HR4481-119

1. Short title This Act may be cited as the Accelerate Revenue for Manufacturing and Sales Act or the ARMS Act.

2. Findings Congress finds the following: The United States defense industrial base plays a critical role in advancing both security and prosperity. There is increasing global demand for United States manufactured defense capabilities, highlighting the need to maintain a strong, agile, and scalable defense production capacity. In recent years, the combined value of Foreign Military Sales (FMS) and Direct Commercial Sales (DCS) has significantly exceeded domestic defense procurement budgets, with international demand for United States defense products approaching two-to-one over domestic acquisition. Delays in delivering defense articles to allied and partner nations expose vulnerabilities in the current acquisition and sales process that risks undermining United States strategic credibility abroad. The Special Defense Acquisition Fund (SDAF) has demonstrated effectiveness in reducing delivery times and enabling advanced contracting for high-demand defense items prior to the completion of formal agreements. Strengthening and expanding the SDAF would increase the efficiency and predictability of defense article deliveries to foreign partners, support the United States defense industrial base, and improve economies of scale. Timely access to United States defense systems by allies and partners strengthens interoperability, improves coalition readiness, deters shared threats, and reinforces long-standing strategic relationships. Enhancing SDAF authorities and capacity aligns with United States national interests and supports continued leadership in the global defense market.

3. Modifications to Special Defense Acquisition Fund Section 51(b)(1) of the Arms Export Control Act (22 U.S.C. 2795(b)(1)) is amended by striking sales made under and all that follows through the actual value and inserting sales.