HR4016119th CongressWALLET

Department of Defense Appropriations Act, 2026

Sponsored By: Representative Calvert

Passed House

Summary

This Act sets the __FY2026 Department of Defense budget and policy framework__ for personnel, operations, procurement, and research. It funds pay and benefits, tightens domestic sourcing rules, and increases reprogramming and reporting controls.

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  • Funds active-duty pay and allowances across services, for example Army $52.5 billion and Air Force $38.1 billion. It also expands family supports including Fisher House transfers and broader assisted reproductive services policy for seriously ill or injured servicemembers.
  • Forces stronger domestic sourcing and procurement rules. It bans construction of U.S. naval vessels in foreign shipyards and restricts foreign-origin bearings, certain steel plate, and non-U.S. supercomputers without waivers.
  • Adds tighter fiscal controls and transparency with caps on reprogramming, cash-balance rules, and many 15/30/60/90-day notification and quarterly reporting requirements. It also authorizes security cooperation funds such as a Counter‑ISIS Train and Equip Fund of $357.5 million and $500 million for Israeli cooperative programs.

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Bill Overview

Analyzed Economic Effects

35 provisions identified: 22 benefits, 8 costs, 5 mixed.

More funding for overseas humanitarian aid

If enacted, $118.0 million would be provided for DoD overseas humanitarian, disaster, and civic aid. The money would be available through September 30, 2027.

More support for Guard and Reserve

If enacted, $800 million would buy helicopters, vehicles, weapons, and more for Guard and Reserve units through September 30, 2028. Chiefs must send modernization priority plans within 30 days, and funds could not buy manned fixed‑wing aircraft or missiles, munitions, or ammunition. Also, when Guard/Reserve members do covered intelligence support, their pay and allowances could be reimbursed from operation and maintenance funds instead of from Guard/Reserve appropriations.

Bigger DoD transfer flexibility

If enacted, DoD could transfer up to $6 billion among appropriations for unforeseen, higher‑priority military needs with OMB approval and prompt notice to Congress. Separately, $194.452598 million of Army operations and maintenance would stay available until spent and could be transferred or used for contracts, with compliance to law as national security allows.

Boost to defense industrial base

If enacted, DoD would have to allocate FY2026 CHIPS Defense Fund money within 45 days and report quarterly on balances. It would add $321.923 million under the Defense Production Act, with $150 million for biomanufacturing. A DoD credit pilot would get $97.77 million and could back up to $4.39 billion in loans and guarantees. The National Defense Stockpile would receive $90 million through FY2028, including $10 million for titanium, after a 30‑day execution plan.

Limits on gender‑affirming care

If enacted, money in this bill could not pay for gender‑affirming surgeries or hormone treatments in DoD‑funded programs. It would also bar EFMP from paying for, referring to, or moving a family to get gender transition care for a minor child. Military members and dependents who rely on DoD funding for this care would lose that funding source.

Large cuts to DoD funding

If enacted, this bill would cut $1 billion and another $3.75 billion from amounts in the Act. The cuts could not come from the National Intelligence Program or Military Intelligence Program. These reductions could lower funding for some DoD programs and contracts.

Grants to USO and Red Cross

If enacted, $49 million would be set aside for grants: $24 million to the USO and $25 million to the American Red Cross. The Secretary of Defense would award the grants only if they serve the national interest. These funds support services used by military members and families.

More lodging help via Fisher Houses

If enacted, each military department could move up to $11 million this year into Fisher House central funds to support lodging for families. It would also provide a $5 million grant to Fisher House Foundation, if the Secretary finds it serves the national interest, to build and furnish more houses.

Protect access to sexual assault exams

If enacted, DoD could not cut sexual assault forensic exam access that civilian personnel had on January 20, 2025. Civilian staff who had access on that date would keep it.

Temporary rule for foreign DoD hires

If enacted for the current year, DoD could hire and pay foreign national employees with this bill’s funds. Pay raises could not exceed the DoD civilian percentage raise or the host nation’s, whichever is higher. This would not apply to State Department‑set pay or to employees in Turkey.

Incentives for subcontracting to tribes

If enacted, $35.169 million would fund incentive payments under the Indian Financing Act. Prime contractors and any‑tier subcontractors on DoD awards over $500,000 could receive extra pay when they subcontract to qualifying Indian suppliers, including for commercial items.

Keeps key military planes and sites

If enacted, funds could not retire or store C‑40 aircraft, except after a certified Class A mishap, and DoD must report within 90 days on travel support for 2026–2027. Funds could not decommission Army Prepositioned Stocks‑Afloat ships. SOUTHCOM could not be moved from Miami. Three Army museums could not be closed. Money for the E‑7 Wedgetail and UH‑60 Blackhawk must stay on those programs and cannot be used to pause or cancel them. The Navy’s Next Generation Fighter would be pushed to reach initial use sooner, with a status report due in 30 days and then every quarter.

More cleanup at bases and tribal lands

If enacted, the Air Force would get $342.1 million and the Army $235.2 million for environmental cleanup. DoD‑wide cleanup would get $8.9 million. At least $19.9 million would be set aside to mitigate damage on Indian lands from DoD activities. Leaders could move these funds within DoD accounts for the same purposes and time limits.

Tighter rules on secrets and policing

If enacted, these funds could not be used to send classified or war plans over unsecured networks. DoD activities paid for here would also need to follow the Posse Comitatus Act, which limits military involvement in civilian law enforcement.

No forced arbitration on big contracts

If enacted, federal contracts over $1 million could not require workers or contractors to arbitrate Title VII claims or torts tied to sexual assault or harassment. Covered subcontractors would face the same rule. The Defense Secretary could waive this for national security, with notice at least 15 business days before award.

Cooperative Threat Reduction funding

If enacted, $282.83 million would fund Cooperative Threat Reduction work and stay available through September 30, 2028. The money could be provided by contract or grant to carry out authorized CTR programs.

More APFIT can fund software

If enacted, extra APFIT funds could be used to buy or develop software, including software‑only tools, plus related RDT&E and operations. The Secretary would brief Congress at least twice a year through September 30, 2028 on award transitions.

No DoD funds for housing repairs

If enacted, DoD could not use this bill’s money to repair or maintain military family housing. Families in those homes could face delayed fixes or costs if no other money is available.

Stops funding for CRT and DEI

If enacted, DoD could not use these funds for programs or training that promote Critical Race Theory or certain ideas about race or sex. Funding for diversity, equity, and inclusion offices would be blocked. This would affect DoD offices, staff, and contractors that run or deliver such training.

Stricter rules for DoD contractors

If enacted, DoD could not shift civilian jobs to contractors unless a public‑private competition shows the contractor is at least 10% cheaper or $10 million less over the full period, and without winning by skimping on employer health insurance. DoD could not reimburse contractors for merger‑related restructuring bonuses above normal salary. Agencies would be barred from new awards to corporations with certain unpaid federal tax debts, unless they decide suspension or debarment is not needed.

No DoD COVID vaccine or mask mandates

If enacted, this bill would bar using these funds to require COVID-19 vaccines or masks in DoD settings. DoDEA schools could not require COVID-19 shots for students. This would mainly affect service members, civilian staff, and families with children in DoDEA schools.

Tighter controls on R&D and spending

If enacted, RDT&E funds could not buy end items for operational use except for development, prototyping, or required testing, with certifications, reports, and waivers for national security. DIU fielding funds could support initial gear and related activities, but spending would wait 15 days after a plan goes to Appropriations. CAPE staff paid by this Act would be capped at 75 FTEs, with some analysis roles exempt. No more than 20% of one‑year funds could be obligated in the last two months, with training exceptions. New demo projects over $5 million would face a 15‑day post‑report wait unless waived in the national interest.

Stronger Buy American rules for DoD

If enacted, DoD would have to follow the Buy American Act when spending these funds. DoD could not buy foreign‑made supercomputers unless the Secretary certifies a unique national security need. Ball and roller bearings would need to be domestic, with case‑by‑case waivers. Certain steel plate would need to be melted and rolled in the U.S. or Canada, with waivers and existing contracts respected. The Secretary would also have to consider barring firms convicted of false “Made in America” labels from DoD contracts.

Longer embryo storage for injured troops

If enacted, DoD would follow the 2012 assisted reproduction policy for seriously or severely injured active‑duty members, but without time limits on embryo freezing and storage. Covered service members could store embryos without a set end date.

Free relocatable homes for tribes

If enacted, the Air Force could give excess relocatable housing units at no cost to Indian tribes in NV, ID, ND, SD, MT, OR, MN, and WA. Tribes must request units through Operation Walking Shield and remove them within a reasonable time.

Community use of Guard gear and fees

If enacted, the Guard could let people and groups use Distance Learning Project equipment when space is available, with case‑by‑case fees that go back to the program. The Guard Chief could also waive part or all of lease fees for up to one year for certain nonprofits.

Platform supply vessel pilot funding

If enacted, at least $80 million would fund a Navy pilot to validate at‑sea logistics with platform supply vessels. The Navy would look at chartering at least six PSVs and sign at least two time charters. It would consider U.S.‑built and documented PSVs owned by U.S. citizens, with specific fuel and deck‑space abilities, and brief Congress within 180 days.

More reporting on DoD budgets and grants

If enacted, DoD would post grant awards on a public, searchable website. After any DoD reconciliation law, the Secretary would send detailed allocation documents within 45 days and report quarterly on balances. DARPA research funds would stay available through September 30, 2027, with quarterly project‑level execution reports to Congress.

No transfers of armor-piercing ammo

If enacted, DoD could not transfer certain armor‑penetrating ammunition to nongovernment groups. Limited exceptions would allow certified demilitarization, or manufacture under a DoD contract, or licensed exports.

Funds for Irregular Warfare Center

If enacted, $12 million of Defense‑Wide operations funds would be set aside for the Irregular Warfare Center under the Defense Security Cooperation Agency.

No below‑market tobacco on base

If enacted, military stores could not sell tobacco below the most competitive local price. Overseas stores would price within the U.S. military store price range. Tobacco buyers on base could pay more than before.

Blocks a specific 2022 DoD memo

If enacted, DoD could not use these funds to carry out the October 20, 2022 memorandum or any similar policy. DoD also could not write or enforce a substantially similar rule using this money.

Cap on moving O&M to pay

If enacted, no more than $30 million of Defense‑Wide operations funds could be shifted this year into military pay. Any transferred funds would support personnel working with eligible outside organizations under 10 U.S.C. 2012.

DoD maps would not show Taiwan PRC

If enacted, these funds could not be used to make, buy, or show any map that shows Taiwan or certain nearby islands as part of the People’s Republic of China. This applies only to maps paid for with this Act’s funds.

Funds for DoD acquisition workforce

If enacted, $61.8 million would go to the Acquisition Workforce Development Account for FY2026. No other amounts could be added to that account in FY2026 under 10 U.S.C. 1705(d).

Sponsors & CoSponsors

Sponsor

Calvert

CA • R

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 482 • No: 472

senate vote • 10/16/2025

On Cloture on the Motion to Proceed H.R. 4016

Yes: 50 • No: 44

house vote • 7/18/2025

On Passage

Yes: 221 • No: 209

house vote • 7/18/2025

On Motion to Recommit

Yes: 211 • No: 219

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