Make PPE in America Act
Bill: S.1306 | Sponsor: Sen. Portman, Rob (R-OH)
Policy area: Government Operations and Politics

Summary:
Make PPE in America Act
This bill requires certain federal procurement contracts for personal protective equipment (PPE) to be long-term (at least two years in duration) and for domestically manufactured PPE, with certain exceptions such as for nonavailability. The bill also addresses related issues, such as authorizing the Department of Homeland Security to transfer excess PPE or medically necessary equipment to the Department of Health and Human Services during public health emergencies.

To provide for domestic sourcing of personal protective equipment, and 
                          for other purposes.

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

<DELETED>SECTION 1. SHORT TITLE.</DELETED>

<DELETED>    This Act may be cited as the ``Make PPE in America 
Act''.</DELETED>

<DELETED>SEC. 2. FINDINGS.</DELETED>

<DELETED>    Congress makes the following findings:</DELETED>
        <DELETED>    (1) The COVID-19 pandemic has exposed the 
        vulnerability of the United States supply chains for, and lack 
        of domestic production of, personal protective equipment 
        (PPE).</DELETED>
        <DELETED>    (2) The United States requires a robust, secure, 
        and wholly domestic PPE supply chain to safeguard public health 
        and national security.</DELETED>
        <DELETED>    (3) Issuing a strategy that provides the 
        government's anticipated needs over the next three years will 
        enable suppliers to assess what changes, if any, are needed in 
        their manufacturing capacity to meet expected 
        demands.</DELETED>
        <DELETED>    (4) In order to foster a domestic PPE supply 
        chain, United States industry needs a strong and consistent 
        demand signal from the Federal Government providing the 
        necessary certainty to expand production capacity investment in 
        the United States.</DELETED>
        <DELETED>    (5) In order to effectively incentivize investment 
        in the United States and the re-shoring of manufacturing, long-
        term contracts must be no shorter than three years in 
        duration.</DELETED>
        <DELETED>    (6) The United States needs a long-term investment 
        strategy for the domestic production of PPE items critical to 
        the United States national response to a public health crisis, 
        including the COVID-19 pandemic.</DELETED>

<DELETED>SEC. 3. REQUIREMENT OF LONG-TERM CONTRACTS FOR DOMESTICALLY 
              MANUFACTURED PERSONAL PROTECTIVE EQUIPMENT.</DELETED>

<DELETED>    (a) Definitions.--In this section:</DELETED>
        <DELETED>    (1) Appropriate congressional committees.--The 
        term ``appropriate congressional committees'' means--</DELETED>
                <DELETED>    (A) the Committee on Health, Education, 
                Labor, and Pensions, the Committee on Finance, the 
                Committee on Homeland Security and Governmental 
                Affairs, the Committee on Veterans' Affairs, and the 
                Committee on Armed Services of the Senate; 
                and</DELETED>
                <DELETED>    (B) the Committee on Energy and Commerce, 
                the Committee on Ways and Means, the Committee on 
                Homeland Security, the Committee on Veterans' Affairs, 
                and the Committee on Armed Services of the House of 
                Representatives.</DELETED>
        <DELETED>    (2) Covered secretary.--The term ``covered 
        Secretary'' means the Secretary of Homeland Security, the 
        Secretary of Health and Human Services, the Secretary of 
        Defense, the Secretary of Education, and the Secretary of 
        Veterans Affairs.</DELETED>
        <DELETED>    (3) Personal protective equipment.--The term 
        ``personal protective equipment'' means surgical masks, 
        respirator masks and powered air purifying respirators and 
        required filters, face shields and protective eyewear, gloves, 
        disposable and reusable surgical and isolation gowns, and head 
        and foot coverings, or other gear or clothing used to protect 
        an individual from the transmission of disease.</DELETED>
        <DELETED>    (4) United states.--The term ``United States'' 
        means the 50 States, the District of Columbia, and the 
        possessions of the United States.</DELETED>
<DELETED>    (b) Contract Requirements.--Beginning 90 days after the 
date of the enactment of this Act, in order to ensure the sustainment 
and expansion of personal protective equipment manufacturing in the 
United States and meet the needs of the current pandemic response, any 
contract for the procurement of personal protective equipment entered 
into by a covered Secretary, or a covered Secretary's designee, shall--
</DELETED>
        <DELETED>    (1) be issued for a duration of at least 3 years, 
        including a base period and all option periods, to incentivize 
        investment in the production of personal protective equipment 
        and the materials and components thereof in the United States; 
        and</DELETED>
        <DELETED>    (2) be for personal protective equipment that--
        </DELETED>
                <DELETED>    (A) is grown, reprocessed, reused, or 
                produced in the United States; and</DELETED>
                <DELETED>    (B) when assembled outside the United 
                States, contains only materials and components that are 
                grown, reprocessed, reused, or produced in the United 
                States.</DELETED>
<DELETED>    (c) Availability Exception.--Paragraph (2) of subsection 
(b) shall not apply to an item of personal protective equipment, or 
component or material thereof--</DELETED>
        <DELETED>    (1) that is, or that includes, a material listed 
        in section 25.104 of the Federal Acquisition Regulation as one 
        for which a non-availability determination has been 
        made;</DELETED>
        <DELETED>    (2) as to which the covered Secretary determines 
        that a sufficient quantity of a satisfactory quality that is 
        grown, reprocessed, reused, or produced in the United States 
        cannot be procured as, and when, needed at United States market 
        prices; or</DELETED>
        <DELETED>    (3) if, after maximizing to the extent feasible 
        sources consistent with subsection (b), the covered Secretary 
        certifies every 120 days that it is necessary to procure 
        personal protective equipment under alternate procedures to 
        respond to the immediate needs of a public health 
        emergency.</DELETED>
<DELETED>    (d) Report.--</DELETED>
        <DELETED>    (1) In general.--Not later than 90 days after the 
        date of the enactment of this Act, the Director of the Office 
        of Management and Budget, in consultation with the covered 
        Secretaries, shall submit to the chairs and ranking members of 
        the appropriate congressional committees a report on the 
        procurement of personal protective equipment.</DELETED>
        <DELETED>    (2) Elements.--The report required under paragraph 
        (1) shall include the following elements:</DELETED>
                <DELETED>    (A) The United States long-term domestic 
                procurement strategy for PPE produced in the United 
                States, including strategies to incentivize investment 
                in and maintain United States supply chains for all PPE 
                sufficient to meet the needs of the United States 
                during a public health emergency.</DELETED>
                <DELETED>    (B) An estimate of long-term demand 
                quantities for all PPE items procured by the United 
                States.</DELETED>
                <DELETED>    (C) Recommendations for congressional 
                action required to implement the United States 
                Government's procurement strategy.</DELETED>
                <DELETED>    (D) A determination whether all 
                notifications, amendments, and other necessary actions 
                have been completed to bring the United States existing 
                international obligations into conformity with the 
                statutory requirements of this Act.</DELETED>
<DELETED>    (e) Authorization of Transfer of Equipment.--A covered 
Secretary may transfer to the Strategic National Stockpile established 
under section 319F-2 of the Public Health Service Act (42 U.S.C. 247d-
6b) any excess personal protective equipment acquired under a contract 
executed pursuant to subsection (b).</DELETED>
<DELETED>    (f) Compliance With International Agreements.--This Act 
shall be applied in a manner consistent with United States obligations 
under international agreements.</DELETED>

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Make PPE in America Act''.

SEC. 2. FINDINGS.

    Congress makes the following findings:
            (1) The COVID-19 pandemic has exposed the vulnerability of 
        the United States supply chains for, and lack of domestic 
        production of, personal protective equipment (PPE).
            (2) The United States requires a robust, secure, and wholly 
        domestic PPE supply chain to safeguard public health and 
        national security.
            (3) Issuing a strategy that provides the government's 
        anticipated needs over the next three years will enable 
        suppliers to assess what changes, if any, are needed in their 
        manufacturing capacity to meet expected demands.
            (4) In order to foster a domestic PPE supply chain, United 
        States industry needs a strong and consistent demand signal 
        from the Federal Government providing the necessary certainty 
        to expand production capacity investment in the United States.
            (5) In order to effectively incentivize investment in the 
        United States and the re-shoring of manufacturing, long-term 
        contracts must be no shorter than three years in duration.
            (6) To accomplish this aim, the United States should seek 
        to ensure compliance with its international obligations, such 
        as its commitments under the World Trade Organization's 
        Agreement on Government Procurement and its free trade 
        agreements, including by invoking any relevant exceptions to 
        those agreements, especially those related to national security 
        and public health.
            (7) The United States needs a long-term investment strategy 
        for the domestic production of PPE items critical to the United 
        States national response to a public health crisis, including 
        the COVID-19 pandemic.

SEC. 3. REQUIREMENT OF LONG-TERM CONTRACTS FOR DOMESTICALLY 
              MANUFACTURED PERSONAL PROTECTIVE EQUIPMENT.

    (a) Definitions.--In this section:
            (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                    (A) the Committee on Homeland Security and 
                Governmental Affairs, the Committee on Health, 
                Education, Labor, and Pensions, the Committee on 
                Finance, the Committee on Veterans' Affairs, and the 
                Committee on Armed Services of the Senate; and
                    (B) the Committee on Homeland Security, the 
                Committee on Oversight, the Committee on Energy and 
                Commerce, the Committee on Ways and Means, the 
                Committee on Veterans' Affairs, and the Committee on 
                Armed Services of the House of Representatives.
            (2) Covered secretary.--The term ``covered Secretary'' 
        means the Secretary of Homeland Security, the Secretary of 
        Health and Human Services, the Secretary of Defense, and the 
        Secretary of Veterans Affairs.
            (3) Personal protective equipment.--The term ``personal 
        protective equipment'' means surgical masks, respirator masks 
        and powered air purifying respirators and required filters, 
        face shields and protective eyewear, gloves, disposable and 
        reusable surgical and isolation gowns, head and foot coverings, 
        and other gear or clothing used to protect an individual from 
        the transmission of disease.
            (4) United states.--The term ``United States'' means the 50 
        States, the District of Columbia, and the possessions of the 
        United States.
    (b) Contract Requirements for Domestic Production.--Beginning 90 
days after the date of the enactment of this Act, in order to ensure 
the sustainment and expansion of personal protective equipment 
manufacturing in the United States and meet the needs of the current 
pandemic response, any contract for the procurement of personal 
protective equipment entered into by a covered Secretary, or a covered 
Secretary's designee, shall--
            (1) be issued for a duration of at least 2 years, plus all 
        option periods necessary, to incentivize investment in the 
        production of personal protective equipment and the materials 
        and components thereof in the United States; and
            (2) be for personal protective equipment, including the 
        materials and components thereof, that is grown, reprocessed, 
        reused, or produced in the United States.
    (c) Alternatives to Domestic Production.--The requirement under 
subsection (b) shall not apply to an item of personal protective 
equipment, or component or material thereof if, after maximizing to the 
extent feasible sources consistent with subsection (b), the covered 
Secretary--
            (1) maximizes sources for personal protective equipment 
        that is assembled outside the United States containing only 
        materials and components that are grown, reprocessed, reused, 
        or produced in the United States; and
            (2) certifies every 120 days that it is necessary to 
        procure personal protective equipment under alternative 
        procedures to respond to the immediate needs of a public health 
        emergency.
    (d) Availability Exception.--
            (1) In general.--Subsections (b) and (c) shall not apply to 
        an item of personal protective equipment, or component or 
        material thereof--
                    (A) that is, or that includes, a material listed in 
                section 25.104 of the Federal Acquisition Regulation as 
                one for which a non-availability determination has been 
                made; or
                    (B) as to which the covered Secretary determines 
                that a sufficient quantity of a satisfactory quality 
                that is grown, reprocessed, reused, or produced in the 
                United States cannot be procured as, and when, needed 
                at United States market prices.
            (2) Certification requirement.--The covered Secretary shall 
        certify every 120 days that the exception under paragraph (1) 
        is necessary to meet the immediate needs of a public health 
        emergency.
    (e) Report.--
            (1) In general.--Not later than 180 days after the date of 
        the enactment of this Act, the Director of the Office of 
        Management and Budget, in consultation with the covered 
        Secretaries, shall submit to the chairs and ranking members of 
        the appropriate congressional committees a report on the 
        procurement of personal protective equipment.
            (2) Elements.--The report required under paragraph (1) 
        shall include the following elements:
                    (A) The United States long-term domestic 
                procurement strategy for PPE produced in the United 
                States, including strategies to incentivize investment 
                in and maintain United States supply chains for all PPE 
                sufficient to meet the needs of the United States 
                during a public health emergency.
                    (B) An estimate of long-term demand quantities for 
                all PPE items procured by the United States.
                    (C) Recommendations for congressional action 
                required to implement the United States Government's 
                procurement strategy.
                    (D) A determination whether all notifications, 
                amendments, and other necessary actions have been 
                completed to bring the United States existing 
                international obligations into conformity with the 
                statutory requirements of this Act.
    (f) Authorization of Transfer of Equipment.--
            (1) In general.--A covered Secretary may transfer to the 
        Strategic National Stockpile established under section 319F-2 
        of the Public Health Service Act (42 U.S.C. 247d-6b) any excess 
        personal protective equipment acquired under a contract 
        executed pursuant to subsection (b).
            (2) Transfer of equipment during a public health 
        emergency.--
                    (A) Amendment.--Title V of the Homeland Security 
                Act of 2002 (6 U.S.C. 311 et seq.) is amended by adding 
                at the end the following:

``SEC. 529. TRANSFER OF EQUIPMENT DURING A PUBLIC HEALTH EMERGENCY.

    ``(a) Authorization of Transfer of Equipment.--During a public 
health emergency declared by the Secretary of Health and Human Services 
under section 319(a) of the Public Health Service Act (42 U.S.C. 
247d(a)), the Secretary, at the request of the Secretary of Health and 
Human Services, may transfer to the Department of Health and Human 
Services, on a reimbursable basis, excess personal protective equipment 
or medically necessary equipment in the possession of the Department.
    ``(b) Determination by Secretaries.--
            ``(1) In general.--In carrying out this section--
                    ``(A) before requesting a transfer under subsection 
                (a), the Secretary of Health and Human Services shall 
                determine whether the personal protective equipment or 
                medically necessary equipment is otherwise available; 
                and
                    ``(B) before initiating a transfer under subsection 
                (a), the Secretary, in consultation with the heads of 
                each component within the Department, shall--
                            ``(i) determine whether the personal 
                        protective equipment or medically necessary 
                        equipment requested to be transferred under 
                        subsection (a) is excess equipment; and
                            ``(ii) certify that the transfer of the 
                        personal protective equipment or medically 
                        necessary equipment will not adversely impact 
                        the health or safety of officers, employees, or 
                        contractors of the Department.
            ``(2) Notification.--The Secretary of Health and Human 
        Services and the Secretary shall each submit to Congress a 
        notification explaining the determination made under 
        subparagraphs (A) and (B), respectively, of paragraph (1).
            ``(3) Required inventory.--
                    ``(A) In general.--The Secretary shall--
                            ``(i) acting through the Chief Medical 
                        Officer of the Department, maintain an 
                        inventory of all personal protective equipment 
                        and medically necessary equipment in the 
                        possession of the Department; and
                            ``(ii) make the inventory required under 
                        clause (i) available, on a continual basis, 
                        to--
                                    ``(I) the Secretary of Health and 
                                Human Services; and
                                    ``(II) the Committee on 
                                Appropriations and the Committee on 
                                Homeland Security and Governmental 
                                Affairs of the Senate and the Committee 
                                on Appropriations and the Committee on 
                                Homeland Security of the House of 
                                Representatives.
                    ``(B) Form.--Each inventory required to be made 
                available under subparagraph (A) shall be submitted in 
                unclassified form, but may include a classified 
                annex.''.
                    (B) Table of contents amendment.--The table of 
                contents in section 1(b) of the Homeland Security Act 
                of 2002 (Public Law 107-296; 116 Stat. 2135) is amended 
                by inserting after the item relating to section 528 the 
                following:

``Sec. 529. Transfer of equipment during a public health emergency.''.
            (3) Strategic national stockpile.--Section 319F-2(a) of the 
        Public Health Service Act (42 U.S.C. 247d-6b(a)) is amended by 
        adding at the end the following:
            ``(6) Transfers of items.--The Secretary, in coordination 
        with the Secretary of Homeland Security, may sell drugs, 
        vaccines and other biological products, medical devices, or 
        other supplies maintained in the stockpile under paragraph (1) 
        to a Federal agency or private, nonprofit, State, local, 
        tribal, or territorial entity for immediate use and 
        distribution, provided that any such items being sold are--
                    ``(A) within 1 year of their expiration date; or
                    ``(B) determined by the Secretary to no longer be 
                needed in the stockpile due to advances in medical or 
                technical capabilities.''.
    (g) Compliance With International Agreements.--The President or the 
President's designee shall take all necessary steps, including invoking 
the rights of the United States under Article III of the World Trade 
Organization's Agreement on Government Procurement and the relevant 
exceptions of other relevant agreements to which the United States is a 
party, to ensure that the international obligations of the United 
States are consistent with the provisions of this Act.
                                                       Calendar No. 668

117th CONGRESS

  2d Session

                                S. 1306

                          [Report No. 117-269]

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