Russia has reportedly been pulling old military equipment held in long-term storage to replace losses suffered during its invasion of Ukraine.
President Joe Biden issued a proclamation on January 20, his first day in office, ordering a freeze on border wall projects
The funding also includes funds for anti-tunnel technology.
On Tuesday, both countries concluded a landmark aid agreement worth at least $38 billion, the largest pledge to an ally in American history, which will govern their defense relationship through 2028.
'Single largest pledge' of aid in US history.
The deal is expected to clock in at around $38 billion over ten years.
The proposed increase in the 2017 National Defense Authorization Act would go toward three US-Israeli missile defense programs and more purchases of Iron Dome systems.
Clinton, meanwhile, suggested support for a robust defense package during a speech in March to the American Israel Public Affairs Committee.
Failing to object to Congress’s quadrupling of the president’s missile defense budget – which was proposed at $147m. – would have had a direct consequence on the MOU talks.
The Congressional requested $455 million was an historic quadrupling of the administration's stated proposal request.