Why it Matters
Hundreds of thousands of veterans who filed disability claims under the PACT Act are still waiting months for decisions, even as the Department of Veterans Affairs deploys artificial intelligence and automation tools to speed processing. On May 18, the House Veterans' Affairs Subcommittee on Technology Modernization will convene to examine whether that technology is actually working, or whether it is producing faster but less accurate outcomes for veterans who may have been exposed to toxic burn pits and other hazards during their service.
The PACT Act, signed into law in 2022, created a wave of new disability conditions, driving a surge in claims that the VA has struggled to absorb. New conditions continue to be added in 2026, including chronic sinusitis and constrictive bronchiolitis, generating fresh claim filings with each addition. The question before the subcommittee is whether the VA's technology infrastructure is keeping pace, and whether speed is coming at the cost of accuracy.
The VA has publicly reported that claims are being processed faster than ever, and that the backlog is dropping dramatically. But as Military.com reported in April, individual veterans continue to wait months for decisions. It's a gap between aggregate metrics and lived experience that members of Congress on both sides of the aisle have noticed.
The AI Question at the Center of the Hearing
The VA's use of artificial intelligence to process PACT Act claims has become the focal point of the oversight debate. According to Nextgov/FCW, the VA has been developing AI systems to help claims processors sift through the evidence veterans submit. It's a significant shift in how the department handles one of its most consequential functions.
The Trump administration has proposed $130 million to the Veterans Benefits Administration for automation and AI investments as a way to reduce errors and deliver benefits faster. But Democratic members of Congress have raised concerns about whether AI-assisted decisions are accurate enough to be trusted with veterans' claims, according to Government Executive.
Rep. Tom Barrett (R-MI), who chairs the Subcommittee on Technology Modernization, will lead the hearing. Rep. Nikki Budzinski (D-IL) serves as Ranking Member. Other members include Rep. Morgan Luttrell (R-TX), Rep. Nancy Mace (R-SC), and Rep. Sheila Cherfilus-McCormick (D-FL)..
A Warning from Veterans Groups
The veterans advocacy community has been watching the VA's technology push with a mix of cautious support and pointed concern. In April, Veterans of Foreign Wars Executive Director Ryan Gallucci testified before the full House Veterans' Affairs Committee on the disability claims backlog, warning of "the urgent need to prioritize decision quality over speed to ensure veterans receive earned benefits without unnecessary rework," according to VFW congressional testimony.
The quality versus speed question is likely to resonate with Democratic members of the subcommittee. A separate transparency concern has also emerged. The VA announced that starting in fiscal year 2026, it will move PACT Act performance reporting from monthly to quarterly. It's a change that has drawn criticism from veterans advocates who view it as a reduction in accountability at a critical moment in implementation.
Legislation and Oversight Context
Barrett himself has introduced legislation directly relevant to the hearing's subject matter. The Veterans' Caregiver Appeals Modernization Act of 2025 would require the VA to create a single digital system allowing employees and the Board of Veterans' Appeals to access all caregiver documents in one place. That's a narrower but structurally similar reform to what the subcommittee is examining on the disability claims side.
A broader bill, the Modernizing All Veterans and Survivors Claims Processing Act, has already passed the House and been received in the Senate. Sponsored by Rep. David Valadao (R-CA), it would require the VA to submit a plan to expand automation tools for processing claims, including automated retrieval of veteran records and compilation of evidence for disability determinations.
Significant Lobbying Activity
Leidos Inc., a major defense and government services contractor, has reported $4.16 million in lobbying expenditures over the past year, with filings specifically referencing disability exams and VA appropriations. Med Claims Compliance Corp. has lobbied explicitly on "Medicare and VA Claims Processing through AI," spending $250,000 over the same period.
Oracle Corp. has reported $180,000 in lobbying on VA electronic health records implementation and health information technology, while TurboVets Inc. has spent $80,000 advocating for "digital claims tools and data systems" and platforms that streamline eligibility and claims processing.
Iraq and Afghanistan Veterans of America has reported $250,000 in lobbying specifically on PACT Act implementation and the Toxic Exposures Fund. Vietnam Veterans of America has spent $240,000 on veteran benefits and toxic exposure issues over the same period. The National Organization of Veterans' Advocates has reported $200,000 focused on veterans' benefits claims policy.
Veterans Guardian VA Claim Consulting LLC, a third-party claims consulting firm, has spent $1.225 million lobbying on VA benefits claims processing and the accreditation of independent service providers, a separate but related debate about who is authorized to help veterans navigate the claims system and whether those providers are adequately overseen.
At stake is a multi-billion dollar claims processing system undergoing rapid technological transformation, with veterans' benefits on one side and significant contractor and advocacy interests on the other.
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