Stop Fraud in Federal Programs Act of 2026

This legislation seeks to strengthen measures against financial misconduct in programs receiving federal funding by significantly increasing penalties for theft or bribery. It amends title 18 of the United States Code to raise the maximum prison sentence from 10 to 20 years and establishes a new "covered amount" for fines, which is the greater of $250,000 or double the value of the property involved in the offense. Beyond these broader penalty enhancements, the bill introduces specific anti-fraud provisions for the Summer Food Service Program under the Richard B. Russell National School Lunch Act. It mandates that all service institutions participating in this program must undergo annual third-party audits of their accounts and records. These independent auditors, who cannot be affiliated with the service institution or sponsor, are required to submit their findings directly to the Secretary, thereby ensuring greater transparency and accountability in the program's operations.