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Hospitalization rates in Los Angeles and New York City are doubling every few days.
The DoD has made only 18 of 35 proposed changes designed to enhance lab security, the report says.
Re-creating known pathogenic viruses and making existing bacteria more dangerous are among the top threats.
In other developments, without Zika funding federal officials have had to tap research money for cancer and other diseases.
Human and animal samples tested positive.
In addition, Germany notes its first case of sexual transmission, and Argentina reports its first local cases.
The case also appears to be the first locally acquired Zika infection in the continental US in this outbreak.
Also, a Nature editorial says the DoD's anthrax missteps highlight regulation inequalities.
The transfer of potentially live B anthracis by an Army lab involved 575 shipments in 10 years, an official said.
A report points to faulty inactivation of Bacillus anthracis spores and inadequate testing.
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