“To amend the Defense Production Act of 1950 to ensure the supply of certain medical materials essential to national defense, and for other purposes.”
No CRS summary available for this bill.
This section amends the Defense Production Act of 1950 (DPA) to prioritize securing supply chains for medical materials (i.e., drugs as defined in the Federal Food, Drug, and Cosmetic Act, devices, and biological products as defined in 42 U.S.C. 262) essential to national defense as follows: (1) inserts into the DPA's statement of policy (50 U.S.C. 4502(b)) a new paragraph directing use of DPA authorities, as appropriate, to ensure availability of such medical materials, including through drug supply chain measures that consider U.S. competitiveness, scientific leadership, cooperation, and innovative capacity; (2) expands the DPA's loan guarantee program (50 U.S.C. 4517) to explicitly include such medical materials; and (3) adds a new section requiring the President, within 180 days of enactment and in consultation with the Secretaries of Health and Human Services, Commerce, Homeland Security, and Defense, to submit to specified congressional leaders a strategy addressing supply chain vulnerabilities, use of DPA authorities, diversification measures, production impacts, timelines to reduce exclusive foreign government control of essential components, and risks to U.S. competitiveness, followed by annual progress reports through September 30, 2029 (with unclassified submissions that may include classified annexes).
This section amends section 303 of the Defense Production Act of 1950 (50 U.S.C. 4533)—which authorizes presidential actions to create, maintain, protect, expand, or restore domestic industrial base capabilities essential for national defense—by adding a new subsection (h) to authorize payments to eligible U.S. entities producing critical components, critical technology, or products or raw materials for supply chain security, if the President certifies to Congress at least 30 days in advance that such payments are critical to national defense requirements. It further requires the President to prescribe regulations within 90 days of enactment defining "supply chain" and "supply chain activities" to encompass organizations, people, activities, information, and resources involved in government product or service delivery and operation, or critical infrastructure (as defined in Presidential Policy Directive 21), with possible variations for national defense purposes.