VA Hospitals are like our public schools. It won't matter how much money you try to throw at the problem. The real problem is the government employees staffing the system, and the difficulty of firing the incompetent/corrupt ones.
Some have said that vets need VA hospitals for ailments that are much more common for vets (eg, PTSD, long-term effects of Agent Orange, tropical diseases), but for that I say that there is nothing stopping a private sector hospital system from creating a "veterans" department, and trying to attract vets to use them.