WeVote
Log In

Bill

Bill

HR 10046

DEPOTS Act

119th Congress Introduced by Michael Cloud

The DEPOTS Act allows the DoD to write off internal depreciation and debt tied to depots/arsenals that no longer generate revenue due to mission realignments, while ensuring prior

Introduced in House
1
WeVote Research Nonpartisan
Bill Summary · HR 10046

Overview

  • Bill: H.R. 10046 (DEPOTS Act)
  • Session: 119th Congress, 2nd Session
  • Introduced: August 6, 2026
  • Primary sponsor: Rep. Michael Cloud (co-sponsor)
  • Committee: House Committee on Armed Services
  • Purpose: Authorize the Secretary of Defense to write off or eliminate certain internal DoD depreciation costs or internal debts tied to depots and arsenals when capital expenditures no longer generate revenue due to mission realignments directed by the federal government. The intent is to remove non-revenue-producing assets and associated internal accounting balances resulting from mission changes.

What the bill does (Key provisions)

  • Section 2 – Capital Expenditure Write-Offs for DoD Depots and Arsenals:

    • (a) Write-offs: The Secretary of Defense may write off or eliminate internal DoD accounting charges, including remaining depreciation or internal debt tied to capital assets, for depots or arsenals that no longer generate revenue because of government-directed mission realignments.
    • (a)(2) Recovery of Outlays: Any write-off must be conducted in a manner that ensures recovery of any previous cash outlay from revolving funds.
    • (a)(3) Scope of Authority: The write-off authority applies only to financial balances within the accounts of a military department or the DoD itself. It does not apply to amounts owed to commercial contractors.
    • (b) Delegation: The Secretary may delegate the authority granted in subsection (a) to the Secretary of a military department.

  • Section 1 – Short Title:

    • The act may be cited as the “Defense Expenditure Planning for Optimizing Throughput and Sustainment Act” or the “DEPOTS Act.”

Who is affected

  • Department of Defense (DoD) financial accounts, specifically:
    • Internal accounting balances related to depots and arsenals (depreciation, internal debt) associated with capital assets.
    • Military departments’ accounts managing these assets.
  • Operational impact is limited to internal DoD finances; the bill explicitly states it does not apply to payments owed to commercial contractors.

Procedural and timeline aspects

  • Status: Introduced in the House on August 6, 2026, and referred to the House Committee on Armed Services.
  • No Senate text or Senate action is provided in the summary; the bill’s progression would depend on committee actions and potential floor consideration.
  • The bill grants discretionary authority to the Secretary of Defense (or delegated to a military department Secretary) to write off certain internal costs, subject to ensuring recovery of prior cash outlays from revolving funds.

Potential impacts and considerations

  • Financial impact: Creates a mechanism to remove non-revenue-generating depreciation costs and internal debts tied to depots/arsenals that have undergone mission realignments, potentially reducing DoD internal liabilities.
  • Fiscal prudence: Requires that write-offs do not prejudice recovered funds and clarifies that the relief does not alter obligations to commercial contractors.
  • Operational alignment: Aims to streamline DoD financial statements by aligning asset depreciation and internal debt with current missions and revenue generation.
  • Governance: Delegation provision allows flexibility across military departments for implementing the write-off authority.

Summary

The DEPOTS Act would empower the Secretary of Defense, or a delegated military department Secretary, to write off internal accounting charges and internal debts tied to depots and arsenals that no longer generate revenue due to mission realignments directed by the federal government. The process must ensure recovery of any prior revolving-fund outlays and would not affect obligations to commercial contractors. The act formalizes its authority with a short-title designation and establishes a framework for delegation within the DoD.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.