DPA Transparency 2026

Summary#

This bill, introduced March 20, 2026 by Representative Maxine Waters and referred to the House Committee on Financial Services, would change parts of the Defense Production Act (DPA). It adds a new section that makes an entity ineligible for DPA assistance if a "covered individual" or certain close relatives directly or indirectly hold a significant interest (defined as 20% or more). "Covered individuals" are the President, the Vice President, or a member of the Defense Production Act Committee and their spouse, child, son-in-law, or daughter-in-law. The bill also defines types of equity interests and how to count related ownership.

The bill increases multiple civil monetary penalties from $10,000 to $100,000 in specified sections of the DPA. It requires the DPA Committee to add a summary of steps taken to reduce fraud and a fraud risk assessment to reporting. The Committee must, within one year, implement fraud risk management processes consistent with a GAO framework, train personnel on those standards, and name a point of contact to manage fraud issues. The bill also includes a small technical correction to the DPA's short title citation.

What it means for you#

  • If you are an entity seeking assistance under the DPA, you could be barred from receiving help if a covered individual or certain relatives hold a 20% or greater interest in your organization.
  • If you are an individual involved with the DPA Committee or are one of the covered relatives, your ownership stakes may affect an entity's eligibility for assistance.
  • Agencies and committee staff involved in DPA transactions will need to follow new fraud risk processes, provide training, and report on steps taken to reduce fraud.
  • Penalties for violations referenced in the bill would be higher: the bill changes several $10,000 penalties to $100,000.

Expenses#

  • The bill changes multiple civil penalty amounts from $10,000 to $100,000 in the DPA text. The text lists the specific sections where those changes occur.
  • The Committee must adopt fraud risk practices, train personnel, and designate a fraud point of contact. The bill does not provide dollar amounts for these activities.
  • No publicly available information on overall budgetary costs or how agencies would fund these changes is included in the bill text or provided metadata.

Proponents' View#

No publicly available information.

Opponents' View#

No publicly available information.