Defense Health Care: Actions Needed to Address Long-Standing Management Challenges with Medical Facilities

The Department of Defense’s Defense Health Agency (DHA) has restructured its management of military medical facilities, shifting from a market to a network model to improve coordination and efficiency. However, the GAO found that DHA has not fully assessed the resources or personnel required for the new structure and lacks a clear plan to consolidate core business functions like IT and quality management. Additionally, DHA has yet to demonstrate how its current network model complies with statutory requirements regarding regional organization. Without this clarity, Congress may be unable to ensure that DHA’s structure enhances joint medical operations and meets legislative intent.