Expanding the Defense Industrial Base Sales Act

This bill allows the United States to use Foreign Military Financing funds to pay for defense equipment and services sold directly by private companies to foreign countries. Currently, these funds are typically reserved for government-to-government sales, but this legislation expands eligibility to include direct commercial contracts. The Secretary of State must approve each arrangement in consultation with the Secretary of Defense to ensure it aligns with national security interests. Additionally, the bill requires new regulations within 180 days to oversee audits, reporting, and compliance for these commercial transactions. This expansion operates alongside the existing Foreign Military Sales program without replacing it.