Thursday, April 9, 2026

Nearly $2 billion included for new Indianapolis VA hospital in Trump’s 2027 budget proposal

INDIANAPOLIS — Nearly $2 billion in funding could be coming to Indianapolis for a new Veterans Affairs hospital under a new federal budget proposal.

President Donald Trump’s recent 2027 budget proposal includes $1.98 billion to replace the city’s Richard L. Roudebush Veterans Administration Medical Center. The proposal would create an 840,000 square-foot tower housing a veterans hospital.

The proposal, which calls the Indianapolis project the “VA’s top major construction priority,” must be passed by Sept. 30. Mark Turney, director of public affairs for the current VA center, said a new location has not yet been picked, according to the Indianapolis Business Journal.

longtime advocate for a new VA center for the Indianapolis area, U.S. Sen. Jim Banks praised the proposed budget.

“This is more great news for Hoosier veterans,” Banks said. “I’m proud to have led the fight for this project and funding for the Indianapolis VA medical center. I will continue working with President Trump and Secretary Collins to deliver results for veterans in Indiana.”

Originally constructed in 1932 with additions built throughout the last century, the Roudebush VA center on W. 10th Street has long been under scrutiny for upgrades. The 209-bed hospital provides services to around 70,000 veterans.

For a copy of the 2027 federal budget proposal, click here.

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