To reduce Department of Defense balances of expired appropriations by canceling certain unliquidated obligations that have been determined by audit to be invalid.

Reduces the balance in certain merged ("M") accounts of the Department of Defense that have been determined by the Defense Inspector General to be invalid obligations, in specified amounts for each of the armed forces and the defense agencies. Prohibits any such reductions from being restored, reobligated, uncanceled, or in any other way used by the Department.