To direct the Secretary of Veterans Affairs to carry out a grant program and pilot program designed to improve the delivery of health care to veterans residing in rural areas, and for other purposes.

SECTION 1. FINDINGS.

    Congress makes the following findings:
            (1) The estimated veteran population of the Nation is 
        22,328,000.
            (2) Nearly 30 percent of veterans live in rural areas, with 
        younger veterans who served in support of Operation Iraqi 
        Freedom and Operation Enduring Freedom more likely than other 
        veterans to live in rural areas.
            (3) Veterans living in rural areas are reported to be in 
        poorer health than veterans living in urban areas.
            (4) Veterans living in rural areas often need to travel 
        extremely long distances to receive medical care and the other 
        services to which they are entitled.
            (5) The medical facilities of the Department of Veterans 
        Affairs include 821 community-based outpatient clinics, 300 
        veterans centers, and 152 hospitals.
            (6) Rural veterans represent 41 percent of the total number 
        of veterans enrolled in the Department of Veterans Affairs 
        patient enrollment system under section 1705 of title 38, 
        United States Code.
            (7) A higher percentage of veterans residing in rural areas 
        reported having at least one disability compared with veterans 
        residing in urban areas.
            (8) Each year more than 150,000 members of the Armed Forces 
        are discharged or separated from service in the Armed Forces 
        and transition to veteran status.
            (9) Navigating the transition from the health care system 
        of Department of Defense to the health care system of the 
        Department of Veterans Affairs involves the coordination of 
        data and information between Department of Defense and the 
        Department of Veterans Affairs.
            (10) It is important to develop electronic health records 
        that can be accessed by both the Department of Defense and the 
        Department of Veterans Affairs whether a patient is a member of 
        the Armed Forces or a veteran to ensure the greater 
        availability of health care information for members of the 
        Armed Forces and veterans.

SEC. 2. TRANSPORTATION GRANTS FOR RURAL VETERANS SERVICE ORGANIZATIONS.

    (a) Grants Authorized.--
            (1) In general.--The Secretary of Veterans Affairs shall 
        establish a grant program to provide innovative transportation 
        options to veterans in highly rural areas.
            (2) Use of funds.--Grants awarded under this section may be 
        used by State veterans service agencies and veterans service 
        organizations to--
                    (A) assist veterans in highly rural areas to travel 
                to Department of Veterans Affairs medical centers; and
                    (B) otherwise assist in providing medical care to 
                veterans in highly rural areas.
            (3) Maximum amount.--The amount of a grant under this 
        section may not exceed $50,000.
            (4) No matching requirement.--The recipient of a grant 
        under this section may not be required to provide matching 
        funds as a condition for receiving such grant.
            (5) Recovery of unused grant funds.--If a recipient of a 
        grant does not use the full amount of funds received under this 
        section by not later than September 30 of the fiscal year in 
        which such grant was awarded, the United States shall be 
        entitled to recover from such recipient the total of all unused 
        grant amounts made under this section to such recipient.
    (b) Regulations.--The Secretary shall prescribe regulations for--
            (1) evaluating grant applications under this section; and
            (2) otherwise administering the program established by this 
        section.
    (c) Reports.--Not later than February 1 of each year, the Secretary 
shall submit to Congress a report containing information related to 
each grant awarded under this section during the preceding year, 
including--
            (1) the name of the grant recipient; and
            (2) the amount of the grant.
    (d) Veterans Service Organization Definition.--In this section, the 
term ``veterans service organization'' means any organization 
recognized by the Secretary of Veterans Affairs for the representation 
of veterans under section 5902 of title 38, United States Code.

SEC. 3. OUTREACH REQUIREMENT.

    (a) Outreach Required.--The Secretary of Veterans Affairs shall 
conduct outreach, including under chapter 63 of title 38, United States 
Code, to educate veterans and their family members about the 
availability of transportation to assist veterans living in rural areas 
in traveling to Department of Veterans Affairs medical facilities, 
including transportation available pursuant to a grant made under 
section 2.
    (b) Outreach Defined.--In this section, the term ``outreach'' shall 
have the meaning given such term in section 6301(b)(1) of title 38, 
United States Code.

SEC. 4. PILOT PROGRAM FOR THE IMPLEMENTATION OF ELECTRONIC HEALTH 
              RECORD SYSTEMS OR CAPABILITIES AT DEPARTMENT OF VETERANS 
              AFFAIRS MEDICAL FACILITIES LOCATED IN RURAL AREAS.

    (a) Pilot Program.--The Secretary of Veterans Affairs, in 
cooperation with the Secretary of Defense, shall carry out a pilot 
program under section 1635(f) of the National Defense Authorization Act 
of Fiscal Year 2008 (Public Law 110-181; 122 Stat. 462; 10 U.S.C. 1071 
note) at Department of Veterans Affairs medical facilities located in 
rural areas and selected by the Secretary. Such pilot program shall be 
designed to--
            (1) implement at such medical facilities electronic health 
        record systems or capabilities that allow for full 
        interoperability of personal health care information between 
        the Department of Defense and the Department of Veterans 
        Affairs;
            (2) ensure that veterans served by such medical facilities 
        are afforded the technological advances to improve the quality 
        of health care they receive;
            (3) provide physicians and other personnel at such medical 
        facilities with access to the complete personal health care 
        information of members of the Armed Forces who are discharged 
        or released from service in the Armed Forces; and
            (4) increase the accessibility, efficiency, and use of 
        electronic health records at such facilities to meet improved 
        health care needs.
    (b) Selection of Medical Facilities.--The Secretary of Veterans 
Affairs, in cooperation with the Secretary of Defense, shall select 
Department of Veterans Affairs medical facilities at which to carry out 
the pilot program under this section. Such facilities shall be located 
in rural areas where the population rate of veterans exceeds six 
percent.
    (c) Reports.--Not later than April 1 of each year, the Secretary of 
Veterans Affairs shall submit to Congress a report on the pilot program 
under this section. Each such report shall include--
            (1) an evaluation of best practices relating to furnishing 
        health care to veterans residing in rural areas;
            (2) an evaluation of the education and training provided to 
        physicians and other personnel at medical facilities 
        participating in the pilot program; and
            (3) an evaluation of the health care provided to veterans 
        residing in rural areas.

Summary: Directs the Secretary of Veterans Affairs (VA) to establish a grant program to provide innovative transportation options to veterans in highly rural areas in order to assist such veterans in traveling to VA medical centers for medical care. Requires the Secretary to conduct outreach to educate veterans and their family members about the availability of such transportation. Directs the Secretary to carry out a pilot program, at rural VA medical centers, for the implementation of electronic health record systems that allow for full interoperability of personal health care information between the Department of Defense (DOD) and the VA.