The Department of Veterans Affairs (VA) State Cemetery Grants Program was established in 1978 to complement VA’s National Cemetery Administration.

The program assists states in providing gravesites for veterans in those areas where VA’s national cemeteries cannot fully satisfy their burial needs.

Grants may be used only for the purpose of establishing, expanding or improving veterans cemeteries that are owned and operated by a state or U.S. territory. Aid can be granted only to states or U.S. territories. VA cannot provide grants to private organizations, counties, cities or other government agencies.

VA can now provide up to 100 percent of the development cost for an approved project. For establishment of new cemeteries, VA can provide for operating equipment. VA does not provide for acquisition of land. The value of the land cannot be considered as an "allowable cost" under the grant. States are solely responsible for acquisition of the necessary land. Any state ceasing to own or operate a cemetery established, expanded or improved through the use of grant funds, or using the funds for any other purpose than for which the grant was made will be liable for the total refund of all grants made for that cemetery. Federal funds can also be suspended or withdrawn for noncompliance with the terms and conditions of the grant.

Cemeteries established under the grant program must conform to the standards and guidelines pertaining to site selection, planning and construction prescribed by VA. Cemeteries must be operated solely for the burial of service members who die on active duty, veterans, and their eligible spouses and dependent children. Any cemetery assisted by a VA grant must be maintained and operated according to the operational standards and measures of the National Cemetery Administration.

The administration, operation and maintenance of a VA-supported state cemetery is solely the responsibility of the state. The Secretary of Veterans Affairs is authorized to pay a plot or interment allowance (not to exceed $300) to a state for expenses incurred by the state in the burial of eligible veterans in a cemetery owned and operated by the state if the burial is performed at no cost to the veteran's next-of-kin. This benefit is administered by the Veterans Benefits Administration (VBA) and the state must apply to VBA to receive it.

VA's State Cemetery Grant Program is designed to complement VA's 125 national cemeteries across the country. This state cemetery grant program helps states establish new state veterans cemeteries, and expand or improve existing state cemeteries. To date, the VA program has helped establish, expand, or improve 69 state veterans cemeteries in 35 states, Northern Mariana Islands and Guam, which provided more than 23,000 burials in fiscal year 2007. Since the program began in 1980, VA has awarded 163 grants totaling more than $315 million.

A list of state veterans cemeteries is available.