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Better Controls Needed to Accurately Determine Decisions for Veterans’ Nonpresumptive Conditions Involving Toxic Exposure Under the PACT Act

Report Information

Issue Date
Report Number
23-03357-156
VA Office
Veterans Benefits Administration (VBA)
Report Author
Office of Audits and Evaluations
Report Type
Review
Report Topic
PACT Act
Major Management Challenges
Benefits for Veterans
Recommendations
3
Questioned Costs
$0
Better Use of Funds
$0
Congressionally Mandated
No

Summary

Summary

In August 2022, the PACT Act significantly expanded veterans’ eligibility for benefits and services for conditions related to toxic exposure. The expansion added further complexity to VBA’s claims determination process, particularly given the voluminous guidance issued for nonpresumptive conditions—those conditions for which service connection cannot be granted on a presumptive basis. Notably, the law opened a new path for service connection for veterans with nonpresumptive conditions related to toxic exposure risk activity (TERA). The VA OIG conducted this review from October 2023 through May 2025 to determine whether VBA staff processed decisions in compliance with TERA procedures under the PACT Act that denied nonpresumptive conditions. The OIG focused on denials because of the potential impact of incorrect decisions on benefits received by veterans.

The review found VBA’s oversight lagged in ensuring accurate processing of nonpresumptive conditions under the PACT Act. While VBA took steps to improve PACT Act claims processing, these efforts have not remedied the problem of various inaccuracies related to nonpresumptive conditions. An OIG statistical analysis estimated 61 percent of all nonpresumptive, TERA-related decisions under the PACT Act that VBA denied from May 1 through August 31, 2023, had processing errors—some of which could have affected veterans’ benefits. For example, some errors showed that claims processors did not accurately identify toxic exposure claims, research and verify veterans’ participation in a TERA, request a medical exam and opinion regarding toxic exposure, or appropriately include key information in decisions for nonpresumptive conditions. Furthermore, PACT Act guidance is difficult for staff to navigate because it is frequently updated and spread among several different sources. VBA needs to improve its oversight to mitigate and prevent inconsistencies and errors. VBA concurred with the OIG’s three recommendations to correct processing errors, consolidate guidance, and evaluate controls.

Open Recommendation Image, SquareOpenClosed and Implemented Recommendation Image, CheckmarkClosed-ImplementedNot Implemented Recommendation Image, X character'Closed-Not Implemented
No. 1
Open Recommendation Image, Square
to Veterans Benefits Administration (VBA)

Review all processing errors on cases the Office of Inspector General team identified, correct those errors, and report back on the results of those actions.

No. 2
Open Recommendation Image, Square
to Veterans Benefits Administration (VBA)

Collaborate with key stakeholders—such as the VA Secretary and representatives from the Office of Field Operations, the Office of General Counsel, and as needed the Board of Veterans’ Appeals—to prioritize consolidating the guidance for PACT Act claims processing into the Adjudication Procedures Manual.

No. 3
Open Recommendation Image, Square
to Veterans Benefits Administration (VBA)

Evaluate the effectiveness of control activities specifically for denials of nonpresumptive conditions under toxic exposure risk activity procedures and determine where new or stronger controls are needed.