Audit the Pentagon Act of 2026
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Progress
Where this bill stands in the legislative process.
- Introduced
- Passed House
- Passed Senate
- To President
- Became Law
Overview
This bill, the Audit the Pentagon Act of 2026, aims to force the Department of Defense to achieve a clean audit opinion on its financial statements. It establishes a system of reductions in funding for the Department if it fails to obtain such an opinion, starting with a 0.5% reduction in fiscal year 2025 and increasing to 1.0% in subsequent years. Certain accounts, like military personnel and the Defense Health Program, are excluded from these reductions, and the President can waive the reductions under specific circumstances. The bill also requires the Office of Management and Budget to report on the reductions implemented.
Key provisions
- Reductions in Department of Defense funding will occur if an unqualified audit opinion is not achieved.
- Reductions will start at 0.5% in fiscal year 2025 and increase to 1.0% annually.
- Military personnel and the Defense Health Program are excluded from funding reductions.
- The President can waive reductions if they would negatively impact national security or the Defense Health Program.
- A report detailing the reductions will be submitted to Congress by the Office of Management and Budget.
- The bill defines ‘unqualified’ as equivalent to ‘clean’ or ‘unmodified’ for audit purposes.
- Legacy asset valuation simplification is encouraged without compromising auditing standards.
- Auditors for classified defense programs must have security clearances.
Who is affected
- Department of Defense
Bill text
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Sponsors
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24 on record
Primary sponsor
Cosponsors
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