The House Veterans’ Affairs Committee voted unanimously Wednesday to subpoena Oracle Corp. co-founder Larry Ellison and CEO Mike Sicilia over massive cost overruns and delays plaguing the Department of Veterans Affairs’ electronic health records overhaul.

The decision comes after Oracle officials pulled out of a scheduled oversight hearing, citing time constraints and structural disagreements over the panel setup. Lawmakers expressed frustration over the program’s soaring budget, which has escalated from an initial estimate of $10 billion to a projected total lifecycle cost of $48 billion.

The committee has not yet announced a formal date for Ellison and Sicilia to appear for their subpoenaed testimony.

A primary driver of the inquiry is a recent extension to Oracle’s contract that raises the spending ceiling by up to $16.9 billion through 2031. Rep. Maxine Dexter (D-Ore.), who introduced the subpoena motion, criticized the multibillion-dollar extension, highlighting that the contract was awarded without a competitive bidding process while raising concerns over taxpayer value and vendor performance.

Lawmakers from both parties pointed to past commitments made by Oracle executives. Ranking Member Rep. Mark Takano (D-Calif.) referenced June 2022 testimony in which Oracle leadership asserted the company was prepared to absorb any unexpected cost overruns. Takano questioned why the burden has instead fallen back on taxpayers, noting that the agency has deployed the new health records platform at fewer than 20 sites over eight years of development.

Members of the committee also contrasted the program’s growing price tag with Oracle’s recent corporate earnings report.

Rep. Morgan Luttrell (R-Texas) noted Oracle reported a net profit of $17 billion for fiscal year 2026, alongside record quarterly revenues driven by its cloud computing sector. Luttrell questioned why the federal government is incurring $17 billion in additional costs when the company’s executive leadership previously pledged to absorb overruns.

Appearing before the committee, VA Deputy Secretary Paul Lawrence defended the contract structure, explaining that the $17 billion increase represents a maximum ceiling for time-and-materials negotiations through 2031 rather than a guaranteed payout. Lawrence assured lawmakers he is confident the agency will not exceed the current budget parameters, emphasizing that recent deployment milestones have adhered to the agency’s revised schedule.

However, representatives from the Government Accountability Office (GAO) testified that the VA has yet to provide a complete, independent lifecycle cost estimate. GAO officials noted that a comprehensive review must account for historical expenditures, long-term operations, system sustainment, and future technical risks.

Dr. Neil Evans, program executive director for the VA’s Electronic Health Record Modernization Integrations Office, said the department expects to share a fully integrated master schedule and deployment dashboard with the GAO within the next two months.