Audit the Pentagon Act of 2026

• Service members and health: Military personnel, reserve, and National Guard accounts and the Defense Health Program are excluded from the automatic reductions, and Congress and DoD are directed not to endanger wounded warrior accounts or essential protections like body armor.
• Department programs and budgets: For any fiscal year after 2025, an element that fails to achieve an unqualified opinion would face a 0.5% reduction in the year of certification and a 1.0% reduction in each subsequent year, applied pro rata across programs, projects, and activities, with the reduced amounts deposited in the Treasury General Fund for deficit reduction.
• Classified programs and audit rules: The bill calls for simpler legacy asset valuations without weakening controls, prohibits declassification of accounting for classified programs, and preserves financial accountability through practices such as auditors with security clearances.

*If applied, these automatic cuts would reduce affected DoD account levels and deposit the funds into the General Fund to lower the federal deficit.*