The Federal Newscast is a daily compilation of the stories Federal News Radio Producer Eric White reads on Federal Drive with Tom Temin. Listen to the newscast or read the stories each weekday morning on FederalNewsRadio.com.
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The nation's highest court is adopting new technology to prevent conflicts of interest. The Supreme Court says it is now using newly developed software to assist in identifying potential conflicts for the justices. The software will run automated recusal checks that compare information about parties and attorneys in a case with lists created by each Justice's chamber. The Court's Office of Information Technology worked with the Legal Office and the Clerk's Office to design the technology. New court rules to support use of the software will take effect March 16. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Treasury Department is highlighting best practices for using artificial intelligence within the financial sector. They include an artificial intelligence lexicon and a financial services AI risk management framework. The resources were developed by the Artificial Intelligence Executive Oversight Group, a Treasury-led partnership between financial institutions and regulators. The voluntary guidelines come as financial institutions increasingly rely on A-I to support decision-making, customer engagement, and operational functions. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Six Democrats in the Senators are asking the Government Accountability Office to further investigate whether the Commerce Department broke the law when it dismantled the Minority Business Development Agency or MBDA. Senators Martin Heinrich (D-N.M.), Ben Ray Luján and others say they are concerned that Commerce defied federal court orders when political leaders terminated the funding for at least nine MBDA business centers and sent Reduction in Force (RIF) notices to terminate the last 24 employees still working at the agency. The lawmakers already had asked GAO to look into Commerce's initial actions to shutdown MBDA over the summer. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Some senior political appointees, including the vice president, will continue to see a long-standing freeze on their salaries. The Office of Personnel Management announced that pay rates will continue to be capped for certain Executive Schedule employees. Political appointees in Schedules C and G, however, are exempted from the pay freeze. Certain higher-paid positions have continued to see their salary capped for more than a decade. For 2026, the pay ceiling sits at about $197,000.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Defense Department is bringing in industry experts to help overhaul its acquisition process. Defense Secretary Pete Hegseth said the new Business Operators for National Defense program, or BOND, has already engaged over 100 industry experts, including dozens of former CEOs, COOs and CIOs already advising senior Pentagon officials. “BOND embeds elite private sector patriots, leaders with decades of experience at world class companies such as Apple, Ford, Microsoft and Tesla, directly into our acquisition process," Hegseth said. "Think of the best of the best leaders of our best private sector companies coming and joining the War Department.”See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The IRS pulled the plug on its free, online tax filing platform. Members of the Senate say the agency's partnership with tax filing companies hasn't stepped up. Senators Elizabeth Warren (D-Mass.) and Angus King (I-Maine) are asking the IRS what it's doing to promote its Free File program with tax-preparation companies. The program saw a peak of about five million taxpayers in 2004, but has seen a decline in users since then. The number of companies participating in the program has also declined. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Space Force has surpassed its fiscal 2026 recruiting goal just five months into the year. The service has already exceeded its recruiting goal by 25% for recruits who have shipped to basic military training or entered the delayed entry program. Despite that progress, service officials warn the current force is too small to meet growing national security demands. Chief Master Sergeant of the Space Force John Bentivegna said while “achieving a force of just over 10,000 uniformed guardians in 2025 was a landmark milestone, it is insufficient for the missions we have been assigned.” Bentivegna also told lawmakers that the service needs to increase its infrastructure and double its size to “effectively fulfill our national mandate.”See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

A federal employee union head is stepping down after leading it for more than 14 years. Lee Saunders is retiring as president of the American Federation of State, County and Municipal Employees. Despite the name, it also represents federal employees in the departments of Justice, Transportation, Agriculture and Veterans Affairs as well as the Library of Congress. Saunders will step down in August after the union elects a new president. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Veterans Affairs is exploring hundreds of potential uses for artificial intelligence. More than half of them would impact its health-care mission. The VA says AI-assisted colonoscopies are leading to better detection of tumors. It also says AI helps mitigate the risk of opioid overdose and suicide among patients. The department says more than 130 use cases are currently being deployed across its operations and that many more are still in development. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Senator Ron Wyden is pledging to keep his hold on the nominee to lead the Cybersecurity and Infrastructure Security Agency. Wyden says he will continue to object to Sean Plankey's nomination until CISA releases a 2022 report on security flaws in the U.S. telecommunications system. Wyden previously held up Plankey's nomination for much of last year over the same issue. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Defense Department says it's cutting ties with Harvard University. The Pentagon says this will be the final school year for its graduate level professional military education programs affiliated with the university. DoD's Harvard fellowships and certificate programs will end too. Defense Secretary Pete Hegseth says he made the decision because of what he calls “globalist and radical ideologies” at the university. Hegseth says the department will be reviewing its relationships with other schools in the coming weeks.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

About 17 veterans died by suicide each day in 2023. That's nearly 6,400 for the entire year. An annual report from the Department of Veterans Affairs shows overall veteran suicides are decreasing. More than half of veterans who died by suicide did not receive VA health care in the last year of their life. Suicide rates are elevated for veterans ages 18 to 34 and those experiencing homelessness, health problems or chronic pain. Veterans with thoughts of suicide can reach the Veterans Crisis Line by dialing 9-8-8 and then pressing 1. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Taxpayers for Common Sense, a fiscal watchdog group, says the Trump administration's Golden Dome missile defense initiative could cost as much as $3.6 trillion over the next 20 years, far exceeding the White House's projected $175 billion. The group also argues the effort faces “insurmountable” technical hurdles that could prevent it from reliably defending the United States against nuclear threats. “Even under generous technical assumptions, the viability challenges facing Golden Dome are severe,” the report warns. Plus, the initiative could accelerate the nuclear arms race and complicate efforts to secure arms control agreements that reduce the nuclear threat.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Law enforcement staffing at federal agencies varied between fiscal years 2020 and 2024. But a new Government Accountability Office report shows the Veterans Health Administration saw a major uptick in law enforcement staffing during that period, going from 4,699 officers in 2020 to 6,281 by the end of 2024. VHA was an outlier as most other federal, state and local law enforcement agencies either had flat workforce totals or saw varying levels of attrition. GAO's report doesn't cover the last year when the Department of Homeland Security recruited a record number of immigration enforcement and Border Patrol agents.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The I fund in the Thrift Savings Plan continues to outpace every other investment account. In January, the Federal Retirement Thrift Investment Board says the I fund increased by almost 6% as compared to December. No other TSP fund increased by more than 3.11%. Overall, every TSP fund saw a month over month increase in January. For the past 12 months, the I fund increased by over 35%, which is 14% more than any other TSP account. Outside of the I fund, four of the L funds, 2055, 2060, 2070 and 2075, were the next biggest earners, seeing a month over month increase of 3.11%. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

A bill in the House to reform the Federal Emergency Management Agency now has more than 50 co-sponsors. The Fixing Emergency Management for Americans Act has 35 Republicans and 21 Democrats signed onto the bill. The legislation has been steadily gaining co-sponsors as uncertainty swirls around the future of FEMA under the Trump administration. The House Transportation and Infrastructure Committee passed the bill last year. It would shift FEMA out from under the Department of Homeland Security and make major reforms to how the agency manages disaster assistance projects. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Both of Virginia's senators want an investigation into how the Department of Homeland Security uses sensitive personal data. Senators Tim Kaine and Mark Warner this week requested that DHS Inspector General Joseph Cuffari look into that issue. They pointed to reports that DHS and Immigration and Customs Enforcement are tapping into tools ranging from facial recognition and license plate readers to social media monitoring. Earlier this month, ICE also released a request for information on the use of AdTech data to help with its investigations. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Top officials at the Department of Homeland Security will testify in front of the House next month. Acting Immigration and Customs Enforcement Director Todd Lyons, Customs and Border Protection Commissioner Rodney Scott and U.S. Citizenship and Immigration Services Director Joseph Edlow are all slated to testify February 10 in front of the Homeland Security Committee. They'll face a barrage of questions about the Trump administration's immigration crackdown. Homeland Security Committee Chairman Andrew Garbarino says transparency and communication are needed to “turn the temperature down.” See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Leaders of the Senate Finance Committee want answers from the Social Security Administration about DOGE sharing its data. Chairman Mike Crapo and Ranking Member Ron Wyden are asking SSA what agency data was shared with outside groups. The Justice Department recently told a federal court that DOGE staffers at the agency discussed sharing agency data with an advocacy group looking to “overturn election results” in some states. DOJ referred the two DOGE employees for potential violations of the Hatch Act.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The IRS says it's ready for an increased workload after the start of this year's tax filing season on Monday. The agency expects to receive 164 million individual income tax returns with most taxpayers filing electronically. The agency lost about a quarter of its workforce last year. Last week the IRS announced a last-minute shakeup of its executive leadership. Taxpayers have until April 15 to file their tax returns or request an extension. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

A top House Republican is calling on Department of Homeland Security officials to testify in front of Congress. Homeland Security Committee Chairman Andrew Garbarino formally requested testimony from the heads of Immigration and Customs Enforcement, Customs and Border Protection, and U.S. Citizenship and Immigration Services. Garbarino says he wants to make sure those agencies are effectively using their resources. But his letter comes in the aftermath of another deadly shooting by a federal agent in Minnesota as part of the Trump administration's immigration crackdown. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The House on Thursday passed the final group of spending bills needed before the January 30th funding deadline. In a vote of 341 to 88, lawmakers approved fiscal 2026 funding for the departments of Defense, Labor, Education, Transportation and Health and Human Services. But due to Democratic opposition over ICE funding, the spending bill for the Department of Homeland Security passed with a much narrower margin, in a party line vote of 220 to 207. The appropriations package now heads to the Senate for consideration.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Lawmakers are still waiting for the Defense Department to provide details on how it plans to spend $23 billion already approved for the Golden Dome effort. Congressional appropriators say the Pentagon has not provided key budget information such as deployment schedule, cost, schedule and performance metrics, as well as a finalized system architecture. The White House has estimated the project could cost as much as $175 billion over the next three years. As a result, House and Senate appropriators were unable to conduct oversight of Golden Dome programs for fiscal 2026. Lawmakers want Defense Secretary Pete Hegseth to submit a detailed spending plan within 60 days of the bill's enactment.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Senate Homeland Security and Governmental Affairs Committee Chairman Rand Paul is facing calls to ramp up oversight of the Department of Homeland Security. Democrats on the committee are calling on him to investigate the Trump administration's immigration enforcement operations. They say Paul should issue subpoenas if necessary and have senior officials like Homeland Security Secretary Kristi Noem testify in front of the panel. Their letter comes in the wake of the fatal shooting of Renee Good in Minnesota.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Justice Department recovered more money through the False Claims Act in fiscal 2025 than ever before. New data says DoJ won $6.8 billion in settlements for healthcare, procurement and tariff fraud. A significant amount of those cases were driven by whistleblowers. DoJ says there were 1,297 qui tam lawsuits filed last year, the highest number in a single year, and the government opened 401 investigations. Of the $6.8 billion in False Claims Act recoveries last year, $5.7 billion related to matters that involved the health care industry. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Coast Guard has a new leader. Admiral Kevin Lunday officially assumed command of the service on Thursday during a ceremony at Coast Guard headquarters. The Senate confirmed Lunday last month after his nomination was temporarily delayed due to a controversy over the service's policy regarding hate symbols. He had been serving as acting commandant since January, following the dismissal of Admiral Linda Fagan by President Donald Trump. Lunday previously led Coast Guard Cyber Command. He also held a senior leadership role at U.S. Cyber Command.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Federal Emergency Management Agency is at the center of new calls to replace Homeland Security Secretary Kristi Noem. In a letter to President Donald Trump on Wednesday, 14 House Democrats say Trump should fire Noem over what they say are damaging cuts to FEMA's workforce. They also say Noem's policy of signing off on all spending over $100,000 is slowing down FEMA's disaster response efforts. The letter comes a day after more than 50 House Dems filed articles of impeachment against Noem citing her handling of the Trump administration's immigration crackdown. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Close to 5,000 more Thrift Savings Plan participants have joined the club of so-called TSP millionaires. As of January 1st, nearly 195,000 TSP participants now have accounts totaling over $1 million. That represents about 2.7% of all TSP accounts. The pace of growth appears to be slowing down though. In the previous fiscal quarter, the number of TSP millionaires rose by about 19,000.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The secretive National Reconnaissance Office has announced a new top official. William Adkins was appointed principal deputy director of the NRO on Monday. Adkins previously served as professional staff on the House Appropriations Committee. He's also a veteran of the Central Intelligence Agency and had been detailed to the NRO to manage technology development projects in the late 1990's. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Presidential Rank Awards are back for 2026, and the Office of Personnel Management is now looking for nominations. The prestigious honors program is reserved for career members of the Senior Executive Service and other senior career employees. OPM's new call for nominations marks a restart of the awards program, which the Trump administration canceled for 2025. Agencies have until February 5th to submit nominations to OPM for any executives they want to be considered for a 2026 award. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

A government watchdog found that the Defense Department has never formally evaluated telework and remote work programs against agency goals. DoD officials, however, reported “perceived” benefits and challenges. The Government Accountability Office says without formal evaluation of these programs, DoD cannot determine whether these programs help meet agency goals. While defense officials told the Government Accountability Office that their use of these flexibilities improved productivity, efficiency, and recruitment and retention; some officials said that telework reduced opportunities for collaboration and information sharing and decreased morale. The watchdog also found that the data on the number of teleworkers and remote workers DoD previously reported is likely inaccurate. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Federal wildland firefighters would keep their higher pay rates under the latest congressional appropriations package. The spending “minibus” maintains funding for wildland firefighters' permanent pay raise, as well as job updates that were initially included in the 2021 infrastructure law. The new appropriations package also would ‘not' adopt President Trump's plan to combine wildland firefighting forces into a single agency. According to the legislation, wildland firefighters from the Forest Service and the Interior Department would remain separate. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The federal retirement inventory has reached yet another new high. The Office of Personnel Management now has over 50,000 applications still awaiting a finalized annuity. The increase comes after more than 13,000 retirement applications entered OPM's systems in December. It's taking OPM about 67 days to process a retirement case from start to finish. But OPM's numbers don't include any retirement cases still pending with agencies. Some retirees report major delays in receiving their payments, months after separating from government.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Kirsten Davies has officially taken over the role of the Defense Department's chief information officer. She was sworn in right before the Christmas break. Congress confirmed Davies on December 18th as part of the final tranche of nominees from President Trump. Davies succeeds Katie Arrington, who has performed the duties of DoD CIO since March. Arrington spearheaded a number of major initiatives during her tenure, including an overhaul of the department's legacy processes for buying software.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Thrift Savings Plan's I fund continued its year-long positive run in December, posting a month over month increase of more than 3%. That, by far, was the best performing TSP fund in the final month of 2025. For the year, the I fund saw a return of more than 32%, which was more than 10% higher than any other account. Overall in December, 13 of 15 funds came back in the black. Only the F and S funds posted negative returns in December as compared to November. For the year, 12 of 15 TSP funds returned more than 11%.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Department of Homeland Security has agreed to push back plans to dissolve a union agreement for airport screeners by one week as part of an ongoing court case. The Transportation Security Administration had planned to eliminate the collective bargaining agreement for TSA staff on January 11. But the American Federation of Government Employees, which represents TSA staff, is seeking an emergency order to block that action. TSA says it will delay the effective date to January 18, to allow for arguments over the motion. The judge in the case had already issued a preliminary injunction blocking an earlier attempt by TSA to eliminate the union agreement. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Defense Counterintelligence and Security Agency has new leadership in place. Justin Overbaugh has been serving as acting director of DCSA since November. Overbaugh was confirmed by the Senate in September to serve as deputy under secretary of defense for intelligence and security. His appointment to also lead DCSA comes after full-time director David Cattler stepped down in September. Overbaugh is a retired Army colonel with 25 years of intelligence and special operations experience.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Department of Homeland Security is looking to cut down on the number of paper Freedom of Information Act requests it receives. Under a final rule set to go into effect next month, DHS will require most people to submit FOIA and Privacy Act requests electronically. DHS will allow for alternative submission methods in limited circumstances where an electronic request isn't feasible, such as for incarcerated people. The department says the new rule will allow FOIA officers to spend less time on data entry and more time searching for and reviewing records.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Veterans Affairs will no longer perform abortions in emergency cases in light of a new legal opinion from the Justice Department. The VA started providing abortions to veterans in certain life-threatening circumstances in fall 2022. This comes after the Supreme Court ruling on the Dobbs v. Jackson case. The department began the process of rolling back the policy this summer. That process is still making its way through the official rule-making process. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Federal Emergency Management Agency would be required to create a universal disaster assistance application under a bill passed by the Senate last week. The goal of the Disaster Assistance Simplification Act is to make it easier for disaster survivors to access federal aid. Lawmakers say the current process is complex and time consuming, with different agencies using different forms. The bill would also require all information shared between FEMA and partner agencies to meet federal data security standards. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Defense Department failed to pass its annual audit once again. Auditors found 26 material weaknesses and “two significant deficiencies related to the DoD's internal controls over financial reporting.” The review covered the department's $4.7 trillion in assets and another $4.7 trillion in liabilities. The Pentagon has failed every audit since launching its first agency-wide review in 2018. Congress has set a goal for the DoD to achieve a clean audit by fiscal 2028. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

House Republicans are seeking annual reauthorization of key programs at the Veterans Affairs Department. Top lawmakers on the House VA Committee are leading a series of bills that would reauthorize the department's Veteran Readiness and Employment program. This is the third wave of VA reauthorization bills lawmakers have introduced. The legislation would also move the Labor Department's Veterans Education and Training Service program to the VA. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.