Department of
Veterans Affairs

VA Contingency Plan*
Agency Operations in the Absence of Appropriations

September 28, 2015

*As required by OMB Circular A-11

1.	Introduction
VA is committed to supporting Veterans and their families even during limited operations in absence of appropriations, commonly known as a government “shutdown”. The Department of Veterans Affairs (VA) is revising its shutdown plan, in accordance with Office of Management and Budget (OMB) Circular A–11, Section 124 (dated July 21, 2010), and OMB memorandum M- 13-22 (dated September 17, 2013). Based on the instructions contained in Circular A-11, the Anti-Deficiency Act, and on guidance offered by VA’s Office of General Counsel, the attached document details VA’s analysis for a potential government shutdown. This contingency document is provided for a short-term shutdown. A long-term event will require further analysis and development.
This document outlines the activities being undertaken by VA in anticipation of a potential government shutdown due to a lapse in appropriations. This document is intended to ensure that VA can perform an orderly suspension of its programs and operations in the unlikely event of a shutdown.
This document outlines programs and resources necessary to ensure the shutdown of VA’s functions if normal operations are suspended. It also applies to all personnel and contractors assigned to or performing services for VA.

2.	Shutdown Contingency Overview
The Department is pursuing a comprehensive approach for a potential shutdown, which includes identifying functions and programs for which there is a legal basis for exception, including those required by “necessary implication” and protection of life and property. VA Administrations and Staff Offices were asked to review their organizations and identify these specific functions and programs (and the employees required to support them). Their decisions were based on long-standing OMB and Justice Department guidance, and the legal opinions of VA’s Office of General Counsel (OGC).   VA’s OGC has reviewed this document to ensure compliance with these criteria.
In its shutdown contingency deliberations, VA has consistently worked to establish which of its functions are legally excepted for carrying out services the Department is obligated to provide to the nation’s Veterans and their families. These include the provision of high-quality medical care, compensation and pension benefits, housing, and burial services.
Excepted functions that relate to the Department’s need to protect life and property including the Office of Information Technology (OI&T)’s information systems that support the provision of health services at the Veterans Health Administration (VHA)’s facilities.
During the 1995-96 government shutdowns, a number of VA functions were impacted by the lapse in appropriation:

•	VHA did not have an advance appropriation – medical service, support and compliance and medical facilities were limited to those deemed excepted for protection of life and property.
•	Some benefit activities and payments (e.g., Readjustment, Insurance) were delayed.
•	Loan Guaranty certificates of eligibility and certificates of reasonable value were delayed.
However, in anticipating a potential shutdown in 2016, VA must take into account several factors that are different from the 1990s experience. The Department believes these factors provide ample justification for what will be a significant increase in the number of excepted VA employees and functions in the event of a shutdown. They include:
•	Advance appropriations for VHA, which accounts for 86% of the VA’s discretionary budget. VA believes that certain key functions that support VHA’s research operations also qualify for exception for protection of life and property.
•	Review by OGC and VA program offices determined that if there are balances in discretionary accounts (due to prior year carryover) this funding must be used to continue operations until the balances are depleted.
As a result, the Department’s current projection is that 95.5 percent of VA employees would be either fully funded or required to perform excepted functions during a shutdown event. Approximately 318,999 employees (out of a pre-shutdown total of 361,210) are VHA and funded by advance appropriations. Therefore, the number of employees to be retained under the plan meeting A-11, Section 124.2 criteria is 344,889 (of which 318,999 are funded), and number of employees, not otherwise exempt is 16,321.**

Appendix A provides a summary table identifying impact of the shutdown on the workforce to each VA organization
Appendix B provides additional detail concerning VA’s excepted functions along with the Department’s current projected shutdown staffing totals
Appendix C provides a summary of suspended functions within VA

** All data is as of 09-28-2015.  

Appendix A.  Impact of the Shutdown on the Workforce**

VA ORGANIZATION	
EMPLOYEES DURING NORMAL OPERATIONS	
FULLY FUNDED: WILL CONTINUE TO WORK	EXCEPTED EMPLOYEES (OTHER LEGAL BASIS: WILL CONTINUE TO WORK)	NON- EXCEPTED EMPLOYEES (SUBJECT TO FURLOUGH)	
Veterans Health Administration (VHA)	323,621	318,999	3,542 	 1,080 	
Veterans Benefits Administration (VBA)	22,111	135 	 14,152 	 7,824 	
National Cemetery Administration (NCA)	1,880	0   	 775 	 1,105 	
Office of Information & Technology (OI&T)	7,874	 372 	 4,001 	 3,501 	
Board of Veterans Appeals (BVA)	678	 0   	 1 	 677 	
Human Resources & Administration (HRA)	810	 555 	 5 	 250	
Office of Acquisitions, Logistics, & Construction (OALC)	1,436	 1,179 	 7 	 250 	
General Counsel (OGC)	711	 143 	 33 	 535	
Office of Management (OM)	834	 602 	 9 	 223 	
Office of Public and Inter- Governmental Affairs (OPIA)	77	 0   	 1 	 76 	
Office of Congressional and Legislative Affairs (OCLA)	41	 0   	 1 	 40 	
Office of the Inspector General (OIG)	690	 31 	 172 	 487 	
Office of Operations, Security, and Preparedness (OSP)	197	 84 	 19 	 94 	
Office of Policy and Planning (OPP)	117	 0   	 1 	 116 	
Office of the Secretary	68	 0   	5 	 63 	
Office of Employment Discrimination Complaint Adjudication	24	 24 	 0   	0   	
Office of Small and Disadvantaged Business Utilization	41	 41 	 0   	 0   	
Total Department	361,210	 322,165	 22,724	16,321	

*In the event of a prolonged shutdown, VA would need to begin furloughing Excepted employees in VBA and OI&T, and the agency’s Contingency Plan would be updated.
** All data is as of 09-28-2015.  

3

Appendix B.  Effect of Lapse of Funding on VA Activities
** All data is as of 09-28-2015.  
Veterans Health Administration

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	
Veterans Health Administration (VHA)
•	Medical services
•	Medical support and compliance
•	Medical facilities
•	Medical and prosthetic research	•	Total:
323,621
•	Fully Funded:
318,999
•	Excepted:
3,543
•	Non-Excepted:
1,080
•	Other support organizations required: OI&T, OGC, OALC	318,999		Advance Appropriation	Medical services,
Medical support and compliance, Medical facilities	
0	
			3,542	2-year Appropriation Prior Year Balance	Medical and prosthetic research	
1,080*

*These employees will work until prior year funding runs out	
VHA North Chicago, Captain James A. Lovell Federal Health Care Center (Lovell FHCC)*
•	Medical services
•	Medical support and compliance
•	Medical facilities	•	Total:
2,176
•	Excepted:
2,176
•	Non-Excepted: 0
•	Other support organizations required: OI&T, OGC, OALC	           2176		Advance Appropriation Transfer Authority (section 223 of the Consolidated and further Continuing Appropriations Act, 2015 (Public Law 113-235))	Provision of health care services to eligible VA and DoD beneficiaries at this jointly funded and staffed facility at North Chicago, IL	

VA Unit	
Total
# of Employees	# of Exempt
(Fully Funded; will continue work)	# of Excepted Employees (other legal basis; will continue to work)	
Legal Basis for Decision	
Functions to be Performed	
# of Non-Excepted Employees 
(subject to furlough)	
Veterans Benefits Administration

Administer the following benefit programs:

Compensation,
Pension,
Education,
Vocational Rehabilitation & Employment,
Loan Guaranty,
Insurance
	Total:  22,111

(Carryover funding supports all 22,111 for one day)

Effective 
Oct 2, 2015:

Funded:
135
Excepted:
14,152
Non-Excepted:
7,824

Effective 
Oct 16, 2015:

Funded:
31
Excepted:
14,152
Non-Excepted:
7,928

	104 Insurance (thru 10/15/15)
31 Insurance
(indefinitely)		Funded through Trust Fund Reimbursement	Administer the Insurance Program
	0	
			98 Insurance	Necessary Implication – Funding available in the Insurance Trust Fund 	Administer the Insurance Program

	60 	
			780 Loan Guaranty 	Authorized by Law, Necessary Implication, Protection of Property – Guaranteed loan financing account funded through Veterans’ fees; Federal Credit Reform Act, 2 U.S.C. § 661c, authorizes new guarantees; Property interests in portfolio loans, owned real estate, existing loan guaranties	Guarantee new home loans and administer the Loan Guaranty Program 
	0	
			12,533
Compensation. Pension, Education, Vocational  Rehabilitation, Mgt/Support Services 	Necessary Implication – Funding available in mandatory appropriations

	Ongoing processing and payment of compensation, pension, education, and vocational rehabilitation benefits

	7,107	
			665 National Call Centers

	Protection of Property and Rights	Staff compensation and pension National Call Centers to protect dates of claim 		
		
	11 Finance Center	Necessary Implication – Funding available in mandatory appropriations 	Process benefit payments 	57	
			65 VBA Headquarters	Necessary Implication – Funding available in mandatory appropriations

Protection of Property and Rights	Support to RO claims processing

Orderly shutdown activities, communications, triage requests, oversee excepted employees, recall employees, etc.	600	

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	
NCA	1,880	0	775	Protection of life and property; for processing applications for headstones and markers, funding provided by VBA compensation and pension	•	Burials (664 excepted)
•	Process Applications for headstone and markers (33 excepted)
•	First Notice of Death (10 excepted)
•	Oversight and Administration (39 excepted)	1,105	

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	
The Office of Information and Technology (OIT) has lines of business that include: quality, performance and oversight; information security; architecture strategy and design; product development; service delivery and engineering; and IT resource management.	7,874 (Includes franchise fund of 585 and Reimbursable of 35)		4,373	Necessary Implication	Direct and Indirect Support to Administrations and Staff Offices as needed to maintain their excepted functions; Network Maintenance and Protection; Information Security; Data Center Operations; and Enterprise Infrastructure Operations	3,501	
		357		Franchise Fund	Direct and Indirect Support to Administrations and Staff Offices as needed to maintain their excepted functions; Network Maintenance and Protection; Information Security; Data Center Operations; and Enterprise Infrastructure Operations	251	
		15		Reimbursable	Direct and Indirect Support to Administrations and Staff Offices as needed to maintain their excepted functions; Network Maintenance and Protection; Information Security; Data Center Operations; and Enterprise Infrastructure Operations	20	

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	
Review benefit claims determinations made by local VA offices and issue decisions on appeals	678	0	1	Protection of Life and Property	
Orderly operations during ongoing shutdown	677
(all employees will remain at work until FY2015 carryover funds are expended; which is approximately 5 workdays.  BVA would then move to furlough status)	

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	
Office of Human Resources and Administration (HRA)
•	Administration
•	Corporate Senior Executive Mgmt
•	Diversity & Inclusion
•	Human Resources Management
•	Labor-Mgmt Relations
•	Resolution Management	810	555		Reimbursable (VHA)	Reimbursable funding (VHA). Will provide VHA-related Human Capital Investment Plan support	250	
			4	Necessary Implication	2 to provide support for VHA-related disciplinary action review boards
2 persons to maintain building operations for the entire VACO campus		

1	

PA; exceeds maximum GS salary cap			

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	
Office of Acquisition, Logistics, and Construction (OALC)

Includes: Office of Acquisition and Logistics (502), the Office of Acquisition Operations (378), and the Office of Construction and Facilities Management (394)	1,436				Major construction and facilities management support functions will be suspended, specifically:
Land actions; Development of design standards, criteria, and guides; Technical architectural and engineering (A/E) consulting support; Technical real property/architectural and engineering design support; Cost estimating and A/E selection	250	
		888		Positions funded by Revolving Supply Fund	Acquisition operations, policy and logistics		
		
35		Reimbursed from VHA Advance Appropriation	Oversee lease build-out activities		
		
130		
5-year Appropriations	Oversee major construction project execution at job sites		
			
7	Functions that support activities funded by appropriations that do not expire	Contracting officers and program managers who support VA’s major construction and lease projects		

VA Unit	
Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	
Legal Basis for Decision or Full Funding Source	
Functions to be Performed	
# of Non-Excepted Employees (subject to furlough)	
Office of General Counsel (OGC) - OGC provides legal advice and services to the SECVA and all organizational components of the Department	711	14	0	Reimbursed through the Credit Reform (Loan Guaranty) revolving fund	Legal advice for funded programs (i.e. the Department’s Loan Guaranty program)		
		49	0	Reimbursed through the Medical Support & Compliance advance appropriation	Legal support for the Department’s medical collections program		
		58	0	Reimbursed through the Supply Fund revolving fund	Legal support for the Department’s procurement program		
		22	0	Reimbursed primarily from VHA	Investigatory activity in support of VA accountability		
			15*	* If the US Court of Appeals for Veterans Claims (CAVC) remains open, but does not grant continuances, the employees would be excepted in order to protect VA property interests in those cases.	Representation of the Secretary for appeals filed with CAVC		
			31	Protection of life and property (to support VHA, VBA, and other funded programs);	Legal advice for funded programs and support to courts; Supervisors to oversee work of excepted employees, triage requests for the protection of life and property (e.g. guardianship requests, end-of-life decisions, etc.) and to decide whether other employees must be recalled		
						535	

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	
Office of Management (OM)
•	Budget
•	Financial Management
•	Asset Enterprise Management
•	Business Oversight
•	Performance Management
•	Enterprise Risk Management
•	Energy & Greening	•	Total:
834
• 24/7: 0
•	Funded:
602
•	Excepted: 9
•	Non- Excepted: 223
^
Note: Time & Attendance (T&A) included for OM staff
^Non-excepted employees also include 10 in Performance Management and 6 in Enterprise Risk Management. All employees will remain at work until FY2015 funds are expended; then OM would move to furlough status.	0	3	Necessary Implication	Budget Execution/Controls	21	
		0	2	Necessary implication	Management Office- Financial Management/Internal Control	8	
		400 (575 authorized)	0	Revolving Fund	Financial Services (Austin)	0	
		177 (229 authorized)	17	Revolving Fund	Debt Management Center (Minneapolis)	0	
		0	3	Necessary Implication	Payroll, Travel card administration	70	
		8

17	1

0	Advanced Appropriation (VHA)/Safety and Property
Revolving Fund -7/Advanced Appropriation (VHA)-10	Asset Enterprise Management

Business Oversight	42

66	

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	
Office of Public & Intergovernmental Affairs (OPIA)
•	Public Affairs
•	Digital Communications
•	Field Operations
•	Media Relations
•	Intergovernmental Affairs
•	International Affairs
•	Tribal Relations
•	Outreach
•	Sports Programs	77	0	1	PA Protection of Life and Property	Communicate with Veterans regarding availability and location of continued VA services	76	

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	

Office of Congressional and Legislative Affairs:
-	Congressional Relations
-	Communications with Congress
-	Veterans Legislation

-	Constituent Casework
-	GAO	

41	

0	

1	

PA/PAS	Confidential policy support to senior VA leadership. Very limited communications with Congress.	

40	

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	
Office of the Inspector General (OIG)
•	Investigations
•	Audits
•	Healthcare Inspections
•	Management & Administration	690	0	1	PAS	Oversight of excepted employees		
		31	0	Continuing Funding from Supply Fund	Supply Fund Audits		
		0	148	Protection of Life and Property - Law Enforcement	Support ongoing criminal cases, investigations, and prosecutions		
		0	12	Necessary implication	Support essential functions of excepted staff		
						487	

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	
Office of Operations, Security, and Preparedness (OSP)
•	Office of Security and Law Enforcement
•	Office of Emergency Management
•	Office of Personnel Security and Identity Management
•	Office of Resource
Management	197	84	19	Protection of life, property and national security interests	Maintain the Integrated Operations Center and provide Executive Protection

Maintain the Integrated Operations Center

Maintain alternate facilities for continuity of operations
Maintain National Security Communications	94	

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	
Office of Policy and Planning
•	Strategic Planning
•	Policy Analysis and Development
•	VA Governance
•	Data and Statistical Analysis
•	Predictive Modeling
•	Data Governance
•	VA/DoD Collaboration
•	Interagency Integration and Collaboration
•	Multi-year Programming
•	Program Analysis and Evaluation
•	Program Management and Oversight of Major Initiatives.	117	0	1	PA/PAS	Orderly operations during ongoing shutdown	116	

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	
The Office of the Secretary (OSVA) provides day-to- day operations support for SECVA, as well as executive-level support and guidance to the entire
Administration	68	0	5	Protection of Life and Property:  PA	Department oversight of critical VA operations (SECVA/COSVA); Senior advisors/staff to SECVA/COSVA; Executive support; Strategic communication	63	

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	
The Office of the Secretary (OSVA) provides day-to- day operations support for SECVA, as well as executive-level support and guidance to the entire
Administration	24	24	0	Reimbursable fund (VHA)	Existing duties (Office of Employment Discrimination Complaint Adjudication)	0	

VA Unit	

Total # of Employees	# of Fully Funded (not subject to lapse; will continue to work)	# of Excepted Employees (legal basis; will continue to work)	

Legal Basis for Decision or Full Funding Source	

Functions to be Performed	

# of Non-Excepted Employees (subject to furlough)	
The Office of the Secretary (OSVA) provides day-to- day operations support for SECVA, as well as executive-level support and guidance to the entire
Administration	41	41	0	Reimbursable fund (Supply Fund)	Existing duties (Office of Small and Disadvantaged Business Utilization)	0	

Organization	Functions to be Suspended	
VHA	None	
VBA	Overseas Military Coordinator; All Outreach; Education Call Center; All Public Contact Activities; Appeals Teams; Transition Assistance/Predischarge Activities; Chapter 36 Counseling; Vet Success on Campus; Education Compliance; Quality Review/Assurance Programs	
NCA	Processing applications for Presidential Memorial Certificates; Activities at NCA Training Center; NCA will bring in contractors to accomplish interments at those national cemeteries already under contract. NCA will also restrict the number of interments at mid- range cemeteries to 8 per day.	
OSVA	Special program activities; Executive correspondence and communication; Strategic planning  and communications; protocol	
OALC	Development of design standards, criteria, and guides; Technical architectural and engineering (A/E) consulting support; Technical real property/architectural and engineering design support; Cost estimating and A/E Selection; Administrative support functions for IT, space, human resources and financial administration	
BVA	Claims appeals will be discontinued.	
OCLA	All functions including: Congressional relations; Responding to congressional requests for information; Processing testimony and questions for the record; Congressional correspondence; Constituent casework; Advisory Committee Management; GAO coordination; Office administrative functions	
OGC	Represent the Secretary before courts, including the US Court of Appeals for Veterans Claims, and other tribunals; Routine legal services for VHA, VBA, NCA and Staff Offices regarding personnel law, ethics, torts, and other legal matters	
HR&A	HR Policy; Recruiting; Hiring; Staffing; Training; Labor-Management Relations; ADR; Diversity; Classification; VACO building maintenance support; Veteran Employment Outreach	
OI&T	Oversight and compliance; Policy functions; Planning functions; Correspondence management; Congressional, GAO, IG, OMB inquires about VA Directives, FOIA, Records Mgmt., and System of Records Management	
IG	Audits and Evaluations; Administrative Investigations; OIG Hotline; Healthcare Inspections; OIG Legal and Release of Information	
OM	Performance Management; Asset Enterprise Management; Green/Energy programs ; Financial policy; Budget Formulation and analysis	
OPIA	All functions including: National programs and special events; Tribal Government Relations; National Veterans Awareness Campaign; Interaction with state and local government and international visitors	
OSP	National Security Planning and Operations; Policy Program Inspections; HSPD-12; Personnel Security and Suitability; Resource Management	
OPP	All functions including: Strategic Planning; Policy Analysis and Development; VA Governance; Data and Statistical Analysis; Predictive Modeling; Data Governance; VA/DoD Collaboration; Interagency Integration and Collaboration; Multi-year Programming; Program Analysis and Evaluation; and Program Management and Oversight of Major Initiatives