Top 10 Insights for Diagnostic Companies Looking to Partner with the Department of Veterans Affairs in 2024
The Department of Veterans Affairs (VA) plays a vital role in the healthcare of millions of veterans across the U.S. With the VA’s healthcare budget for fiscal year 2024 exceeding $325 billion, there are immense opportunities for diagnostic companies to provide innovative products and services that align with the VA’s goals. For diagnostic companies seeking to navigate this complex landscape, understanding the VA’s priorities and strategic areas of growth is essential. Below are the top 10 insights that diagnostic companies should keep in mind when pursuing opportunities with the VA.
1. Robust Healthcare Budget
With a total budget of $325.1 billion in 2024, including $142.8 billion in discretionary funding, the VA has the financial capacity to invest heavily in healthcare services. This presents significant opportunities for diagnostic companies to offer products that can meet the healthcare needs of millions of veterans.
2. Rising Demand for Healthcare Services
The VA is projected to serve 7.4 million veterans in 2024, with a total of 139.7 million outpatient visits. Diagnostic companies that provide efficient, scalable solutions can play a key role in helping the VA meet these growing healthcare demands.
3. Expanding Telehealth and Connected Care
The VA is investing in telehealth services, with a 23.7% increase in the budget for its Connected Care Program. Diagnostic companies offering remote diagnostic tools or telemedicine-integrated solutions can align with this trend, helping to support veterans in rural or remote areas.
4. Mental Health Initiatives
With $16.6 billion allocated to mental health services, the VA is making mental health and suicide prevention a priority. Diagnostic companies specializing in mental health diagnostics, including tools for early detection of depression, PTSD, or other conditions, have a unique opportunity to support this critical initiative.
5. Opportunities in Women’s Health
The VA has committed $257 million to enhancing women’s health services, marking a 66% increase from the previous year. Companies offering women’s health diagnostics, such as cancer screening, reproductive health tests, and maternal care diagnostics, will find fertile ground for partnerships.
6. Focus on Precision Oncology
As part of its commitment to the Cancer Moonshot initiative, the VA is investing over $215.4 million in precision oncology. Diagnostic companies that provide genetic testing or advanced molecular diagnostics for cancer can leverage this significant investment to bring cutting-edge technologies to the VA’s healthcare system.
7. Toxic Exposure Screening
With the enactment of the PACT Act, the VA is focused on treating veterans exposed to environmental hazards, with $20.3 billion allocated to support healthcare related to toxic exposures. Companies that offer diagnostic solutions for detecting and monitoring diseases related to environmental exposures, such as lung disease and cancers, will be in demand.
8. Chronic Disease Diagnostics for Aging Veterans
The VA serves a large elderly population, with 73% of veterans over the age of 65. Chronic disease management is a top concern, particularly for conditions such as diabetes, cardiovascular disease, and renal disease. Diagnostic companies with products geared toward chronic disease monitoring and long-term care diagnostics can offer solutions tailored to this demographic.
9. Research and Development Opportunities
The VA has earmarked $938 million for medical and prosthetic research. Diagnostic companies can explore collaborative research opportunities with the VA, particularly in areas of emerging diagnostic technologies and clinical trials.
10. Navigating VA Procurement
Partnering with the VA requires understanding its procurement regulations, including the Veterans First Contracting Program. Diagnostic companies must ensure that their products meet regulatory requirements and are aligned with GSA schedules to streamline the purchasing process.
Looking Ahead: What’s in the FY2025 VA Budget?
These insights from the VA’s FY2024 budget reveal significant opportunities for diagnostic companies, but the landscape is continuously evolving. With the FY2025 budget around the corner, even more opportunities may emerge. Stay tuned for our upcoming analysis of the FY2025 VA budget, where we will highlight additional areas of growth and potential for innovation.
By keeping these insights in mind, diagnostic companies can better position themselves to partner with the VA and serve the healthcare needs of millions of veterans in 2024 and beyond.