The Foreign Military Sales Reform Act of 2025 increases the dollar thresholds that trigger congressional review and notification when the U.S. sells military equipment and services to foreign countries. Specifically, the bill raises various notification thresholds under the Arms Export Control Act—for example, increasing one threshold from $14 million to $23 million and another from $50 million to $83 million, with similar increases applied to other thresholds throughout the law. The legislation affects the State Department, which oversees foreign military sales, by requiring it to report to Congress on any attempts to circumvent these new thresholds through payment structuring (breaking up larger deals into smaller ones). The bill also prohibits federal employees from intentionally structuring payments to avoid congressional oversight and imposes penalties of up to $100,000 and permanent barring from federal employment for State Department employees who violate this prohibition. No specific funding or implementation timeline is included in the bill.
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