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Saturday, August 2, 2025

Oversight hearing scrutinizes VA's improper bonus payment practices

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Jen Kiggans Chairwoman at House Committee on Veterans’ Affairs Subcommittee on Oversight and Investigations | House Committee on Veterans' Affairs

Jen Kiggans Chairwoman at House Committee on Veterans’ Affairs Subcommittee on Oversight and Investigations | House Committee on Veterans' Affairs

Representative Jen Kiggans (R-Va.), Chairwoman of the House Committee on Veterans’ Affairs Subcommittee on Oversight and Investigations, addressed concerns over the Department of Veterans Affairs' (VA) improper use of recruitment, relocation, and retention incentive payments. The subcommittee's oversight hearing focused on a pattern of erroneous bonus payments uncovered by the Committee and highlighted in recent reports by the VA Office of Inspector General (OIG).

Rep. Kiggans opened the session by acknowledging "the chronic issue of improper recruitment, relocation, and retention incentive payments," commonly known as the "3 R’s." These incentives are intended to attract and retain quality staff for positions that are hard to fill. However, multiple OIG reports have indicated a lack of oversight in their distribution.

A 2017 OIG report noted significant increases in these payments: relocation grew by 86%, retention by 131%, and recruitment bonuses by 237%. A more recent June 2025 report revealed that $30,000 was awarded to a Veterans Health Administration (VHA) employee who never relocated.

Kiggans remarked on past efforts to improve oversight: "In response to the 2017 OIG audit, quality assurance teams were created at both the Office of Human Resources and Administration/Operations, Security, and Preparedness, and the VISN level." Despite these measures, systemic issues persist.

The 2025 OIG report found that VA improperly paid $4.3 million in incentives after award periods expired. Between 2020 and 2023, over $1.2 billion was distributed to more than 134,000 employees; $341 million lacked proper documentation.

"The required documentation helps provide assurance that incentives are properly used," said Kiggans. The absence of sufficient records hinders oversight efforts from bodies like the OIG and GAO.

A notable case involved VHA awarding relocation payments to an employee who teleworked from home without relocating. Despite this misuse of funds, VHA did not recoup the payments.

Rep. Kiggans expressed eagerness for improvements under Secretary Collins' leadership: "I am excited hear the Trump administration’s plan to not only satisfy the OIG’s recommendations but their plan to make real and necessary improvements."

Ranking Member Ramirez was then recognized for her opening comments.

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