II 

116TH CONGRESS 

2D SESSION S. 3858 

To authorize the Administrator of the Federal Emergency Management Agency to become the sole owner and distributer of certain medical equipment 

in the event of a covered emergency; to establish a Joint Congressional 

Committee on Defense Production; and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JUNE 1, 2020 

Ms. WARREN introduced the following bill; which was read twice and referred 

to the Committee on Homeland Security and Governmental Affairs 

A BILL 

To authorize the Administrator of the Federal Emergency 

Management Agency to become the sole owner and 

distributer of certain medical equipment in the event 

of a covered emergency; to establish a Joint Congressional Committee on Defense Production; and for other 

purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Pandemic Response 

5 and Interstate Cost Equity Act’’ or the ‘‘PRICE Act’’. 


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1 SEC. 2. ADMINISTRATOR AS OWNER AND DISTRIBUTER OF 

2 CERTAIN MEDICAL EQUIPMENT. 

3 (a) IN GENERAL.—In the event of a covered emer4 gency, the Administrator shall become the sole owner and 

5 distributer of medical equipment obtained by the Federal 

6 government pursuant to this Act for which the prevailing 

7 market price exceeds the fair market price by more than 

8 15 percent and is required to address the covered emer9 gency. 

10 (b) ASSESSMENT OF MEDICAL EQUIPMENT.—To 

11 carry out subsection (a), the Secretary of Health and 

12 Human Services, in consultation with the Administrator 

13 and other Federal agencies or departments as considered 

14 necessary, shall conduct an assessment of available med15 ical equipment, including— 

16 (1) identifying the medical equipment required 

17 to address the covered emergency for which the pre18 vailing market price exceeds the fair market price by 

19 more than 15 percent; 

20 (2) assessing the amount of such medical equip21 ment available to respond to the covered emergency, 

22 including the amount of such medical equipment 

23 available in the Strategic National Stockpile; and 

24 (3) determining the amount of such medical 

25 equipment still needed to respond to the covered 

26 emergency. 


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1 (c) CONTRACT TO PRODUCE MEDICAL EQUIP2 MENT.—Following the assessment under subsection (b), 

3 the Administrator, in consultation with the Secretary of 

4 Health and Human Services and the Secretary of Defense, 

5 shall— 

6 (1) create and execute an indefinite delivery-in7 definite quantity contract with all persons capable of 

8 producing such medical equipment to— 

9 (A) respond to the covered emergency; and 

10 (B) following the covered emergency, re11 plenish the Strategic National Stockpile to a 

12 level acceptable to respond to a future public 

13 health emergency or other covered emergency; 

14 (2) require that all contracts created and exe15 cuted under this section supersede any existing con16 tracts such persons have already created or exe17 cuted; and 

18 (3) establish a price for such medical equipment 

19 to be resold to the States or other persons. 

20 (d) SALE OR DISTRIBUTION OF CERTAIN MEDICAL

21 EQUIPMENT.—The Administrator shall sell or otherwise 

22 distribute medical equipment to the States or to persons 

23 that request such medical equipment, giving consideration 

24 to— 


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1 (1) requests for medical equipment under sub2 sections (e) and (f); 

3 (2) the continuity of operations of the Federal 

4 government; and 

5 (3) consultation with public health officials, as 

6 may be necessary. 

7 (e) STATE REQUEST FOR MEDICAL EQUIPMENT.— 

8 To request an allocation of medical equipment, a State 

9 shall submit to the Administrator a request for medical 

10 equipment, including— 

11 (1) the number of impacted individuals in each 

12 State, disaggregated by condition and the severity of 

13 such condition— 

14 (A) on the date the request is submitted to 

15 the Administrator; 

16 (B) as projected at 14 days from the date 

17 the request is submitted to the Administrator; 

18 and 

19 (C) as projected at 60 days from the date 

20 the request is submitted to the Administrator; 

21 (2) existing health system medical equipment; 

22 (3) medical equipment possessed by the State; 

23 (4) an estimate of the quantity of medical 

24 equipment required to diagnose and treat the condiVerDate Sep 11 2014 17:39 Jun 20, 2020 Jkt 099200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S3858.IS S3858

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1 tion for which the covered emergency is in effect; 

2 and 

3 (5) any additional information as determined 

4 necessary by the Administrator. 

5 (f) OTHER REQUESTS FOR MEDICAL EQUIPMENT.— 

6 The Administrator shall establish a process under which 

7 a person may request medical equipment to respond to the 

8 covered emergency. 

9 (g) POST-EMERGENCY DISTRIBUTION OF MEDICAL

10 EQUIPMENT.—Upon the termination of the covered emer11 gency, the Administrator shall distribute any medical sup12 plies not sold or otherwise distributed to the States or any 

13 person to the Strategic National Stockpile. 

14 SEC. 3. REPORTS TO THE CONGRESS. 

15 (a) BIWEEKLY REPORT.— 

16 (1) IN GENERAL.—Not less than 14 days after 

17 the date a covered emergency is in effect, and not 

18 less than every 14 days thereafter until the date that 

19 is 30 days after the date on which the covered emer20 gency is terminated, the Administrator shall submit 

21 to the Congress a report on the activities carried out 

22 under this Act. 

23 (2) CONTENT.—The report required under 

24 paragraph (1) shall include— 


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1 (A) information on the number of im2 pacted individuals, disaggregated by State, con3 dition, and severity of such condition— 

4 (i) on the date the report is submitted 

5 to the Congress; 

6 (ii) as projected at 14 days from the 

7 date the report is submitted to the Con8 gress; and 

9 (iii) as projected at 60 days from the 

10 date the report is submitted to the Con11 gress; 

12 (B) the amount of medical equipment still 

13 needed to diagnose and treat the condition for 

14 which the covered emergency is in effect, 

15 disaggregated by State; 

16 (C) requests submitted by the States or by 

17 persons under section 2; 

18 (D) information on the contracts created 

19 and executed under section 2; 

20 (E) the amount of medical equipment re21 sold or distributed by the Federal Government, 

22 including the allocation and projected allocation 

23 of government and existing health system med24 ical equipment, disaggregated by State— 


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1 (i) on the date the report is submitted 

2 to the Congress; 

3 (ii) as projected at 14 days from the 

4 date the report is submitted to the Con5 gress; and 

6 (iii) as projected at 60 days from the 

7 date the report is submitted to the Con8 gress; and 

9 (F) other Federal contracts for medical 

10 equipment entered into outside of section 2. 

11 (b) FINAL REPORT.— 

12 (1) IN GENERAL.—Not later than 60 days after 

13 the termination of the covered emergency, the Ad14 ministrator shall submit to the Congress a report on 

15 the activities carried out under this Act. 

16 (2) CONTENT.—The report required under 

17 paragraph (1) shall include— 

18 (A) the content from the biweekly reports 

19 submitted to the Congress under subsection (a); 

20 (B) the current status of the Strategic Na21 tional Stockpile, including the inventory of med22 ical equipment and the projected quantity of 

23 medical equipment required to mitigate a future 

24 public health emergency or other covered emer25 gency; and 


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1 (C) an assessment of actions that Federal, 

2 State, and local governments should take to 

3 build resiliency to prevent, detect, treat, and 

4 mitigate a public health emergency or other 

5 covered emergency. 

6 SEC. 4. FUNDING. 

7 Amounts available in the Defense Production Act 

8 Fund under section 304 of the Defense Production Act 

9 of 1950 (50 U.S.C. 4534) may be made available for pur10 chases made under this section. 

11 SEC. 5. ESTABLISHMENT OF JOINT CONGRESSIONAL COM12 MITTEE. 

13 (a) ESTABLISHMENT AND MEMBERSHIP.— 

14 (1) IN GENERAL.—There is established a Joint 

15 Committee on Defense Production (referred to in 

16 this section as the ‘‘Committee’’), to be composed 

17 of— 

18 (A) five members of the Committee on Fi19 nancial Services of the House of Representa20 tives, with three members from the majority 

21 party and two from the minority party, to be 

22 appointed by the chairman of the Committee on 

23 Financial Services; and 

24 (B) five members of the Committee on 

25 Banking, Housing, and Urban Affairs of the 


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1 Senate, with three members from the majority 

2 party and two from the minority party, to be 

3 appointed by the chairman of the Committee on 

4 Banking, Housing, and Urban Affairs. 

5 (2) CHAIRMAN AND VICE CHAIRMAN.—The 

6 Committee shall elect a chairman and a vice chair7 man from among its members, one of whom shall be 

8 a member of the House of Representatives and the 

9 other a member of the Senate. 

10 (3) VACANCY.—A vacancy in the membership of 

11 the Committee shall be filled in the same manner as 

12 the original selection. 

13 (b) POWERS.—The Committee, or any duly author14 ized subcommittee thereof, is authorized to hold such 

15 hearings, to sit and act at such times and such places, 

16 to require by subpoena (to be issued under the signature 

17 of the chairman or vice chairman of the Committee) or 

18 otherwise the attendance of such witnesses and the pro19 duction of such books, papers, and documents, to admin20 ister such oaths, to take such testimony, to procure such 

21 printing and binding, and to make such expenditures as 

22 it considers advisable. 

23 (c) DUTIES.—The Committee shall be responsible for 

24 the continuous study of the programs authorized by this 

25 Act, and to review the progress achieved in the execution 


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1 and administration of such programs. Upon request, the 

2 Committee shall aid the standing committees of the Con3 gress having legislative jurisdiction over any part of the 

4 programs authorized by this Act; and it shall make a re5 port to the House of Representatives and the Senate, from 

6 time to time, concerning the results of its studies, together 

7 with such recommendations as it may consider desirable. 

8 (d) INFORMATION FROM FEDERAL AGENCIES AND

9 DEPARTMENTS.—Any department, official, or agency ad10 ministering any of such programs shall, at the request of 

11 the Committee, consult with the Committee, from time to 

12 time, with respect to their activities under this Act. 

13 (e) EXPENSES.—The expenses of the Committee, 

14 which shall not exceed $750,000 in any fiscal year, shall 

15 be paid one-half from the contingent fund of the House 

16 of Representatives and one-half from the contingent fund 

17 of the Senate upon vouchers signed by the chairman or 

18 vice chairman. 

19 SEC. 6. DEFINITIONS. 

20 In this Act: 

21 (1) ADMINISTRATOR.—The term ‘‘Adminis22 trator’’ means the Administrator of the Federal 

23 Emergency Management Agency. 

24 (2) COVERED EMERGENCY.—The term ‘‘covered 

25 emergency’’ means a national emergency in which 


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1 the President has declared a national emergency and 

2 determined that— 

3 (A) a disease or disorder presents an emer4 gency that affects the United States; or 

5 (B) a public health emergency exists, in6 cluding a significant outbreak of an infectious 

7 disease or a bioterrorist attack. 

8 (3) EXISTING HEALTH SYSTEM MEDICAL

9 EQUIPMENT.—The term ‘‘existing health system 

10 medical equipment’’ means medical equipment 

11 owned by a hospital. 

12 (4) FAIR MARKET PRICE.—The term ‘‘fair mar13 ket price’’ means the average market price of med14 ical equipment from the preceding calendar year. 

15 (5) HOSPITAL.—The term ‘‘hospital’’ has the 

16 meaning given the term under section 1861(e) of the 

17 Social Security Act (42 U.S.C. 1395x(e)). 

18 (6) IMPACTED INDIVIDUALS.—The term ‘‘im19 pacted individuals’’ means an individual— 

20 (A) diagnosed with a condition for which 

21 the public health emergency has been issued; 

22 (B) that is experiencing symptoms con23 sistent with the condition for which the covered 

24 emergency has been issued and is seeking a 

25 medical diagnosis; 


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1 (C) that has been identified as having been 

2 exposed to a bioterrorist attack; or 

3 (D) otherwise meets criteria determined by 

4 the Administrator during the covered emer5 gency period. 

6 (7) INDEFINITE DELIVERY-INDEFINITE QUAN7 TITY CONTRACT.—The term ‘‘indefinite delivery-in8 definite quantity contract’’ means a contract to pro9 vide for an indefinite quantity of materials or serv10 ices for a fixed time. 

11 (8) INDIAN TRIBE.—The term ‘‘Indian tribe’’ 

12 has the meaning given the term in section 4 of the 

13 Indian Self-Determination and Education Assistance 

14 Act (25 U.S.C. 5304). 

15 (9) MEDICAL EQUIPMENT.—The term ‘‘medical 

16 equipment’’ means— 

17 (A) N95 respirators; 

18 (B) medical ventilators; 

19 (C) face shields; 

20 (D) medical exam gloves; 

21 (E) surgical gowns; 

22 (F) diagnostic tests; and 

23 (G) such other medical equipment as the 

24 Administrator determines to be necessary. 


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1 (10) NATIONAL EMERGENCY.—The term ‘‘na2 tional emergency’’ means a national emergency de3 clared by the President under the National Emer4 gencies Act (50 U.S.C. 1601 et seq.). 

5 (11) OPERATIONS OF THE FEDERAL GOVERN6 MENT.—The term ‘‘operations of the Federal gov7 ernment’’ means— 

8 (A) the activities and operations of any 

9 Federal department or agency that is substan10 tially concerned with the operations or activities 

11 required to respond to a public health emer12 gency; and 

13 (B) the activities and operations of the 

14 armed forces. 

15 (12) PERSON.—The term ‘‘person’’ has the 

16 meaning given such term in section 702 of the De17 fense Production Act of 1950 (50 U.S.C. 4552). 

18 (13) PREVAILING MARKET PRICE.—The term 

19 ‘‘prevailing market price’’ means the average market 

20 price of medical equipment during the prior 30 days, 

21 as determined by the Secretary of Health and 

22 Human Services. 

23 (14) PUBLIC HEALTH EMERGENCY.—The term 

24 ‘‘public health emergency’’ means a public health 


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1 emergency declared under section 319 of the Public 

2 Health Service Act (42 U.S.C. 247d). 

3 (15) STATE.—The term ‘‘State’’ means each of 

4 the 50 States and the District of Columbia, each of 

5 the territories, and Indian tribes. 

6 (16) STRATEGIC NATIONAL STOCKPILE.—The 

7 term ‘‘Strategic National Stockpile’’ means the 

8 stockpile established under section 319F–2 of the 

9 Public Health Service Act (42 U.S.C. 247d–6b). 

10 (17) TERRITORY.—The term ‘‘territory’’ means 

11 the United States Virgin Islands, Puerto Rico, 

12 Guam, American Samoa, and the Commonwealth of 

13 the Northern Mariana Islands. 

Æ 


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