I 

116TH CONGRESS 

2D SESSION H. R. 7548 

To amend title 41, United States Code, and the Internal Revenue Code 

of 1986, to ensure availability of personal protective equipment during 

pandemics and other public health emergencies through stockpile requirements and domestic manufacturing incentives, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JULY 9, 2020 

Mrs. CAROLYN B. MALONEY of New York introduced the following bill; which 

was referred to the Committee on Ways and Means, and in addition to 

the Committee on Oversight and Reform, for a period to be subsequently 

determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned 

A BILL 

To amend title 41, United States Code, and the Internal 

Revenue Code of 1986, to ensure availability of personal 

protective equipment during pandemics and other public 

health emergencies through stockpile requirements and 

domestic manufacturing incentives, 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 ‘‘Made in America: 

5 Preparation for a Pandemic Act of 2020’’. 


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1 SEC. 2. REQUIREMENT TO MAINTAIN SUFFICIENT PER2 SONAL PROTECTIVE EQUIPMENT STOCKPILE 

3 AND DOMESTIC SUPPLY CHAINS FOR NA4 TIONAL SECURITY PURPOSES. 

5 (a) IN GENERAL.—Chapter 83 of title 41, United 

6 States Code, is amended by adding after section 8302 the 

7 following: 

8 ‘‘§ 8302A. Personal protective equipment stockpile 

9 and domestic supply chains 

10 ‘‘(a) DOMESTIC CONTENT REQUIREMENT.— 

11 ‘‘(1) IN GENERAL.—To ensure strategic domes12 tic supply chain capabilities for national security 

13 purposes, not less than 25 percent of the amount of 

14 personal protective equipment in the Strategic Na15 tional Stockpile shall be comprised of personal pro16 tective equipment that is produced in the United 

17 States. 

18 ‘‘(2) REQUIREMENT TO PROCURE ITEMS PRO19 DUCED IN THE UNITED STATES.—If the requirement 

20 under paragraph (1) is not satisfied, until such re21 quirement is satisfied no Federal funds may be used 

22 to procure an item that is personal protective equip23 ment for the Strategic National Stockpile unless 

24 that item is produced in the United States. 


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1 ‘‘(3) DIRECTOR.—The Director shall work with 

2 the Secretary to ensure that the requirement under 

3 paragraph (1) is satisfied. 

4 ‘‘(4) EXCEPTION.—Paragraph (2) shall not 

5 apply with respect to the procurement of an item 

6 that is personal protective equipment if the Sec7 retary and the Director determine jointly that— 

8 ‘‘(A) applying such paragraph would be in9 consistent with the public interest or national 

10 security interest; 

11 ‘‘(B) such item is not produced in the 

12 United States in sufficient and reasonably 

13 available quantities and of a satisfactory qual14 ity; 

15 ‘‘(C) applying paragraph (2)— 

16 ‘‘(i) with respect to a contract, cooper17 ative agreement, or transaction to be en18 tered into on or before the date that is 5 

19 years after the date of the enactment of 

20 the Made in America: Preparation for a 

21 Pandemic Act of 2020, will increase the 

22 cost of such contract, cooperative agree23 ment, or transaction by more than 50 per24 cent; and 


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1 ‘‘(ii) with respect to a contract, coop2 erative agreement, or transaction to be en3 tered into after the date that is 5 years 

4 after the date of the enactment of the 

5 Made in America: Preparation for a Pan6 demic Act of 2020, will increase the cost of 

7 such contract, cooperative agreement, or 

8 transaction by more than 25 percent; or 

9 ‘‘(D) such item is, or includes, materials 

10 determined to be nonavailable in accordance 

11 with section 25.104 of the Federal Acquisition 

12 Regulation. 

13 ‘‘(5) NOTIFICATION OF NONCOMPLIANCE RE14 QUIRED.—If the Director determines that the re15 quirement in paragraph (1) is not satisfied, the Di16 rector shall— 

17 ‘‘(A) submit to the Committee on Home18 land Security and Governmental Affairs of the 

19 Senate and the Committee on Oversight and 

20 Reform of the House of Representatives quar21 terly— 

22 ‘‘(i) a notification stating that such 

23 requirement has not been satisfied; and 

24 ‘‘(ii) a report on— 


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1 ‘‘(I) the personal protective 

2 equipment in the Strategic National 

3 Stockpile; 

4 ‘‘(II) any contract entered into in 

5 the prior quarter for the procurement 

6 of personal protective equipment not 

7 produced in the United States, includ8 ing the exception under subsection 

9 (a)(4) applied with respect to such 

10 contract; and 

11 ‘‘(III) any actions taken by the 

12 Director to ensure that the require13 ment under paragraph (1) is satisfied; 

14 and 

15 ‘‘(B) post on the internet website main16 tained by the General Services Administration 

17 at beta.SAM.gov (or any successor site) each 

18 notification required by subparagraph (A)(i). 

19 ‘‘(b) SUFFICIENCY OF STRATEGIC NATIONAL STOCK20 PILE.—The Director shall ensure that the Strategic Na21 tional Stockpile includes an amount of personal protective 

22 equipment sufficient to meet the health security needs of 

23 the United States for 1 year during a pandemic or other 

24 emergency declared under section 319 of the Public 


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1 Health Service Act (42 U.S.C. 247d), including any re2 newal thereof. 

3 ‘‘(c) APPLICATION.—This section shall be applied in 

4 a manner consistent with United States obligations under 

5 international agreements. 

6 ‘‘(d) DEFINITION.—In this section— 

7 ‘‘(1) DIRECTOR.—The term ‘Director’ means 

8 the Director of the Office of Management and Budg9 et. 

10 ‘‘(2) PERSONAL PROTECTIVE EQUIPMENT.— 

11 The term ‘personal protective equipment’ means an 

12 item designed to protect the wearer or user from the 

13 spread of infection or illness, including a facemask, 

14 face covering, face shield, gown, coverall, glove, gog15 gle, respirator, protective eyewear, biohazard con16 tainer, shoe cover, hood, helmet, sleeve, scrub suit, 

17 surgical drape, human remains bag, towel, dis18 infecting wipe, triage tent, medical tent, or hand 

19 sanitizer. 

20 ‘‘(3) PRODUCED IN THE UNITED STATES.—The 

21 term ‘produced in the United States’ means, with re22 spect to an item— 

23 ‘‘(A) the item that is manufactured or as24 sembled in the United States; and 


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1 ‘‘(B) the total value of the parts or compo2 nents contained in the item that are not grown, 

3 reprocessed, reused, manufactured, or assem4 bled in the United States does not exceed 25 

5 percent of the total purchase price of the item. 

6 ‘‘(4) STRATEGIC NATIONAL STOCKPILE.—The 

7 term ‘Strategic National Stockpile’ means the Stra8 tegic National Stockpile under section 319F–2 of 

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

10 ‘‘(5) SECRETARY.—The term ‘Secretary’ means 

11 the Secretary of Health and Human Services. 

12 ‘‘(e) RULE OF CONSTRUCTION.—Nothing in this sec13 tion shall be construed to limit the private distribution, 

14 purchase, or sale of personal protective equipment from 

15 sources other than the Strategic National Stockpile.’’. 

16 (b) EFFECTIVE DATE.—This section, and the amend17 ments made by this section, shall take effect on the date 

18 that is six months after the date on which this section 

19 is enacted. 

20 (c) TECHNICAL AND CONFORMING AMENDMENT.— 

21 The table of sections at the beginning of chapter 83 of 

22 title 41, United States Code, is amended by adding after 

23 the item related to section 8302 the following new item: 

‘‘8302A. Personal protective equipment stockpile and domestic supply chains.’’. 


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1 SEC. 3. PANDEMIC PREPARATION TAX CREDIT. 

2 (a) IN GENERAL.—Subpart D of part IV of sub3 chapter A of chapter 1 of the Internal Revenue Code of 

4 1986 is amended by adding at the end the following new 

5 section: 

6 ‘‘SEC. 45U. PANDEMIC PREPARATION TAX CREDIT. 

7 ‘‘(a) ALLOWANCE OF CREDIT.—For purposes of sec8 tion 38, the pandemic preparation tax credit determined 

9 under this section for the taxable year is an amount equal 

10 to 20 percent of the qualified expenses paid or incurred 

11 by the taxpayer during such taxable year for purposes of 

12 producing personal protective equipment (including a com13 ponent, part, or raw material of such personal protective 

14 equipment) that qualifies for addition to the Strategic Na15 tional Stockpile under section 8032A(a)(1) of title 41, 

16 United States Code. 

17 ‘‘(b) DENIAL OF DOUBLE BENEFIT.—No deduction 

18 or credit shall be allowed under any other provision of this 

19 chapter with respect to the amount of the credit deter20 mined under this section.’’. 

21 (b) CREDIT MADE PART OF GENERAL BUSINESS

22 CREDIT.—Section 38(b) of the Internal Revenue Code of 

23 1986 is amended by striking ‘‘plus’’ at the end of para24 graph (32), striking the period at the end of paragraph 

25 (33) and inserting ‘‘, plus’’, and adding at the end the 

26 following new paragraph: 


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1 ‘‘(34) the pandemic preparation credit deter2 mined under section 45U.’’. 

3 (c) CLERICAL AMENDMENT.—The table of sections 

4 for subpart D of part IV of subchapter A of chapter 1 

5 of such Code is amended by adding at the end the fol6 lowing new item: 

‘‘Sec. 45U. Pandemic preparation tax credit.’’. 

7 (d) EFFECTIVE DATE.—The amendments made by 

8 this section shall apply to taxable years beginning after 

9 the date of the enactment of this Act. 

Æ 


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