U.S. Sen. Joni Ernst has introduced legislation to audit the Pentagon with years-long intentions to ensure that United States taxpayers are getting the most bang for their buck, according to a copy of the bill first shared with Military.com.
The legislation, called the “Reviewing Every Check and Each Invoice Purchasing Troops’ Supplies” Act or the ‘‘RECEIPTS Act,” comes as President Donald Trump has openly called for increasing the current 2026 Fiscal Year defense budget as much as $600 billion, hypothetically totaling $1.5 trillion based on current numbers.
Ernst is calling for that defense budget to symbiotically help both warfighters and taxpayers, aiming for a 2028 timeline to get the Pentagon back on track and fiscally responsible after a string of failed audits that date back about a decade.
I’m declaring war against waste in Washington, and battle No. 1 is accounting for every cent spent at the Pentagon—the only federal agency that has never passed an audit. I’m a firm believer that the dollars we spend on the military should go to our troops, not lost to fraud, waste or abuse. - Sen. Joni Ernst to Military.com
“My new legislation gives the Pentagon the tools to do just that by streamlining and modernizing its auditing system. This is mission critical because every misspent dollar could come at the price of protecting our nation or shortchanging our servicemembers," the senator added.
Putting a Plan in Place
One of the keystones of the bill, according to Ernst’s office, would be to require new resources for artificial intelligence and business systems to save both money and time while reviewing the military’s invoices and spending.
Other notable aspects of the introduced legislation include:
- Allowing additional reprogramming and transfer authority if the military gets a clean audit opinion.
- Requiring senior financial officers of the Pentagon to have more financial and accounting experience.
- Redirecting the Defense Finance and Accounting Service (DFAS) to only focus on its military mission.
- Creating the Pentagon audit committee to oversee its independent external auditors similar to how the private sector operates.
Military.com reached out to the Pentagon for comment.
Reversing a Negative Trend
The Pentagon has been a point of emphasis, or concern depending on who you ask, due to constantly failed audits since the first one back in 2018.
In December 2025, the Pentagon announced it had failed its eighth consecutive audit.
The department cannot resolve decades of war, neglect of America's defense industrial base, and soaring national debt through unchecked spending. - Defense Secretary Pete Hegseth in a statement coinciding with the audit
The department's CFO wrote in a letter associated with the audit that they are “committed to resolving its critical issues and achieving an unmodified audit opinion by 2028.”
Ernst pointed out disparities in successful audits when comparing the Pentagon and U.S. Marine Corps, the latter of which just announced earlier this week that it had passed its third consecutive audit.
According to a press release, the USMC said their audit process enabled accurate global tracking and reporting of financial transactions, inventory of facilities, equipment and assets, and accounting for taxpayer dollars spent during the last fiscal year. Auditors also tested the Marines Corps’ network, key business systems, and internal controls.
“Passing our third consecutive audit is a direct reflection of who we are as Marines,” Gen. Eric M. Smith, Commandant of the Marine Corps said in a statement. “Discipline, accountability and stewardship are not administrative tasks; they are part of our warfighting culture.
“When the American people entrust us with their tax dollars, we owe them careful judgment and integrity in how those dollars are spent. Receiving our third consecutive clean audit opinion affirms that Marines take that responsibility seriously at every level, in every unit.”
