H. R. 6164
One Hundred Ninth Congress
of the
United States of America 
AT THE SECOND SESSION 
Begun and held at the City of Washington on Tuesday, 
the third day of January, two thousand and six 
An Act 
To amend title IV of the Public Health Service Act to revise and extend the 
authorities of the National Institutes of Health, and for other purposes.
Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘National Institutes of Health 
Reform Act of 2006’’. 
TITLE I—NIH REFORM 
SEC. 101. ORGANIZATION OF NATIONAL INSTITUTES OF HEALTH. 
(a) IN GENERAL.—Section 401 of the Public Health Service 
Act (42 U.S.C. 281) is amended to read as follows: 
‘‘SEC. 401. ORGANIZATION OF NATIONAL INSTITUTES OF HEALTH. 
‘‘(a) RELATION
TO PUBLIC HEALTH SERVICE.—The National 
Institutes of Health is an agency of the Service. 
‘‘(b) NATIONAL RESEARCH INSTITUTES
AND NATIONAL CEN-
TERS.—The following agencies of the National Institutes of Health 
are national research institutes or national centers: 
‘‘(1) The National Cancer Institute. 
‘‘(2) The National Heart, Lung, and Blood Institute. 
‘‘(3) The National Institute of Diabetes and Digestive and 
Kidney Diseases. 
‘‘(4) The National Institute of Arthritis and Musculoskeletal 
and Skin Diseases. 
‘‘(5) The National Institute on Aging. 
‘‘(6) The National Institute of Allergy and Infectious Dis-
eases. 
‘‘(7) The National Institute of Child Health and Human 
Development. 
‘‘(8) The National Institute of Dental and Craniofacial 
Research. 
‘‘(9) The National Eye Institute. 
‘‘(10) The National Institute of Neurological Disorders and 
Stroke. 
‘‘(11) The National Institute on Deafness and Other 
Communication Disorders. 
‘‘(12) The National Institute on Alcohol Abuse and Alco-
holism. 
‘‘(13) The National Institute on Drug Abuse. 
‘‘(14) The National Institute of Mental Health.
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‘‘(15) The National Institute of General Medical Sciences. 
‘‘(16) The National Institute of Environmental Health 
Sciences. 
‘‘(17) The National Institute of Nursing Research. 
‘‘(18) The National Institute of Biomedical Imaging and 
Bioengineering. 
‘‘(19) The National Human Genome Research Institute. 
‘‘(20) The National Library of Medicine. 
‘‘(21) The National Center for Research Resources. 
‘‘(22) The John E. Fogarty International Center for 
Advanced Study in the Health Sciences. 
‘‘(23) The National Center for Complementary and Alter-
native Medicine. 
‘‘(24) The National Center on Minority Health and Health 
Disparities. 
‘‘(25) Any other national center that, as an agency separate 
from any national research institute, was established within 
the National Institutes of Health as of the day before the 
date of the enactment of the National Institutes of Health 
Reform Act of 2006. 
‘‘(c) DIVISION OF PROGRAM COORDINATION, PLANNING, AND STRA-
TEGIC INITIATIVES.— 
‘‘(1) IN GENERAL.—Within the Office of the Director of the 
National Institutes of Health, there shall be a Division of 
Program Coordination, Planning, and Strategic Initiatives 
(referred to in this subsection as the ‘Division’). 
‘‘(2) OFFICES WITHIN DIVISION.— 
‘‘(A) OFFICES.—The following offices are within the 
Division: The Office of AIDS Research, the Office of 
Research on Women’s Health, the Office of Behavioral and 
Social Sciences Research, the Office of Disease Prevention, 
the Office of Dietary Supplements, the Office of Rare Dis-
eases, and any other office located within the Office of 
the Director of NIH as of the day before the date of the 
enactment of the National Institutes of Health Reform 
Act of 2006. In addition to such offices, the Director of 
NIH may establish within the Division such additional 
offices or other administrative units as the Director deter-
mines to be appropriate. 
‘‘(B) AUTHORITIES.—Each office in the Division— 
‘‘(i) shall continue to carry out the authorities that 
were in effect for the office before the date of enactment 
referred to in subparagraph (A); and 
‘‘(ii) shall, as determined appropriate by the 
Director of NIH, support the Division with respect 
to the authorities described in section 402(b)(7). 
‘‘(d) ORGANIZATION.— 
‘‘(1) NUMBER OF INSTITUTES AND CENTERS.—In the National 
Institutes of Health, the number of national research institutes 
and national centers may not exceed a total of 27, including 
any such institutes or centers established under authority of 
paragraph (2) or under authority of this title as in effect on 
the day before the date of the enactment of the National 
Institutes of Health Reform Act of 2006.’’. 
(b) ADDITIONAL PROVISIONS REGARDING ORGANIZATION.—Sec-
tion 401 of the Public Health Service Act, as added by subsection 
(a) of this section, is amended—
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(1) in subsection (d), by adding at the end the following: 
‘‘(3) REORGANIZATION OF OFFICE OF DIRECTOR.—Notwith-
standing subsection (c), the Director of NIH may, after a series 
of public hearings, and with the approval of the Secretary, 
reorganize the offices within the Office of the Director, including 
the addition, removal, or transfer of functions of such offices, 
and the establishment or termination of such offices, if the 
Director determines that the overall management and operation 
of programs and activities conducted or supported by such 
offices would be more efficiently carried out under such a 
reorganization. 
‘‘(4) INTERNAL REORGANIZATION OF INSTITUTES AND CEN-
TERS.—Notwithstanding any conflicting provisions of this title, 
the director of a national research institute or a national center 
may, after a series of public hearings and with the approval 
of the Director of NIH, reorganize the divisions, centers, or 
other administrative units within such institute or center, 
including the addition, removal, or transfer of functions of 
such units, and the establishment or termination of such units, 
if the director of such institute or center determines that the 
overall management and operation of programs and activities 
conducted or supported by such divisions, centers, or other 
units would be more efficiently carried out under such a reorga-
nization.’’; and 
(2) by adding after subsection (d) the following: 
‘‘(e) SCIENTIFIC MANAGEMENT REVIEW BOARD
FOR PERIODIC 
ORGANIZATIONAL REVIEWS.— 
‘‘(1) IN GENERAL.—Not later than 60 days after the date 
of the enactment of the National Institutes of Health Reform 
Act of 2006, the Secretary shall establish an advisory council 
within the National Institutes of Health to be known as the 
Scientific Management Review Board (referred to in this sub-
section as the ‘Board’). 
‘‘(2) DUTIES.— 
‘‘(A) REPORTS ON ORGANIZATIONAL ISSUES.—The Board 
shall provide advice to the appropriate officials under sub-
section (d) regarding the use of the authorities established 
in paragraphs (2), (3), and (4) of such subsection to reorga-
nize the National Institutes of Health (referred to in this 
subsection as ‘organizational authorities’). Not less fre-
quently than once each 7 years, the Board shall— 
‘‘(i) determine whether and to what extent the 
organizational authorities should be used; and 
‘‘(ii) issue a report providing the recommendations 
of the Board regarding the use of the authorities and 
the reasons underlying the recommendations. 
‘‘(B) CERTAIN RESPONSIBILITIES REGARDING REPORTS.—
The activities of the Board with respect to a report under 
subparagraph (A) shall include the following: 
‘‘(i) Reviewing the research portfolio of the 
National Institutes of Health (referred to in this sub-
section as ‘NIH’) in order to determine the progress 
and effectiveness and value of the portfolio and the 
allocation among the portfolio activities of the 
resources of NIH.
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‘‘(ii) Determining pending scientific opportunities, 
and public health needs, with respect to research 
within the jurisdiction of NIH. 
‘‘(iii) For any proposal for organizational changes 
to which the Board gives significant consideration as 
a possible recommendation in such report— 
‘‘(I) analyzing the budgetary and operational 
consequences of the proposed changes; 
‘‘(II) taking into account historical funding and 
support for research activities at national research 
institutes and centers that have been established 
recently relative to national research institutes 
and centers that have been in existence for more 
than two decades; 
‘‘(III) estimating the level of resources needed 
to implement the proposed changes; 
‘‘(IV) assuming the proposed changes will be 
made and making a recommendation for the alloca-
tion of the resources of NIH among the national 
research institutes and national centers; and 
‘‘(V) analyzing the consequences for the 
progress of research in the areas affected by the 
proposed changes. 
‘‘(C) CONSULTATION.—In carrying out subparagraph 
(A), the Board shall consult with— 
‘‘(i) the heads of national research institutes and 
national centers whose directors are not members of 
the Board; 
‘‘(ii) other scientific leaders who are officers or 
employees of NIH and are not members of the Board; 
‘‘(iii) advisory councils of the national research 
institutes and national centers; 
‘‘(iv) organizations representing the scientific 
community; and 
‘‘(v) organizations representing patients. 
‘‘(3) COMPOSITION OF BOARD.—The Board shall consist of 
the Director of NIH, who shall be a permanent nonvoting 
member on an ex officio basis, and an odd number of additional 
members, not to exceed 21, all of whom shall be voting mem-
bers. The voting members of the Board shall be the following: 
‘‘(A) Not fewer than 9 officials who are directors of 
national research institutes or national centers. The Sec-
retary shall designate such officials for membership and 
shall ensure that the group of officials so designated 
includes directors of— 
‘‘(i) national research institutes whose budgets are 
substantial relative to a majority of the other 
institutes; 
‘‘(ii) national research institutes whose budgets are 
small relative to a majority of the other institutes; 
‘‘(iii) national research institutes that have been 
in existence for a substantial period of time without 
significant organizational change under subsection (d); 
‘‘(iv) as applicable, national research institutes that 
have undergone significant organization changes under 
such subsection, or that have been established under 
such subsection, other than national research institutes
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for which such changes have been in place for a 
substantial period of time; and 
‘‘(v) national centers. 
‘‘(B) Members appointed by the Secretary from among 
individuals who are not officers or employees of the United 
States. Such members shall include— 
‘‘(i) individuals representing the interests of public 
or private institutions of higher education that have 
historically received funds from NIH to conduct 
research; and 
‘‘(ii) individuals representing the interests of pri-
vate entities that have received funds from NIH to 
conduct research or that have broad expertise 
regarding how the National Institutes of Health func-
tions, exclusive of private entities to which clause (i) 
applies. 
‘‘(4) CHAIR.—The Chair of the Board shall be selected by 
the Secretary from among the members of the Board appointed 
under paragraph (3)(B). The term of office of the Chair shall 
be 2 years. 
‘‘(5) MEETINGS.— 
‘‘(A) IN GENERAL.—The Board shall meet at the call 
of the Chair or upon the request of the Director of NIH, 
but not fewer than 5 times with respect to issuing any 
particular report under paragraph (2)(A). The location of 
the meetings of the Board is subject to the approval of 
the Director of NIH. 
‘‘(B) PARTICULAR FORUMS.—Of the meetings held under 
subparagraph (A) with respect to a report under paragraph 
(2)(A)— 
‘‘(i) one or more shall be directed toward the sci-
entific community to address scientific needs and 
opportunities related to proposals for organizational 
changes under subsection (d), or as the case may be, 
related to a proposal that no such changes be made; 
and 
‘‘(ii) one or more shall be directed toward consumer 
organizations to address the needs and opportunities 
of patients and their families with respect to proposals 
referred to in clause (i). 
‘‘(C) AVAILABILITY OF INFORMATION FROM FORUMS.—
For each meeting under subparagraph (B), the Director 
of NIH shall post on the Internet site of the National 
Institutes of Health a summary of the proceedings. 
‘‘(6) COMPENSATION; TERM OF OFFICE.—The provisions of 
subsections (b)(4) and (c) of section 406 apply with respect 
to the Board to the same extent and in the same manner 
as such provisions apply with respect to an advisory council 
referred to in such subsections, except that the reference in 
such subsection (c) to 4 years regarding the term of an 
appointed member is deemed to be a reference to 5 years. 
‘‘(7) REPORTS.— 
‘‘(A) RECOMMENDATIONS
FOR
CHANGES.—Each report 
under paragraph (2)(A) shall be submitted to— 
‘‘(i) the Committee on Energy and Commerce and 
the Committee on Appropriations of the House of Rep-
resentatives;
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‘‘(ii) the Committee on Health, Education, Labor, 
and Pensions and the Committee on Appropriations 
of the Senate; 
‘‘(iii) the Secretary; and 
‘‘(iv) officials with organizational authorities, other 
than any such official who served as a member of 
the Board with respect to the report involved. 
‘‘(B) AVAILABILITY TO PUBLIC.—The Director of NIH 
shall post each report under paragraph (2) on the Internet 
site of the National Institutes of Health. 
‘‘(C) REPORT ON BOARD ACTIVITIES.—Not later than 18 
months after the date of the enactment of the National 
Institutes of Health Reform Act of 2006, the Board shall 
submit to the committees specified in subparagraph (A) 
a report describing the activities of the Board. 
‘‘(f) ORGANIZATIONAL CHANGES PER RECOMMENDATION OF SCI-
ENTIFIC MANAGEMENT REVIEW BOARD.— 
‘‘(1) IN
GENERAL.—With respect to an official who has 
organizational authorities within the meaning of subsection 
(e)(2)(A), if a recommendation to the official for an organiza-
tional change is made in a report under such subsection, the 
official shall, except as provided in paragraphs (2), (3), and 
(4) of this subsection, make the change in accordance with 
the following: 
‘‘(A) Not later than 100 days after the report is sub-
mitted under subsection (e)(7)(A), the official shall initiate 
the applicable public process required in subsection (d) 
toward making the change. 
‘‘(B) The change shall be fully implemented not later 
than the expiration of the 3-year period beginning on the 
date on which such process is initiated. 
‘‘(2) INAPPLICABILITY TO CERTAIN REORGANIZATIONS.—Para-
graph (1) does not apply to a recommendation made in a 
report under subsection (e)(2)(A) if the recommendation is for— 
‘‘(A) an organizational change under subsection (d)(2) 
that constitutes the establishment, termination, or consoli-
dation of one or more national research institutes or 
national centers; or 
‘‘(B) an organizational change under subsection (d)(3). 
‘‘(3) OBJECTION BY DIRECTOR OF NIH.— 
‘‘(A) IN
GENERAL.—Paragraph (1) does not apply to 
a recommendation for an organizational change made in 
a report under subsection (e)(2)(A) if, not later than 90 
days after the report is submitted under subsection 
(e)(7)(A), the Director of NIH submits to the committees 
specified in such subsection a report providing that the 
Director objects to the change, which report includes the 
reasons underlying the objection. 
‘‘(B) SCOPE OF OBJECTION.—For purposes of subpara-
graph (A), an objection by the Director of NIH may be 
made to the entirety of a recommended organizational 
change or to 1 or more aspects of the change. Any aspect 
of a change not objected to by the Director in a report 
under subparagraph (A) shall be implemented in accord-
ance with paragraph (1). 
‘‘(4) CONGRESSIONAL
REVIEW.—An organizational change 
under subsection (d)(2) that is initiated pursuant to paragraph
H. R. 6164—7
(1) shall be carried out by regulation in accordance with the 
procedures for substantive rules under section 553 of title 5, 
United States Code. A rule under the preceding sentence shall 
be considered a major rule for purposes of chapter 8 of such 
title (relating to congressional review of agency rulemaking). 
‘‘(g) DEFINITIONS.—For purposes of this title: 
‘‘(1) The term ‘Director of NIH’ means the Director of 
the National Institutes of Health. 
‘‘(2) The terms ‘national research institute’ and ‘national 
center’ mean an agency of the National Institutes of Health 
that is— 
‘‘(A) listed in subsection (b) and not terminated under 
subsection (d)(2)(A); or 
‘‘(B) established by the Director of NIH under such 
subsection. 
‘‘(h) REFERENCES TO NIH.—For purposes of this title, a ref-
erence to the National Institutes of Health includes its agencies.’’. 
(c) CONFORMING AMENDMENTS.—Title IV of the Public Health 
Service Act (42 U.S.C. 281 et seq.) is amended— 
(1) by redesignating subpart 3 of part E as subpart 19; 
(2) by transferring subpart 19, as so redesignated, to part 
C of such title IV; 
(3) by inserting subpart 19, as so redesignated, after sub-
part 18 of such part C; and 
(4) in subpart 19, as so redesignated— 
(A) by redesignating section 485B as section 464z–
1; 
(B) by striking ‘‘National Center for Human Genome 
Research’’ each place such term appears and inserting 
‘‘National Human Genome Research Institute’’; and 
(C) by striking ‘‘Center’’ each place such term appears 
and inserting ‘‘Institute’’. 
SEC. 102. AUTHORITY OF DIRECTOR OF NIH. 
(a) SECRETARY
ACTING
THROUGH
THE
DIRECTOR.—Section 
402(b) of the Public Health Service Act (42 U.S.C. 282(b)) is 
amended— 
(1) by redesignating paragraph (14) as paragraph (22); 
(2) by striking paragraphs (12) and (13); 
(3) by redesignating paragraphs (4) through (11) as para-
graphs (14) through (21); 
(4) in paragraph (21) (as so redesignated), by inserting 
‘‘and’’ after the semicolon at the end; 
(5) in the matter after and below paragraph (22) (as so 
redesignated), by striking ‘‘paragraph (6)’’ and inserting ‘‘para-
graph (16)’’; and 
(6) by striking ‘‘the Secretary’’ in the matter preceding 
paragraph (1) and all that follows through paragraph (1) and 
inserting the following: ‘‘the Secretary, acting through the 
Director of NIH— 
‘‘(1) shall carry out this title, including being responsible 
for the overall direction of the National Institutes of Health 
and for the establishment and implementation of general poli-
cies respecting the management and operation of programs 
and activities within the National Institutes of Health;’’. 
(b) ADDITIONAL AUTHORITIES.—Section 402(b) of the Public 
Health Service Act, as amended by subsection (a) of this section,
H. R. 6164—8
is amended by striking paragraphs (2) and (3) and inserting the 
following: 
‘‘(2) shall coordinate and oversee the operation of the 
national research institutes, national centers, and administra-
tive entities within the National Institutes of Health; 
‘‘(3) shall, in consultation with the heads of the national 
research institutes and national centers, be responsible for 
program coordination across the national research institutes 
and national centers, including conducting priority-setting 
reviews, to ensure that the research portfolio of the National 
Institutes of Health is balanced and free of unnecessary duplica-
tion, and takes advantage of collaborative, cross-cutting 
research; 
‘‘(4) shall assemble accurate data to be used to assess 
research priorities, including information to better evaluate 
scientific opportunity, public health burdens, and progress in 
reducing health disparities; 
‘‘(5) shall ensure that scientifically based strategic planning 
is implemented in support of research priorities as determined 
by the agencies of the National Institutes of Health; 
‘‘(6) shall ensure that the resources of the National 
Institutes of Health are sufficiently allocated for research 
projects identified in strategic plans; 
‘‘(7)(A) shall, through the Division of Program Coordination, 
Planning, and Strategic Initiatives— 
‘‘(i) identify research that represents important areas 
of emerging scientific opportunities, rising public health 
challenges, or knowledge gaps that deserve special 
emphasis and would benefit from conducting or supporting 
additional research that involves collaboration between 2 
or more national research institutes or national centers, 
or would otherwise benefit from strategic coordination and 
planning; 
‘‘(ii) include information on such research in reports 
under section 403; and 
‘‘(iii) in the case of such research supported with funds 
referred to in subparagraph (B)— 
‘‘(I) require as appropriate that proposals include 
milestones and goals for the research; 
‘‘(II) require that the proposals include timeframes 
for funding of the research; and 
‘‘(III) ensure appropriate consideration of proposals 
for which the principal investigator is an individual 
who has not previously served as the principal investi-
gator of research conducted or supported by the 
National Institutes of Health; 
‘‘(B) may, with respect to funds reserved under section 
402A(c)(1) for the Common Fund, allocate such funds to the 
national research institutes and national centers for conducting 
and supporting research that is identified under subparagraph 
(A); and 
‘‘(C) may assign additional functions to the Division in 
support of responsibilities identified in subparagraph (A), as 
determined appropriate by the Director; 
‘‘(8) shall, in coordination with the heads of the national 
research institutes and national centers, ensure that such 
institutes and centers—
H. R. 6164—9
‘‘(A) preserve an emphasis on investigator-initiated 
research project grants, including with respect to research 
involving collaboration between 2 or more such institutes 
or centers; and 
‘‘(B) when appropriate, maximize investigator-initiated 
research project grants in their annual research portfolios; 
‘‘(9) shall ensure that research conducted or supported by 
the National Institutes of Health is subject to review in accord-
ance with section 492 and that, after such review, the research 
is reviewed in accordance with section 492A(a)(2) by the appro-
priate advisory council under section 406 before the research 
proposals are approved for funding; 
‘‘(10) shall have authority to review and approve the 
establishment of all centers of excellence recommended by the 
national research institutes; 
‘‘(11)(A) shall oversee research training for all of the 
national research institutes and National Research Service 
Awards in accordance with section 487; and 
‘‘(B) may conduct and support research training— 
‘‘(i) for which fellowship support is not provided under 
section 487; and 
‘‘(ii) that does not consist of residency training of physi-
cians or other health professionals; 
‘‘(12) may, from funds appropriated under section 402A(b), 
reserve funds to provide for research on matters that have 
not received significant funding relative to other matters, to 
respond to new issues and scientific emergencies, and to act 
on research opportunities of high priority; 
‘‘(13) may, subject to appropriations Acts, collect and retain 
registration fees obtained from third parties to defray expenses 
for scientific, educational, and research-related conferences;’’. 
(c) CERTAIN AUTHORITIES.—Section 402 of the Public Health 
Service Act (42 U.S.C. 282) is amended— 
(1) by striking subsections (i) and (l); and 
(2) by redesignating subsections (j) and (k) as subsections 
(i) and (j), respectively. 
(d) ADVISORY COUNCIL FOR DIRECTOR OF NIH.—Section 402 
of the Public Health Service Act, as amended by subsection (c) 
of this section, is amended by adding after subsection (j) the fol-
lowing subsection: 
‘‘(k) COUNCIL OF COUNCILS.— 
‘‘(1) ESTABLISHMENT.—Not later than 90 days after the 
date of the enactment of the National Institutes of Health 
Reform Act of 2006, the Director of NIH shall establish within 
the Office of the Director an advisory council to be known 
as the ‘Council of Councils’ (referred to in this subsection as 
the ‘Council’) for the purpose of advising the Director on matters 
related to the policies and activities of the Division of Program 
Coordination, Planning, and Strategic Initiatives, including 
making recommendations with respect to the conduct and sup-
port of research described in subsection (b)(7). 
‘‘(2) MEMBERSHIP.— 
‘‘(A) IN GENERAL.—The Council shall be composed of 
27 members selected by the Director of NIH with approval 
from the Secretary from among the list of nominees under 
subparagraph (C).
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‘‘(B) CERTAIN REQUIREMENTS.—In selecting the mem-
bers of the Council, the Director of NIH shall ensure— 
‘‘(i) the representation of a broad range of dis-
ciplines and perspectives; and 
‘‘(ii) the ongoing inclusion of at least 1 representa-
tive from each national research institute whose budget 
is substantial relative to a majority of the other 
institutes. 
‘‘(C) NOMINATION.—The Director of NIH shall maintain 
an updated list of individuals who have been nominated 
to serve on the Council, which list shall consist of the 
following: 
‘‘(i) For each national research institute and 
national center, 3 individuals nominated by the head 
of such institute or center from among the members 
of the advisory council of the institute or center, of 
which— 
‘‘(I) two shall be scientists; and 
‘‘(II) one shall be from the general public or 
shall be a leader in the field of public policy, law, 
health policy, economics, or management. 
‘‘(ii) For each office within the Division of Program 
Coordination, Planning, and Strategic Initiatives, 1 
individual nominated by the head of such office. 
‘‘(iii) Members of the Council of Public Representa-
tives. 
‘‘(3) TERMS.— 
‘‘(A) IN GENERAL.—The term of service for a member 
of the Council shall be 6 years, except as provided in 
subparagraphs (B) and (C). 
‘‘(B) TERMS
OF
INITIAL
APPOINTEES.—Of the initial 
members selected for the Council, the Director of NIH 
shall designate— 
‘‘(i) nine for a term of 6 years; 
‘‘(ii) nine for a term of 4 years; and 
‘‘(iii) nine for a term of 2 years. 
‘‘(C) VACANCIES.—Any member appointed to fill a 
vacancy occurring before the expiration of the term for 
which the member’s predecessor was appointed shall be 
appointed only for the remainder of that term. A member 
may serve after the expiration of that member’s term until 
a successor has taken office.’’. 
(e) REVIEW BY ADVISORY COUNCILS OF RESEARCH PROPOSALS.—
Section 492A(a)(2) of the Public Health Service Act (42 U.S.C. 
289a–1(a)(2)) is amended by inserting before the period the fol-
lowing: ‘‘, and unless a majority of the voting members of the 
appropriate advisory council under section 406, or as applicable, 
of the advisory council under section 402(k), has recommended 
the proposal for approval’’. 
(f) CONFORMING AMENDMENTS.— 
(1) PUBLIC
HEALTH
SERVICE
ACT.—The Public Health 
Service Act (42 U.S.C. 201 et seq.) is amended— 
(A) in section 402(a), by striking ‘‘Director of the 
National Institutes of Health’’ and all that follows through 
‘‘who shall’’ and inserting ‘‘Director of NIH who shall’’; 
and
H. R. 6164—11
(B) 
in 
sections 
405(c)(3)(A), 
452(c)(1)(E)(i), 
and 
492(a)(2), by striking the term ‘‘402(b)(6)’’ each place such 
term appears and inserting ‘‘402(b)(16)’’. 
(2) FEDERAL
FOOD, DRUG, AND
COSMETIC
ACT.—Section 
561(c) of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 
360bbb) is amended in the matter following paragraph (7) 
by striking ‘‘402(j)(3)’’ and inserting ‘‘402(i)(3)’’. 
(g) RULE
OF
CONSTRUCTION
REGARDING
AUTHORITIES
OF 
NATIONAL RESEARCH INSTITUTES
AND NATIONAL CENTERS.—This 
Act and the amendments made by this Act may not be construed 
as affecting the authorities of the national research institutes and 
national centers that were in effect under the Public Health Service 
Act on the day before the date of the enactment of this Act, subject 
to the authorities of the Secretary of Health and Human Services 
and the Director of NIH under section 401 of the Public Health 
Service Act (as amended by section 101 of this Act). For purposes 
of the preceding sentence, the terms ‘‘national research institute’’, 
‘‘national center’’, and ‘‘Director of NIH’’ have the meanings given 
such terms in such section 401. 
SEC. 103. AUTHORIZATION OF APPROPRIATIONS. 
(a) FUNDING.—Title IV of the Public Health Service Act (42 
U.S.C. 281 et seq.) is amended by inserting after section 402 the 
following: 
‘‘SEC. 402A. AUTHORIZATION OF APPROPRIATIONS. 
‘‘(a) IN GENERAL.—For the purpose of carrying out this title, 
there are authorized to be appropriated— 
‘‘(1) $30,331,309,000 for fiscal year 2007; 
‘‘(2) $32,831,309,000 for fiscal year 2008; and 
‘‘(3) such sums as may be necessary for fiscal year 2009. 
‘‘(b) OFFICE OF THE DIRECTOR.—Of the amount authorized to 
be appropriated under subsection (a) for a fiscal year, there are 
authorized to be appropriated for programs and activities under 
this title carried out through the Office of the Director of NIH 
such sums as may be necessary for each of the fiscal years 2007 
through 2009. 
‘‘(c) TRANS-NIH RESEARCH.— 
‘‘(1) COMMON FUND.— 
‘‘(A) ACCOUNT.—For the purpose of allocations under 
section 402(b)(7)(B) (relating to research identified by the 
Division of Program Coordination, Planning, and Strategic 
Initiatives), there is established an account to be known 
as the Common Fund. 
‘‘(B) RESERVATION.— 
‘‘(i) IN
GENERAL.—Of the total amount appro-
priated under subsection (a) for fiscal year 2007 or 
any subsequent fiscal year, the Director of NIH shall 
reserve an amount for the Common Fund, subject to 
any applicable provisions in appropriations Acts. 
‘‘(ii) MINIMUM AMOUNT.—For each fiscal year, the 
percentage constituted by the amount reserved under 
clause (i) relative to the total amount appropriated 
under subsection (a) for such year may not be less 
than the percentage constituted by the amount so 
reserved for the preceding fiscal year relative to the 
total amount appropriated under subsection (a) for
H. R. 6164—12
such preceding fiscal year, subject to any applicable 
provisions in appropriations Acts. 
‘‘(C) COMMON FUND STRATEGIC PLANNING REPORT.—Not 
later than June 1, 2007, and every 2 years thereafter, 
the Secretary, acting through the Director of NIH, shall 
submit a report to the Congress containing a strategic 
plan 
for 
funding 
research 
described 
in 
section 
402(b)(7)(A)(i) (including personnel needs) through the 
Common Fund. Each such plan shall include the following: 
‘‘(i) An estimate of the amounts determined by 
the Director of NIH to be appropriate for maximizing 
the potential of such research. 
‘‘(ii) An estimate of the amounts determined by 
the Director of NIH to be sufficient only for continuing 
to fund research activities previously identified by the 
Division of Program Coordination, Planning, and Stra-
tegic Initiatives. 
‘‘(iii) An estimate of the amounts determined by 
the Director of NIH to be necessary to fund research 
described in section 402(b)(7)(A)(i)— 
‘‘(I) that is in addition to the research activities 
described in clause (ii); and 
‘‘(II) for which there is the most substantial 
need. 
‘‘(D) EVALUATION.—During the 6-month period fol-
lowing the end of the first fiscal year for which the total 
amount reserved under subparagraph (B) is equal to 5 
percent of the total amount appropriated under subsection 
(a) for such fiscal year, the Secretary, acting through the 
Director of NIH, in consultation with the advisory council 
established under section 402(k), shall submit recommenda-
tions to the Congress for changes regarding amounts for 
the Common Fund. 
‘‘(2) TRANS-NIH RESEARCH REPORTING.— 
‘‘(A) LIMITATION.—With respect to the total amount 
appropriated under subsection (a) for fiscal year 2008 or 
any subsequent fiscal year, if the head of a national 
research institute or national center fails to submit the 
report required by subparagraph (B) for the preceding fiscal 
year, the amount made available for the institute or center 
for the fiscal year involved may not exceed the amount 
made available for the institute or center for fiscal year 
2006. 
‘‘(B) REPORTING.—Not later than January 1, 2008, and 
each January 1st thereafter— 
‘‘(i) the head of each national research institute 
or national center shall submit to the Director of NIH 
a report on the amount made available by the institute 
or center for conducting or supporting research that 
involves collaboration between the institute or center 
and 1 or more other national research institutes or 
national centers; and 
‘‘(ii) the Secretary shall submit a report to the 
Congress identifying the percentage of funds made 
available by each national research institute and 
national center with respect to such fiscal year for
H. R. 6164—13
conducting or supporting research described in clause 
(i). 
‘‘(C) DETERMINATION.—For purposes of determining the 
amount or percentage of funds to be reported under 
subparagraph (B), any amounts made available to an 
institute or center under section 402(b)(7)(B) shall be 
included. 
‘‘(D) VERIFICATION OF AMOUNTS.—Upon receipt of each 
report submitted under subparagraph (B)(i), the Director 
of NIH shall review and, in cases of discrepancy, verify 
the accuracy of the amounts specified in the report. 
‘‘(E) WAIVER.—At the request of any national research 
institute or national center, the Director of NIH may waive 
the application of this paragraph to such institute or center 
if the Director finds that the conduct or support of research 
described in subparagraph (B)(i) is inconsistent with the 
mission of such institute or center. 
‘‘(d) TRANSFER AUTHORITY.—Of the total amount appropriated 
under subsection (a) for a fiscal year, the Director of NIH may 
(in addition to the reservation under subsection (c)(1) for such 
year) transfer not more than 1 percent for programs or activities 
that are authorized in this title and identified by the Director 
to receive funds pursuant to this subsection. In making such trans-
fers, the Director may not decrease any appropriation account under 
subsection (a) by more than 1 percent. 
‘‘(e) RULE OF CONSTRUCTION.—This section may not be con-
strued as affecting the authorities of the Director of NIH under 
section 401.’’. 
(b) ELIMINATION
OF OTHER AUTHORIZATIONS
OF APPROPRIA-
TIONS.—Title IV of the Public Health Service Act (42 U.S.C. 281 
et seq.) is amended— 
(1) by striking the first sentence of paragraph (5) of section 
402(i) (as redesignated by section 102(b)); 
(2) by striking subsection (e) of section 403A; 
(3) by striking subsection (c) of section 404B; 
(4) by striking subsection (h) of section 404E; 
(5) by striking subsection (d) of section 404F; 
(6) by striking subsection (e) of section 404G; 
(7) by striking subsection (d) of section 409A; 
(8) in section 409B— 
(A) in subsection (a), by striking ‘‘under subsection 
(e)’’ and inserting ‘‘to carry out this section’’; and 
(B) by striking subsection (e); 
(9) by striking subsection (e) of section 409C; 
(10) in section 409D— 
(A) by striking subsection (d); and 
(B) by redesignating subsection (e) as subsection (d); 
(11) by striking subsection (e) of section 409E; 
(12) by striking subsection (c) of section 409F; 
(13) in section 409H, by striking— 
(A) paragraph (3) of subsection (a); 
(B) paragraph (3) of subsection (b); 
(C) paragraph (5) of subsection (c); and 
(D) paragraph (4) of subsection (d); 
(14) by striking subsection (d) of section 409I; 
(15) by striking section 417B; 
(16) by striking subsection (g) of section 417C;
H. R. 6164—14
(17) in section 417D, by striking— 
(A) paragraph (3) of subsection (a); and 
(B) paragraph (3) of subsection (b); 
(18) by striking subsection (d) of section 424A; 
(19) by striking subsection (c) of section 424B; 
(20) by striking section 425; 
(21) by striking subsection (d) of section 434A; 
(22) by striking subsection (d) of section 441A; 
(23) by striking subsection (c) of section 442A; 
(24) in section 445H— 
(A) by striking subsection (b); and 
(B) in subsection (a), by striking ‘‘(a)’’; 
(25) by striking subsection (d) of section 445I; 
(26) by striking section 445J; 
(27) in section 447A— 
(A) by striking subsection (b); and 
(B) in subsection (a), by striking ‘‘(a)’’; 
(28) by striking subsection (d) of section 447B; 
(29) by striking subsection (g) in section 452A; 
(30) by striking paragraph (7) in section 452E(b); 
(31) in section 452G— 
(A) by striking subsection (b); and 
(B) in subsection (a), by striking ‘‘(a) ENHANCED SUP-
PORT.—’’; 
(32) by striking subsection (d) of section 464H; 
(33) by striking subsection (d) of section 464L; 
(34) by striking paragraph (4) of section 464N(c); 
(35) by striking subsection (e) of section 464P; 
(36) by striking subsection (f) of section 464R; 
(37) by striking subsection (d) of section 464z; 
(38) in section 467— 
(A) by striking the first sentence; 
(B) by striking ‘‘for such buildings and facilities’’ and 
inserting ‘‘for suitable and adequate buildings and facilities 
for use of the Library’’; and 
(C) by striking ‘‘The amounts authorized to be appro-
priated by this section include’’ and inserting ‘‘Amounts 
appropriated to carry out this section may be used for’’; 
(39) by striking section 468; 
(40) in section 481A— 
(A) in the matter preceding subparagraph (A) of sub-
section (c)(2)— 
(i) by striking the term ‘‘under subsection (i)(1)’’ 
and inserting ‘‘to carry out this section’’; and 
(ii) by striking ‘‘under such subsection’’ and 
inserting ‘‘to carry out this section’’; and 
(B) by striking subsection (i); 
(41) in subsection (a) of section 481B, by striking ‘‘under 
section 481A(h)’’ and inserting ‘‘to carry out section 481A’’; 
(42) by striking subsection (c) in the section 481C that 
relates to general clinical research centers; 
(43) by striking subsection (e) in section 485C; 
(44) by striking subsection (l) in section 485E; 
(45) by striking subsection (h) in section 485F; 
(46) by striking subsection (e) in section 485G; 
(47) by striking subsection (d) of section 487; 
(48) by striking subsection (c) of section 487A; and
H. R. 6164—15
(49) by striking subsection (c) in the section 487F that 
relates to a loan repayment program regarding clinical 
researchers. 
(c) RULE OF CONSTRUCTION REGARDING CONTINUATION OF PRO-
GRAMS.—The amendment of a program by a provision of subsection 
(b) may not be construed as terminating the authority of the Federal 
agency involved to carry out the program. 
SEC. 104. REPORTS. 
(a) REPORT OF DIRECTOR OF NIH.—The Public Health Service 
Act (42 U.S.C. 201 et seq.), as amended by section 103(a) of this 
Act, is amended— 
(1) by redesignating section 403A as section 403C; 
(2) in section 1710(a), by striking ‘‘section 403A’’ and 
inserting ‘‘section 403C’’; and 
(3) by striking section 403 and inserting the following sec-
tions: 
‘‘SEC. 402B. ELECTRONIC CODING OF GRANTS AND ACTIVITIES. 
‘‘The Secretary, acting through the Director of NIH, shall estab-
lish an electronic system to uniformly code research grants and 
activities of the Office of the Director and of all the national research 
institutes and national centers. The electronic system shall be 
searchable by a variety of codes, such as the type of research 
grant, the research entity managing the grant, and the public 
health area of interest. When permissible, the Secretary, acting 
through the Director of NIH, shall provide information on relevant 
literature and patents that are associated with research activities 
of the National Institutes of Health. 
‘‘SEC. 403. BIENNIAL REPORTS OF DIRECTOR OF NIH. 
‘‘(a) IN GENERAL.—The Director of NIH shall submit to the 
Congress on a biennial basis a report in accordance with this 
section. The first report shall be submitted not later than 1 year 
after the date of the enactment of the National Institutes of Health 
Reform Act of 2006. Each such report shall include the following 
information: 
‘‘(1) An assessment of the state of biomedical and behavioral 
research. 
‘‘(2) A description of the activities conducted or supported 
by the agencies of the National Institutes of Health and policies 
respecting the programs of such agencies. 
‘‘(3) Classification and justification for the priorities estab-
lished by the agencies, including a strategic plan and rec-
ommendations for future research initiatives to be carried out 
under section 402(b)(7) through the Division of Program 
Coordination, Planning, and Strategic Initiatives. 
‘‘(4) A catalog of all the research activities of the agencies, 
prepared in accordance with the following: 
‘‘(A) The catalog shall, for each such activity— 
‘‘(i) identify the agency or agencies involved; 
‘‘(ii) state whether the activity was carried out 
directly by the agencies or was supported by the agen-
cies and describe to what extent the agency was 
involved; and 
‘‘(iii) identify whether the activity was carried out 
through a center of excellence.
H. R. 6164—16
‘‘(B) In the case of clinical research, the catalog shall, 
as appropriate, identify study populations by demographic 
variables and other variables that contribute to research 
on minority health and health disparities. 
‘‘(C) Research activities listed in the catalog shall 
include, where applicable, the following: 
‘‘(i) 
Epidemiological 
studies 
and 
longitudinal 
studies. 
‘‘(ii) Disease registries, information clearinghouses, 
and other data systems. 
‘‘(iii) Public education and information campaigns. 
‘‘(iv) Training activities, including— 
‘‘(I) National Research Service Awards and 
Clinical Transformation Science Awards; 
‘‘(II) graduate medical education programs, 
including information on the number and type of 
graduate degrees awarded during the period in 
which the programs received funding under this 
title; 
‘‘(III) 
investigator-initiated 
awards 
for 
postdoctoral training; 
‘‘(IV) a breakdown by demographic variables 
and other appropriate categories; and 
‘‘(V) an evaluation and comparison of outcomes 
and effectiveness of various training programs. 
‘‘(v) Clinical trials, including a breakdown of 
participation by study populations and demographic 
variables and such other information as may be nec-
essary to demonstrate compliance with section 492B 
(regarding inclusion of women and minorities in clinical 
research). 
‘‘(vi) Translational research activities with other 
agencies of the Public Health Service. 
‘‘(5) A summary of the research activities throughout the 
agencies, which summary shall be organized by the following 
categories, where applicable: 
‘‘(A) Cancer. 
‘‘(B) Neurosciences. 
‘‘(C) Life stages, human development, and rehabilita-
tion. 
‘‘(D) Organ systems. 
‘‘(E) Autoimmune diseases. 
‘‘(F) Genomics. 
‘‘(G) Molecular biology and basic science. 
‘‘(H) Technology development. 
‘‘(I) Chronic diseases, including pain and palliative 
care. 
‘‘(J) Infectious diseases and bioterrorism. 
‘‘(K) Minority health and health disparities. 
‘‘(L) Such additional categories as the Director deter-
mines to be appropriate. 
‘‘(6) A review of each entity receiving funding under this 
title in its capacity as a center of excellence (in this paragraph 
referred to as a ‘center of excellence’), including the following: 
‘‘(A) An evaluation of the performance and research 
outcomes of each center of excellence.
H. R. 6164—17
‘‘(B) Recommendations for promoting coordination of 
information among the centers of excellence. 
‘‘(C) Recommendations for improving the effectiveness, 
efficiency, and outcomes of the centers of excellence. 
‘‘(D) If no additional centers of excellence have been 
funded under this title since the previous report under 
this section, an explanation of the reasons for not funding 
any additional centers. 
‘‘(b) REQUIREMENT
REGARDING
DISEASE-SPECIFIC
RESEARCH 
ACTIVITIES.—In a report under subsection (a), the Director of NIH, 
when reporting on research activities relating to a specific disease, 
disorder, or other adverse health condition, shall— 
‘‘(1) present information in a standardized format; 
‘‘(2) identify the actual dollar amounts obligated for such 
activities; and 
‘‘(3) include a plan for research on the specific disease, 
disorder, or other adverse health condition, including a state-
ment of objectives regarding the research, the means for 
achieving the objectives, a date by which the objectives are 
expected to be achieved, and justifications for revisions to the 
plan. 
‘‘(c) ADDITIONAL REPORTS.—In addition to reports required by 
subsections (a) and (b), the Director of NIH or the head of a 
national research institute or national center may submit to the 
Congress such additional reports as the Director or the head of 
such institute or center determines to be appropriate. 
‘‘SEC. 
403A. 
ANNUAL 
REPORTING 
TO 
INCREASE 
INTERAGENCY 
COLLABORATION AND COORDINATION. 
‘‘(a) COLLABORATION WITH OTHER HHS AGENCIES.—On an 
annual basis, the Director of NIH shall submit to the Secretary 
a report on the activities of the National Institutes of Health 
involving collaboration with other agencies of the Department of 
Health and Human Services. 
‘‘(b) CLINICAL TRIALS.—Each calendar year, the Director of NIH 
shall submit to the Commissioner of Food and Drugs a report 
that identifies each clinical trial that is registered during such 
calendar year in the databank of information established under 
section 402(i). 
‘‘(c) HUMAN TISSUE SAMPLES.—On an annual basis, the Director 
of NIH shall submit to the Congress a report that describes how 
the National Institutes of Health and its agencies store and track 
human tissue samples. 
‘‘(d) FIRST REPORT.—The first report under subsections (a), 
(b), and (c) shall be submitted not later than 1 year after the 
date of the enactment of the National Institutes of Health Reform 
Act of 2006. 
‘‘SEC. 403B. ANNUAL REPORTING TO PREVENT FRAUD AND ABUSE. 
‘‘(a) WHISTLEBLOWER COMPLAINTS.— 
‘‘(1) IN
GENERAL.—On an annual basis, the Director of 
NIH shall submit to the Inspector General of the Department 
of Health and Human Services, the Secretary, the Committee 
on Energy and Commerce and the Committee on Appropriations 
of the House of Representatives, and the Committee on Health, 
Education, Labor, and Pensions and the Committee on Appro-
priations of the Senate a report summarizing the activities
H. R. 6164—18
of the National Institutes of Health relating to whistleblower 
complaints. 
‘‘(2) CONTENTS.—For each whistleblower complaint pending 
during the year for which a report is submitted under this 
subsection, the report shall identify the following: 
‘‘(A) Each agency of the National Institutes of Health 
involved. 
‘‘(B) The status of the complaint. 
‘‘(C) The resolution of the complaint to date. 
‘‘(b) EXPERTS
AND CONSULTANTS.—On an annual basis, the 
Director of NIH shall submit to the Inspector General of the Depart-
ment of Health and Human Services, the Secretary, the Committee 
on Energy and Commerce and the Committee on Appropriations 
of the House of Representatives, and the Committee on Health, 
Education, Labor, and Pensions and the Committee on Appropria-
tions of the Senate a report that— 
‘‘(1) identifies the number of experts and consultants, 
including any special consultants, whose services are obtained 
by the National Institutes of Health or its agencies; 
‘‘(2) specifies whether such services were obtained under 
section 207(f), section 402(d), or other authority; 
‘‘(3) describes the qualifications of such experts and consult-
ants; 
‘‘(4) describes the need for hiring such experts and consult-
ants; and 
‘‘(5) if such experts and consultants make financial disclo-
sures to the National Institutes of Health or any of its agencies, 
specifies the income, gifts, assets, and liabilities so disclosed. 
‘‘(c) FIRST REPORT.—The first report under subsections (a) and 
(b) shall be submitted not later than 1 year after the date of 
the enactment of the National Institutes of Health Reform Act 
of 2006. 
‘‘SEC. 403C. ANNUAL REPORTING REGARDING TRAINING OF GRADUATE 
STUDENTS FOR DOCTORAL DEGREES. 
‘‘(a) IN GENERAL.—Each institution receiving an award under 
this title for the training of graduate students for doctoral degrees 
shall annually report to the Director of NIH, with respect to each 
degree-granting program at such institution— 
‘‘(1) the percentage of students admitted for study who 
successfully attain a doctoral degree; and 
‘‘(2) for students described in paragraph (1), the average 
time between the beginning of graduate study and the receipt 
of a doctoral degree. 
‘‘(3) PROVISION
OF
INFORMATION
TO
APPLICANTS.—Each 
institution described in subsection (a) shall provide to each 
student submitting an application for a program of graduate 
study at such institution the information described in para-
graphs (1) and (2) of such subsection with respect to the pro-
gram or programs to which such student has applied.’’. 
(b) STRIKING OF OTHER REPORTING REQUIREMENTS FOR NIH.— 
(1) PUBLIC
HEALTH
SERVICE
ACT; TITLE
IV.—Title IV of 
the Public Health Service Act, as amended by section 103(b) 
of this Act, is amended— 
(A) in section 404E(b)— 
(i) by amending paragraph (3) to read as follows:
H. R. 6164—19
‘‘(3) COORDINATION
OF
CENTERS.—The Director of NIH 
shall, as appropriate, provide for the coordination of information 
among centers under paragraph (1) and ensure regular commu-
nication between such centers.’’; and 
(ii) by striking subsection (f) and redesignating 
subsection (g) as subsection (f); 
(B) in section 404F(b)(1), by striking subparagraphs 
(F) and (G); 
(C) by striking section 407; 
(D) in section 409C(b), by striking paragraph (4) and 
redesignating paragraphs (5) and (6) as paragraphs (4) 
and (5), respectively; 
(E) in section 409E, by striking subsection (d); 
(F) in section 417C, by striking subsection (f); 
(G) in section 424B(a)— 
(i) in paragraph (1), by adding ‘‘and’’ after the 
semicolon at the end; 
(ii) in paragraph (2), by striking ‘‘; and’’ and 
inserting a period; and 
(iii) by striking paragraph (3); 
(H) in section 429, by striking subsections (c) and (d); 
(I) in section 442, by striking subsection (j) and redesig-
nating subsection (k) as subsection (j); 
(J) in section 464D, by striking subsection (j); 
(K) in section 464E, by striking subsection (e); 
(L) in section 464T, by striking subsection (e); 
(M) in section 481A, by striking subsection (h); 
(N) in section 485E, by striking subsection (k); 
(O) in section 485H— 
(i) by striking ‘‘(a)’’ and all that follows through 
‘‘The Secretary,’’ and inserting ‘‘The Secretary,’’; and 
(ii) by striking subsection (b); and 
(P) in section 494— 
(i) by striking ‘‘(a) If the Secretary’’ and inserting 
‘‘If the Secretary’’; and 
(ii) by striking subsection (b). 
(2) PUBLIC HEALTH SERVICE ACT; OTHER PROVISIONS.—The 
Public Health Service Act (42 U.S.C. 201 et seq.) is amended— 
(A) in section 399E, by striking subsection (e); 
(B) in section 1122— 
(i) by striking ‘‘(a) From the sums’’ and inserting 
‘‘From the sums’’; and 
(ii) by striking subsections (b) and (c); 
(C) by striking section 2301; 
(D) in section 2354, by striking subsection (b) and 
redesignating subsection (c) as subsection (b); 
(E) in section 2356, by striking subsection (e) and 
redesignating subsections (f) and (g) as subsections (e) and 
(f), respectively; and 
(F) in section 2359(b)— 
(i) by striking paragraph (2); 
(ii) by striking ‘‘ (b) EVALUATION
AND REPORT’’ 
and all that follows through ‘‘Not later than 5 years’’ 
and inserting ‘‘ (b) EVALUATION.—Not later than 5 
years’’; 
(iii) by redesignating subparagraphs (A) through 
(C) as paragraphs (1) through (3), respectively; and
H. R. 6164—20
(iv) by moving each of paragraphs (1) through (3) 
(as so redesignated) 2 ems to the left. 
(3) OTHER ACTS.—Provisions of Federal law are amended 
as follows: 
(A) Section 7 of Public Law 97–414 is amended— 
(i) in subsection (a)— 
(I) in paragraph (2), by inserting ‘‘and’’ at the 
end; 
(II) in paragraph (3), by striking ‘‘; and’’ and 
inserting a period; and 
(III) by striking paragraph (4); and 
(ii) in subsection (b), by striking the last sentence 
of paragraph (3). 
(B) Title III of Public Law 101–557 (42 U.S.C. 242q 
et seq.) is amended by striking section 304 and redesig-
nating section 305 and 306 as sections 304 and 305, respec-
tively. 
(C) Section 4923 of Public Law 105–33 is amended 
by striking subsection (b). 
(D) Public Law 106–310 is amended by striking section 
105. 
(E) Section 1004 of Public Law 106–310 is amended 
by striking subsection (d). 
(F) Section 3633 of Public Law 106–310 (as amended 
by section 2502 of Public Law 107–273) is repealed. 
(G) Public Law 106–525 is amended by striking section 
105. 
(H) Public Law 107–84 is amended by striking section 
6. 
(I) Public Law 108–427 is amended by striking section 
3 and redesignating sections 4 and 5 as sections 3 and 
4, respectively. 
SEC. 105. CERTAIN DEMONSTRATION PROJECTS. 
(a) BRIDGING THE SCIENCES.— 
(1) IN GENERAL.—From amounts to be appropriated under 
section 402A(b) of the Public Health Service Act, the Secretary 
of Health and Human Services, acting through the Director 
of NIH, (in this subsection referred to as the ‘‘Secretary’’) in 
consultation with the Director of the National Science Founda-
tion, the Secretary of Energy, and other agency heads when 
necessary, may allocate funds for the national research 
institutes and national centers to make grants for the purpose 
of improving the public health through demonstration projects 
for biomedical research at the interface between the biological, 
behavioral, and social sciences and the physical, chemical, 
mathematical, and computational sciences. 
(2) 
GOALS, 
PRIORITIES, 
AND
METHODS; 
INTERAGENCY 
COLLABORATION.—The Secretary shall establish goals, prior-
ities, and methods of evaluation for research under paragraph 
(1), and shall provide for interagency collaboration with respect 
to such research. In developing such goals, priorities, and 
methods, the Secretary shall ensure that— 
(A) the research reflects the vision of innovation and 
higher risk with long-term payoffs; and 
(B) the research includes a wide spectrum of projects, 
funded at various levels, with varying timeframes.
H. R. 6164—21
(3) PEER REVIEW.—A grant may be made under paragraph 
(1) only if the application for the grant has undergone technical 
and scientific peer review under section 492 of the Public Health 
Service Act (42 U.S.C. 289a) and has been reviewed by the 
advisory council under section 402(k) of such Act (as added 
by section 102(c) of this Act) or has been reviewed by an 
advisory council composed of representatives from appropriate 
scientific disciplines who can fully evaluate the applicant. 
(b) HIGH-RISK, HIGH-REWARD RESEARCH.— 
(1) IN GENERAL.—From amounts to be appropriated under 
section 402A(b) of the Public Health Service Act, the Secretary, 
acting through the Director of NIH, may allocate funds for 
the national research institutes and national centers to make 
awards of grants or contracts or to engage in other transactions 
for demonstration projects for high-impact, cutting-edge 
research that fosters scientific creativity and increases funda-
mental biological understanding leading to the prevention, diag-
nosis, and treatment of diseases and disorders. The head of 
a national research institute or national center may conduct 
or support such high-impact, cutting-edge research (with funds 
allocated under the preceding sentence or otherwise available 
for such purpose) if the institute or center gives notice to 
the Director of NIH beforehand and submits a report to the 
Director of NIH on an annual basis on the activities of the 
institute or center relating to such research. 
(2) SPECIAL CONSIDERATION.—In carrying out the program 
under paragraph (1), the Director of NIH shall give special 
consideration to coordinating activities with national research 
institutes whose budgets are substantial relative to a majority 
of the other institutes. 
(3) ADMINISTRATION
OF
PROGRAM.—Activities relating to 
research described in paragraph (1) shall be designed by the 
Director of NIH or the head of a national research institute 
or national center, as applicable, to enable such research to 
be carried out with maximum flexibility and speed. 
(4) 
PUBLIC-PRIVATE
PARTNERSHIPS.—In 
providing 
for 
research described in paragraph (1), the Director of NIH or 
the head of a national research institute or national center, 
as applicable, shall seek to facilitate partnerships between 
public and private entities and shall coordinate when appro-
priate with the Foundation for the National Institutes of 
Health. 
(5) PEER REVIEW.—A grant for research described in para-
graph (1) may be made only if the application for the grant 
has undergone technical and scientific peer review under sec-
tion 492 of the Public Health Service Act (42 U.S.C. 289a) 
and has been reviewed by the advisory council under section 
402(k) of such Act (as added by section 102(c) of this Act). 
(c) REPORT TO CONGRESS.—Not later than the end of fiscal 
year 2009, the Secretary, acting through the Director of NIH, shall 
conduct an evaluation of the activities under this section and submit 
a report to the Congress on the results of such evaluation. 
(d) DEFINITIONS.—For purposes of this section, the terms 
‘‘Director of NIH’’ , ‘‘national research institute’’, and ‘‘national 
center’’ have the meanings given such terms in section 401 of 
the Public Health Service Act.
H. R. 6164—22
SEC. 106. ENHANCING THE CLINICAL AND TRANSLATIONAL SCIENCE 
AWARD. 
(a) 
IN
GENERAL.—In 
administering 
the 
Clinical 
and 
Translational Science Award, the Director of NIH shall establish 
a mechanism to preserve independent funding and infrastructure 
for pediatric clinical research centers by— 
(1) allowing the appointment of a secondary principal inves-
tigator under a single Clinical and Translational Science Award, 
such that a pediatric principal investigator may be appointed 
with direct authority over a separate budget and infrastructure 
for pediatric clinical research; or 
(2) otherwise securing institutional independence of pedi-
atric clinical research centers with respect to finances, infra-
structure, resources, and research agenda. 
(b) REPORT.—As part of the biennial report under section 403 
of the Public Health Service Act, the Director of NIH shall provide 
an evaluation and comparison of outcomes and effectiveness of 
training programs under subsection (a). 
(c) DEFINITION.—For purposes of this section, the term ‘‘Director 
of NIH’’ has the meaning given such term in section 401 of the 
Public Health Service Act. 
SEC. 107. FOUNDATION FOR THE NATIONAL INSTITUTES OF HEALTH. 
Section 499 of the Public Health Service Act (42 U.S.C. 290b) 
is amended— 
(1) in subsection (d)— 
(A) in paragraph (1)— 
(i) by amending subparagraph (D)(ii) to read as 
follows: 
‘‘(ii) Upon the appointment of the appointed mem-
bers of the Board under clause (i)(II), the terms of 
service as members of the Board of the ex officio mem-
bers of the Board described in clauses (i) and (ii) of 
subparagraph (B) shall terminate. The ex officio mem-
bers of the Board described in clauses (iii) and (iv) 
of subparagraph (B) shall continue to serve as ex officio 
members of the Board.’’; and 
(ii) in subparagraph (G), by inserting ‘‘appointed’’ 
after ‘‘that the number of’’; 
(B) by amending paragraph (3)(B) to read as follows: 
‘‘(B) Any vacancy in the membership of the appointed 
members of the Board shall be filled in accordance with 
the bylaws of the Foundation established in accordance 
with paragraph (6), and shall not affect the power of the 
remaining appointed members to execute the duties of the 
Board.’’; and 
(C) in paragraph (5), by inserting ‘‘appointed’’ after 
‘‘majority of the’’; 
(2) in subsection (j)— 
(A) in paragraph (2), by striking ‘‘(d)(2)(B)(i)(II)’’ and 
inserting ‘‘(d)(6)’’; 
(B) in paragraph (4)— 
(i) in subparagraph (A), by inserting ‘‘, including 
an accounting of the use of amounts transferred under 
subsection (l)’’ before the period at the end; and 
(ii) by striking subparagraph (C) and inserting 
the following:
H. R. 6164—23
‘‘(C) The Foundation shall make copies of each report 
submitted under subparagraph (A) available— 
‘‘(i) for public inspection, and shall upon request 
provide a copy of the report to any individual for a 
charge that shall not exceed the cost of providing the 
copy; and 
‘‘(ii) to the appropriate committees of Congress.’’; 
and 
(C) in paragraph (10), by striking ‘‘of Health.’’ and 
inserting ‘‘of Health and the National Institutes of Health 
may accept transfers of funds from the Foundation.’’; and 
(3) by striking subsection (l) and inserting the following: 
‘‘(l) FUNDING.—From amounts appropriated to the National 
Institutes of Health, for each fiscal year, the Director of NIH shall 
transfer not less than $500,000 and not more than $1,250,000 
to the Foundation.’’. 
SEC. 108. MISCELLANEOUS AMENDMENTS. 
(a) CERTAIN AUTHORITIES OF THE SECRETARY.— 
(1) IN GENERAL.—Section 401 of the Public Health Service 
Act, as added and amended by section 101, is amended in 
subsection (d) by inserting after paragraph (1) a subsection 
that is identical to section 401(c) of such Act as in effect 
on the day before the date of the enactment of this Act. The 
subsection so inserted is amended— 
(A) by striking ‘‘(c)(1) The Secretary may’’ and inserting 
the following: 
‘‘(2) REORGANIZATION OF INSTITUTES.— 
‘‘(A) IN GENERAL.—The Secretary may’’; 
(B) by striking ‘‘(A) the Secretary determines’’ and 
inserting the following: 
‘‘(i) the Secretary determines’’; 
(C) by striking ‘‘(B) the additional’’ and inserting the 
following: 
‘‘(ii) the additional’’; and 
(D) by striking ‘‘(2) The Secretary may’’ and inserting 
the following: 
‘‘(B) ADDITIONAL AUTHORITY.—The Secretary may’’. 
(2) CONFORMING
AMENDMENTS.—Section 401(d)(2) of the 
Public Health Service Act, as designated by paragraph (1) of 
this subsection, is amended— 
(A) in subparagraph (A)(ii), by striking ‘‘subparagraph 
(A)’’ and inserting ‘‘clause (i)’’; and 
(B) by striking ‘‘Labor and Human Resources’’ each 
place such term appears and inserting ‘‘Health, Education, 
Labor, and Pensions’’. 
(b) CERTAIN RESEARCH CENTERS.—Section 414 of the Public 
Health Service Act (42 U.S.C. 285a–3) is amended by adding at 
the end the following subsection: 
‘‘(d) Research centers under this section may not be considered 
centers of excellence for purposes of section 402(b)(10).’’. 
SEC. 109. APPLICABILITY. 
This title and the amendments made by this title apply only 
with respect to amounts appropriated for fiscal year 2007 or subse-
quent fiscal years.
H. R. 6164—24
TITLE II—MISCELLANEOUS 
PROVISIONS 
SEC. 201. REDISTRIBUTION OF CERTAIN UNUSED SCHIP ALLOTMENTS 
FOR FISCAL YEARS 2004 AND 2005 TO REDUCE FUNDING 
SHORTFALLS FOR FISCAL YEAR 2007. 
(a) REDISTRIBUTION
OF
CERTAIN
UNUSED
SCHIP ALLOT-
MENTS.—Section 2104 of the Social Security Act (42 U.S.C. 1397dd) 
is amended by adding at the end the following new subsection: 
‘‘(h) SPECIAL RULES TO ADDRESS FISCAL YEAR 2007 SHORT-
FALLS.— 
‘‘(1) REDISTRIBUTION OF UNUSED FISCAL YEAR 2004 ALLOT-
MENTS.— 
‘‘(A) IN GENERAL.—Notwithstanding subsection (f) and 
subject to subparagraphs (C) and (D), with respect to 
months beginning during fiscal year 2007, the Secretary 
shall provide for a redistribution under such subsection 
from the allotments for fiscal year 2004 under subsection 
(b) that are not expended by the end of fiscal year 2006, 
to a shortfall State described in subparagraph (B), such 
amount as the Secretary determines will eliminate the 
estimated shortfall described in such subparagraph for such 
State for the month. 
‘‘(B) SHORTFALL
STATE
DESCRIBED.—For purposes of 
this paragraph, a shortfall State described in this subpara-
graph is a State with a State child health plan approved 
under this title for which the Secretary estimates, subject 
to paragraph (4)(B) and on a monthly basis using the 
most recent data available to the Secretary as of such 
month, that the projected expenditures under such plan 
for such State for fiscal year 2007 will exceed the sum 
of— 
‘‘(i) the amount of the State’s allotments for each 
of fiscal years 2005 and 2006 that was not expended 
by the end of fiscal year 2006; and 
‘‘(ii) the amount of the State’s allotment for fiscal 
year 2007. 
‘‘(C) FUNDS REDISTRIBUTED IN THE ORDER IN WHICH 
STATES REALIZE FUNDING SHORTFALLS.—The Secretary shall 
redistribute the amounts available for redistribution under 
subparagraph (A) to shortfall States described in subpara-
graph (B) in the order in which such States realize monthly 
funding shortfalls under this title for fiscal year 2007. 
The Secretary shall only make redistributions under this 
paragraph to the extent that there are unexpended fiscal 
year 2004 allotments under subsection (b) available for 
such redistributions. 
‘‘(D) PRORATION RULE.—If the amounts available for 
redistribution under subparagraph (A) for a month are 
less than the total amounts of the estimated shortfalls 
determined for the month under that subparagraph, the 
amount computed under such subparagraph for each short-
fall State shall be reduced proportionally. 
‘‘(2) FUNDING REMAINDER OF REDUCTION OF SHORTFALL FOR 
FISCAL YEAR 2007 THROUGH REDISTRIBUTION OF CERTAIN UNUSED 
FISCAL YEAR 2005 ALLOTMENTS.—
H. R. 6164—25
‘‘(A) IN GENERAL.—Subject to subparagraphs (C) and 
(D) and paragraph (5)(B), with respect to months beginning 
during fiscal year 2007 after March 31, 2007, the Secretary 
shall provide for a redistribution under subsection (f) from 
amounts made available for redistribution under paragraph 
(3) to each shortfall State described in subparagraph (B), 
such amount as the Secretary determines will eliminate 
the estimated shortfall described in such subparagraph 
for such State for the month. 
‘‘(B) SHORTFALL
STATE
DESCRIBED.—For purposes of 
this paragraph, a shortfall State described in this subpara-
graph is a State with a State child health plan approved 
under this title for which the Secretary estimates, subject 
to paragraph (4)(B) and on a monthly basis using the 
most recent data available to the Secretary as of March 
31, 2007, that the projected expenditures under such plan 
for such State for fiscal year 2007 will exceed the sum 
of— 
‘‘(i) the amount of the State’s allotments for each 
of fiscal years 2005 and 2006 that was not expended 
by the end of fiscal year 2006; 
‘‘(ii) the amount, if any, that is to be redistributed 
to the State in accordance with paragraph (1); and 
‘‘(iii) the amount of the State’s allotment for fiscal 
year 2007. 
‘‘(C) FUNDS REDISTRIBUTED IN THE ORDER IN WHICH 
STATES REALIZE FUNDING SHORTFALLS.—The Secretary shall 
redistribute the amounts available for redistribution under 
subparagraph (A) to shortfall States described in subpara-
graph (B) in the order in which such States realize monthly 
funding shortfalls under this title for fiscal year 2007. 
The Secretary shall only make redistributions under this 
paragraph to the extent that such amounts are available 
for such redistributions. 
‘‘(D) PRORATION RULE.—If the amounts available for 
redistribution under paragraph (3) for a month are less 
than the total amounts of the estimated shortfalls deter-
mined for the month under subparagraph (A), the amount 
computed under such subparagraph for each shortfall State 
shall be reduced proportionally. 
‘‘(3) TREATMENT OF CERTAIN STATES WITH FISCAL YEAR 2005 
ALLOTMENTS UNEXPENDED AT THE END OF THE FIRST HALF OF 
FISCAL YEAR 2007.— 
‘‘(A) IDENTIFICATION OF STATES.—The Secretary, on the 
basis of the most recent data available to the Secretary 
as of March 31, 2007— 
‘‘(i) shall identify those States that received an 
allotment for fiscal year 2005 under subsection (b) 
which have not expended all of such allotment by 
March 31, 2007; and 
‘‘(ii) for each such State shall estimate— 
‘‘(I) the portion of such allotment that was 
not so expended by such date; and 
‘‘(II) whether the State is described in subpara-
graph (B). 
‘‘(B) STATES WITH FUNDS IN EXCESS OF 200 PERCENT 
OF NEED.—A State described in this subparagraph is a
H. R. 6164—26
State for which the Secretary determines, on the basis 
of the most recent data available to the Secretary as of 
March 31, 2007, that the total of all available allotments 
under this title to the State as of such date, is at least 
equal to 200 percent of the total projected expenditures 
under this title for the State for fiscal year 2007. 
‘‘(C) REDISTRIBUTION AND LIMITATION ON AVAILABILITY 
OF PORTION OF UNUSED ALLOTMENTS FOR CERTAIN STATES.— 
‘‘(i) IN GENERAL.—In the case of a State identified 
under subparagraph (A)(i) that is also described in 
subparagraph (B), notwithstanding subsection (e), the 
applicable amount described in clause (ii) shall not 
be available for expenditure by the State on or after 
April 1, 2007, and shall be redistributed in accordance 
with paragraph (2). 
‘‘(ii) APPLICABLE AMOUNT.—For purposes of clause 
(i), the applicable amount described in this clause is 
the lesser of— 
‘‘(I) 50 percent of the amount described in 
subparagraph (A)(ii)(I); or 
‘‘(II) $20,000,000. 
‘‘(4) SPECIAL RULES.— 
‘‘(A) EXPENDITURES LIMITED TO COVERAGE FOR POPU-
LATIONS ELIGIBLE ON OCTOBER 1, 2006.—A State shall use 
amounts redistributed under this subsection only for 
expenditures for providing child health assistance or other 
health benefits coverage for populations eligible for such 
assistance or benefits under the State child health plan 
(including under a waiver of such plan) on October 1, 
2006. 
‘‘(B) REGULAR FMAP FOR EXPENDITURES FOR COVERAGE 
OF NONCHILD POPULATIONS.—To the extent a State uses 
amounts redistributed under this subsection for expendi-
tures for providing child health assistance or other health 
benefits coverage to an individual who is not a child or 
a pregnant woman, the Federal medical assistance percent-
age (as defined in the first sentence of section 1905(b)) 
applicable to the State for the fiscal year shall apply to 
such expenditures for purposes of making payments to 
the State under subsection (a) of section 2105 from such 
amounts. 
‘‘(5) RETROSPECTIVE ADJUSTMENT.— 
‘‘(A) IN GENERAL.—The Secretary may adjust the esti-
mates and determinations made under paragraphs (1), (2), 
and (3) as necessary on the basis of the amounts reported 
by States not later than November 30, 2007, on CMS 
Form 64 or CMS Form 21, as the case may be and as 
approved by the Secretary, but in no case may the 
applicable amount described in paragraph (3)(C)(ii) exceed 
the amount determined by the Secretary on the basis of 
the most recent data available to the Secretary as of March 
31, 2007. 
‘‘(B) FUNDING
OF
ANY
RETROSPECTIVE
ADJUSTMENTS 
ONLY
FROM
UNEXPENDED
2005
ALLOTMENTS.—Notwith-
standing subsections (e) and (f), to the extent the Secretary 
determines it necessary to adjust the estimates and deter-
minations made for purposes of paragraphs (1), (2), and
H. R. 6164—27
(3), the Secretary may use only the allotments for fiscal 
year 2005 under subsection (b) that remain unexpended 
through the end of fiscal year 2007 for providing any addi-
tional amounts to States described in paragraph (2)(B) 
(without regard to whether such unexpended allotments 
are from States described paragraph (3)(B)). 
‘‘(C) RULES OF CONSTRUCTION.—Nothing in this sub-
section shall be construed as— 
‘‘(i) authorizing the Secretary to use the allotments 
for fiscal year 2006 or 2007 under subsection (b) of 
States described in paragraph (3)(B) to provide addi-
tional amounts to States described in paragraph (2)(B) 
for purposes of eliminating the funding shortfall for 
such States for fiscal year 2007; or 
‘‘(ii) limiting the authority of the Secretary to redis-
tribute the allotments for fiscal year 2005 under sub-
section (b) that remain unexpended through the end 
of fiscal year 2007 and are available for redistribution 
under subsection (f) after the application of subpara-
graph (B). 
‘‘(6) 1-YEAR AVAILABILITY; NO FURTHER REDISTRIBUTION.—
Notwithstanding subsections (e) and (f), amounts redistributed 
to a State pursuant to this subsection for fiscal year 2007 
shall only remain available for expenditure by the State through 
September 30, 2007, and any amounts of such redistributions 
that remain unexpended as of such date, shall not be subject 
to redistribution under subsection (f). Nothing in the preceding 
sentence shall be construed as limiting the ability of the Sec-
retary to adjust the determinations made under paragraphs 
(1), (2), and (3) in accordance with paragraph (5). 
‘‘(7) DEFINITION OF STATE.—For purposes of this subsection, 
the term ‘State’ means a State that receives an allotment 
for fiscal year 2007 under subsection (b).’’. 
(b) EXTENDING AUTHORITY
FOR QUALIFYING STATES
TO USE 
CERTAIN
FUNDS
FOR
MEDICAID
EXPENDITURES.—Section 
2105(g)(1)(A) of such Act (42 U.S.C. 1397ee(g)(1)(A)) is amended 
by striking ‘‘or 2005’’ and inserting ‘‘2005, 2006, or 2007’’. 
(c) REPORT TO CONGRESS.—Not later than April 30, 2007, the 
Secretary of Health and Human Services shall submit a report 
to the Committee on Energy and Commerce of the House of Rep-
resentatives and the Committee on Finance of the Senate regarding 
the amounts redistributed to States under section 2104 of the 
Social Security Act to reduce funding shortfalls for the State Chil-
dren’s Health Insurance Program (SCHIP) for fiscal year 2007. 
Such report shall include descriptions and analyses of— 
(1) the extent to which such redistributed amounts have 
reduced or eliminated such shortfalls on the basis of reports 
by States submitted to the Secretary as of April 1, 2007; and 
(2) the effect of the redistribution and limited availability 
of unexpended fiscal year 2005 allotments under such program 
on the States described in section 2104(h)(3)(B) of the Social
H. R. 6164—28
Security Act (42 U.S.C. 1397dd(h)(3)(B)) on the basis of reports 
by States submitted to the Secretary as of such date.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.