VA Vet Centers: Opportunities Exist to Improve Asset Management and Identification of Future Counseling Locations
Fast Facts
More than 300 Vet Centers provide counseling services to veterans, servicemembers, and their families. The Veterans Health Administration must ensure the centers are well-maintained and located where services are most in demand.
But VHA doesn't have guidance for managing annual inspections of the centers, so it's unsure if it has accurate data on their condition—including some that need improvements.
The agency developed a model to determine where centers should be located based on service demand. But it can't be sure it has the information it needs to fully understand the model's results.
Our recommendations address these issues.
Highlights
What GAO Found
The Veterans Health Administration's (VHA) Readjustment Counseling Service (RCS) leases facilities to provide counseling at over 300 Vet Centers and satellite locations. RCS monitors the physical condition of these facilities through annual inspections. RCS's inspection process identified physical condition issues at 13 percent of Vet Centers in fiscal year 2023, according to GAO's analysis of RCS data. RCS addresses such issues and improves Vet Centers through projects ranging from replacing furniture to expanding space.
RCS's processes fully align with two of the six key characteristics of GAO's asset management framework, and partially align with four (see table). For example, RCS maintains leadership support and a collaborative organizational culture around asset management. However, developing an asset management plan and refining policies could help RCS ensure its assets support its mission, prioritize improvements to Vet Centers, and collect better inspection data. Also, better evaluation of asset management practices could help RCS ensure that these processes help RCS meet its counseling mission.
Alignment of Readjustment Counseling Service's Asset Management Processes with Key Characteristics of GAO's Asset Management Framework
|
Characteristic |
RCS processes |
Alignment |
|---|---|---|
|
Leadership support |
RCS leadership supports asset management and provides necessary resources. |
Fully aligns |
|
Collaborative organizational culture |
RCS promotes a culture of information sharing regarding their assets. |
Fully aligns |
|
Establishing policies and plans |
RCS has some policies related to asset management but does not have a strategic asset management plan that ties to its mission. |
Partially aligns |
|
Maximizing asset value |
RCS has some policies that consider mission need when identifying new locations but does not have policies for prioritizing improvements. |
Partially aligns |
|
Using quality data |
RCS collects some data on leasing and improvements but does not consistently collect quality inspection data. |
Partially aligns |
|
Evaluating asset management |
RCS evaluates some aspects of its inspection process but does not fully evaluate the performance of its asset management practices. |
Partially aligns |
Source: GAO analysis of Readjustment Counseling Service (RCS) information and GAO 19-57 | GAO-25-106781.
RCS recently worked with VHA's actuarial contractor to develop a VHA model to project demand for counseling and identify where to locate future Vet Centers to better meet veterans' needs. GAO found that RCS's processes for developing the model do not fully align with three of eight actuarial key practices and internal control standards in four areas. Specifically, (1) RCS does not validate the data it provides the contractor, and RCS also does not require the contractor to provide (2) information on the contractor's assumptions, (3) documentation of its model validation, or (4) information on model uncertainty. By better aligning its modeling processes with key practices and internal control standards, RCS could better ensure it locates Vet Centers where demand is greatest.
Why GAO Did This Study
VHA's 303 Vet Centers provide counseling services to eligible veterans, servicemembers, and their families who are experiencing challenges from readjusting to civilian life or continuing military service.
The National Defense Authorization Act for Fiscal Year 2023 includes a provision for GAO to review the physical infrastructure of Vet Centers. This report examines (1) how VHA monitors the physical condition of its facilities; (2) the extent to which VHA's processes align with key characteristics of GAO's asset management framework; and (3) the extent to which VHA's model for assessing future location needs aligns with selected key practices and standards, among other issues.
GAO analyzed RCS data on leasing and inspections and its demand model. GAO visited three Vet Centers selected based on factors including location and recent inspection results. GAO reviewed documents and interviewed RCS officials to determine the extent to which RCS's processes align with key asset management characteristics, actuarial practices, and internal control standards. GAO also interviewed a non-generalizable sample of Vet Center directors and regional officials.
Recommendations
GAO is making eight recommendations to VHA to better align its asset management processes with key asset management characteristics and ensure its modeling processes more fully follow actuarial practices and internal control standards.
Recommendations for Executive Action
| Agency Affected | Recommendation | Status |
|---|---|---|
| Veterans Health Administration | The Chief Readjustment Counseling Officer of RCS should develop a strategic asset management plan that outlines RCS's asset management approach, as well as how that approach ties to RCS's mission and objectives. (Recommendation 1) |
As of November 2025, VA said that it is researching and drafting a strategic asset management plan for RCS, which it plans to complete by December 2025. We will continue to monitor VA's efforts on this recommendation.
|
| Veterans Health Administration | The Chief Readjustment Counseling Officer of RCS should develop written procedures to prioritize improvements to Vet Centers and outstations based on specific criteria. (Recommendation 2) |
As of June 2025, VA indicated that RCS was developing procedures to prioritize improvements to Vet Centers and outstations, and that these procedures will be incorporated into the strategic asset management plan being developed in response to recommendation 1. VA aims to implement this recommendation by December 2025. We will continue to monitor VA's efforts on this recommendation.
|
| Veterans Health Administration | The Chief Readjustment Counseling Officer of RCS should develop guidance to clarify its processes and help ensure consistent data are collected related to inspecting Vet Centers and outstations and remediating deficiencies. (Recommendation 3) |
As of December 2025, VA stated that RCS has worked to consolidate the Administrative and Clinical Site Visit into one comprehensive Vet Center Quality Review (VCQR), which will be released in fiscal year 2026. VA said that the VCQR will include inspection items measured using quantitative data, ensuring consistency in inspection requirements and assessment. The updated protocol will have two responses: "met" and "not met." The "needs improvement" response will be eliminated to reduce subjectivity in the inspection process. We will review the VCQR when it is finalized.
|
| Veterans Health Administration | The Chief Readjustment Counseling Officer of RCS should develop written procedures to evaluate the performance of its asset management processes to identify any necessary improvements to its management of those assets. (Recommendation 4) |
As of October 2025, VA stated that written procedures to evaluate the performance of the RCS asset management processes will be incorporated into the Strategic Asset Management Plan, which is estimated to be completed in December 2025. We will continue to monitor VA's efforts to implement this recommendation.
|
| Veterans Health Administration | The Chief Readjustment Counseling Officer of RCS should document processes for validating VA data used as an input to the demand model and communicate the findings including known relevant data limitations to the actuarial contractor. (Recommendation 5) |
In November 2025, VHA provided GAO documentation that RCS established a validation process for providing appropriate, accurate, complete, and current internal VA data inputs for use in actuarial modeling. Specifically, data owners must assess their alignment with internal controls, and complete data limitation forms for all data sources provided by RCS to the contractor. In addition, according to the procedures, RCS will share the data limitation forms with the contractor and hold a post-data submission meeting to review any questions that the contractor has about the limitations provided . By taking these steps, RCS is better positioned to help ensure the organization can assess the level of confidence it can place in the model when identifying future Vet Center locations.
|
| Veterans Health Administration | The Chief Strategy Office of VHA should require its actuarial contractor to provide documentation of its processes to validate external data and the key actuarial assumptions made using the external data, including the contractor's rationale for assumptions used in the demand model. (Recommendation 6) |
In August 2025, VHA provided GAO a copy of a document that its actuarial contractor developed for the RCS model to address this recommendation. The document includes information on the contractor's model validation processes, and the rationale for the assumptions used. In addition, the updated model document includes discussions about evaluating the external data, such as publicly available data used for model assumptions. VHA also provided documentation demonstrating that the contractor provided this information following a request from VHA after GAO's report was issued. By taking these steps, RCS is better positioned to determine those locations where there will be the greatest unmet demand for counseling services.
|
| Veterans Health Administration | The Chief Strategy Office of VHA should require its actuarial contractor to document and communicate to RCS the process for and results of the contractor's evaluation of the actuarial model risk. (Recommendation 7) |
As of June 2025, VA stated that VHA and the actuarial contractor will update the current risk report, which is included in the Actuarial Model Projections chapter of the VA President's Budget Request, to include actuarial model risk associated with the RCS Projection Model. The target completion date is September 2025, and we will monitor VA's efforts on this recommendation.
|
| Veterans Health Administration | The Chief Strategy Office of VHA should require its actuarial contractor to provide documentation of the overall uncertainty associated with the demand model, including output variability of projected demand. (Recommendation 8) |
As of June 2025, VA provided documentation from its contractor related to the overall uncertainty associated with the demand model. We are reviewing the information provided.
|