PolicyBrief
H.R. 2640
119th CongressApr 3rd 2025
Brian Tally VA Employment Transparency Act of 2025
IN COMMITTEE

This Act establishes new accountability measures for both VA and non-VA healthcare providers at VA facilities regarding malpractice claims, including direct lawsuits against outside providers and mandatory reporting for repeat offenders.

Morgan Luttrell
R

Morgan Luttrell

Representative

TX-8

LEGISLATION

VA Accountability Bill Mandates Removal of Contractors with Five Malpractice Cases in Five Years

The Brian Tally VA Employment Transparency Act of 2025 is a direct response to concerns about accountability when veterans receive care from non-federal doctors and nurses working under contract at VA facilities. Essentially, this bill tightens the screws on outside providers and clarifies the legal path for veterans harmed by negligence. It’s all about making sure the people providing care are held to a higher standard and that patients know their rights when things go wrong.

The New Rules for Outside Contractors

Right now, if you’re harmed by a doctor at a VA facility, whether they are a federal employee or a contractor, your legal recourse usually goes through the Federal Tort Claims Act (FTCA) against the U.S. government. This bill changes the game for non-Department providers (the contractors). If a patient is harmed by one of these contracted staff members, the bill allows the patient to potentially sue that provider directly in court—not just the government—provided the VA issues specific paperwork within 45 days of being notified of the claim. This is a big shift that moves accountability closer to the individual provider, but it also means the patient has to choose: sue the provider directly (often in state court) or stick with the standard federal claim process against the government. You can’t do both.

Kicking Out Repeat Offenders

Perhaps the most impactful provision is the automatic removal clause. If a non-Department provider is named in five or more separate malpractice cases within a five-year period that resulted in a judgment or settlement against the U.S. government, the VA must revoke that provider’s authorization to work at any VA facility. They can’t sign new contracts with them either. This is a clear, hard line designed to quickly filter out contractors who repeatedly demonstrate negligence. For veterans, this means the system has a built-in mechanism to remove demonstrably bad actors, which is a major win for patient safety. The bill does, however, allow the provider to appeal this decision.

Transparency and Accountability for All

The bill also forces the VA to be much more transparent about adverse events. If the U.S. loses a malpractice lawsuit due to the negligence of a contracted provider, the VA must notify the licensing board in every state where that provider is licensed, as well as the National Practitioner Data Bank (NPDB), within 30 days. This ensures that a provider with a history of negligence at the VA can’t simply move to a different hospital system without their record following them. Furthermore, the bill applies a similar accountability standard to actual VA physicians (federal employees): if a VA doctor is named in three or more settled or judged malpractice cases within five years, the Under Secretary must bring professional conduct charges against them.

What This Means for Patients and Providers

For a veteran, this bill clarifies your rights, requiring the VA to post clear information on its website detailing how to file a claim and what your legal options are. This transparency is crucial. For the contracted providers, the stakes are significantly higher. They face increased litigation risk and a clear, five-strike rule that can end their VA employment. The biggest potential snag for patients is the procedural complexity: if you are harmed, you must choose between pursuing the provider directly or pursuing the government. If the VA drags its feet on providing the required paperwork within the 45-day window, it could complicate a patient’s ability to file a timely lawsuit, especially if state statute of limitations deadlines are looming. Ultimately, this legislation aims to raise the bar for care quality and accountability within the VA system by putting clear, measurable consequences on the table.