S. 1071

National Defense Authorization Act for Fiscal Year 2026

Official summary

Written by the Congressional Research Service.

National Defense Authorization Act for Fiscal Year 2026

This bill sets forth policies and authorities for FY2026 for Department of Defense (DOD) programs and activities, military construction, and the national security programs of the Department of Energy (DOE). The bill also sets forth policies and authorities for the Department of State, the Coast Guard, and the Intelligence Community (IC).

Among other elements, the bill

  • authorizes the procurement of various items, including aircraft, ships, and missiles;
  • sets active duty and reserve component personnel strength levels;
  • sets policy regarding various aspects of military health care and military compensation;
  • sets policy regarding DOD acquisitions and acquisition management, including contracting authorities and domestic sourcing;
  • sets policy for various matters related to DOD interactions with foreign nations, including matters concerning Israel, Ukraine, and the Indo-Pacific;
  • sets policy for various matters related to DOD cyber operations, cybersecurity, and artificial intelligence;
  • authorizes specified military construction projects and extends the authorization of certain projects from previous fiscal years;
  • authorizes the National Nuclear Security Administration, Defense Nuclear Facilities Safety Board, Naval Petroleum Reserves, and Maritime Administration;
  • sets policy regarding the organization and workforce of the State Department;
  • sets acquisition and personnel policy for the Coast Guard; 
  • sets policy for merchant mariner credentials, vessel safety, and oil pollution response; and
  • sets policy for the IC regarding artificial intelligence and biotechnology.

For additional information on the National Defense Authorization Act (NDAA) see

  • In Focus IF10516, Defense Primer: Navigating the NDAA, and
  • In Focus IF10515, Defense Primer: The NDAA Process.

Text of the bill

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A Department of Defense Authorizations

I Procurement

A Authorization of Appropriations

B Army Programs

C Navy Programs

D Air Force Programs

E Defense-wide, Joint, and Multiservice Matters

II Research, Development, Test, and Evaluation

A Authorization of Appropriations

B Program Requirements, Restrictions, and Limitations

C Biotechnology Matters

D Plans, Reports, and Other Matters

III Operation and Maintenance

A Authorization of Appropriations

B Energy and Environment

C Logistics and Sustainment

D Matters Relating to Munitions

E Other Matters

IV Military Personnel Authorizations

A Active Forces

B Reserve Forces

C Authorization of Appropriations; Reports

V Military Personnel Policy

A Officer Policy

B Reserve Component Management

C General Service Authorities and Military Records

D Recruitment and Accession

E Member Training

F Member Education

G Military Justice and Other Legal Matters

H Career Transition

I Family Programs, Child Care, and Dependent Education

J Decorations and Awards, Reports, and Other Matters

VI Compensation and Other Personnel Benefits

A Basic Pay and Retired Pay

B Bonus, Incentive, and Separation Pays

C Allowances

Sec. 624. Improvements to basic allowance for housing

(a) Increasing awareness. The Secretary of Defense shall seek to improve transparency of the calculation of BAH by—

(1) developing a clear, accessible document that explains how rates of BAH are determined, including methodology and types of data sources used, which shall be—

(A) reviewed and updated not less frequently than annually and as rates and calculation methods change; and

(B) made available on a publicly accessible internet website and distributed across all relevant components of the Department of Defense; and

(2) providing to members of the Armed Forces when such members experience a permanent change of station, permanent change of assignment, change in dependency status, change in grade, or any other event that may impact the eligibility of such members for or rate of BAH—

(A) the information included in the document developed under paragraph (1); and

(B) an explanation of the type of rental housing the rate of BAH received by such members is intended to support in each locality.

(b) Study to evaluate alternative rate calculation

(1) Study

(A) In general. Not later than September 30, 2026, the Secretary of Defense shall seek to enter into an agreement with a covered entity to conduct a study in which the covered entity—

(i) assesses the adequacy of the current BAH for MHAs selected under paragraph (3), including a review of the commuting times and distances of members of the Armed Forces and the overall affordability of housing in such MHAs;

(ii) reviews existing methods of calculating BAH and proposes methods of calculating BAH described in paragraph (2) for MHAs selected under paragraph (3) that are more efficient and accurate than such existing methods, as appropriate; and

(iii) evaluates the feasibility and advisability of using machine learning and artificial intelligence in the calculation of BAH and, if feasible and advisable, incorporates machine learning and artificial intelligence into the proposed methods described in clause (i).

(B) Rule of construction. During the study conducted in accordance with subparagraph (A), the Secretary shall pay BAH in MHAs selected under paragraph (3) at rates prescribed under section 403 of title 37, United States Code.

(2) Proposed monthly rates. A proposed monthly rate of BAH described in this paragraph—

(A) accurately reflects housing prices in the MHA subject to such rate; and

(B) is sufficient for military families who reside in such MHA to procure adequate and affordable housing.

(3) MHAs. The Secretary shall select not fewer than 15 MHAs for the covered entity to evaluate in the study conducted in accordance with paragraph (1). In selecting MHAs for evaluation under such study, the Secretary shall consider factors including the following:

(A) Variety of geographic location.

(B) The ranks of members who reside in an MHA.

(C) Whether members who reside in an MHA have dependents.

(D) Economic factors including inflation, cost of living, and the cost of private mortgage insurance.

(4) Completion. An agreement entered into under paragraph (1)(A) shall require the study conducted under such agreement to be completed not later than the date that is three years after the date on which the Secretary and the covered entity enter into such agreement.

(5) Annual briefings. Not later than 180 days after the date of the enactment of this Act, and on an annual basis thereafter until the completion of the study conducted in accordance with paragraph (1), the Secretary shall provide to the Committees on Armed Services of the Senate and the House of Representatives a briefing on the status of the study under this section.

(6) Report. Not later than 120 days after the date of the completion of the study conducted in accordance with paragraph (1), the Secretary shall submit to the Committees on Armed Services of the Senate and House of Representatives a report containing the results of such study. Such report shall include—

(A) an evaluation by the Secretary of the proposed methods of calculating BAH by a covered entity pursuant to an agreement under paragraph (1); and

(B) any recommendations of the Secretary for legislation to improve the methods of calculating BAH based on the study.

(c) Definitions. In this section:

(1) The term BAH means the basic allowance for housing for members of the uniformed services under section 403 of title 37, United States Code.

(2) The term covered entity means an entity or combination of entities—

(A) with combined expertise in data analysis and machine learning and access to relevant data on local rental rates in real estate markets in the MHAs selected under subsection (b)(3); and

(B) that has not participated in anticompetitive price-fixing in a real estate market.

(3) The term MHA means military housing area.

D Leave

E Family and Survivor Benefits

F Defense Resale Matters

G Other Benefits, Administrative Matters, Reports, and Briefings

VII Health Care Provisions

A TRICARE and Other Health Benefits

B Health Care Administration

C Studies, Reports, and Other Matters

VIII Acquisition Policy, Acquisition Management, and Related Matters

A Acquisition Policy and Management

B Amendments to General Contracting Authorities, Procedures, and Limitations

C Provisions Relating to Workforce Development

D Provisions Relating to Supply Chains and Domestic Sourcing

E Prohibitions and Limitations on Procurement

F Industrial Base Matters

G Other Matters

IX Department of Defense Organization and Management

A Office of the Secretary of Defense and Related Matters

B Other Department of Defense Organization and Management Matters

X General Provisions

A Financial Matters

B Counterdrug Activities

C Naval Vessels and Shipyards

D Counterterrorism

E Miscellaneous Authorities and Limitations

F Studies and Reports

G Other Matters

XI Civilian Personnel

XII Matters relating to foreign nations

A Assistance and training

B Foreign military sales and related processes

C Matters relating to the Middle East

D Matters relating to Israel

E Matters relating to Europe, Ukraine, and the Russian Federation

F Matters relating to the Indo-Pacific region

G Matters relating to Asia

H Other matters

XIV Other Authorizations

A Military Programs

B National Defense Stockpile

C Other Matters

XV Cyberspace-related Matters

A Cyber Operations

B Cybersecurity

C Information Technology and Data Management

D Artificial Intelligence

E Reports and Other Matters

XVI Space Activities, Strategic Programs, and Intelligence Matters

A Space Activities

B Defense Intelligence and Intelligence-Related Activities

C Nuclear Forces

D Missile Defense Programs

E Matters Relating to Unidentified Anomalous Phenomena

F Matters Relating to Electromagnetic Warfare

G Other Matters

XVII Other Defense Matters

XVIII Acquisition Reform

A Alignment of the Defense Acquisition System

B Requirements Process Reform

C Matters Relating to Commercial Products and Commercial Services

D Improvements to Acquisition Programs

E Modifications to Strengthen the Industrial Base

B Military Construction Authorizations

XXI Army Military Construction

XXII Navy Military Construction

XXIII Air Force Military Construction

XXIV Defense Agencies Military Construction

XXV International Programs

A North Atlantic Treaty Organization Security Investment Program

B Host Country In-Kind Contributions

XXVI Guard and Reserve Forces Facilities

XXVII Base Realignment and Closure Activities

XXVIII Military Construction General Provisions

A Military Construction Programs

B Military Housing Reforms

C Real Property and Facilities Administration

D Land Conveyances

E Modifications to Unspecified Minor Military Construction

F Other Matters

C Department of Energy National Security Authorizations and Other Authorizations

XXXI Department of Energy National Security Programs

A National Security Programs and Authorizations

B Program Authorizations, Restrictions, and Limitations

C Reports and Other Matters

XXXII Defense Nuclear Facilities Safety Board

XXXIV Naval Petroleum Reserves

XXXV Maritime Administration

D Funding Tables

XLI Procurement

XLII Research, Development, Test, and Evaluation

XLIII Operation and Maintenance

XLIV Military Personnel

XLV Other Authorizations

XLVI Military Construction

XLVII Department of Energy National Security Programs

E Department of State Authorization Act for Fiscal Year 2026

I Organization and operations

A Management and consular affairs

B Human resources

C Political affairs

D Other matters

II Workforce matters

III Information security and cyber diplomacy

IV Public diplomacy

V Diplomatic security

VI Miscellaneous

F Intelligence Authorization Act for Fiscal Year 2026

LXI Intelligence Activities

LXII Central Intelligence Agency Retirement and Disability System

LXIII Intelligence Community Matters

LXIV Intelligence Community Efficiency and Effectiveness

LXV Matters Relating to Elements of the Intelligence Community

A Central Intelligence Agency

B Elements of Department of Defense

C Federal Bureau of Investigation

LXVI Artificial Intelligence and Other Emerging Technologies

A Artificial Intelligence

B Biotechnology

C Other matters

LXVII Matters Relating to Foreign Countries

A Matters Relating to China

B Other Matters

LXVIII Reports and Other Matters

G Coast Guard Authorization Act of 2025

LXXI Coast Guard

A Authorization of appropriations

B Accountability

LXXII Organization, Authorities, Acquisition, and Personnel of the Coast Guard

A Authorities

B Acquisition

C Personnel

D Coast Guard Academy

E Reports and Policies

LXXIII Shipping and Navigation

A Merchant Mariner Credentials

B Vessel Safety

C Ports

D Matters Involving Uncrewed Systems

E Other Matters

LXXIV Oil Pollution Response

LXXV Sexual Assault and Sexual Harassment Response

A Accountability Implementation

B Misconduct

C Other matters

LXXVI Comptroller General Reports

LXXVII Amendments

H Other Matters

LXXXI Financial Services Matters

LXXXII Judiciary Matters

LXXXIII Foreign Affairs Matters

A Taiwan Non-Discrimination Act of 2025

B BUST Fentanyl Act

C Western Balkans democracy and prosperity

D Countering Wrongful Detention Act of 2025

E Other Matters

LXXXIV National Oceanic and Atmospheric Administration

A National Oceanic and Atmospheric Administration Commissioned Officer Corps

B South Pacific Tuna Treaty matters

C Other Matters

LXXXV Comprehensive Outbound Investment National Security Act of 2025

A General Matters

B Imposition of Sanctions

C Prohibition and notification on investments relating to covered national security transactions

D Securities and Related Matters

LXXXVI Securing the Airspace, Facilitating Emergency Response, and Safeguarding Key Infrastructure, Entertainment Venues, and Stadiums

LXXXVII DFC Modernization and Reauthorization Act of 2025

A Definitions and Less Developed Country Focus

B Management of Corporation

C Authorities Relating to the Provision of Support

D Other Matters

LXXXVIII Other Matters