to close this loophole and provide parity for student veterans seeking to build their post-service careers.

• Rep. Jen Kiggans presented H.R. 4105, the Veterans Energy Transition (VET) Act, which sought to create a grant-funded pathway for veterans and their spouses into the energy sector. She highlighted the synergy between the mission-driven nature of military service and the technical demands of America’s growing energy industry. The bill proposed a grant program to help separating service members obtain the specific training and credentials needed for these high-demand roles. She argued that this initiative would simultaneously support veteran families and strengthen the nation's energy workforce and security.

• Rep. Zach Nunn shared the tragic stories of Corporal Adam Lambert and Daniel Harvey to illustrate the urgent need for better mental health support during the transition to civilian life. He introduced H.R. 2878, the Daniel J. Harvey, Jr. and Adam Lambert Improving Servicemember Transition to Reduce Veteran Suicide Act, a bill designed to integrate suicide prevention and mental health resources more deeply into the Transition Assistance Program (TAP). He emphasized that the period immediately following military service was a time of extreme vulnerability that required proactive intervention. He urged the committee to honor the memory of fallen veterans by ensuring their peers had immediate access to the resources they deserved.

• Rep. Abraham Hamadeh introduced H.R.7103, the Improving Emergent Tech Opportunities for Veterans Act, to connect veterans with the booming semiconductor and artificial intelligence industries. He noted that while hundreds of billions of dollars were being invested in tech manufacturing, a significant workforce shortage remained. His bill proposed a 90-day expedited approval process for training courses and mandated that the VA prioritize these high-impact career paths during transition counseling. He framed the legislation as a national security imperative that utilized the technical aptitude and discipline of former service members.

SUMMARY OF KEY POINTS (PANEL ONE)

• Mr. Kenneth Smith apologized for the delay in the VA's testimony and noted that he could not speak on homeless veteran legislation due to the absence of Veterans Health Administration partners. He expressed VA support for the Warriors to Workforce Act but opposed the Veterans Flight Training Responsibility Act, labeling its proposed payment limits as arbitrary. He also raised concerns about the Affordable Housing Guarantee Act, citing a lack of evidence for market need and potential risks to taxpayers. For several other bills, including those regarding transcript withholding and suicide prevention, he deferred to the Departments of Education and Defense.

• Mr. Jeremiah Workman, a retired Marine and Navy Cross recipient, testified in support of expanding veteran participation in registered apprenticeship programs. He signaled the Department of Labor's support for the Warriors to Workforce Act and the elimination of appropriation caps for homeless veteran reintegration programs. However, he expressed structural and budgetary concerns regarding the Veterans Energy Transition Act as currently drafted. He concluded by affirming the DOL’s commitment to aligning federal workforce investments with the goal of 1 million new active apprentices nationwide.

• Chairman Barrett questioned the VA’s delays in paying vendors for adaptive automobile equipment, noting that some payments were over 500 days in arrears. He argued that these delays were driving providers out of the program, ultimately hurting disabled veterans. Mr. Smith agreed that a 30-day payment standard was reasonable but explained that the current average for initial grant decisions was 75 days. He noted that the VA was currently managing an inventory of 900,000 miscellaneous adjustments and would require specific resource identification to prioritize these automotive claims.

• Ranking Member Pappas asked if Congress should permanently authorize housing insecurity programs like SSVF to allow providers to plan more effectively. Mr. Smith took the specific question for the record but affirmed the VA's general support for ensuring homeless veterans are properly assessed.

• Ranking Member Pappas also asked if student veterans should receive the same protections against transcript withholding as those receiving other federal aid. Mr. Smith deferred to the Department of Education, stating that transcript provisioning fell under their specific purview.

• Rep. Hamadeh asked how his proposed bill, H.R. 7103, would formalize the partnership between the VA and the DOL to identify high-demand tech jobs. Mr. Smith explained that the VA would leverage DOL data to provide targeted outreach for GI Bill benefits and partner with industry leaders to offer certificates.

• Mr. Smith then confirmed that while artificial intelligence was already covered under existing "high tech" definitions, the bill would specifically add semiconductor manufacturing as a new authorized field. He also stated the VA had no concerns about meeting the bill's proposed 90-day expedited approval process for new training courses.

• Rep. Morgan McGarvey voiced concerns that new initiatives like the VET Act might create unnecessary bureaucracy rather than strengthening existing programs like SkillBridge. Mr. Workman acknowledged the concerns and expressed a desire to coordinate with the DOD and VA to ensure veterans found gainful employment.

• Rep. McGarvey also pressed Mr. Smith on the declining job placement rates of the "Vet Tec" program, which had recently dropped below 50%. Mr. Smith agreed to work with the committee to identify new protections that would ensure veterans were not encouraged to enter programs that did not lead to actual jobs.

• Rep. Delia Ramirez asked what current content would be removed from the Transition Assistance Program (TAP) to make room for new mental health mandates, given the already "overstuffed" format. Mr. Smith stated he was unsure what could be removed and noted that the VA utilized the Solid Start program to follow up with veterans via phone every 90 days post-service to reinforce information.

• Rep. Ramirez then asked for data on whether apprenticeship programs were paying wages sufficient to offset declining housing allowances. Mr. Workman did not have the data available but committed to providing it for the record.

SUMMARY OF KEY POINTS (PANEL TWO)

• Mr. Sam Cook, president of a large family-owned vehicle dealer, testified that the current VA payment system for adaptive equipment is fundamentally broken. He reported that his company alone faced over $2.1 million in past-due invoices, effectively forcing small businesses to act as subprime lenders to the government. He highlighted that some dealers are ceasing to work with the VA altogether, which forces disabled veterans to travel hundreds of miles for essential services. Mr. Cook urged the passage of the CRUISE Act to centralize reimbursements and ensure the VA uses current market data rather than outdated 2021 pricing for equipment schedules.

• Mr. Larry Smith, a retired Army veteran and former semiconductor executive, advocated for utilizing veterans to bridge the talent gap in the semiconductor and AI industries. He noted that the industry is projected to create over 500,000 jobs, making it a critical sector for transitioning service members with technical skills. He shared a successful model from Killeen, Texas, where federal, state, and industry partners created a talent pipeline near Fort Hood. Mr. Smith emphasized that veterans are uniquely suited for these roles, which are vital to both national security and global technological competition.

• Ms. Howell expressed strong support for the CRUISE Act, noting that timely access to adapted vehicles is essential for the independence of catastrophically disabled veterans. While she supported the intent of the Warriors to Workforce Act, she warned that the bill's current structure might cause a sharp drop in housing allowance during the second year of an apprenticeship, potentially discouraging veterans from completing their training. She also emphasized that suicide prevention efforts must account for veterans who separate due to medical issues and may miss traditional transition classes. Finally, she paid tribute to PVA’s late General Counsel, Len Selfon, for his three decades of service in veterans law.

• Ms. Monet spoke in favor of the Veteran Housing Promise Act, arguing that removing funding caps and making homeless programs permanent would provide the stability community providers need to sustain services. She addressed recent Inspector General findings that revealed bureaucratic failures where veterans screened positive for housing instability but never received necessary referrals. Ms. Monet urged the committee to ensure VA medical centers are sufficiently staffed to handle timely assessments and intake planning. She concluded by stating that addressing veteran homelessness is a matter of national responsibility and human dignity.

• Chairman Barrett asked Mr. Cook to detail the discrepancies between the two main vehicle programs. Mr. Cook clarified that while the one-time "auto grant" (4502 program) flows relatively quickly from the regional office, the adaptive equipment program (1394 program) is far more complex. He explained that it requires coordination between the prosthetics department and the regional office—two entities that rarely communicate—leading to a "black hole" where invoices from 2023 were only just being paid in 2026. Mr. Cook asserted that the CRUISE Act would provide a necessary central "clearinghouse" to track these claims and ensure veterans aren't left stranded by dealers who can no longer afford to "eat the cost" of unpaid modifications.

• Ranking Member Pappas asked whether student veterans deserve the same protections against transcript withholding as other students. Ms. Howell strongly agreed, stating that withholding transcripts is an ineffective debt-collection tactic that unfairly traps veterans in appeals with the VA.

• Ranking Member Pappas also asked about the proposed 90% housing allowance for apprenticeships. Ms. Howell warned of a "30% drop" in month 13 that could lead to a massive dropout rate, noting that data already showed a 44%–56% attrition rate in these programs even without such a sharp financial cliff.

• Ranking Member Pappas asked if legislation should focus on "warm handoffs" between different VA departments for homeless veterans. Ms. Monet agreed that while the current bill targets "low-hanging fruit"—veterans who screen positive for housing instability within the VA but receive no follow-up—it is the essential starting point. She emphasized that the primary goal must be connecting veterans to resources before they slip through bureaucratic cracks, particularly when they have already identified themselves as being at risk.

• Rep. McGarvey highlighted the "unacceptable" reality of Mr. Cook receiving a payment in 2026 for a 2023 claim. Mr. Cook explained that these delays hit rural veterans hardest because if a local dealer goes out of business due to non-payment, the veteran has no specialized transportation to get to work or medical appointments. He noted that, unlike a typical commuter, a disabled veteran cannot simply "hop in an Uber" if their customized vehicle is unavailable or if a dealer refuses service due to the VA's subprime payment reputation.

• Rep. Ramirez asked about the importance of permanent authorization for homeless programs. Ms. Monet explained that instability in federal grants forces nonprofits to freeze enrollments and delay rent subsidies for veterans, creating a precarious safety net.

• Rep. Ramirez then turned to the Affordable Housing Guarantee Act, asking if doubling the VA loan guarantee would actually lower rates for veterans. Ms. Howell expressed skepticism, stating that the PVA does not believe increasing the government's risk guarantee automatically ensures that lenders will pass savings on to veterans rather than simply increasing their own profits

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