II 119th CONGRESS 1st Session S. 2696 IN THE SENATE OF THE UNITED STATES September 3, 2025 Mr. Padilla (for himself and Mr. Young ) introduced the following bill; which was read twice and referred to the Committee on Health, Education, Labor, and Pensions A BILL To establish a Foundation for Enabling Biotechnology Innovation.

1. Short title This Act may be cited as the Foundation for Enabling Biotechnology Innovation Act . 2. Foundation for Enabling Biotechnology Innovation (a) Establishment The Director of the National Science Foundation shall establish a nonprofit foundation to be known as the Foundation for Enabling Biotechnology Innovation . (b) Mission The mission of the Foundation for Enabling Biotechnology Innovation (referred to in this Act as the Foundation ) shall be to accelerate commercialization of biotechnology products in the United States by supporting and enhancing the capacity of Federal agencies and fostering collaboration across sectors. (c) Activities In carrying out its mission under subsection (b), the Foundation may carry out the following: (1) Promote public-private partnerships that leverage expertise and resources across sectors to foster innovation and address challenges in commercialization of biotechnology products. (2) Convene relevant stakeholders to develop expert recommendations on biotechnology commercialization, including horizon scanning for emerging technologies and regulation of novel products that may be commercialized in the future. (3) Advance collaboration and dialogue between Federal agencies that contribute to commercialization of biotechnology and relevant stakeholders, including industry, institutions of higher education, and nonprofit and philanthropic organizations. (4) Support and conduct public engagement, education, and outreach activities about innovation, regulation, commercialization, and use of biotechnology products, including to evaluate efficacy of communication methods. (5) Facilitate market access for United States biotechnology products, including through international engagement, commercial and regulatory diplomacy, and development of shared norms and standards. (6) Support studies, projects, and research on topics such as market acceptance and regulatory process improvement, including through direct funding, grants, competitions, and other methods. (7) Develop and implement education and fellowship programs, which may include— (A) short courses on biotechnology product commercialization; (B) shadowing experiences with relevant Federal agencies; (C) capstone projects, in which participants develop ideas to advance biotechnology commercialization; and (D) support for participants such as stipends, travel, health insurance, professional development, and other appropriate expenditures as determined appropriate by the Foundation. (8) Provide direct support to Federal agencies for discrete or ongoing projects. (9) Conduct other activities as determined necessary by the Foundation to carry out its mission. (d) Limitation The Foundation shall not be an agency or instrumentality of the Federal Government and the Foundation shall not conduct any regulation of biotechnology products or any other products. (e) Support The Foundation may receive, administer, solicit, accept, and use funds, gifts, devises, or bequests, either absolutely or in trust of real or personal property or any income therefrom or other interest therein to support activities under subsection (c), except that this subsection shall not apply if any of such is from a foreign country of concern or a foreign entity of concern. (f) Tax exempt status The Board of the Foundation for Enabling Biotechnology Innovation shall take all necessary and appropriate steps to ensure the Foundation is an organization described in section 501(c) of the Internal Revenue Code of 1986, and exempt from taxation under section 501(a) of such Code. (g) Board of directors (1) Establishment The Foundation for Enabling Biotechnology Innovation shall be governed by a Board of Directors (referred to in this section as the Board ). (2) Composition The Board shall be composed of the following: (A) Not fewer than 5 voting members described in paragraph (4). (B) Ex officio nonvoting members described in paragraph (5). (3) Initial members The Director of the National Science Foundation shall— (A) seek to enter into an agreement with the National Academies of Sciences, Engineering, and Medicine to develop a list of individuals to serve as members of the Board who are well-qualified and meet the requirements in paragraph (4); and (B) appoint the initial members of the Board from such list not later than 180 days after the date of enactment of this Act. (4) Voting members (A) Representation The voting members of the Board shall be drawn from a broad cross-section of stakeholders across sectors, regions, and communities, including from institutions of higher education, industry, and nonprofit and philanthropic organizations. (B) Experience The voting members of the Board shall have the experience and qualifications to provide advice and information to advance the mission of the Foundation for Enabling Biotechnology Innovation. (C) Federal employees No employee of the Federal Government may be appointed as a voting member of the Board. (5) Nonvoting members (A) Ex officio members The ex officio members of the Board shall be designated by— (i) the Director of the National Science Foundation; (ii) the Secretary of Defense; (iii) the Secretary of Agriculture; (iv) the Secretary of Health and Human Services; (v) the Administrator of the Environmental Protection Agency; and (vi) the heads of other agencies, as agreed upon by the Board. (B) No voting power The ex officio members described in subparagraph (A) shall not have voting power on the Board. (6) Chair and vice chair (A) In general The Board shall designate, from among its voting members— (i) an individual to serve as the Chair of the Board; and (ii) an individual to serve as the Vice Chair of the Board. (B) Terms The term of service of the Chair and Vice Chair of the Board shall end on the earlier of— (i) the date that is 3 years after the date on which the Chair or Vice Chair of the Board is designated for the respective position; or (ii) the last day of the term of service of the member, as determined under paragraph (7), who is designated to be Chair or Vice Chair of the Board. (C) Representation The Chair and Vice Chair of the Board may not be representatives of the same area of subject matter expertise or entity. (7) Terms and vacancies (A) Term limits The term of office of each voting member of the Board shall be not more than 5 years, except that a member of the Board may continue to serve after the expiration of their term, if no new member is appointed to replace the departing Board member. (B) Initial members Of the initial members of the Board appointed under paragraph (3), half of such members shall serve for 4 years and half of such members shall serve for 5 years, as determined by the Chair of the Board. (C) Vacancies Any vacancy in the voting membership of the Board— (i) shall be filled in accordance with the bylaws of the Foundation by individuals who are well qualified and meet the requirements in paragraph (4); (ii) shall not affect the power of the remaining members to carry out the duties of the Board; and (iii) shall be filled by an individual selected by the Board. (D) Renewal Board members may be renewed for additional terms, as long as the individual continues to meet the requirements in paragraph (4). (8) Quorum A majority of the voting members of the Board shall constitute a quorum for the purposes of conducting the business of the Board. (9) Duties The Board shall carry out the following: (A) Establish bylaws for the Foundation in accordance with paragraph (10). (B) Provide overall direction for the activities of the Foundation and establish priority activities. (C) Coordinate with the Director of the National Science Foundation regarding the activities of the Foundation for Enabling Biotechnology Innovation to ensure consistency with the programs and policies of the National Science Foundation and other Federal agencies. (D) Evaluate the performance of the Chief Executive Officer of the Foundation. (E) Actively solicit and accept funds, gifts, grants, devises, or bequests of real or personal property to the Foundation, including from private entities. (F) Carry out any other necessary activities of the Foundation. (10) Bylaws The Board shall establish bylaws for the Foundation, ensuring that— (A) the bylaws of the Foundation shall include— (i) policies for the selection of the Board members, officers, employees, agents, and contractors of the Foundation; (ii) policies, including ethical and disclosure standards, including— (I) the acceptance, solicitation, and disposition of donations and grants to the Foundation, including appropriate limits on the ability of donors to designate, by stipulation or restriction, the use or recipient of donated funds; and (II) the disposition of assets of the Foundation; (iii) policies that subject all employees, fellows, trainees, and other agents of the Foundation (including appointed voting members and ex officio members of the Board) to conflict-of-interest standards; and (iv) the specific duties of the Chief Executive Officer of the Foundation; and (B) the bylaws of the Foundation and activities carried out under such bylaws do not— (i) reflect unfavorably upon the ability of the Foundation to carry out its responsibilities or official duties in a fair and objective manner; or (ii) compromise, or appear to compromise, the integrity of any Federal Governmental agency or program, or any officer or employee employed by, or involved in a Federal Governmental agency or program. (11) Compensation (A) In general Members of the Board may not receive compensation for serving on the Board. (B) Certain expenses In accordance with the bylaws of the Foundation, members of the Board may be reimbursed for travel expenses, including per diem in lieu of subsistence and other necessary expenses incurred in carrying out the duties of the Board. (12) Personal liability The members of the Board shall not be personally liable for carrying out the duties of the Board, except for malfeasance. (h) Administration (1) Chief executive officer (A) In general The Foundation shall have a Chief Executive Officer who shall be appointed by the Board, and who shall serve at the pleasure of the Board, and for whom the Board shall establish the rate of compensation. (B) Duties Subject to the bylaws established under subsection (g)(10), the Chief Executive Officer shall be responsible for— (i) carrying out the activities of the Foundation under subsection (c); (ii) hiring, promoting, compensating, and discharging officers and employees of the Foundation and defining the duties of such officers and employees; (iii) accepting and administering donations to the Foundation and administering the assets of the Foundation; (iv) entering into contracts and executing legal instruments as appropriate in carrying out the activities of the Foundation; and (v) performing other functions as necessary to operate the Foundation. (2) Strategic plan Not later than 1 year after the appointment of the Chief Executive Officer, the Foundation shall submit to the Director of the National Science Foundation, the Committee on Commerce, Science, and Transportation of the Senate, and the Committee on Science, Space, and Technology of the House of Representatives a strategic plan that contains the following: (A) A plan for the Foundation to become financially self-sustaining not later than 5 years after the submission of the strategic plan, aside from regular appropriations. (B) Short- and long-term objectives of the Foundation, as identified by the Board. (C) The efforts the Foundation will take to be transparent in the processes of the Foundation. (D) The financial goals and benchmarks of the Foundation for the 10 years following the submission of the strategic plan. (E) The efforts the Foundation will make to ensure maximum complementarity and minimum redundancy with Federal activities related to biotechnology commercialization. (3) Report (A) In general Not later than 18 months after the appointment of the Chief Executive Officer, and not later than February 1 of each year thereafter, the Foundation shall publish a report describing the activities of the Foundation during the immediately preceding fiscal year that includes the accomplishments, operations, activities, and financial condition of the Foundation. (B) Financial condition Each such report shall include a comprehensive statement of all support provided to the Foundation, including funds, gifts, grants, devises, or bequests of real or personal property, and describing the amount of support from each person or entity, the persons or entities from which such support is received, and any restrictions on the purposes for which such support may be used. (C) Publication The Foundation shall make copies of each report submitted under this paragraph available— (i) to the Director of the National Science Foundation, the Committee on Commerce, Science, and Transportation of the Senate, and the Committee on Science, Space, and Technology of the House of Representatives; and (ii) for public inspection, and shall upon request, provide a copy of the report to any individual for a charge not to exceed the cost of providing such copy. (4) Audits and disclosure The Foundation shall— (A) provide for annual audits of the financial condition of the Foundation, including a full list of the Foundation’s donors and any restrictions on the purposes for which gifts to the Foundation may be used; and (B) make such audits, and all other records, documents, and other papers of the Foundation, available to the Director of the National Science Foundation and the Comptroller General of the United States for examination or audit. (5) Transfer of funds The Foundation may transfer funds and property to Federal agencies that contribute to commercialization of biotechnology, which those agencies may accept and use to further the mission of the Foundation as described in subsection (b). (i) Integrity (1) In general To ensure integrity in the operations of the Foundation, the Board shall develop and enforce procedures relating to standards of conduct, financial disclosure statements, conflicts of interest (including recusal and waiver rules), audits, and any other matters determined appropriate by the Board. (2) Conflicts of interest To mitigate conflicts of interest, any individual who is an officer, employee, or member of the Board is prohibited from any participation in deliberations by the Foundation of a matter that would directly or predictably affect any financial interest of any of the following: (A) Such individual. (B) A relative of such individual. (C) A business organization or other entity in which such individual has an interest, including an organization or other entity with which such individual is negotiating employment. (3) Citizenship To mitigate risks from malign foreign influence, any individual who is an officer, employee, or member of the Board shall be— (A) a citizen or national (as defined in section 101 of the Immigration and Nationality Act ( 8 U.S.C. 1101(a) )) of the United States; (B) an alien admitted to the United States as a refugee under section 207 of the Immigration and Nationality Act ( 8 U.S.C. 1157 ); or (C) an alien lawfully admitted for permanent residence (as defined in section 101 of the Immigration and Nationality Act ( 8 U.S.C. 1101(a) )). (j) Intellectual property The Board shall adopt written standards to govern the ownership and licensing of any intellectual property rights developed by the Foundation or derived from the collaborative efforts of the Foundation. (k) Full faith and credit The United States shall not be liable for any debts, defaults, acts, or omissions of the Foundation. The full faith and credit of the United States shall not extend to any obligations of the Foundation. (l) Support services The Director of the National Science Foundation may provide facilities, utilities, and support services to the Foundation. (m) Non-Applicability Chapters 5 and 10 of title 5, United States Code, shall not apply to the Foundation. (n) Separate fund accounts The Board shall ensure that amounts received pursuant to the authorization of appropriations under subsection (o) are held in a separate account from any other funds received by the Foundation. (o) Authorization of appropriations (1) National Science Foundation There are authorized to be appropriated to the Director of the National Science Foundation $4,000,000 for fiscal year 2026, and every subsequent year to carry out this section. (2) Foundation for enabling biotechnology innovation From amounts appropriated to the National Science Foundation for each fiscal year, the Director of the National Science Foundation shall transfer not less than $4,000,000 per year to the Foundation. (p) Definitions In this section: (1) Board The term Board means the Board of Directors of the Foundation, established pursuant to subsection (g). (2) Foreign country of concern The term foreign country of concern has the meaning given such term in section 10638 of the Research and Development, Competition, and Innovation Act ( 42 U.S.C. 19237 ; enacted as part of division B of Public Law 117–167 ). (3) Foreign entity of concern The term foreign entity of concern has the meaning given such term in section 10638 of the Research and Development, Competition, and Innovation Act ( 42 U.S.C. 19237 ; enacted as part of division B of Public Law 117–167 ). (4) Foundation The term Foundation means the Foundation for Enabling Biotechnology Innovation established pursuant to subsection (a). (5) Institution of higher education The term institution of higher education has the meaning given such term in section 101 of the Higher Education Act of 1965 ( 20 U.S.C. 1001 ). (6) Relative The term relative has the meaning given such term in section 13101 of title 5, United States Code.