ARCA Act of 2025
- Bill Number
- H.R. 6833
- Origin Chamber
- House
- Congress
- 119th Congress, Session 1
- Policy Area
- Armed Forces and National Security
- Status
- Introduced
- Latest Action
- 2026-05-20: Committee Hearings Held
- Last Updated
- 2026-07-08T16:44:14Z
AI-Generated Summary
Purpose
The Acquisition Reform and Cost Assessment Act of 2025 (ARCA Act) aims to overhaul the Department of Veterans Affairs (VA)'s acquisition (purchasing) processes by centralizing and professionalizing them. It seeks to improve efficiency, oversight, cost control, and risk management for large-scale purchases of services, supplies, technology, and systems, ultimately delivering better value for veterans' services.
Key Provisions
- Defines "major acquisition program": Programs exceeding $1 billion in total lifecycle cost or $200 million annually (adjusted for inflation).
- Creates dedicated acquisition leadership:
- Designates an Assistant Secretary for Acquisition as the VA's Chief Acquisition Officer.
- Establishes an Office of Acquisition with three Deputy Assistant Secretaries for Logistics, Procurement, and Acquisition/Program Management/Performance.
- Requires at least four Program Executive Officers (certified in project management) for medical, IT, professional services, and other areas.
- Major program managers: Appointed within 30 days of program start; must be certified; develop "program baselines" (plans for cost, schedule, performance); report to the Assistant Secretary.
- Organizational consolidation: All VA acquisition, procurement, logistics, and supply chain activities centralized under the Assistant Secretary within one year (no physical relocations required).
- Independent oversight:
- Contracts for independent verification and validation (IV&V) of major programs by qualified external entities (e.g., those with health care or DoD experience; strict conflict-of-interest rules).
- Establishes a Director of Cost Assessment and Program Evaluation reporting to the VA Secretary; provides independent cost estimates, annual reports to Congress.
- Workforce and processes:
- Doubles (to 4x) participants in acquisition internship programs for entry-level hiring.
- Mandates a standardized requirements development process for major programs, using existing staff.
- Requires DoD analysis of VA's acquisition process and reports to Congress.
- Reporting and plans: Multiple deadlines for plans, briefings, and reports to Veterans' Affairs Committees.
Significant Changes to Existing Law
- Amends title 38 USC (VA laws) by adding Subchapter VII to Chapter 81, reorganizing acquisition under new sections 8181–8185.
- Increases Assistant Secretaries from 7 to 8; shifts "procurement" to "acquisition" focus.
- Makes program offices independent from VA administrations (e.g., Veterans Health Administration).
- Repeals/replaces prior acquisition sections (e.g., strikes sections 8171 paragraphs and 8172).
- Introduces mandatory certifications, baselines, IV&V, and cost director—elements modeled on DoD practices but new to VA.
Potential Impacts
- Government agencies (VA): Streamlined structure could reduce waste, delays, and cost overruns in major buys (e.g., IT systems, medical equipment); requires new hires/interns and external contracts, increasing short-term administrative costs.
- Citizens/veterans: Improved reliability and timeliness of VA services (health care, benefits tech, supplies), potentially enhancing care quality and access.
- No direct international relations impact.
- Overall: Promotes fiscal accountability, with annual cost reports highlighting overruns >5%.
Main Stakeholders Affected
- VA leadership/staff: New reporting lines, certifications, and processes affect thousands in acquisition/procurement/logistics.
- Veterans and beneficiaries: Indirectly benefit from efficient spending on services.
- Congress (Veterans' Affairs Committees): Gains oversight via reports, briefings, plans.
- Contractors/vendors: Must meet stricter eligibility for IV&V; opportunities in internships and programs.
- DoD and external entities: Involved in analysis, certifications, IV&V contracts.
Notable Legal, Constitutional, or Political Implications
- Legal: Strengthens compliance with federal acquisition laws (e.g., title 41 USC); mandates competitive contracting and conflict-of-interest safeguards, reducing litigation risks from poor programs.
- Constitutional: Routine administrative reorganization; no separation-of-powers issues.
- Political: Bipartisan appeal for VA efficiency (introduced by Rep. Barrett); emphasizes accountability to Congress, potentially pressuring VA on budgets; no partisan bias evident in text.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Recent Actions
- 2026-05-20: Committee Hearings Held
- 2026-03-18: Committee Hearings Held
- 2025-12-18: Referred to the House Committee on Veterans' Affairs.
- 2025-12-18: Introduced in House
- 2025-12-18: Introduced in House
Bill Versions
- Acquisition Reform and Cost Assessment Act of 2025 — issued 2025-12-18 — PDF (22 pages)