Trump administration rescinds move that would gut veteran health care after outcry: report

President Donald Trump's administration rescinded a move that could have hobbled much of the current veteran health care system, following widespread backlash and outcry, The Washington Post reported Wednesday.

"Veterans Affairs was prepared to terminate 875 contracts as part of a government-wide effort to cut costs, led by billionaire Elon Musk’s U.S. DOGE Service," wrote Emily Davies and Hannah Natanson. "In announcing the moves, Secretary Douglas A. Collins on Tuesday cited as examples payments for professional services, such as executive support, coaching and training. But the contracts on the chopping block also helped cover medical services, fund cancer programs, recruit doctors and provide burial services to veterans, according to internal VA documents reported Tuesday by The Washington Post."

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Collins, immediately after the video announcement of the move, was reposted by Musk, who wrote, "More tax dollars saved!"

But after an outcry from some lawmakers, prominently Sen. Richard Blumenthal (D-CT), the VA emailed department staffers saying, “VA Leadership is reconsidering previous guidance,” and there would be a new, longer review to determine which contracts would be eliminated.

This is not the first time Trump, who has frequently come under fire for his perceived cavalier disrespect toward veterans and service members, was forced to reverse a policy at the VA, the public health care provider responsible for the care of millions of veterans around the country.

Last month, Trump instituted a hiring freeze on new VA personnel, despite the fact that the organization was already critically understaffed — then exempted the VA from the freeze following widespread coverage and criticism from veteran activists.

All of this is occurring against the backdrop that Project 2025, the Heritage Foundation's blueprint for a far-right overhaul of the federal government whose authors have considerable overlap with the Trump administration, has laid out a proposal to privatize the VA, shut down existing VA hospitals, significantly reduce or eliminate various retirement and disability benefits for veterans, and exclude certain groups of veterans from VA enrollment entirely.