Newsbytes March 28, 2025 

In this Issue:
FRA Engages Congress on VA Cuts
HVAC Subcommittee Reviews 13 Bills
Senate Confirms Paul Lawrence as New VA Deputy Secretary 
Military Stores Brace for Tariffs
Labor Department’s ENPP Boosts Jobs Transitioning Service Members 

FRA Engages Congress on VA Cuts
In a significant development concerning the Department of Veterans Affairs (VA), the Fleet Reserve Association (FRA) Legislative team, including NED Phillip Reid, and ADLP Theo Lawson, recently held a meeting with majority staff from both the Senate and House Veterans’ Affairs Committees. This meeting, prompted by a leaked VA memo outlining a Reduction in Force (RIF) that would cut over 80,000 employees, was a direct result of a letter of inquiry sent by the FRA to both chambers, as reported in the March 14, 2025, issue of NewsBytes. The memo, issued by VA Chief of Staff Christopher Syrek on March 4, 2025, aims to shrink the VA workforce to 2019 levels—approximately 399,957 employees—down from over 483,000, aligning with Trump administration efficiency goals under the Department of Government Efficiency (DOGE). 

During the meeting, the FRA team raised specific questions about the RIF’s scope and impact, only to find that some staff members were unaware of certain details, reflecting a potential communication gap between the VA and congressional overseers. However, House Veterans’ Affairs majority staff provided reassurance that no personnel at the VA Crisis Hotline—vital for veteran mental health support—had been terminated, a point of relief amid broader concerns. 

Both chambers acknowledged the VA’s push for efficiencies, with Senate staffers referencing a $2.9 billion shortfall in fiscal year 2024, detailed in a newly released Office of Inspector General (OIG) report (available here: https://www.vaoig.gov/reports/review/review-vas-29-billion-supplemental-funds-request-fy-2024-support-veterans-benefits). This shortfall, tied to increased PACT Act claims, underscores the financial pressures driving the RIF, though it also highlights the challenge of balancing cost-cutting with service delivery. 

NED Reid emphasized the critical human element in VA operations, cautioning against over-reliance on automation while supporting targeted AI use for efficiency gains. Citing the FRA’s annual survey, the director noted that most veterans prefer VA healthcare due to its familiar, veteran-centric environment—a key insight into why preserving staff levels matters. The PACT Act, enacted in 2022 to expand benefits for toxic-exposed veterans, was a focal point, with the FRA highlighting that its budget explicitly funds full-time equivalent (FTE) hires to meet rising demand. Cuts, they argued, could undermine these gains. 

The FRA advocated for veterans within the VA workforce, proposing that those facing cuts—over 25% of whom are veterans—be reassigned to other VA roles or federal positions rather than terminated. Both chambers agreed that the VA’s messaging around the RIF has been lacking, emphasizing that the focus should remain on core missions like healthcare and benefits, not just slashing headcounts. Senate staffers revealed ongoing talks with the VA about adapting staffing models to the evolving veteran demographic, with the VA promising regular updates as the RIF unfolds. 

Looking ahead, both the Senate and House Veterans’ Affairs Committees plan oversight hearings to monitor the RIF process, welcoming input from veteran service organizations (VSOs) like the FRA. House staffers encouraged the FRA to report any member issues stemming from the cuts, signaling an open door for collaboration. The FRA affirmed its commitment to continue engaging in these talks to ensure veterans and their families receive the dignity, compensation, and quality of service they’ve earned. The organization’s proactive stance emphasizes a broader call for transparency and veteran-focused solutions as the VA navigates this contentious reorganization, balancing efficiency with its sacred commitment to those who served. 

HVAC Subcommittee Reviews 13 Bills
The House Subcommittee on Disability Assistance and Memorial Affairs, chaired by Rep. Morgan Luttrell (R-TX), reviewed 13 bills to enhance the VA claims and appeals process and toxic exposure, etc. Luttrell emphasized improving burial access, transparency, and fair compensation, introducing the Review Every Veterans Claim Act (H.R. 2137) to prevent automatic denials for missed exams and the Veterans’ Compensation Cost-of-Living Adjustment Act of 2025 (H.R. 2138) to align benefits with Social Security increases. Ranking Member Morgan McGarvey (D-KY) praised the bipartisan effort, advocating for protections against “claim sharks,” better survivor benefits, and addressing the appeals backlog through improved BVA staffing. 

The first panel featured lawmakers presenting key legislation. Rep. Keith Self (R-TX) pushed the Veterans Appeals Transparency Act (H.R. 1741) for weekly appeal updates, criticizing misleading BVA wait-time reports. Rep. Young Kim (R-CA) introduced the Improving VA Training for Military Sexual Trauma Claims Act (H.R. 2201) for annual MST sensitivity training. Rep. August Pfluger (R-TX), a veteran pilot, proposed the Aviator Cancers Examination Study Act (H.R. 530) to study cancer rates among aviators. Reps. Robert Bresnahan (R-PA) and Tom Barrett (R-MI) offered bills to simplify VA forms and notice letters, aiming to reduce confusion for veterans and families. 

The second panel brought personal stories to the forefront. Patricia Krisfalusy-Maxon supported the Dennis and Lois Krisfalusy Act (H.R. 1344) to honor pre-1998 spouses on veterans’ headstones, sharing her family’s loss in the 1985 Mexico City earthquake. Andrew Shurtleff, a 23-year Air Force veteran with stage 4 cancer, backed H.R. 530, urging action on aviator health risks. Diane Boyd Rauber endorsed clearer forms, MST training, and appeal transparency, while Lesley Witter, representing funeral directors, supported burial flexibility via the Ensuring Veterans’ Final Resting Place Act (H.R. 647) and survivor coordination through H.R. 1228. 

Lawmakers engaged witnesses on critical issues. Rep. Pfluger pressed Shurtleff on H.R. 530’s impact, while Reps. Kelly Morrison (D-MN) and Jack Bergman (R-MI) explored MST training gaps. Chairman Luttrell highlighted Krisfalusy-Maxon’s headstone struggle, emphasizing bureaucratic barriers. McGarvey questioned BVA attorney retention, warning that cuts to benefits like bar dues could harm morale and service delivery, a concern echoed by Rauber’s call for skilled staff to handle complex claims. 

The third panel featured VA officials, led by Kenesha Britton, who supported bills like H.R. 530 and H.R. 1039 but opposed H.R. 1741 and a BVA retention bill (H.R. 2303) due to administrative and legal concerns. With 197,000 appeals pending, the VA favored average wait-time reports over detailed updates, drawing criticism from Luttrell and Self for lacking transparency. Pfluger pushed for urgent aviator cancer action beyond the PACT Act, while McGarvey challenged potential workforce cuts, urging investment in staff to better serve veterans. 

The hearing reflected a unified push for reform. From simplifying processes to addressing aviator health and burial rights, the 13 bills tackle systemic VA challenges. Luttrell closed with a call to action: “Veterans stepped up for us—now we step up for them.” With bipartisan support, the Subcommittee aims to advance these measures, ensuring veterans and their families receive the responsive, dignified service they deserve. Watch the full hearing here: https://www.youtube.com/watch?v=PgF9-Sq9ub4 

Senate Confirms Paul Lawrence as New VA Deputy Secretary 
The U.S. Senate confirmed Paul Lawrence as the new Deputy Secretary of the Department of Veterans Affairs (VA) in a 51-45 party-line vote. Lawrence, an Army veteran and former VA Under Secretary for Benefits during President Donald Trump’s first term, will now serve as the second-ranking leader under VA Secretary Doug Collins. His confirmation marks a key step in the Trump administration’s plans for significant reforms within the department. 

Lawrence’s approval followed a contentious confirmation hearing last month, where Democratic lawmakers expressed concerns not about his qualifications, but about the administration’s broader VA reform agenda. Despite opposition, Lawrence pledged to prioritize veterans’ needs, including the continued implementation of the 2022 PACT Act, which expands benefits for toxic exposure injuries, and enhancing medical care options for veterans. He firmly rejected claims of privatizing the VA, stating, “We are not going to privatize VA. We would push back on any efforts to do that.” 

An accomplished author on management and government, Lawrence brings extensive experience to the role. His confirmation paves the way for filling other critical VA leadership positions, such as the under-secretaries for health and benefits, which remain vacant. Lawrence is expected to be sworn in within days, joining other Trump appointees like Sam Brown, tapped for cemetery and memorial affairs, as the administration shapes its vision for the VA’s future. 

Military Stores Brace for Tariffs
Military store officials across exchanges and commissaries are preparing for the economic impact of newly imposed tariffs, focusing on shielding service members and their families from rising costs. The tariffs include a 20% levy on Chinese imports and additional tariffs on products from Mexico and Canada, posing challenges for military retail supply chains. These trade measures are part of broader policies reshaping global commerce. 

Military exchanges, which sell consumer goods like electronics and clothing, will be hit hardest by the tariffs, as much of their inventory comes from China. The higher costs and potential shortages may strain operations. Conversely, commissaries, which provide groceries at cost plus a 5% surcharge, are less affected since food imports from the impacted countries are minimal. Notably, Chinese garlic has already been banned under the 2025 National Defense Authorization Act (NDAA). 

To mitigate the impact, military store leaders are working with suppliers to negotiate favorable deals and stockpile inventory before additional tariffs take effect. While tariffs on Mexico and Canada are delayed until April 2, 2025, officials are bracing for further increases. Their primary objective remains clear: maintain the financial relief that military families rely on, supported by the absence of sales tax at both exchanges and commissaries. 

Despite these efforts, exchanges, which operate independently, may have to pass costs onto consumers if suppliers can't absorb the increases. Commissaries, benefiting from taxpayer support, have more flexibility to manage prices. While essentials are expected to remain affordable, service members might notice price hikes and reduced product availability in non-essential categories. 

Tariffs: 20% on Chinese imports; tariffs on Mexico and Canada delayed until April 2, 2025. 

Impact: Exchanges face greater price increases; commissaries are less affected due to limited reliance on imports. 

Food Supply: Chinese garlic banned under the 2025 NDAA; most groceries sourced elsewhere. 

Cost Management: Stores are stockpiling inventory and negotiating to minimize price hikes. 

Tax Advantages: No sales tax at exchanges or commissaries; commissary surcharge funds infrastructure. 

Future Outlook: Exchanges may raise prices if costs persist; commissaries maintain stability with federal support. 

Labor Department’s ENPP Boosts Jobs Transitioning Service Members 
The U.S. Department of Labor’s Employment Navigator and Partnership Program (ENPP) is proving to be a game-changer for service members transitioning to civilian life. A recent article highlights its success, showing that ENPP participants secure jobs faster and earn more than those who go it alone. Data from 2023 to 2024, pulled from Department of Defense records, reveals a median employment timeline of 90 days for ENPP users—two months quicker than the 153 days for non-participants. On top of that, these jobs offer an 11% higher median quarterly wage, underscoring the program’s knack for connecting veterans with not just any job, but the right one. 

The ENPP stands out with its all-in-one approach, offering everything from skills assessments and job matching to apprenticeships, mentorships, and direct placement support for veterans and their spouses. No more piecing together help from scattered resources—this program streamlines the process. In 2024, it expanded its network by adding eight new veteran-focused employment agencies, bringing the total to 74 partners nationwide. Organizations like San Diego’s Zero8Hundred and Chesapeake’s Recruit Military are now part of this effort, ensuring that service members can access localized support no matter where they’re headed after their military service ends. 

Yet, despite its clear wins, the ENPP remains a hidden gem for too many of the 200,000 service members who leave the military each year. Since launching in 2021, it’s helped just 19,000 troops and spouses—a fraction of those eligible. To qualify, you need to be a transitioning service member or spouse within two years of retirement or 365 days of separation, and enrolled in a transition assistance program at one of 40 designated ENPP sites. With only 25% of exiting service members having a job lined up, this underutilized resource could be the key to closing that gap for thousands more. 

For those ready to take charge of their post-military career, the ENPP offers a distinct edge over other Labor Department programs like e-learning or off-base training. Its personalized, hands-on guidance delivers results: faster employment and better pay. The growing network of partners only sweetens the deal, promising even more opportunities ahead. Interested veterans and spouses can visit the Veterans’ Employment and Training Service website to learn more and get started on a smoother, more rewarding transition.