it's waifl and would be really hard -- waysful and would be really hard to the pentagon. we could do tradeoffs to get efficiency. >> i don't think sequestration is going to happen. i may be an outlier in this group by saying that. i think it's unlikely. what is likely is that moving this agenda to the right each year on defense is that defense will go down significantly more than the $500 billion secretary panetta thinks he's put out over 10 years. that's the bottom line. whether it's fast or slow, it's going down. >> primarily military leaders will tell you that their expectation is that there's several hundred potentially significant reductions, you know, $300, some suggest, more to come, it's just that they want to do it on their terms and not have it shoved down their throat. >> i think that's what will happen, but it'll only happen in the context of a bigger agreement. >> i want to give todd an opportunity here. >> the other thing too is even if sequestration does happen, it can be reversed by congress >> so it's not an all-or- nothing game here. it could be a tempor

i understand that about 50 entities will be considered for heightened regulations, waysed on their size and scope of their financial activities. these companies will be subject to stricter standards under the rules that the fed is developing and it has asked for detailed input. i look forward to hearing from the panels and i also look forward to hearing from the firms. i welcome our panelists today. and yield back and i also would like to ask, unanimous consent for mr. green to have privileges as subcommittee member today so he may question also. >> without question. it is so ordered. i would like to recognize the chairman of the full committee, mr. baucus, for three minutes for an opening statement. >> thank you, ms. chairman. today's hearing we'll have an opportunity to examine one of dodd-frank's most vague and potentially problematic mandates, we're here to better understand what it means to be systemically important, a euphemism for too big to fail. what are the advantages of, and what are the disadvantages? how will these institutions be regulated? and how will counterparties and

you tested 80% to 90% of veterans or thod tick care is provided by community-waysed providers. i'm sure this is an unwielding system of contracts. what in your vuch is the advantage of sustaining this contract-based system? >> it's simply that access to their individual provider. and the reality of the va's network. you're right it is unwieldy, but the fact of the matter is, it's that our injured veterans might not be karat -- they want to go back to their own community and live their own lives. to have to go a va hospital that is more than two hours away is more than an inconvenience. >> maybe you've already answered this ghe some of your comments, but if you were going to design a system, mr. orace for the va to valuate the quality of care what provisions would be nut to improve the quality of care for veterans receive? >> i would start to look at implementation of functional outcome measurement. at the time of the original prescripti prescription, then follow it throughout that veteran's care so that you see there has been restoration of function. that can be done with valid