PolicyBrief
H.R. 9406
119th CongressJun 23rd 2026
To amend title 38, United States Code, to eliminate the cap on the number of waivers to certain pay limitations that the Secretary of Veterans Affairs may issue for critical health care personnel of the Department of Veterans Affairs.
IN COMMITTEE

This bill removes the cap on the number of pay limitation waivers the Secretary of Veterans Affairs can issue for critical healthcare personnel.

Josh Harder
D

Josh Harder

Representative

CA-9

LEGISLATION

VA Pay Cap Removal: New Flexibility to Hire and Keep Top Doctors for Veterans

This bill makes a surgical strike on federal bureaucracy by removing the numerical limit on pay waivers for critical healthcare staff at the Department of Veterans Affairs. Currently, section 7431(e)(6) of title 38 acts as a bottleneck, capping how many times the Secretary of Veterans Affairs can bypass standard pay limits to hire specialists. By striking subparagraph (D), the bill gives the VA the green light to offer competitive salaries to as many high-level physicians and health professionals as they need, without hitting an arbitrary ceiling.

Clearing the Recruitment Logjam

Think of this like a tech company trying to hire software engineers in a booming market but being told they can only offer market-rate salaries to five people a year. If you’re a veteran waiting months for a specialized surgery or a mental health appointment, the issue often boils down to the fact that the VA can’t compete with private hospital salaries. Under this change, if a VA hospital in a high-cost area like San Francisco or New York needs to hire ten specialized surgeons to clear a backlog, the Secretary can now waive pay limits for all ten of them rather than picking and choosing who gets a competitive offer based on a quota.

The Cost of Care vs. The Cost of Talent

While the bill is brief, its real-world impact centers on the 'retention' side of the equation. It isn't just about new hires; it’s about keeping the veteran doctor who has been at the clinic for a decade but is being recruited by a private practice for double the pay. By renumbering the existing law to remove the cap, the VA gains a permanent tool to stabilize its workforce. The challenge, of course, will be the budget—removing a cap on waivers doesn’t automatically create the money to pay these higher salaries, so the department will still have to balance its books while trying to ensure that a veteran’s access to a doctor isn't determined by a federal pay scale designed for office workers rather than neurosurgeons.