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WASHINGTON, March 11, 2009 - President Barack Obama's fiscal 2010 budget proposal is necessary to transform the Department of Veterans Affairs into the 21st century organization he envisions, VA's top official said here yesterday. VA Secretary Eric K. Shinseki told the House Armed Services Committee's subcommittee on veterans affairs that the proposed budget is "critical to realizing the president's mission" for future veteran care.

For the first time in years, Congress and the Defense Department may be ready to reach a compromise on how to overhaul the military health care system, the fastest-growing portion of the defense budget.

Defense Secretary Robert Gates Tuesday appealed to lawmakers to set aside parochial interests and act in what he believes is in the best interest of the country when considering the Defense Department's fiscal 2010 budget request.

The Obama administration's first defense budget will not seek an increase in Tricare fees, according to a White House statement and a representative of a major military organization.