S. 2572 — Department of Defense Appropriations Act, 2026

This section waives, during the current fiscal year, laws prohibiting the payment of compensation to or employment of non-U.S. citizens with respect to Department of Defense (DoD) personnel. It limits salary increases for direct- and indirect-hire foreign national DoD employees funded by this Act to the higher of (1) the percentage increase authorized by law for DoD civilian employees paid under the General Schedule (GS; i.e., the basic federal civilian pay schedule with 15 grades and 10 rates per grade) or (2) the host nation's increase for its own employees. This section does not apply to DoD foreign service national employees at U.S. diplomatic missions paid by the Department of State under the Foreign Service Act of 1980, and the pay limitations do not apply to DoD foreign national employees in Turkey.

This section limits obligations of appropriations in this Act that are available for obligation only during the current fiscal year to no more than 20% during the last two months of the fiscal year. The limitation does not apply to obligations for support of active duty training of reserve components or summer camp training of the Reserve Officers' Training Corps.

This section authorizes the Secretary of Defense, upon determination that such action is necessary in the national interest and with OMB Director approval, to transfer up to $6 billion of DoD working capital funds or funds available in this Act for military functions (except military construction) between appropriations or funds for the same purposes and time period, provided the transfers are for higher-priority items based on unforeseen military requirements and not for items denied by Congress. The section further (1) requires prompt congressional notification of all transfers; (2) prohibits using funds in this Act to prepare or present reprogramming requests except under the same conditions; (3) requires requests for multiple reprogrammings under this authority prior to June 30, 2026; and (4) excludes transfers among military personnel appropriations from the $6 billion limitation.

This section requires obligations and expenditures of amounts appropriated in excess of requested levels for specified programs, projects, and activities to be carried out according to the dollar amounts and adjustments in the "Committee Recommended Adjustments" tables in the accompanying report and classified annex, as if included in the Act's text. It further specifies that such table amounts are not subdivisions of appropriations for purposes of section 8005 transfer authority (except for inter-account transfers, which remain subject to section 8005); eliminates section 8005 transfer amount limitations for intra-account transfers necessary for proper execution of such funds; and prohibits transfers under section 8005 of title III and IV table amounts except for proper execution.

This section directs the Department of Defense to submit to the congressional defense committees, not later than 60 days after enactment, a report establishing the baseline for FY2026 reprogramming and transfer authorities. The report must include (1) a table for each appropriation displaying the President's budget request, congressional adjustments, enacted rescissions (if applicable), and the FY enacted level; (2) delineations by budget activity and program, project, and activity as detailed in the Budget Appendix; and (3) identifications of items of special congressional interest. This section prohibits reprogramming or transfer of funds provided in this Act until the report is submitted, notwithstanding section 8005, unless the Secretary of Defense certifies in writing to the congressional defense committees that such action is necessary as an emergency requirement. This prohibition does not apply to transfers from the following accounts: (1) Environmental Restoration, Army; (2) Environmental Restoration, Navy; (3) Environmental Restoration, Air Force; (4) Environmental Restoration, Defense-Wide; (5) Environmental Restoration, Formerly Used Defense Sites; and (6) Drug Interdiction and Counter-Drug Activities, Defense.

This section limits cash balances in Department of Defense working capital funds—established under 10 U.S.C. 2208 to finance designated inventories of supplies and provide working capital for designated industrial and commercial activities—to amounts necessary at any time for cash disbursements during the current fiscal year. It further (1) authorizes transfers between such funds; (2) authorizes transfers between such funds and the Foreign Currency Fluctuations, Defense appropriation or Operation and Maintenance appropriation accounts, as determined by the Secretary of Defense with approval of the Director of the Office of Management and Budget and after notification to Congress; and (3) prohibits obligations against such funds to procure or increase war reserve material inventory, except in amounts equal to appropriations to working capital funds in this Act or after notification to Congress.

This section prohibits the use of appropriated funds to initiate or materially modify the scope of a special access program (i.e., highly classified DoD programs requiring special access procedures) without providing 30 calendar days' prior notification to the congressional defense committees.

This section prohibits the use of funds provided in this Act to initiate multiyear contracts that employ economic order quantity procurement exceeding $20 million in any one year or include an unfunded contingent liability exceeding $20 million, or contracts for advance procurement leading to such multiyear contracts exceeding $20 million in any year, unless the congressional defense committees are notified at least 30 days in advance. It further (1) bars funding for any multiyear contract unless economic order quantity advance procurement is funded at least to the limits of the government's liability; (2) prohibits multiyear procurement contracts for any systems or components thereof exceeding $500 million unless specifically authorized in this Act; (3) requires 30-day prior notification to the congressional defense committees before terminating any such contract; (4) mandates a present value analysis to confirm lowest cost compared to annual procurement; and (5) for contracts executed after enactment, requires (a) a budget request from the Secretary of Defense for full funding of units to be procured (including, for aircraft, full production funding beyond advance procurement activities in the covered fiscal year), (b) cancellation provisions excluding contractor recurring manufacturing costs for unfunded units, (c) payments only after incurred costs on funded units, and (d) no price adjustment based on failure to award a follow-on contract.

This section appropriates funds available for operation and maintenance (O&M) of the Armed Forces pursuant to 10 U.S.C. §401 for humanitarian and civic assistance (HCA) costs under chapter 20 of title 10, U.S. Code (i.e., activities such as medical, construction, and training projects conducted overseas by military forces to promote U.S. security interests, host-country relations, and service member readiness skills, subject to Secretary of State approval and complementing other U.S. aid programs). Such funds may also be obligated for HCA costs incidental to authorized operations, with obligations reported annually to congressional committees as required by §401(d). The section further (1) makes O&M funds available for humanitarian assistance using Civic Action Teams in the Trust Territories of the Pacific Islands and freely associated states of Micronesia pursuant to the Compact of Free Association (P.L. 99-239); and (2) authorizes the Secretary of Defense, upon determining it beneficial for graduate medical education programs at Defense Health Agency facilities in Hawaii, to provide nonreimbursable medical services and transportation to civilian patients from American Samoa, the Commonwealth of the Northern Mariana Islands, the Marshall Islands, the Federated States of Micronesia, Palau, and Guam.

This section limits the obligation and expenditure of funds transferred to the Defense Modernization Account under 10 U.S.C. §3136(c)—which consist of unexpired Department of Defense savings from acquisition program efficiencies and life-cycle cost reductions (post-FY2016 appropriations, subject to a $1 billion account balance cap)—to the four purposes specified in §3136(d)(1) through (d)(4). (As background, the account funds DoD modernization projects and remains available until the end of the third fiscal year after deposit.)

This section prohibits the use of funds made available by this Act, directly or indirectly, for any personal service, advertisement, telegram, telephone, letter, printed or written matter, or other device intended to influence a Member of Congress, a jurisdiction, or a government official to favor or oppose any legislation or appropriation pending before Congress, if such activity violates 18 U.S.C. 1913 (i.e., the anti-lobbying statute). It exempts Department of Defense officers or employees from this restriction when communicating with Members of Congress or congressional staff in the course of their official duties in response to a request for information, testimony, or other communication, consistent with applicable laws and regulations.

This section prohibits the Department of Defense from using funds appropriated in this Act—except for necessary or routine refurbishments, upgrades, or maintenance activities—to reduce or prepare to reduce deployed and non-deployed strategic delivery vehicles and launchers below levels specified in the report required by section 1042 of the National Defense Authorization Act for Fiscal Year 2012. (Thus, the provision maintains a statutory floor on the size of the nuclear triad's delivery systems, including intercontinental ballistic missiles, submarine-launched ballistic missiles, and heavy bombers.)

This section authorizes the transfer of funds appropriated in title III of this Act for the Department of Defense Pilot Mentor-Protégé Program to any other appropriation in this Act solely to implement developmental assistance agreements under the Mentor-Protégé Program (10 U.S.C. 4902). (As background, the program provides incentives to major DoD contractors—known as mentor firms—to assist eligible small disadvantaged businesses—known as protégé firms—in enhancing their capabilities and increasing their participation as subcontractors and suppliers on DoD, other federal, and commercial contracts.) It further requires the Secretary of Defense to include in the FY2027 budget justification documents a description of each such transfer that occurred during the prior fiscal year.

This section prohibits the Department of Defense from using funds appropriated by this Act to purchase welded shipboard anchor and mooring chain unless manufactured in the United States from components substantially manufactured in the United States (i.e., aggregate cost of U.S.-manufactured components exceeds aggregate cost of foreign-manufactured components). For this purpose, manufactured includes cutting, heat treating, quality control, testing of chain, welding (including forging and shot blasting). The relevant service secretary may waive this restriction on a case-by-case basis by certifying in writing to the House and Senate Appropriations Committees that adequate domestic supplies are unavailable on a timely basis and the acquisition is required for national security purposes.

This section prohibits the use of appropriated funds to support Department of Defense nonappropriated funds activities (i.e., morale, welfare, and recreation programs) that procure malt beverages and wine with nonappropriated funds for resale (including by the drink) on U.S. military installations unless procured within the state or District of Columbia where the installation is located. For installations spanning multiple states, purchases may be made in any such state; the local procurement requirement for malt beverages and wine applies to all alcoholic beverages only in non-contiguous states; and other alcoholic beverages in contiguous states and the District of Columbia must be procured from the most competitive source, price and other factors considered.

This section prohibits the Department of Defense from using funds to demilitarize or dispose of M–1 Carbines, M–1 Garand rifles, M–14 rifles, .22 caliber rifles, .30 caliber rifles, or M–1911 pistols, or to demilitarize or destroy small arms ammunition or ammunition components not otherwise prohibited from commercial sale under federal law, unless such ammunition or components are certified by the Secretary of the Army (or designee) as unserviceable or unsafe for further use.

This section limits to $500,000 per fiscal year the use of funds appropriated or made available by this Act for any single relocation of a Department of Defense organization, unit, activity, or function into or within the National Capital Region. The Secretary of Defense may waive this limit on a case-by-case basis by certifying in writing to the congressional defense committees that such a relocation is required in the best interest of the government.

This section provides $24,613,000 from funds appropriated under the "Procurement, Defense-Wide" heading for incentive payments authorized by section 504 of the Indian Financing Act of 1974 (25 U.S.C. 1544), under which contractors receive additional compensation equal to 5% of amounts paid to qualified Indian organization or Indian-owned economic enterprise subcontractors or suppliers. The section expands eligibility for such payments to any prime contractor or subcontractor at any tier that awards a subcontract over $500,000 using Department of Defense (DoD) appropriated funds to such an Indian-owned subcontractor or supplier or to a small business owned and controlled by an individual defined as an Indian under 25 U.S.C. 4221(9). The section further applies these incentives to all DoD acquisitions of supplies or services, including contracts and subcontracts at any tier for commercial items, notwithstanding the limitations in 41 U.S.C. 1906. (As background, these incentives under the Indian Financing Act encourage federal contractors to utilize Indian-owned businesses.)

This section authorizes the Secretary of the Air Force to convey, at no cost and without consideration, excess relocatable military housing units from Grand Forks Air Force Base (North Dakota), Malmstrom Air Force Base (Montana), Mountain Home Air Force Base (Idaho), Ellsworth Air Force Base (South Dakota), and Minot Air Force Base (North Dakota) to federally recognized Indian tribes in Nevada, Idaho, North Dakota, South Dakota, Montana, Oregon, Minnesota, and Washington. Conveyances occur in accordance with requests submitted to the Secretary by the Operation Walking Shield Program on behalf of such tribes—which resolves conflicts among tribal requests—with the condition that the units be removed within a reasonable period of time as determined by the Secretary.

This section designates not less than $12 million from funds appropriated to the Department of Defense for Operation and Maintenance, Defense-Wide for mitigating environmental impacts on Indian lands resulting from DoD activities. The designated funds support training and technical assistance to tribes, related administrative support, information gathering, documentation of environmental damage, and development of a system for prioritizing mitigation and estimating costs to complete mitigation.

This section provides not less than $42,300,000 for the Civil Air Patrol Corporation (CAP)—a nonprofit auxiliary of the U.S. Air Force that conducts emergency services, aerospace education, counterdrug missions, and youth cadet programs—including (1) $25,506,000 from Operation and Maintenance, Air Force, for CAP operation and maintenance, readiness, counter-drug activities, and youth drug demand reduction programs; (2) $14,669,000 from Aircraft Procurement, Air Force; and (3) $2,125,000 from Other Procurement, Air Force, for vehicle procurement. The section states that the Secretary of the Air Force should waive reimbursement for any CAP funds used for counter-drug activities in support of federal, state, and local government agencies.

This section prohibits the use of funds appropriated by this Act to establish any new Department of Defense (DoD) federally funded research and development center (FFRDC), either as a new entity, a separate entity administered by an organization managing another FFRDC, or a nonprofit membership corporation consisting of a consortium of other FFRDCs and nonprofit entities. It further bars such funds from compensating members of FFRDC governing boards, trustees, advisory groups, or similar entities (except when acting in a technical advisory capacity) and limits paid consultants to compensation from no more than one FFRDC in a calendar year, while allowing travel expenses and per diem. In addition, it restricts all DoD funds available in the current fiscal year from being used by defense FFRDCs for constructing new buildings off military installations, cost-sharing on government grants, absorbing contract overruns, or certain charitable contributions (excluding employee community service). Finally, it caps FY2026 DoD funds for professional technical staff-related costs of defense FFRDCs at $2,886,300,000 ($461,300,000 for defense studies and analysis FFRDCs)—excluding staff years funded in the National Intelligence Program or Military Intelligence Program—and requires the Secretary of Defense to report planned staff years and budget estimates for each defense FFRDC with the FY2027 budget request.

This section defines the term "congressional defense committees" for purposes of this Act to mean the Armed Services Committees of the House of Representatives and the Senate, and the Subcommittees on Defense of the House and Senate Committees on Appropriations.

This section defines the term "congressional intelligence committees" as the Permanent Select Committee on Intelligence of the House of Representatives, the Select Committee on Intelligence of the Senate, the Subcommittee on Defense of the Committee on Appropriations of the House of Representatives, and the Subcommittee on Defense of the Committee on Appropriations of the Senate.

This section authorizes the Department of Defense, during the current fiscal year, to acquire the modification, depot maintenance, and repair of aircraft, vehicles, and vessels, as well as production of components and other defense-related articles, through competitions between DoD depot maintenance activities and private firms. The Senior Acquisition Executive of the relevant military department or Defense Agency must certify that successful bids include comparable estimates of all direct and indirect costs for both public and private bids, and OMB Circular A-76 does not apply.

This section (1) prohibits Department of Defense entities from expending funds appropriated by this Act unless the entities comply with the Buy American Act (chapter 83 of title 41, U.S. Code); (2) requires the Secretary of Defense, upon determining that a person has been convicted of intentionally affixing a false "Made in America" label to any product sold in or shipped to the United States, to determine whether to debar the person from DoD contracting in accordance with 10 U.S.C. 4658; and (3) expresses the sense of Congress that DoD entities, when purchasing equipment or products with such funds, prioritize American-made equipment and products that are cost-competitive, quality-competitive, and available in a timely fashion.

This section prohibits the use of appropriated funds to procure carbon, alloy, or armor steel plate that was not melted and rolled in the United States or Canada for use in any Department of Defense-controlled government-owned facility or property. The prohibition applies to Federal Supply Class 9515 and any American Society of Testing and Materials (ASTM) or American Iron and Steel Institute (AISI) specifications of such steel plate; authorizes the relevant military department secretary to waive the restriction on a case-by-case basis by certifying in writing to the House and Senate Appropriations Committees that adequate domestic supplies are unavailable to meet DoD requirements on a timely basis and the acquisition is needed for national security purposes; and exempts contracts in effect on the date of enactment.

This section requires the Secretary of Defense, after consultation with the U.S. Trade Representative, to rescind any blanket waiver of the Buy American Act (chapter 83 of title 41, U.S. Code) for certain products from a foreign country that violates a reciprocal defense procurement memorandum of understanding (MOU) by discriminating against those U.S.-produced products covered by the MOU. (An MOU is an agreement pursuant to which the Secretary prospectively waives the Buy American Act for certain products from that country.) The section also directs the Secretary to submit to Congress a report on Department of Defense purchases from foreign entities in FY2026, separately indicating the dollar value of items for which the Buy American Act was waived pursuant to such MOUs, the Trade Agreements Act of 1979, or any other international agreement to which the United States is a party.

This section prohibits the use of funds appropriated by this Act for procuring ball and roller bearings other than those produced by a domestic source and of domestic origin. The relevant military department Secretary may waive this restriction on a case-by-case basis by certifying in writing to the House and Senate Appropriations Committees that adequate domestic supplies are unavailable to meet DoD requirements on a timely basis and the acquisition is needed for national security purposes; the restriction does not apply to commercial products, as defined in 41 U.S.C. §103 (i.e., items customarily used/sold to the general public or evolved therefrom, including nondevelopmental items developed at private expense and sold competitively to multiple state/local or foreign governments), except when ball or roller bearings are purchased as end items.

This section provides $50 million from amounts appropriated under Operation and Maintenance, Defense-wide for the Defense Security Cooperation Agency, to remain available until September 30, 2027, to assist the Lebanese Armed Forces with training, equipment, logistics support, supplies and services, stipends, infrastructure repair and renovation, and sustainment, subject to vetting for terrorist group associations and commitments to human rights and the rule of law. Requires the Secretary of Defense to notify the congressional defense committees at least 15 days prior to obligating funds and to submit quarterly reports on fund use, including numbers trained, support provided, areas of operations, and contributions from other countries, groups, or individuals. Authorizes the Secretary of Defense to waive laws on acquisition of items and services or sections 40 and 40A of the Arms Export Control Act (22 U.S.C. 2780, 2785)—which prohibit U.S. government arms transfers and financial assistance to countries that repeatedly provide support for acts of international terrorism—with prior notice and justification to the congressional defense committees and specified Senate and House committees.

This section prohibits the use of funds appropriated by this Act to purchase supercomputers not manufactured in the United States, unless the Secretary of Defense certifies to the congressional defense committees that such purchase is necessary to acquire national security capabilities unavailable from U.S. manufacturers.

This section authorizes the Secretary of Defense, on a case-by-case basis with respect to a foreign country, to waive any statutory limitation on procuring defense items from foreign sources if the Secretary determines the limitation would invalidate a Department of Defense cooperative program with that country or a reciprocal trade agreement for defense item procurement entered into under 10 U.S.C. §4851 (which requires consideration of effects on the U.S. defense industrial base), and the country does not discriminate against the same or similar U.S.-produced defense items. The waiver applies to (1) contracts and subcontracts entered into on or after the date of enactment and (2) options exercised after that date under pre-enactment contracts if the option prices are adjusted for any reason other than the waiver. The waiver does not apply to limitations regarding public vessel construction, ball and roller bearings, food, clothing or textile materials (as defined in Harmonized Tariff Schedule chapters 50–65), or products classified under HTS headings 4010, 4202, 4203, 6401–6406, 6505, 7019, 7218–7229, 7304.41–7304.49, 7306.40, 7502–7508, 8105, 8108, 8109, 8211, 8215, and 9404.

This section prohibits the use of funds appropriated for the Department of Defense by this Act or subsequent Acts for the purchase or manufacture of U.S. flags unless such flags are treated as covered items under 10 U.S.C. §4862(b). (Thus, such flags must be domestically sourced consistent with Berry Amendment requirements for textiles and related items.)

This section makes amounts in the Department of Defense Overseas Military Facility Investment Recovery Account available until expended during the current fiscal year for payments specified by section 2687a(b)(2) of title 10, United States Code. (The account holds proceeds from leases and other transactions involving overseas military facilities.)

This section authorizes the Department of Defense to use operation and maintenance appropriations during the current fiscal year to purchase items with an investment item unit cost of up to $350,000 and, upon a determination by the Secretary of Defense that such action is necessary to meet the operational requirements of a combatant command engaged in a named contingency operation overseas, up to $500,000.

This section makes available up to $16,809,000 of funds appropriated under the Operation and Maintenance, Navy heading for the Asia Pacific Regional Initiative Program. The program enables the U.S. Indo-Pacific Command to conduct theater security cooperation activities such as humanitarian assistance and payment of incremental and personnel costs for training and exercising with foreign security forces, notwithstanding other funding authorities for humanitarian assistance, security assistance, or combined exercise expenses, and prohibiting assistance to any foreign country otherwise barred from receiving such assistance under other law.

This section directs the Secretary of Defense to issue regulations prohibiting the sale of tobacco or tobacco-related products in military resale outlets in the United States, its territories, and possessions below the most competitive price in the local community. The regulations must further require prices of such products in overseas military retail outlets to be within the range of prices in U.S. military retail system stores.

This section (1) prohibits the use of Department of Defense Working Capital Funds, during the current fiscal year, to purchase investment items as new inventory for sale to DOD customers if such items would not have been chargeable to the Department of Defense Business Operations Fund in FY1994 and are chargeable to DOD procurement appropriations in the current fiscal year; and (2) directs the FY2027 DOD budget request and supporting materials to budget any equipment classified as an end item and funded in procurement appropriations in this Act into the proposed FY2027 procurement appropriation, not into WCF supply management or other WCF areas. (Working Capital Funds are revolving funds that finance DOD business operations such as supply management through sales to military services and defense agencies.)

This section limits the availability for obligation of funds appropriated by the Act for Central Intelligence Agency (CIA) programs to the current fiscal year, except as follows: (1) funds for the Reserve for Contingencies remain available until September 30, 2027; (2) funds appropriated, transferred, or credited to the CIA Central Services Working Capital Fund remain available until expended; (3) funds for advanced research and development acquisition, agent operations, and covert action programs authorized by presidential finding under the National Security Act of 1947 remain available until September 30, 2027; and (4) funds for construction, improvement, or alteration of facilities used primarily by intelligence community personnel remain available until September 30, 2028.

This section prohibits the use of funds appropriated by the Act to convert to contractor performance any Department of Defense (DOD) activity or function performed by DOD civilian employees on or after the date of enactment unless (1) the conversion results from a public-private competition that includes a most efficient organization plan developed by the activity; (2) the Competitive Sourcing Official determines the contractor cost over all performance periods is less than DOD cost by at least the lesser of 10% of the most efficient organization's personnel-related costs or $10 million; and (3) the contractor receives no cost advantage from not offering employer-sponsored health insurance to workers or offering a plan with employer contributions below DOD civilian health benefits levels under 5 USC ch. 89. The section authorizes DOD to contract for certain commercial or industrial functions without regard to these restrictions or 10 USC 2461—specifically, functions on the AbilityOne procurement list (41 USC 8503), planned for performance by nonprofits for the blind or other severely disabled persons under that Act, or planned for qualified firms at least 51% owned by an Indian tribe (25 USC 450b(e)) or Native Hawaiian Organization (15 USC 637(a)(15))—but excludes depot contracts or maintenance (10 USC 2469, 2474). Conversions under this section count toward any statutory, regulatory, or policy competitive sourcing goals and are deemed awarded under 10 USC 2304(h).

This section rescinds specified amounts totaling $3,157,302,000 from various Department of Defense accounts and programs as follows: (1) $202,838,000 from FY2024/2026 accounts, including the Cooperative Threat Reduction Account ($33,936,000), Other Procurement, Army ($15,000,000), Weapons Procurement, Navy ($2,943,000), Aircraft Procurement, Air Force ($35,397,000), Missile Procurement, Air Force ($41,189,000), Procurement, Space Force ($63,900,000), and Defense Health Program ($10,473,000); (2) $5,000,000 from the Counter-Islamic State of Iraq and Syria Train and Equip Fund (2025/2026); (3) $1,960,986,000 from FY2025/2027 procurement accounts, including Procurement of Weapons and Tracked Combat Vehicles, Army ($577,786,000), Missile Procurement, Army ($71,732,000), Other Procurement, Army ($320,213,000), Aircraft Procurement, Navy ($229,251,000), Weapons Procurement, Navy ($200,272,000), Aircraft Procurement, Air Force ($259,688,000), Missile Procurement, Air Force ($152,646,000), Other Procurement, Air Force ($74,091,000), Procurement, Space Force ($63,500,000), and Procurement, Defense-Wide ($11,807,000); and (4) $988,478,000 from FY2025/2026 research, development, test, and evaluation accounts for Army ($211,735,000), Navy ($88,461,000), Air Force ($276,608,000), Space Force ($374,193,000), and Defense-Wide ($37,481,000). No amounts may be rescinded from funds designated by Congress as an emergency requirement pursuant to a concurrent resolution on the budget or the Balanced Budget and Emergency Deficit Control Act of 1985.

This section prohibits the use of funds provided by this Act to reduce authorized positions for military technicians (dual status)—civilian personnel who must maintain reserve membership to support Army National Guard, Air National Guard, Army Reserve, and Air Force Reserve units—due to any administratively imposed civilian personnel ceiling, freeze, or reduction, unless such reductions directly result from a reduction in military force structure.

This section prohibits the obligation or expenditure of funds appropriated or otherwise made available in this Act for assistance to the Democratic People's Republic of Korea unless specifically appropriated for that purpose. The restriction does not apply to activities incidental to the Defense POW/MIA Accounting Agency mission to recover and identify remains of U.S. Armed Forces personnel from the Democratic People's Republic of Korea.

This section prohibits the Department of Defense and the Central Intelligence Agency from transferring funds available for any fiscal year for drug interdiction or counter-drug activities to any other federal department or agency, except as specifically provided in an appropriations law.

This section appropriates $24 million to the Department of Defense for a grant to the United Service Organizations (USO), upon the Secretary of Defense's determination that it serves the national interest.

This section requires Small Business Innovation Research (SBIR) program and Small Business Technology Transfer (STTR) program set-asides—typically 3.2% and 0.45%, respectively, of an agency's extramural research, development, test, and evaluation budget—to be taken proportionally from all programs, projects, or activities to the extent they contribute to the extramural budget, notwithstanding other provisions of the Act. The section further requires the Secretary of each military department, the Director of each Defense Agency, and the head of each other relevant Department of Defense component to submit to the congressional defense committees, concurrent with budget justification documents under 31 U.S.C. 1105, a report detailing such set-asides taken from programs, projects, or activities within their department, agency, or component during the most recently completed fiscal year.

This section prohibits the Department of Defense from obligating or expending funds provided under this Act to reimburse a contractor for any employee costs that (1) constitute a bonus or exceed normal salary paid to the employee and (2) are part of restructuring costs associated with a business combination.

This section authorizes the transfer of up to $30 million from appropriations under the Operation and Maintenance, Defense-Wide heading to military personnel appropriations during the current fiscal year. The transferred funds support pay for such personnel providing assistance to eligible non-Department of Defense organizations and activities under 10 U.S.C. 2012 (which permits units or members of the armed forces to provide such support if authorized by law or incidental to military training, subject to requirements including a specific request from the recipient organization and no adverse impact on training quality).

This section authorizes the Chief of the National Guard Bureau to permit any person or entity to use equipment of the National Guard Distance Learning Project—used for online training of National Guard personnel—on a space-available, reimbursable basis, with reimbursement amounts set case-by-case. Amounts collected are credited to project funds without fiscal year limitation to defray associated costs.

This section prohibits the obligation or expenditure of funds appropriated by this or prior Acts to retire, prepare to retire, place in storage, or place in backup aircraft inventory status any C-40 aircraft (i.e., military variants of the Boeing 737 used for distinguished visitor transport). The prohibition does not apply to an individual C-40 aircraft that the Secretary of the Air Force determines on a case-by-case basis to be no longer mission capable due to a Class A mishap (i.e., an aviation accident causing death, permanent total disability, or $2 million or more in damage), provided the Secretary certifies to the congressional defense committees that the status results from the mishap and not from lack of maintenance, repairs, or other reasons.

This section prohibits the use of funds appropriated in title IV (Research, Development, Test, and Evaluation accounts) to procure end-items for delivery to military forces for operational training, operational use, or inventory requirements, except for end-items used in development, prototyping pursuant to an approved test strategy, and test activities leading to operational acceptance. It requires (1) the Under Secretaries of Defense for Research and Engineering and for Acquisition and Sustainment, in coordination with the relevant Service Acquisition Executive, to certify any bona fide need for budgeted end-items exceeding approved test strategy requirements; (2) the Secretary of Defense to submit a report detailing title IV fund uses for such end-items, including applicable statutory authorities for each; and (3) the Secretary to certify FY2027 title IV requests' compliance with the prohibition—all submitted with the President's FY2027 budget under 31 U.S.C. 1105 (with an exception for National Intelligence Program funds). (Thus, the provision ensures RDT&E funds support development and testing rather than operational procurement.) The Secretary may waive the prohibition on a case-by-case basis by certifying to the Defense Appropriations Subcommittees that doing so serves the national security interest.

This section prohibits the obligation or expenditure of funds appropriated by this or other Department of Defense Appropriations Acts for repairs or maintenance to military family housing units, including areas in such units used for official Department of Defense business.

This section prohibits the obligation of funds appropriated under Research, Development, Test, and Evaluation, Defense-Wide for any new start demonstration project valued over $5 million in the Defense Innovation Acceleration program (PE 0603838D8Z) or Rapid Prototyping program (PE 0604331D8Z) until 15 days after the congressional defense committees receive a report describing the project, planned acquisition and transition strategy, and estimated annual and total costs. The Secretary of Defense may waive this restriction on a case-by-case basis by certifying to the committees that it is in the national interest.

This section directs the Secretary of Defense to continue providing a classified quarterly report to the Defense Subcommittees of the House and Senate Appropriations Committees on matters specified in the classified annex accompanying this Act.

This section authorizes members of the National Guard serving on full-time National Guard duty under 32 U.S.C. §502(f)—typically for federally funded state missions such as counterdrug operations or civil support—to perform duties in support of the ground-based elements of the National Ballistic Missile Defense System (i.e., Ground-based Midcourse Defense), notwithstanding the restrictions in 10 U.S.C. §12310(b).

This section prohibits the use of funds provided in this Act to transfer to nongovernmental entities Department of Defense-held ammunition that is a center-fire cartridge designated as “armor penetrator”, “armor piercing (AP)”, “armor piercing incendiary (API)”, “armor-piercing incendiary tracer (API–T)”, “general purpose (GP)”, “special purpose (SP)” except 9mm, or “enhanced performance round (EPR)”. The prohibition does not apply to transfers to entities performing demilitarization services under a DoD contract, provided the entity demonstrates the projectiles are either rendered incapable of reuse or used to manufacture ammunition for DoD or for export under a State Department license.

This section authorizes the Chief of the National Guard Bureau, or a designee, to waive all or part of the consideration (i.e., fair market value rent) otherwise required under 10 U.S.C. §2667 for leases of personal property for up to one year to organizations specified in 32 U.S.C. §508(d) (i.e., those eligible for National Guard youth challenge program assistance) or other youth, social, or fraternal nonprofit organizations approved by the Chief on a case-by-case basis.

This section designates $218,015,597 of the amounts appropriated for Operation and Maintenance, Army as available until expended for specified projects. It authorizes the Secretary of Defense to (1) transfer such funds to other federal government activities; (2) enter into contracts for real property acquisition, construction, personal services, and operations related to those projects, including indemnification as necessary; and (3) ensure such projects comply with applicable federal, state, and local laws to the maximum extent consistent with national security, as determined by the Secretary.

This section prohibits the use of appropriated funds to modify (1) the appropriations account structure for the National Intelligence Program (NIP) budget, including through creation of a new appropriation or account; (2) the presentation of the NIP budget request in unclassified P–1, R–1, and O–1 documents supporting the Department of Defense budget request; (3) the process by which NIP appropriations are apportioned to executing agencies; or (4) the process by which NIP appropriations are allotted, obligated, and disbursed. Such prohibition does not apply to mergers of programs or changes to the NIP budget at or below the Expenditure Center level, if otherwise compliant with the restrictions in paragraphs (1)–(3). The section authorizes the Director of National Intelligence and Secretary of Defense to jointly study and develop detailed proposals for alternative financial management processes, solely to achieve auditable financial statements and improve fiscal reporting. The study must include a comprehensive counterintelligence risk assessment to ensure no adverse counterintelligence effects. Upon developing proposals, the Director and Secretary must provide them to affected agencies, obtain certifications from those agencies that the alternatives will aid auditability and fiscal reporting without harming counterintelligence, and submit the proposals and certifications to the congressional defense and intelligence committees not later than 30 days after receiving all certifications.

This section appropriates $400 million to the Department of Defense for transfer to operation and maintenance, procurement, and research, development, test, and evaluation accounts to support efforts by the Commander, United States Africa Command, or Commander, United States Southern Command, to expand cooperation, share operational information, advance interoperability, or improve capabilities of allies and partners in their areas of operation ($200 million each). Funds may not be obligated or expended until 30 days after the Secretary of Defense submits an execution plan to the congressional defense committees; transfers require 15 days' prior notice to those committees; transferred amounts merge with and become available for the same purposes and time period as the receiving appropriation; and the transfer authority is in addition to any other such authority in this Act.

This section authorizes each military department to transfer up to $11 million from its Operation and Maintenance appropriation in title II (Army, Navy, or Air Force) to its central fund for Fisher Houses and Suites for the current fiscal year. (Fisher Houses and Suites provide temporary lodging for families of service members and other eligible individuals receiving medical care at military facilities.)

This section authorizes the transfer of up to $1 million from appropriations for Operation and Maintenance, Navy, to the John C. Stennis Center for Public Service Development Trust Fund (2 U.S.C. 1105). (As background, the Trust Fund supports the John C. Stennis Center for Public Service Training and Development, which provides leadership and professional development programs primarily for congressional staff and employees.)

This section prohibits the obligation of Department of Defense funds to modify command and control relationships to give Fleet Forces Command operational and administrative control of U.S. Navy forces assigned to the Pacific Fleet. It maintains such relationships as they existed on October 1, 2004, until the House and Senate Committees on Appropriations receive written notification of a proposed modification, which may be implemented 30 days later unless either committee objects, provided the modification does not preclude the U.S. Indo-Pacific Command commander from meeting operational requirements.

This section requires notices submitted to the House and Senate Committees on Appropriations under 10 U.S.C. 3601—concerning procedures for the urgent acquisition and deployment of capabilities needed in response to urgent operational needs—to be submitted concurrently to the Subcommittees on Defense of those committees.

This section designates $500,000,000 from appropriations under the headings “Procurement, Defense-Wide” and “Research, Development, Test and Evaluation, Defense-Wide” for Israeli Cooperative Programs, allocating: (1) $60,000,000 for the Secretary of Defense to provide to Israel for Iron Dome procurement to counter short-range rocket threats, subject to the U.S.-Israel Iron Dome Procurement Agreement, as amended; (2) $127,000,000 for the Short Range Ballistic Missile Defense (SRBMD) program, including cruise missile defense research and development; (3) $40,000,000 for co-production activities of SRBMD systems in the United States and Israel, subject to the U.S.-Israeli co-production agreement for SRBMD, as amended; (4) $100,000,000 for an upper-tier component to the Israeli Missile Defense Architecture, all for co-production activities of Arrow 3 Upper Tier systems in the United States and Israel, subject to the U.S.-Israeli co-production agreement for Arrow 3 Upper Tier, as amended; and (5) $173,000,000 for the Arrow System Improvement Program, including development of a long-range, ground- and airborne-detection suite.

This section provides $1,676,587,000, available until September 30, 2026, from amounts appropriated under the heading “Shipbuilding and Conversion, Navy” for prior-year shipbuilding cost increases for the following programs: (1) 2013/2026 Carrier Replacement Program, $150,000,000; (2) 2016/2026 Virginia Class Submarine Program, $121,538,000; (3) 2016/2026 DDG 51 Program, $14,892,000; (4) 2017/2026 Virginia Class Submarine Program, $99,116,000; (5) 2017/2026 DDG 51 Program, $62,365,000; (6) 2017/2026 LHA Replacement Program, $93,603,000; (7) 2018/2026 Virginia Class Submarine Program, $289,761,000; (8) 2018/2026 DDG 51 Program, $104,238,000; (9) 2018/2026 LPD Flight II Program, $93,442,000; (10) 2018/2026 Oceanographic Ships Program, $6,015,000; (11) 2019/2026 Littoral Combat Ship Program, $5,766,000; (12) 2019/2026 T–AO Fleet Oiler Program, $15,400,000; (13) 2019/2026 Ship to Shore Connector Program, $15,480,000; (14) 2020/2026 CVN Refueling Overhauls, $483,100,000; (15) 2020/2026 T–AO Fleet Oiler Program, $48,260,000; (16) 2022/2026 T–AO Fleet Oiler Program, $19,650,000; (17) 2022/2026 Expeditionary Sea Base Program, $30,000,000; (18) 2022/2026 Expeditionary Fast Transport Program, $11,231,000; (19) 2023/2026 T–AO Fleet Oiler Program, $6,530,000; and (20) 2024/2026 T–AO Fleet Oiler Program, $6,200,000.

This section deems funds appropriated or made available by transfer in this Act for intelligence or intelligence-related activities to be specifically authorized by Congress for purposes of 50 U.S.C. 3094 during FY2026 until enactment of the Intelligence Authorization Act for Fiscal Year 2026. (Thus, this provision enables intelligence agencies to obligate and expend such funds notwithstanding the prerequisites in 50 U.S.C. 3094(a), which generally require specific congressional authorization for intelligence activities.)

This section prohibits the obligation or expenditure of funds provided in this Act through reprogramming to create or initiate a new program, project, or activity unless it must be undertaken immediately in the interest of national security and after written prior notification to the congressional defense committees.

This section authorizes the Secretary of Defense to transfer up to $40 million from any available Department of the Navy appropriation to any available Navy ship construction appropriation to liquidate changes from inflation, market fluctuations, or rate adjustments in ship construction programs appropriated by law. Transfers require 30 days' prior notice to the House and Senate Appropriations Committees (unless responded to sooner), retain the original funds' period of availability, are in addition to other transfer authorities in the Act, and this authority expires on September 30, 2030.

This section prohibits the use of funds appropriated by this Act to reduce or disestablish the 53rd Weather Reconnaissance Squadron of the Air Force Reserve if such action would reduce the WC-130 weather reconnaissance mission (i.e., Air Force Reserve "Hurricane Hunters" flights into tropical cyclones for forecast data) below levels funded in this Act. The section further directs the Air Force to allow the squadron to perform other national defense missions during the non-hurricane season.

This section prohibits the use of funds provided in this Act for integrating foreign intelligence information unless the information has been lawfully collected and processed during authorized foreign intelligence activities. It further requires that information pertaining to United States persons be handled in accordance with Fourth Amendment protections as implemented through Executive Order No. 12333 (i.e., the executive order governing U.S. intelligence activities).

This section limits the availability for obligation of funds appropriated by this Act for Office of the Director of National Intelligence (ODNI) programs to the current fiscal year, except for research and technology funds, which remain available until September 30, 2027.

This section deems any subdivision of appropriations under the “Shipbuilding and Conversion, Navy” heading in this Act to be for the same purpose as any such subdivision in prior fiscal years for purposes of the 1% rescission limitation in 31 U.S.C. §1553(b), with that limitation applying to the total amount appropriated under the heading.

This section directs the Director of National Intelligence to submit to the congressional intelligence committees, not later than 60 days after enactment, a report establishing the baseline for reprogramming and transfer authorities applicable to National Intelligence Program funds for FY2026. The report must include (1) a table for each appropriation showing the President's budget request, congressional adjustments, adjustments due to enacted rescissions (if applicable), and the FY2026 enacted level, delineated by expenditure center and project; and (2) identification of items of special congressional interest. No such funds may be reprogrammed or transferred until the report is submitted, unless the Director certifies in writing that it is necessary as an emergency requirement.

This section prohibits obligation or expenditure of National Intelligence Program funds through reprogramming or transfer under section 102A(d) of the National Security Act of 1947 (50 U.S.C. 3024(d)) for (1) new start efforts; (2) termination of programs with $10 million or more in appropriated funding; (3) transfers into or out of the National Intelligence Program; or (4) transfers between appropriations unless the congressional intelligence committees are notified 30 days in advance (reducible for urgent national security requirements). It further prohibits such actions resulting in a cumulative increase or decrease to levels specified in the classified annex accompanying the Act without the same 30-day advance notification to the committees.

This section requires agencies receiving funds under this Act to post on their public websites any report required to be submitted to Congress by this or any other Act, if the agency head determines it serves the national interest, subject to exceptions and conditions. The requirement does not apply if (1) posting the report would compromise national security or (2) the report contains proprietary information; further, posting may occur only after the report has been available to the requesting congressional committees for at least 45 days.

This section prohibits the use of appropriated funds for any federal contract exceeding $1,000,000 unless the contractor agrees (1) not to enter into any employment or independent contractor agreement requiring arbitration of claims under Title VII of the Civil Rights Act of 1964 (i.e., prohibiting employment discrimination) or tort claims arising from sexual assault or harassment (including assault and battery, intentional infliction of emotional distress, false imprisonment, or negligent hiring, supervision, or retention); and (2) not to enforce any existing such agreement. The section further requires contractors to certify that covered subcontractors (i.e., those with subcontracts exceeding $1,000,000) agree to the same restrictions; exempts unenforceable agreements; and authorizes the Secretary of Defense (or Deputy Secretary) to waive the prohibitions for national security reasons, with a detailed determination transmitted to Congress and publicly released at least 15 business days before contract award.

This section authorizes the transfer of up to $165 million from funds appropriated for operation and maintenance, Defense Health Program, to the Joint Department of Defense–Department of Veterans Affairs Medical Facility Demonstration Fund for operations of the Captain James A. Lovell Federal Health Care Center (i.e., the integrated North Chicago Veterans Affairs Medical Center, Navy Ambulatory Care Center, and supporting facilities designated as a combined federal medical facility). Additional transfers from such funds to the demonstration fund are permitted upon written notification by the Secretary of Defense to the congressional defense appropriations committees.

This section waives price or other limitations applicable to passenger-carrying vehicles and authorizes the Department of Defense to use appropriations to purchase (1) heavy and light armored vehicles for the physical security of personnel or force protection purposes up to $450,000 per vehicle; and (2) passenger motor vehicles up to $75,000 per vehicle for use by military and civilian employees in the United States Central Command area of responsibility.

This section authorizes the Director of National Intelligence, with Office of Management and Budget approval, to transfer up to $1,500,000,000 of funds made available in this Act for the National Intelligence Program for higher priority items based on unforeseen intelligence requirements, provided the transfer is necessary and in the national interest and not for items denied by Congress. A request for multiple reprogrammings under this authority must be made prior to June 30, 2026.

This section designates $335 million of the amounts appropriated for Shipbuilding and Conversion, Navy, to remain available until September 30, 2030, for the purchase of three used sealift vessels for the National Defense Reserve Fleet (NDRF), established under the Merchant Ship Sales Act of 1946 (46 U.S.C. 57100 et seq.). The funds are available for reimbursements to the Ready Reserve Force account of the Maritime Administration in the Department of Transportation for NDRF-related programs, projects, activities, and expenses and, notwithstanding 10 U.S.C. 2218, may not be transferred to the National Defense Sealift Fund.

This section prohibits the National Security Agency from using funds appropriated by this Act to (1) conduct acquisitions under section 702 of the Foreign Intelligence Surveillance Act of 1978 (FISA)—which authorizes warrantless electronic surveillance targeting non-U.S. persons reasonably believed to be abroad—for the purpose of targeting a U.S. person; or (2) acquire, monitor, or store the contents of any electronic communication of a U.S. person from a provider of electronic communication services to the public under FISA section 501, which authorizes court orders for the production of tangible things (e.g., communications records) for foreign intelligence purposes.

This section prohibits using funds appropriated by this Act to pay the salary of any officer or employee of an agency funded by this Act who approves or implements the transfer of administrative responsibilities or budgetary resources of any program, project, or activity funded by this Act to the jurisdiction of another federal agency not funded by this Act, absent express congressional authorization. This limitation does not apply to transfers of funds expressly provided for in Department of Defense Appropriations Acts or provisions of Acts providing supplemental appropriations for the Department of Defense.

This section provides $785,052,000, to remain available until expended, from amounts appropriated for Operation and Maintenance, Navy, for any purposes related to the National Defense Reserve Fleet (NDRF). Such funds are available for reimbursements to the Maritime Administration's Ready Reserve Force account within the Department of Transportation for NDRF-related programs, projects, activities, and expenses. (As background, the NDRF consists of U.S. government-owned vessels determined to be of national defense value and maintained by the Secretary of Transportation in consultation with the Secretary of the Navy, including vessels in the Ready Reserve Force component available for military contingencies, sealift, and other permitted uses.)

This section prohibits the use of funds appropriated by this Act for the TAO Fleet Oiler program (i.e., John Lewis-class fleet replenishment oilers) to award new contracts for auxiliary equipment (including pumps) for shipboard services, propulsion equipment (including engines, reduction gears, and propellers), shipboard cranes, spreaders for shipboard cranes, or anchor chains for the seventh and subsequent ships unless those components are manufactured in the United States. This section prohibits the use of funds appropriated by this Act for the FFG(X) Frigate program (i.e., Constellation-class frigates) to award new contracts for air circuit breakers, gyrocompasses, electronic navigation chart systems, steering controls, pumps, propulsion and machinery control systems, totally enclosed lifeboats, auxiliary equipment pumps, shipboard cranes, auxiliary chill water systems, or propulsion propellers unless those components are manufactured in the United States. It further directs the Secretary of the Navy to incorporate U.S.-manufactured propulsion engines and propulsion reduction gears beginning not later than with the eleventh ship.

This section prohibits the use of funds provided in this Act for requirements development, performance specification development, concept design and development, ship configuration development, systems engineering, naval architecture, marine engineering, operations research analysis, industry studies, preliminary design, development of the Detailed Design and Construction Request for Proposals solicitation package, or related activities for the T-ARC(X) Cable Laying and Repair Ship or the T-AGOS(X) Oceanographic Surveillance Ship unless new contracts for such activities specify that all auxiliary equipment, including pumps and propulsion shafts, is manufactured in the United States.

This section prohibits the use of funds appropriated by this Act for Government Travel Charge Card expenses by Department of Defense military or civilian personnel for gaming or for entertainment that includes topless or nude entertainers or participants, as prohibited by Department of Defense Financial Management Regulation, volume 9, chapter 3, and DoD Instruction 1015.10 (enclosures 3, 14a, and 14b).

This section prohibits the use of funds appropriated by this Act to maintain or establish a computer network unless the network is designed to block access to pornography websites, with exceptions for federal, state, tribal, or local law enforcement agencies (or other entities) conducting criminal investigations, prosecutions, or adjudications, and for national defense activities, including intelligence activities.

This section prohibits the Secretary of Defense from obligating or expending any funds to provide motorized vehicles, aviation platforms, munitions other than small arms and munitions appropriate for customary ceremonial honors, operational military units, or operational military platforms if the Secretary determines that doing so would undermine the readiness of such units, platforms, or equipment.

This section prohibits the use of funds appropriated by this or any other Act to enter into contracts, memoranda of understanding, cooperative agreements, grants, loans, or loan guarantees with any corporation that has an unpaid assessed Federal tax liability—for which all judicial and administrative remedies have been exhausted or lapsed and that is not being paid in a timely manner pursuant to an agreement with the relevant authority—if the applicable Federal agency is aware of the liability. The prohibition does not apply if the agency has considered suspending or debarring the corporation and determines that such action is not necessary to protect the interests of the Federal Government.

This section permits amounts appropriated under title IV in budget activity eight of the committee recommended adjustments tables to be used for agile research, development, test and evaluation, procurement, production, modification, and operation and maintenance expenses solely for seven specified Software and Digital Technology Pilot programs: (1) Defensive CYBER - Software Prototype Development (PE 0608041A); (2) Risk Management Information (PE 0608013N); (3) Maritime Tactical Command and Control (PE 0608231N); (4) Space Domain Awareness/Planning/Tasking SW (PE 1208248SF); (5) Global Command and Control System (PE 0303150K); (6) Acquisition Visibility (PE 0608648D8Z); and (7) Enterprise Platforms and Capabilities—Software Pilot Program (PE 0608140D8Z). The section prohibits the obligation or expenditure of funds appropriated by this or prior Department of Defense appropriations acts to initiate additional such programs in FY2026.

This section prohibits the use of funds appropriated by this Act in contravention of specified laws and regulations implementing the United Nations Convention Against Torture, specifically: (1) the criminal statute prohibiting torture outside the United States (18 U.S.C. 2340A), which imposes penalties of fines, up to 20 years' imprisonment, or death if death results; (2) non-refoulement requirements under section 2242 of the Foreign Affairs Reform and Restructuring Act of 1998 (8 U.S.C. 1231 note) and related regulations at 8 CFR part 208 (asylum protections against torture) and 22 CFR part 95 (State Department assurances against torture); and (3) Department of Defense restrictions in sections 1002 and 1003 of the FY2006 emergency supplemental appropriations act (Public Law 109-148), which prohibit inhumane treatment of detainees and require reporting on compliance with the Geneva Conventions and the Convention Against Torture.

This section provides $800 million, to remain available until September 30, 2027, for the Ukraine Security Assistance Initiative (USAI) from amounts appropriated under Operation and Maintenance, Defense-Wide, for the Defense Security Cooperation Agency. (USAI supports Ukraine's military and national security forces, and other government-authorized groups resisting Russian aggression, through training, equipment, lethal assistance, logistics, sustainment, salaries, stipends, and intelligence.) It authorizes the Secretary of Defense, with Secretary of State concurrence, to use the funds for such assistance, replacement of U.S. inventory weapons provided to Ukraine, and recovery or disposal of procured equipment; allows acceptance of returned equipment procured with these or prior USAI funds, treatment of untransferred equipment as Department of Defense stocks upon congressional notice, and acceptance and crediting of foreign contributions (with notifications on receipt and obligation); and requires 15 days' prior written notice to the congressional defense committees before obligating funds, notice within 60 days if not obligated (with reasons), advance consultation for non-Ukrainian groups, and quarterly reports on fund use and status.

This section authorizes the Department of Defense to incur obligations of up to $350 million during the current fiscal year for purposes specified in 10 U.S.C. 2350j(c)—i.e., maintenance, repair, and construction of real property and equipment used by U.S. forces in Kuwait—in anticipation of contributions solely from the Government of Kuwait. Such contributions, upon receipt, are credited to the appropriations or funds that incurred the obligations.

This section provides $1,298,808,000, to remain available until September 30, 2027, from funds appropriated under Operation and Maintenance, Defense-Wide, to the Defense Security Cooperation Agency for International Security Cooperation Programs and other programs supporting foreign security forces or groups in counterterrorism, crisis response, or building partner capacity activities. It requires (1) the Secretary of Defense to notify the congressional defense committees in writing at least 15 days prior to any obligation of these funds and (2) quarterly reports to the House and Senate Committees on Appropriations on the funds' use and status.

This section makes $192,298,000 available to the Defense Security Cooperation Agency, from amounts appropriated under Operation and Maintenance, Defense-Wide, through September 30, 2027, for support authorized by subparagraphs (A) through (E) and (G) through (I) of section 1207 of the National Defense Authorization Act for Fiscal Year 2024 (22 U.S.C. 2151 note). (As background, those subparagraphs authorize Department of Defense security cooperation activities to build the capacity of foreign security forces for purposes including counterterrorism, countering weapons proliferation, and maritime domain awareness.) The section further requires the Secretary of Defense to notify the congressional defense committees in writing at least 15 days prior to any obligation of such funds and to submit quarterly reports on their use and status to the Committees on Appropriations of the House and Senate.

This section prohibits the use of funds appropriated by this Act for excess defense articles, assistance under 10 U.S.C. §333 (i.e., DoD authority to train and equip foreign security forces for counterterrorism and related operations), or peacekeeping operations provided to countries designated annually as violating the Child Soldiers Prevention Act of 2008 (CSPA) from supporting any military training or operation that includes child soldiers, as defined by the CSPA, unless such assistance is permitted under CSPA section 404 (i.e., national interest waiver).

This section requires transfers of funds appropriated by this Act, pursuant to 10 U.S.C. §331(d), to provide support to friendly foreign countries for operations in which the United States is not participating to comply with the general transfer authority in sec. 8005 of this Act (notwithstanding any other provision of law). (Thus, such transfers are subject to specified dollar limits, reprogramming notifications to congressional defense committees, and other conditions typically applicable to Department of Defense fund transfers.)

This section prohibits the Department of Defense from using appropriated funds to enter into contracts, memoranda of understanding, cooperative agreements, grants, loans, or loan guarantees with Rosoboronexport (i.e., Russia's state-owned arms exporter) or its subsidiaries. The Secretary of Defense may waive this prohibition, in consultation with the Secretary of State and Director of National Intelligence, upon determining it is vital to U.S. national security interests and certifying to congressional defense committees that (1) Rosoboronexport has ceased transferring or maintaining lethal military equipment for Syria; (2) Russian armed forces have withdrawn from Ukraine; and (3) Russian agents have ceased destabilizing Ukraine's government control over eastern Ukraine. The DoD Inspector General must review any waived action involving Rosoboronexport and submit a report with results to congressional defense committees within 90 days of the waiver.

This section appropriates $1,925,311,000 to the Department of Defense, in addition to amounts in title II or elsewhere in this Act, for transfer to operation and maintenance accounts of the Army, Navy, Marine Corps, Air Force, and Space Force (including National Guard and Reserve) to improve military readiness, with such transfer authority in addition to any other in this Act. Funds may not be obligated or expended until 30 days after the Secretary of Defense submits a detailed execution plan to the House and Senate Appropriations Committees.

This section directs the Secretary of Defense to allocate specified amounts from the CHIPS for America Defense Fund (established under the CHIPS Act of 2022 to support national security-related semiconductor supply chain activities) for FY2026—pursuant to the fund's transfer authority—to the accounts, projects, and activities listed in the table titled “Department of Defense Allocation of Funds: CHIPS and Science Act Fiscal Year 2026” in the report accompanying this Act, within 45 days of enactment. The section (1) prohibits allocation of additional fund amounts under specified CHIPS Act transfer authority during periods when a DoD appropriations act is in effect, except for continuing administration of prior allocations in amounts not exceeding those specified for FY2026; (2) authorizes reallocation of FY2026 funds, subject to specified general transfer provisions, solely for requirements under the semiconductor workforce development pilot program; (3) requires the Secretary, with the FY2027 budget submission, to provide proposed allocations and justifications for FY2027 fund amounts; and (4) requires quarterly reports to the House and Senate Appropriations Committees on the status of FY2026 project balances, including uncommitted, committed, and unobligated funds.

This section designates $47 million from funds appropriated under Operation and Maintenance, Defense-Wide for continued implementation and expansion of the Sexual Assault Special Victims’ Counsel Program (i.e., provides dedicated military judge advocates as legal counsel to sexual assault victims in the armed forces). The funds may be transferred to the Departments of the Army, Navy, and Air Force, merged with and available for the same purposes and time period as the receiving appropriations, with such transfer authority in addition to any other provided in the Act.

This section prohibits the use of funds provided by this Act to fund any work performed by EcoHealth Alliance, Inc. in China on research supported by the government of China unless the Secretary of Defense grants a waiver determining it is in the national security interests of the United States. The Secretary must submit to the congressional defense committees, not later than 14 days after granting the waiver, a detailed justification including (1) identification of the Department of Defense entity obligating or expending the funds; (2) identification of the amount of such funds; (3) identification of the intended purpose of such funds; (4) identification of the recipient or prospective recipient (including any third-party entity); (5) an explanation of how the waiver serves U.S. national security interests; and (6) any other information the Secretary determines appropriate.

This section prohibits the use of appropriated or otherwise available funds to transfer, release, or assist in the transfer or release to or within the United States, its territories, or possessions, of Khalid Sheikh Mohammed or any other detainee who (1) is not a United States citizen or a member of the Armed Forces of the United States and (2) is or was held on or after June 24, 2009, at United States Naval Station, Guantanamo Bay, Cuba, by the Department of Defense.

This section prohibits the use of funds appropriated or otherwise made available by this Act to transfer any individual detained at U.S. Naval Station, Guantanamo Bay, Cuba, to the individual's country of origin, any other foreign country, or any other foreign entity unless the transfer complies with certification requirements in section 1034 of the National Defense Authorization Act for Fiscal Year 2016 (P.L. 114-92) and section 1035 of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 (P.L. 115-232).

This section prohibits the use of funds appropriated by this or any other Act to construct, acquire, or modify any facility in the United States, its territories, or possessions to house, detain, or imprison non-U.S. citizen non-U.S. Armed Forces members who, as of June 24, 2009, were located at United States Naval Station, Guantanamo Bay, Cuba, and in Department of Defense custody or under detention there. The prohibition does not apply to modifications of facilities at Guantanamo Bay, Cuba.

This section authorizes the Secretary of Defense to use up to $650 million of Department of Defense appropriations provided in this Act for rapid acquisition and deployment of supplies and associated support services pursuant to 10 U.S.C. 3601 procedures for urgent operational needs (i.e., capabilities fieldable within two to 24 months using proven, available technologies; rapid prototyping or fielding pathways; or replenishment of U.S. defense stockpiles or associated transport after aid to allies or partners responding to armed attacks by countries of concern). Such authority applies only to purposes specified in clauses (i) through (iv) of 10 U.S.C. 3601(c)(3)(B), subject to limits in clauses (i) through (iii) thereof and $50 million for clause (iv), or to purposes under sec. 229 of the National Defense Authorization Act for Fiscal Year 2024 (Public Law 118-31) subject to a $100 million limit, and requires prompt notification to the congressional defense committees of all uses.

This section provides $1,500,000,000, to remain available until September 30, 2027, from funds appropriated under Operation and Maintenance, Defense-Wide for the Defense Security Cooperation Agency for the Indo-Pacific Security Assistance Initiative (IPSAI). (IPSAI, established by the FY2023 National Defense Authorization Act, enables the Department of Defense to provide defense articles, services, training, and supplies to Indo-Pacific partners.) The funds are available to the Secretary of Defense, with the concurrence of the Secretary of State, for assistance to Taiwan, including new procurement of defense articles, services, and military education and training; allows untransferred or returned equipment to be treated as Department of Defense stocks upon written notification to the congressional defense committees; requires written notification to those committees at least 15 days prior to obligating funds; and requires quarterly reports to those committees on fund use and status.

This section authorizes the Secretary of Defense to reimburse the Federated States of Micronesia up to $34 million from amounts appropriated under the Operation and Maintenance, Air Force heading in title II of this Act for land acquisition costs for defense sites in Yap.

This section reduces appropriations in title II of this Act by $850 million to reflect excess cash balances in Department of Defense Working Capital Funds (i.e., revolving funds that finance services such as depot maintenance and supply management), as follows: (1) $350 million from Operation and Maintenance, Army; and (2) $500 million from Operation and Maintenance, Air Force.

This section requires the Department of Defense, in providing federal financial assistance to institutions of higher education, to continue applying negotiated indirect cost rates under 2 CFR §200.414—including with respect to deviations—as in FY2024 and prohibits using appropriated funds to develop, modify, or implement changes to those rates. (Negotiated indirect cost rates reimburse universities for overhead expenses such as administration and facilities on federal research grants.)

This section provides $150 million from the Operation and Maintenance, Defense-Wide appropriation, to remain available until September 30, 2027, for replacement of defense articles and reimbursement of defense services provided to or identified for provision to Taiwan. Such funds may be transferred to appropriations under titles II, III, IV, and V of this Act for replacement through new procurement or repair of defense articles from Department of Defense stocks and for reimbursement of Department of Defense services and military education and training provided to Taiwan or to foreign countries that have provided support to Taiwan at the request of the United States. (Thus, the provision enables replenishment of U.S. defense stocks depleted by aid to Taiwan and reimburses related support from allies.)