Department leaders had warned of funding gaps of up to $18 billion but now believe those estimates were too high.
Republicans follow different philosophies when it comes to government spending, including on the military.
Monday's announcement comes after the Navy announced plans to extend the service lives of 12 destroyers as well.
Congress approved $3 billion in emergency VA funding in September, but officials now say they did not need the money to cover immediate bills.
More than $670 million set aside for new VA outpatient clinics in 12 states is still waiting for final plans from the White House and Congress.
Funding for most federal programs had been scheduled to expire after Sept. 30.
Defense and veterans hearings on Capitol Hill for the week of Sept. 23, 2024.
VA officials had warned that without the money, some disability benefits payouts could have been disrupted in the next few weeks.
Insurance subvention is complicated, but it could help alleviate the VA's massive budget deficit, former VA Secretary David Shulkin argues.
By David Shulkin
Defense and veterans hearings on Capitol Hill for the week of Sept. 16, 2024.
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