This bill aims to restrict the provision of critical skill incentives to certain senior employees within the Department of Veterans Affairs. It specifically prohibits these incentives for Senior Executive Service (SES) employees whose positions are located at the VA's Central Office, encompassing administrations like the Veterans Health Administration, regardless of where the employee physically performs their duties. For SES employees whose positions are not based at the Central Office, critical skill incentives may still be provided, but only on an individual basis and not to groups of employees. Such incentives require explicit approval from a list of high-ranking officials, including various Under Secretaries and Assistant Secretaries. The legislation also includes a provision for SES employees who primarily work at the Central Office but perform some duties at other VA facilities, allowing proportionate incentives for the non-Central Office portion of their work. Furthermore, the bill mandates that the Secretary of Veterans Affairs submit an annual report to the Committees on Veterans' Affairs in both the Senate and House of Representatives. This report must detail all Senior Executive Service employees who received critical skill incentives, ensuring transparency and oversight of these payments.