← LEADERSHIP TERMINAL

US CONGRESS · SITTING

Mike D. Rogers

Representative for Alabama · Republican · United States

IN THEIR OWN WORDS

(8) An assessment of NATO's deterrence efforts in Romania, including a description and evaluation of-- (A) United States force posture in Romania, including any new rotations to Romania intended to enhance deterrence following the 2025 decision to end the rotational presence of a United States brigade; (B) consultations with NATO allies r…

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(8) An assessment of NATO's deterrence efforts in Romania, including a description and evaluation of-- (A) United States force posture in Romania, including any new rotations to Romania intended to enhance deterrence following the 2025 decision to end the rotational presence of a United States brigade; (B) consultations with NATO allies r…

NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 2027 · 2026-07-21 · READ IN THE CONGRESSIONAL RECORD

(a) Requirement for Risk-based Approach.--Section 3843 of title 10, United States Code, is amended to read as follows: ``Sec. 3843. Contractor business systems: monitoring and surveillance standards ``(a) Requirement for Risk-based Approach.--The Secretary shall implement an agile, streamlined risk-based approach to surveillance of contra…

NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 2027 · 2026-07-21 · READ IN THE CONGRESSIONAL RECORD

(a) Requirement for Risk-based Approach.--Section 3843 of title 10, United States Code, is amended to read as follows: ``Sec. 3843. Contractor business systems: monitoring and surveillance standards ``(a) Requirement for Risk-based Approach.--The Secretary shall implement an agile, streamlined risk-based approach to surveillance of contra…

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(b) Modification of Certain Certifications and Assessments.-- (1) Certifications.--Section 1249(b) of the National Defense Authorization Act for Fiscal Year 2026 (Public Law 119-60) is amended-- (A) in the matter preceding paragraph (1), by striking ``The certification described'' and inserting following: ``(1) In general.--Except as prov…

NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 2027 · 2026-07-21 · READ IN THE CONGRESSIONAL RECORD

(b) Objectives.--The Commander shall ensure that the Cognitive Performance Enhancement Program-- (1) improves readiness, resilience, and recovery, using evidence-based holistic and proactive high-performance brain training that has a validated ability to scale cost- effectively across the special operations forces enterprise; [[Page H4842…

NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 2027 · 2026-07-21 · READ IN THE CONGRESSIONAL RECORD

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  1. (f) Metrics and Mechanisms for Oversight.--In carrying out this section, the Secretary shall establish metrics and oversight mechanisms for-- (1) contractor performance; (2) schedule adherence; (3) cost performance relative to the established baseline cost; (4) effects on the industrial base and workforce sustainment; and (5) effects on fleet readiness and operational availability.

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  2. (d) Notification of Contract Termination.--Not later than 30 days after any date on which the Secretary terminates the contract required under subsection (a)(1), or any task order under such contract, the Secretary shall submit to the congressional defense committees a notice of such termination, including a justification for such termination. (e) Applicability of Foreign Shipyard Restrictions.--The limitations under section 8680 of title 10, United States Code, shall apply with respect to the maintenance, repair, and overhaul of covered vessels pursuant to any task order issued under the contract required under subsection (a)(1).

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  3. (c) Considerations for Category Determination.--In determining categories of covered vessels for purposes of the contract required under subsection (a)(1), the Secretary shall consider-- (1) the facilities, capabilities, and industrial capacity required to carry out maintenance, repair, and overhaul activities for covered vessels; [[Page H4835]] (2) the need to ensure adequate competition, and prevent the over-concentration of workload, among private shipyards; and (3) options for task orders issued under such contract to incorporate multiple covered vessels.

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  4. (5) A cost baseline for such maintenance, repair, and overhaul, and a methodology for evaluating potential savings or financial risks associated with such contract. (6) An identification of risks to such maintenance, repair, and overhaul associated with schedule disruptions, supply chain delays, or industrial base shortfalls, and a description of mitigation strategies and contingency planning for such risks.

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  5. (2) For each such category, an identification of the availability of parts and supply chain capacity, forecasting, and planning necessary to support the maintenance, repair, and overhaul of covered vessels across availability periods. (3) An identification of standardized work-item sequencing, bundling, and planning requirements to enable predictable maintenance, repair, and overhaul of covered vessels across availability periods. (4) An assessment of the adequacy of facilities for such maintenance, repair, and overhaul, including with respect to workforce capacity, dry dock and pier availability, and long- term infrastructure necessary to sustain workload requirements under such contract.

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  6. (b) Pre-contract Requirements.--Prior to entering into the contract required under subsection (a)(1) or issuing any task order under such contract, but not later than 180 days after the date of the enactment of this Act, the Secretary shall submit to the congressional defense committees a report containing the following information: (1) A determination by the Secretary of the categories of covered vessels to be used for purposes of such contract, consistent with subsection (c), including the number, classes, and anticipated availability schedules of vessels the maintenance, repair, and overhaul of which is to be addressed by each task order issued under such contract.

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  7. (2) Responsibilities of contractors.--Each task order issued under the contract required under paragraph (1) shall require the private shipyard performing work under the task order for a category of covered vessels to be responsible for any routine, scheduled, or corrective life-cycle maintenance or repair activity of such vessels assigned to such shipyard under such task order. (3) Minimum term duration.--The Secretary shall ensure that the term for any contractor that is a party to the indefinite delivery-indefinite quantity contract required under paragraph (1) is not less than five years after the date on which such contract is entered into.

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  8. (a) Indefinite Delivery-indefinite Quantity Contract.-- (1) Requirement.--The Secretary of the Navy shall enter into an indefinite delivery-indefinite quantity contract for the maintenance, repair, and overhaul of covered vessels, and shall issue task orders under such contract for the performance of such activities, across availability periods, by private shipyards, with a separate task order for each category of covered vessel determined by the Secretary consistent with subsection (c).

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  9. (b) Surface Combat Ship Defined.--In this section, the term ``surface combat ship''-- (1) means a surface ship that-- (A) is designed primarily to engage in attacks against airborne, surface, subsurface, and shore targets; and (B) uses a propulsion system that is not nuclear-based; and (2) includes any-- (A) guided missile cruiser; (B) guided missile destroyer; (C) guided missile frigate; and (D) littoral combat ship. SEC. 1018. CONTRACTING REFORM FOR SURFACE SHIP MAINTENANCE, REPAIR, AND OVERHAUL.

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  10. INCLUSION OF NAVY SURFACE COMBAT SHIP MAINTENANCE AS A SEPARATE LINE ITEM IN OPERATION AND MAINTENANCE BUDGET. (a) In General.--The budget of the President submitted to Congress under section 1105(a) of title 31, United States Code, for fiscal year 2028 and each subsequent fiscal year, shall display Navy surface combat ship maintenance as one or more separate line items under each subactivity within operation and maintenance, Navy.

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  11. ``(2) Measures to determine a total cost and schedule for investments needed to enhance the performance of the surface ship industrial base to the extent to which it can support the goals of the Navy for surface ship construction and sustainment. ``(3) Measures to identify roles, responsibilities, and mechanism for coordination and data sharing between all entities within the Department of Defense involved in investing in and supporting the maritime industrial base. ``(4) Measures to conduct an analysis of the capacity of the Department of Defense to effectively plan for, award, and oversee investments in the maritime industrial base and, if relevant offices do not have sufficient capacity, determine how to increase capacity.''. SEC. 1017.

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  12. Section 1019 of the National Defense Authorization Act for Fiscal Year 2026 (Public Law 119-60; 139 Stat. 1032; 10 U.S.C. 8661 note) is amended-- (1) in subsection (a), by striking ``programs'' and inserting ``and sustainment''; and (2) by adding at the end the following new subsection: ``(d) Additional Measures.--Not later than 180 days after the date of the National Defense Authorization Act for Fiscal Year 2027, the Secretary shall include each of the following measures in the strategy required under subsection (a): ``(1) Measures to determine a total cost and schedule for investments needed to enhance the performance of the submarine industrial base to the extent to which it can support the production of one Columbia class submarine and two Virginia class submarines each year and improve in- service submarine maintenance to achieve the goals of the Navy for operational availability.

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  13. (c) Report.--Not later than 120 days after the date of the enactment of this Act, the Secretary of the Navy shall submit to the congressional defense committees a report that includes-- (1) a prioritized list of naval auxiliary vessels to be equipped with armament pursuant to section 8699 of title 10, United States Code, as added by subsection (a); (2) recommended weapon systems for each class of vessel; (3) cost estimates and installation timelines for providing such armament; (4) manning and training requirements for each such vessel pursuant to subsection (c) of such section; and (5) any legislative or regulatory barriers to the implementation of such section. SEC. 1016. ADDITIONAL MEASURES FOR NAVY STRATEGY FOR INVESTMENT IN AND SUPPORT FOR THE MARITIME INDUSTRIAL BASE.

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  14. (b) Deadline for Implementation.--The Secretary shall-- (1) begin implementation of section 8699 of title 10, United States Code, as added by subsection (a), by not later than 180 days after the date of the enactment of this Act; and (2) in implementing such section, prioritize vessels supporting forward-deployed or contested logistics operations.

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  15. ``(b) Minimum Capabilities.--Armament provided pursuant to subsection (a) may include, at the discretion of the Secretary, any of the following: ``(1) Close-in weapon systems or equivalent point-defense systems. ``(2) Crew-served weapons and stabilized naval gun systems. ``(3) Counter-unmanned aerial system capabilities. ``(4) Electronic warfare and decoy systems. ``(5) Modular or containerized weapon systems capable of rapid installation and scaling across classes of vessels. ``(c) Manning and Training.--The Secretary shall ensure that each vessel equipped pursuant to subsection (a) is-- ``(1) provided with adequately trained personnel to operate and maintain the armament provided to the vessel; and ``(2) integrated, as appropriate, with Navy reserve or other augmentation forces for wartime operations.''.

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  16. Armament of naval auxiliary vessels ``(a) In General.--(1) Except as provided under paragraph (2), the Secretary of the Navy shall ensure, to the maximum extent practicable, that each naval auxiliary vessel operated by the Military Sealift Command and designated as a United States Naval Ship is equipped with defensive armament sufficient to provide for the self-defense of the vessel against air, surface, and asymmetric threats in contested environments. ``(2) The requirement under paragraph (1) does not apply to a vessel that is designated as a hospital ship and is protected from attack or capture under the Convention (II) for the Amelioration of the Condition of Wounded, Sick and Shipwrecked Members of Armed Forces at Sea done at Geneva August 12, 1949.

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  17. Such report shall include, for each such option, an assessment of-- (A) the overall timing of the application of such option each Wasp-class amphibious assault ship and San Antonio-class amphibious transport dock ship and whether such timing coincides with the optimal service life extension option for the ship; (B) specific modernization program objectives for each class of ship; (C) the amount of funding required to carry out the modernization program; and (D) the capability of the defense industrial base to support the modernization program. SEC. 1015. ARMAMENT OF NAVAL AUXILIARY VESSELS. (a) In General.--Chapter 863 of title 10, United States Code, is amended by adding at the end the following new section: ``Sec. 8699.

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  18. (e) San Antonio-class Maintenance Plan.--Not later than September 30, 2027, the Secretary of the Navy shall submit to the congressional defense committees a mid-life maintenance plan for San Antonio-class amphibious transport dock ships class. (f) Reporting Requirements.--Not later than March 1, 2027, the Secretary of the Navy shall submit to the congressional defense committees the following reports: (1) A report containing an assessment of all LSD-41 and LSD-49 class dock landing ships and, for each such vessel, an identification of options to extend the service life of the vessel. (2) A report on options for the comprehensive development of a modernization program that includes a service-life extension plan for Wasp-class amphibious assault ships and a mid-life maintenance plan for San Antonio-class amphibious transport dock ships.

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  19. (c) Number of Amphibious Warfare Ships.-- Section 8062 of title 10, United States Code, is amended-- (1) in subsection (b), by striking ``31'' and inserting ``33''; (2) in subsection (e)(4), by striking `` scheduled maintenance and repair actions to maintain the minimum number of available amphibious warfare ships to meet operational requirements.'' and inserting ``the required number of amphibious war ships to achieve a 3.0 amphibious ready group/ marine expeditionary unit presence, as determined pursuant to the Global Force Management Implementation Guidance and the certification of the Vice Chairman of the Joint Chiefs of Staff of the marine expeditionary unit presence requirement.'' [[Page H4834]] (d) Modification of Amphibious Warfare Ships.--Section 2244a(b) of title 10, United States Code, is amended by adding at the end the following new paragraph: ``(4) Exception for amphibious warfare ships.--The prohibition in subsection (a) does not apply to a modification to an amphibious warfare ship (as such term is defined in section 8062(h) of this title) during any of fiscal years 2027 through 2034.''.

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  20. ``(B) For each category of risk identified, an assessment of the extent to which the degree of risk is expected to increase, decrease, or remain stable as a result of budgetary priorities, tradeoffs, and fiscal constraints or limitations based on the most recent future-years defense program under section 221 of this title. ``(2) Each risk assessment under this subsection shall be submitted in unclassified form, but may contain a classified annex.''.

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  21. (b) Annual Risk Assessment.--Section 8026 of title 10, United States Code, is amended-- (1) by inserting ``(a) In General.--'' before ``The Secretary''; (2) by adding at the end the following new subsection: ``(b) Risk Assessment.--(1) Not later than March 15 of each year, the Commandant of the Marine Corps shall submit to the Committees on Armed Services of the Senate and House of Representatives an assessment of the risks associated with amphibious forces, which shall be known as the `Amphibious Forces Risk Assessment of the Commandant'. Each such risk assessment shall include, for the year covered by the assessment, each of the following: ``(A) An identification and definition of each level of risk, including the determination of the Commander of what constitutes `significant' risk.

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  22. (a) Sense of Congress.--It is the sense of Congress that-- (1) the requirement of the Navy and Marine Corps to develop and consistently project three amphibious ready groups and the accompanying marine expeditionary units is foundational to the force sizing construct of the Department of the Navy; (2) the Secretary of the Navy should obtain the expected service life of the amphibious ships and require the Navy to rigidly adhere to the direction provided by section 8678a of title 10, United States Code; (3) similar to the analysis conducted on extending the submarine force structure, a comprehensive assessment of all LSD-41 and LSD-49 class dock landing ships should be conducted to assess the viability of extending such ships beyond their expected service life; (4) the budget of the President submitted to Congress under section 1105(a) of title 31, United States Code, should consistently support a comprehensive service life extension program of the Wasp-class amphibious assault ships and fully resource mid-life maintenance of the San Antonio-class amphibious transport dock ships; (5) the Optimized Fleet Response Plan Force generation construct of the Navy, as operating as of the date of the enactment of this Act, sub-optimizes the ability to project amphibious readiness groups; and (6) the Navy should adopt an alternative force generation model that expands the ability to maintain a continuous 3.0 amphibious ready group/marine expeditionary unit presence capable of deploying additional amphibious readiness groups.

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  23. Section 7802 of title 10, United States Code, is amended-- (1) in subsection (b), by striking ``$500,000'' both places it appears and inserting ``$1,000,000''; and (2) in subsection (c), by striking ``$100,000'' and inserting ``$500,000''. SEC. 1014. AMPHIBIOUS FLEET FORCE STRUCTURE.

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  24. (a) Additional Procurement Limitation.--Section 4864(a)(2) of title 10, United States Code, is amended by adding at the following new subparagraphs: ``(G) Auxiliary equipment, including pumps, for all shipboard services. ``(H) Propulsion system components, including engines, shafting, reduction gears, and propellers. ``(I) Shipboard cranes. ``(J) Spreaders for shipboard cranes. ``(K) Air circuit breakers. ``(L) Auxiliary chill water systems.''. (b) Applicability.--The amendments made by subsection (a) shall apply with respect to contracts entered into on or after the date of the enactment of this Act. SEC. 1013. SETTLEMENT OF ADMIRALTY CLAIMS AGAINST THE UNITED STATES.

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  25. (e) Repeal of 30-day Notice-and-wait Period Before Certain Purchases May Be Finalized.--Such paragraph is further amended by striking subparagraph (G). (f) Technical Amendments to Update Citations.--Such section is further amended-- (1) in subsection (d)(3), by striking ``(10 U.S.C. 8661 note)'' and inserting ``(Public Law 101-510; 10 U.S.C. 8661 note)''; and (2) in subsections (f)(2) and (k)(2)(A), by striking ``Public Law 101-510 (104 Stat. 1683)'' and inserting ``the National Defense Authorization Act for Fiscal Year 1991 (Public Law 101-510; 10 U.S.C. 8661 note)''. SEC. 1012. REQUIREMENT FOR PROCUREMENT OF COMPONENTS FOR NAVAL VESSELS FROM MANUFACTURERS IN NATIONAL TECHNOLOGY AND INDUSTRIAL BASE.

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  26. (b) Requirement for Purchase of Two New United States- constructed Vessels for Each Foreign-constructed Used Vessel Purchased in Excess of 12.--Subparagraph (C) of paragraph (3) of subsection (f) of such section is amended to read as follows: ``(C) For each foreign-constructed vessel purchased by the Secretary under the authority of this paragraph in excess of 12, the Secretary shall contract for the purchase of two new vessels each of which is to be constructed in a shipyard located in the United States.''. (c) Clarifying Amendment.--Such paragraph is further amended in subparagraph (D) by striking ``subparagraph (A)'' and inserting ``this paragraph''. (d) Repeal of Obsolete Provision.--Such paragraph is further amended-- (1) by striking subparagraph (E); and (2) by redesignating subparagraph (F) as subparagraph (E).

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  27. (2) Definition of excluded vessel.--Subsection (k) of such section is amended by adding at the end the following new paragraph: ``(6) The term `excluded vessel' means a vessel that was-- ``(A) constructed or substantially modified in the People's Republic of China; or ``(B) built by a Chinese military company or a Chinese owned or controlled entity.''.

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  28. (4) The term ``military department concerned'' means-- (A) the Army, with respect to submissions by the Secretary of the Army; and (B) the Marine Corps, with respect to submissions by the Secretary of the Navy. Subtitle B--Naval Vessels and Shipyards SEC. 1011. MODIFICATION OF AUTHORITY TO PURCHASE USED VESSELS WITH NATIONAL DEFENSE SEALIFT FUND. (a) Exclusion of Vessels Built in China.-- (1) Exclusion.--Subsection (f)(3) of section 2218 of title 10, United States Code, is amended-- (A) in subparagraph (A), by striking ``any used vessel, regardless of where such vessel was constructed'' and inserting ``any used vessel (other than an excluded vessel), regardless of where such vessel was constructed,''; and (B) in subparagraph (B), by inserting ``(other than an excluded vessel)'' after ``a used vessel''.

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  29. (c) Definitions.--In this section: (1) The term ``Army multi-domain task force'' means a formation of the Army designated as such a task force and organized for the conduct of multi-domain operations in support of joint force employment and the operational plans of the commanders of the combatant commands. (2) The term ``covered formation'' means an Army multi- domain task force or a Marine Littoral Regiment. (3) The term ``Marine Littoral Regiment'' means a formation of the Marine Corps designated as such a regiment and organized for the conduct of littoral and expeditionary operations in contested maritime environments in support of the operational plans of the commanders of the combatant commands.

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  30. Each such report shall include-- (1) an identification of the number of personnel authorized to be assigned, and the number of personnel assigned, to such covered formations; (2) an identification of the equipment necessary for full operational capability of such covered formations, versus the equipment available to such covered formations; (3) a description of the status of fielding for long-range fires, air defense, sensing, and command and control capabilities for such covered formations; (4) projected timelines for such covered formations achieving initial operational capability and full operational capability; (5) a detailed assessment of operational risks to such covered formations resulting from any identified constraint on readiness, including any such constraint relating to funding, personnel, equipment, training, the industrial base, or supply chains; and (6) a description of measures to mitigate any risk assessed pursuant to paragraph (5) and resources necessary to restore such covered formations to full operational capability.

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  31. (b) Reports.--Not later than March 1, 2027, and annually thereafter until September 30, 2032, the Secretary of the Army and the Secretary of the Navy shall each submit to the congressional defense committees a report on the covered formations of the military department concerned.

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  32. (a) Consolidated Budget Displays.--In the budget justification materials submitted in support of the budget of the Department of Defense (as submitted with the budget of the President under section 1105(a) of title 31, United States Code) for fiscal year 2028 and each fiscal year thereafter until fiscal year 2032, the Secretary of the Army and the Secretary of the Navy shall each include a consolidated budget display identifying, with respect to the covered formations of the military department concerned-- (1) the number of personnel authorized to be assigned, and the number of personnel assigned, to such covered formations; and (2) the amounts of operation and maintenance funding requested for the training and readiness of such covered formations.

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  33. (d) Reports.--If the Secretary establishes a task force under subsection (a), the Director of the task force shall be responsible for meeting the reporting requirements under section 240b(b) of title 10, United States Code, in a complete and timely manner. SEC. 1006. BUDGET TRANSPARENCY FOR ARMY MULTI-DOMAIN TASK FORCE AND MARINE LITTORAL REGIMENT.

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  34. (4) Leading and supporting engagement with the Inspector General of the Department, the Federal Accounting Standards Advisory Board, other appropriate Federal agencies, and any independent public accounting firms on matters pertaining to the audits of the financial statements of the Department. (5) Coordinating with the Chief Information Officer of the Department on financial system modernization initiatives and the elimination of legacy or duplicative financial systems. [[Page H4833]] (c) Staffing.--If the Secretary establishes a task force under subsection (a), the Secretary of each military department may designate a representative to serve as a Deputy Director of the task force.

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  35. If the Secretary establishes the task force, the Secretary shall designate the Under Secretary of Defense (Comptroller) as the Director of the task force. (b) Responsibilities.--If the Secretary establishes a task force under subsection (a), the task force shall be authorized to carry out the following responsibilities: (1) The development and oversight of the execution of the plan of the Department of Defense to achieve an unmodified financial statement audit opinion by not later than December 31, 2028. (2) The approval, direction, and monitoring of performance on corrective action plans needed to obtain such an unmodified financial statement audit opinion. (3) The provision of support to components of the Department in order to prioritize audit remediation and audit response activities.

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  36. Such briefing shall include the following: (1) An assessment of the use, and effectiveness, of the improper payment detection tool of the Department of Defense Advanced Analytics (ADVANA) platform for the detection and prevention of improper payments, as well as each action taken to address high-risk programs. (2) Comprehensive data on improper payments and recoveries in fiscal years 2025 through 2026. (3) An identification of any additional resources or authorities necessary to strengthen the detection of improper payments. SEC. 1005. AUTHORITY TO ESTABLISH JOINT TASK FORCE AUDIT. (a) Authority to Establish.--In order to support the goal of achieving an unmodified financial statement audit opinion by December 31, 2028, the Secretary of Defense may establish a task force, to be known as ``Joint Task Force Audit''.

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  37. (2) Any such corrective action remaining outstanding, including a timeline for the completion of such action. (c) Audit by Inspector General.--Not later than May 30, 2028, the Inspector General of the Department of Defense shall complete an updated audit of compliance by the Department of Defense with requirements under the Payment Integrity Information Act of 2019 (Public Law 116-117; 31 U.S.C. 3301 note), including a certification of compliance with the requirement under subsection (a). (d) Briefing.--Not later than September 30, 2027, the Under Secretary of Defense (Comptroller) shall provide to the congressional defense committees a briefing on strengthening the recovery audit program of the Department of Defense.

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  38. 3301 note), consistent with the recommendations contained in the report of the Inspector General of the Department of Defense Report titled ``Audit of the Department of Defense's FY 2024 Compliance with Payment Integrity Information Act Requirements'' (DODIG-2025-105) and published on May 27, 2025, including by-- (1) conducting required risk assessments for each program subject to such requirements; and (2) publishing improper and unknown payment estimates for such programs. (b) Notification.--Not later than September 30, 2027, the Under Secretary of Defense (Comptroller) shall submit to the congressional defense committees a notification outlining the following: (1) The corrective actions taken to meet the requirement under subsection (a).

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  39. (b) Deadline for Initial Establishment.--The Under Secretary of Defense (Comptroller) shall establish the equivalency standards required under section 1599d(b) of title 10, United States Code, as amended by subsection (a), by not later than 180 days after the date of enactment of this Act. SEC. 1004. COMPLIANCE WITH PAYMENT INTEGRITY INFORMATION ACT REQUIREMENTS AND STRENGTHENING IMPROPER PAYMENTS DETECTION. (a) Requirement.--Not later than September 30, 2027, the Under Secretary of Defense (Comptroller) shall take such corrective actions as may be necessary to achieve full compliance by the Department of Defense with requirements under the Payment Integrity Information Act of 2019 (Public Law 116-117; 31 U.S.C.

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  40. ``(2) On a basis that is not less frequent than annually, the Secretary shall review the equivalency standards under paragraph (1) and update such standards as may be necessary to reflect changes in the professional certifications or credentials recognized pursuant to such paragraph or modifications to the requirements of the Department for financial management positions.''; and (3) in subsection (e), as so redesignated, by inserting ``, and shall establish, review, and update the equivalency standards under subsection (b),'' after ``standards under subsection (a)''.

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  41. Such equivalency standards shall include-- ``(A) an identification of any test-based professional certification or credential issued by an authority other than the Department that the Secretary recognizes as satisfying, in whole or in part, a standard prescribed under subsection (a); ``(B) an identification of any training or other requirement of the Department for financial management positions required for persons holding a professional certification or credential recognized pursuant to subparagraph (A); and ``(C) rules to prevent duplicative requirements of the Department for such positions with respect to such persons.

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  42. EQUIVALENCY STANDARDS FOR FINANCIAL MANAGEMENT POSITIONS. (a) Equivalency Standards.--Section 1599d of title 10, United States Code, is amended-- (1) by redesignating subsections (b) through (f) as subsections (c) through (g), respectively; (2) by inserting after subsection (a) the following new subsection (b): ``(b) Equivalency Standards.--(1) The Secretary shall include, as part of the standards prescribed under subsection (a), equivalency standards for financial management positions that are applicable across the Department.

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  43. ``(c) Unfunded Priority Defined.-- In this section, the term `unfunded priority', in the case of a fiscal year, means a program, activity, or mission requirement of the POW/MIA Accounting Agency that-- ``(1) is not funded in the budget of the President for the fiscal year as submitted to Congress pursuant to section 1105 of title 31, United States Code; ``(2) is necessary to fulfill a requirement associated with an operational or contingency plan of a combatant command or other validated requirement; and ``(3) would have been recommended for funding through the budget referred to in paragraph (1) by the Director of the POW/MIA Accounting Agency in connection with the budget if additional resources had been available for the budget to fund the program, activity, or mission requirement.''. SEC. 1003.

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  44. ``(B) The additional amount of funds recommended in connection with the objectives under subparagraph (A). ``(C) Account information with respect to such priority, including the following (as applicable): ``(i) Line Item Number for applicable procurement accounts. ``(ii) Program Element number for applicable research, development, test, and evaluation accounts. ``(iii) Sub-activity group for applicable operation and maintenance accounts. ``(2) Each report under subsection (a) shall present the unfunded priorities covered by such report in order of urgency of priority.

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  45. Unfunded priorities of Defense POW/MIA Accounting Agency: annual report ``(a) Reports.--Not later than 10 days after the date on which the budget of the President for a fiscal year is submitted to Congress pursuant to section 1105 of title 31, the Director of the Defense POW/MIA Accounting Agency shall submit to the Secretary of Defense and the Chairman of the Joint Chiefs of Staff, and to the congressional defense committees, a report on the unfunded priorities of the Defense POW/MIA Accounting Agency. ``(b) Elements.--(1) Each report under subsection (a) shall specify, for each unfunded priority covered by such report, the following: ``(A) A summary description of such priority, including the objectives to be achieved if such priority is funded (whether in whole or in part).

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  46. (c) Effect on Authorization Amounts.--A transfer made from one account to another under the authority of this section shall be deemed to increase the amount authorized for the account to which the amount is transferred by an amount equal to the amount transferred. (d) Notice to Congress.--The Secretary shall promptly notify Congress of each transfer made under subsection (a). SEC. 1002. ANNUAL REPORT ON UNFUNDED PRIORITIES OF DEFENSE POW/MIA ACCOUNTING AGENCY. Chapter 9 of title 10, United States Code, is amended by inserting after section 234 the following new section: ``Sec. 235.

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  47. (b) Limitations.--The authority provided by subsection (a) to transfer authorizations-- (1) may only be used to provide authority for items that have a higher priority than the items from which authority is transferred; (2) may not be used to provide authority for an item that has been denied authorization by Congress; and (3) may not be used to reduce the total amount of authorizations available for facilities sustainment, restoration, and modernization projects for military unaccompanied housing (as defined in section 2871 of title 10, United States Code) or military child development centers (as defined in section 1800 of such title) (commonly known as ``Quality of Life Infrastructure'').

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  48. (3) Exception for transfers between military personnel authorizations.--A transfer of funds between military personnel authorizations under title IV shall not be counted toward the dollar limitation in paragraph (2).

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  49. (a) Authority to Transfer Authorizations.-- (1) Authority.--Upon determination by the Secretary of Defense that such action is necessary in the national interest, the Secretary may transfer amounts of authorizations made available to the Department of Defense in this division for fiscal year 2027 between any such authorizations for that fiscal year (or any subdivisions thereof). Amounts of authorizations so transferred shall be merged with and be available for the same purposes as the authorization to which transferred. (2) Limitation.--Except as provided in paragraph (3), the total amount of authorizations that the Secretary may transfer under the authority of this section may not exceed $6,000,000,000.

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  50. ``(3) Subject to the authority, direction, and control of the Secretary of Defense, the Commandant shall keep the Secretary of the department in which the Coast Guard is operating fully informed of significant military operations affecting the duties and responsibilities of such Secretary.''. [[Page H4832]] SEC. 903. OVERSIGHT OF GEOGRAPHIC COMBATANT COMMANDS. Section 916(a) of the National Defense Authorization Act for Fiscal Year 2026 (Public Law 119-60; 139 Stat. 1022) is amended by inserting ``or fiscal year 2027'' after ``fiscal year 2026''. TITLE X--GENERAL PROVISIONS Subtitle A--Financial Matters SEC. 1001. GENERAL TRANSFER AUTHORITY.

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