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119-hr-7555119th CongressWALLET

Audit the Pentagon Act of 2026

Sponsored By: Representative Pocan, Mark [D-WI-2]

Introduced

Summary

Ties Pentagon funding to clean audits. This bill would create a framework that links Department of Defense funding to whether departments receive an unqualified audit opinion, and it sets automatic cuts, exclusions, waivers, and reporting rules.

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  • Department of Defense entities would face automatic spending reductions if they fail to certify an unqualified opinion: 0.5 percent in the fiscal year of the determination and 1.0 percent in each subsequent year. Reductions are allocated pro rata across programs and the amounts are deposited in the Treasury General Fund for deficit reduction.
  • Service members and core health accounts are protected. Military, reserve, and National Guard accounts and the Defense Health Program are excluded from cuts, and Congress emphasizes protecting wounded warrior accounts and critical protections like body armor.
  • Audit and oversight changes aim to streamline legacy asset valuation without weakening controls and to preserve classified accounting practices. The bill allows auditors with security clearances, provides presidential waivers for national security harms, and requires reports to Congress within 60 days after cuts take effect.

*This bill would reduce DoD outlays when audits fail and direct those amounts to the Treasury General Fund, thereby reducing the federal deficit.*

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Bill Overview

Analyzed Economic Effects

1 provisions identified: 0 benefits, 1 costs, 0 mixed.

DoD budget cuts for failed audits

This bill would require automatic cuts when a DoD department lacks an unqualified audit opinion. The cut would be 0.5% in the fiscal year the failure is determined. If the failure continues in later years the cut would be 1.0% annually. Cuts would be applied pro rata across each program, project, and activity of the affected entity. Cuts would not affect military, reserve, or National Guard pay accounts, or the Defense Health Program. Money from cuts would be deposited in the Treasury General Fund for deficit reduction. The Office of Management and Budget would report to Congress within 60 days on each cut and amount. The President could waive a cut for national security reasons, but must report why to Appropriations and Budget Committees. The cut rule would apply in any fiscal year after fiscal year 2025 and definitions would take effect on enactment.

Sponsors & CoSponsors

Sponsor

Pocan, Mark [D-WI-2]

WI • D

Cosponsors

  • Rep. Biggs, Andy [R-AZ-5]

    AZ • R

    Sponsored 2/12/2026

  • Rep. Omar, Ilhan [D-MN-5]

    MN • D

    Sponsored 2/12/2026

  • Rep. Simon, Lateefah [D-CA-12]

    CA • D

    Sponsored 2/12/2026

  • Rep. McGovern, James P. [D-MA-2]

    MA • D

    Sponsored 2/12/2026

  • Rep. Ramirez, Delia C. [D-IL-3]

    IL • D

    Sponsored 2/12/2026

  • Rep. Schakowsky, Janice D. [D-IL-9]

    IL • D

    Sponsored 2/12/2026

  • Del. Norton, Eleanor Holmes [D-DC-At Large]

    DC • D

    Sponsored 2/12/2026

  • Rep. DeSaulnier, Mark [D-CA-10]

    CA • D

    Sponsored 2/12/2026

  • Rep. Stansbury, Melanie A. [D-NM-1]

    NM • D

    Sponsored 2/12/2026

  • Rep. Nadler, Jerrold [D-NY-12]

    NY • D

    Sponsored 2/12/2026

  • Rep. Lee, Summer L. [D-PA-12]

    PA • D

    Sponsored 2/12/2026

  • Rep. Moore, Gwen [D-WI-4]

    WI • D

    Sponsored 2/12/2026

  • Rep. Tlaib, Rashida [D-MI-12]

    MI • D

    Sponsored 2/12/2026

  • Rep. Foushee, Valerie P. [D-NC-4]

    NC • D

    Sponsored 2/12/2026

  • Rep. Watson Coleman, Bonnie [D-NJ-12]

    NJ • D

    Sponsored 2/12/2026

  • Rep. García, Jesús G. "Chuy" [D-IL-4]

    IL • D

    Sponsored 2/12/2026

  • Rep. Davis, Danny K. [D-IL-7]

    IL • D

    Sponsored 2/12/2026

  • Rep. Jayapal, Pramila [D-WA-7]

    WA • D

    Sponsored 2/12/2026

  • Rep. Hageman, Harriet M. [R-WY-At Large]

    WY • R

    Sponsored 2/17/2026

  • Rep. Mfume, Kweisi [D-MD-7]

    MD • D

    Sponsored 2/20/2026

  • Rep. Grothman, Glenn [R-WI-6]

    WI • R

    Sponsored 2/17/2026

  • Rep. Thanedar, Shri [D-MI-13]

    MI • D

    Sponsored 5/21/2026

  • Rep. Doggett, Lloyd [D-TX-37]

    TX • D

    Sponsored 8/31/2026

Roll Call Votes

No roll call votes available for this bill.

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