VA seeks $4.2B for Oracle Health EHR modernization

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Department of Veterans Affairs Secretary Doug Collins told congressional panels on May 20 that the rollout of the VA’s new EHR system is improving after years of delays and scrutiny, FedScoop reported May 21.

During budget hearings before the Senate Veterans’ Affairs Committee and a House Appropriations subcommittee, Mr. Collins said the formerly criticized EHR upgrades are now “actually working.”

“My biggest problem right now is I have executive directors calling me up and saying, ‘can we move up on the list?’” he told the House Appropriations Subcommittee on Military Construction, Veterans Affairs, and Related Agencies. “This is key for them, not only to do their work internally, but also their community care aspects and talking to other VA hospitals.”

The VA is seeking $4.2 billion to modernize the EHR, an $840 million increase from the previous funding level. VA CFO Richard Topping told lawmakers each site costs about $65 million to update, in addition to broader program costs.

Modernization of the EHR began in 2017, but the VA halted the rollout in 2023 to renegotiate its contract with Oracle Health and address safety concerns.

The VA plans to complete upgrades at 19 sites by the end of 2026, followed by 26 additional sites in 2027 and 28 VA medical centers in 2028. The agency said the timeline could allow full deployment by 2031.

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