Biodefense and Pandemic Vaccine and Drug Development Act of 2006
Legislative Activity
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Read twice and referred to the Committee on Health, Education, Labor, and Pensions.
November 13, 2006
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Introduced in House
June 6, 2006
Referred to the House Committee on Energy and Commerce.
June 6, 2006
Committee Consideration and Mark-up Session Held.
September 20, 2006
Ordered to be Reported (Amended) by Voice Vote.
September 20, 2006
Reported (Amended) by the Committee on Energy and Commerce. H. Rept. 109-686.
September 26, 2006
Placed on the Union Calendar, Calendar No. 416.
September 26, 2006
Mr. Deal (GA) moved to suspend the rules and pass the bill, as amended.
September 26, 2006 • 7:47 PM
Considered under suspension of the rules. (consideration: CR H7445-7450)
September 26, 2006 • 7:47 PM
DEBATE - The House proceeded with forty mintues of debate on H.R. 5533.
September 26, 2006 • 7:47 PM
Passed/agreed to in House: On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote.(text: CR H7445-7447)
September 26, 2006 • 8:01 PM
On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote. (text: CR H7445-7447)
September 26, 2006 • 8:01 PM
Motion to reconsider laid on the table Agreed to without objection.
September 26, 2006 • 8:01 PM
Received in the Senate.
September 27, 2006
Read twice and referred to the Committee on Health, Education, Labor, and Pensions.
November 13, 2006
Floor Debate
7 membersWhat members said about H.R. 5533 on the floor




+2
Floor Debate
7 membersWhat members said about H.R. 5533 on the floor
Mr. Speaker, I rise today in strong support of H.R. 5533, the Biodefense and Pandemic Vaccine and Drug Development Act of 2006. I would like to thank Chairman Barton and Chairman Deal and the Energy…
Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, I am really proud to be the Democratic sponsor of this bill; and I want to salute my friend and my colleague, Representative…
Mr. Speaker, the bill before us would create a new agency within the Department of Health and Human Services, the Biomedical Advanced Research and Development Authority, or BARDA. I support creating…
Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 5533) to prepare and strengthen the biodefenses of the United States against deliberate, accidental, and natural outbreaks of illness,…
Mr. Speaker, as the Democratic sponsor of the House version of this bill, H.R. 5533, I am proud to rise today in strong support of this legislation. This bill addresses an urgent issue which is…
Show 4 more
Mr. Speaker, I rise in support of H.R. 5533, the ``Biodefense and Pandemic Vaccine and Drug Development Act of 2006''. In an effort to respond to the new era of heightened threats to our national…
Mr. Speaker, I ask unanimous consent to take from the Speaker's table the Senate bill (S. 3678) to amend the Public Health Service Act with respect to public health security and all- hazards…
Mr. Speaker, I rise in support of H.R. 5533, to advance the development of biological countermeasures. The anthrax attacks of 2001 shined a bright light on our lack of preparedness to deal with a…
Mr. Speaker, please include this exchange of correspondence in the Record for H.R. 5533. House of Representatives, Committee on Energy and Commerce, Washington, DC, September 26, 2006. Hon. Tom…
Bill Text
4 versions available
[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5533 Referred in Senate (RFS)]
2d Session
H. R. 5533
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
September 27, 2006
Received
November 13, 2006
Read twice and referred to the Committee on Health, Education, Labor,
and Pensions
_______________________________________________________________________
AN ACT
To prepare and strengthen the biodefenses of the United States against
deliberate, accidental, and natural outbreaks of illness, 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 ``Biodefense and Pandemic Vaccine and
Drug Development Act of 2006''.
SEC. 2. TABLE OF CONTENTS.
The table of contents of this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. Biomedical Advanced Research and Development Authority;
National Biodefense Science Board.
Sec. 4. Clarification of countermeasures covered by Project BioShield.
Sec. 5. Technical assistance.
Sec. 6. Procurement.
SEC. 3. BIOMEDICAL ADVANCED RESEARCH AND DEVELOPMENT AUTHORITY;
NATIONAL BIODEFENSE SCIENCE BOARD.
Title III of the Public Health Service Act (42 U.S.C. 241 et seq.)
is amended by inserting after section 319K the following:
``SEC. 319L. BIOMEDICAL ADVANCED RESEARCH AND DEVELOPMENT AUTHORITY.
``(a) Biomedical Advanced Research and Development Authority.--
``(1) Establishment.--There is established within the
Department of Health and Human Services the Biomedical Advanced
Research and Development Authority.
``(2) In general.--The Secretary shall coordinate and
oversee the acceleration of countermeasure and product advanced
research and development by--
``(A) facilitating collaboration among the
Department of Health and Human Services, other Federal
agencies, relevant industries, academia, and other
persons, with respect to such advanced research and
development;
``(B) promoting countermeasure and product advanced
research and development;
``(C) facilitating contacts between interested
persons and the offices or employees authorized by the
Secretary to advise such persons regarding requirements
under the Federal Food, Drug, and Cosmetic Act and
under section 351 of this Act; and
``(D) promoting innovation to reduce the time and
cost of countermeasure and product advanced research
and development.
``(3) Director.--The BARDA shall be headed by a Director
(referred to in this section as the `Director') who shall be
appointed by the Secretary and to whom the Secretary shall
delegate such functions and authorities as necessary to
implement this section.
``(4) Duties.--
``(A) Collaboration.--To carry out the purpose
described in paragraph (2)(A), the Secretary shall--
``(i) facilitate and increase the
expeditious and direct communication between
the Department of Health and Human Services and
relevant persons with respect to countermeasure
and product advanced research and development,
including by--
``(I) facilitating such
communication regarding the processes
for procuring such advanced research
and development with respect to
qualified countermeasures and qualified
pandemic or epidemic products of
interest; and
``(II) soliciting information about
and data from research on potential
qualified countermeasures and qualified
pandemic or epidemic products and
related technologies;
``(ii) at least annually--
``(I) convene meetings with
representatives from relevant
industries, academia, other Federal
agencies, international agencies as
appropriate, and other interested
persons;
``(II) sponsor opportunities to
demonstrate the operation and
effectiveness of relevant biodefense
countermeasure technologies; and
``(III) convene such working groups
on countermeasure and product advanced
research and development as the
Secretary may determine are necessary
to carry out this section; and
``(iii) carry out the activities described
in section 6 of the Biodefense and Pandemic
Vaccine and Drug Development Act of 2006.
``(B) Support advanced research and development.--
To carry out the purpose described in paragraph (2)(B),
the Secretary shall--
``(i) conduct ongoing searches for, and
support calls for, potential qualified
countermeasures and qualified pandemic or
epidemic products;
``(ii) direct and coordinate the
countermeasure and product advanced research
and development activities of the Department of
Health and Human Services;
``(iii) establish strategic initiatives to
accelerate countermeasure and product advanced
research and development and innovation in such
areas as the Secretary may identify as priority
unmet need areas; and
``(iv) award contracts, grants, cooperative
agreements, and enter into other transactions,
for countermeasure and product advanced
research and development.
``(C) Facilitating advice.--To carry out the
purpose described in paragraph (2)(C) the Secretary
shall--
``(i) connect interested persons with the
offices or employees authorized by the
Secretary to advise such persons regarding the
regulatory requirements under the Federal Food,
Drug, and Cosmetic Act and under section 351 of
this Act related to the approval, clearance, or
licensure of qualified countermeasures or
qualified pandemic or epidemic products; and
``(ii) ensure that, with respect to persons
performing countermeasure and product advanced
research and development funded under this
section, such offices or employees provide such
advice in a manner that is ongoing and that is
otherwise designated to facilitate expeditious
development of qualified countermeasures and
qualified pandemic or epidemic products that
may achieve such approval, clearance, or
licensure.
``(D) Supporting innovation.--To carry out the
purpose described in paragraph (2)(D), the Secretary
may award contracts, grants, and cooperative
agreements, or enter into other transactions, such as
prize payments, to promote--
``(i) innovation in technologies that may
assist countermeasure and product advanced
research and development;
``(ii) research on and development of
research tools and other devices and
technologies; and
``(iii) research to promote strategic
initiatives, such as rapid diagnostics, broad
spectrum antimicrobials, and vaccine
manufacturing technologies.
``(5) Transaction authorities.--
``(A) Other transactions.--In carrying out the
functions under subparagraph (B) or (D) of paragraph
(4), the Secretary shall have authority to enter into
other transactions for countermeasure and product
advanced research and development.
``(B) Expedited authorities.--
``(i) In general.--In awarding contracts,
grants, and cooperative agreements, and in
entering into other transactions under
subparagraph (B) or (D) of paragraph (4), the
Secretary shall have the expedited procurement
authorities, the authority to expedite peer
review, and the authority for personal services
contracts, supplied by subsections (b), (c),
and (d) of section 319F-1.
``(ii) Application of provisions.--
Provisions in such section 319F-1 that apply to
such authorities and that require institution
of internal controls, limit review, provide for
Federal Tort Claims Act coverage of personal
services contractors, and commit decisions to
the discretion of the Secretary shall apply to
the authorities as exercised pursuant to this
paragraph.
``(iii) Authority to limit competition.--
For purposes of applying section 319F-
1(b)(1)(D) to this paragraph, the phrase
`BioShield Program under the Project BioShield
Act of 2004' shall be deemed to mean the
countermeasure and product advanced research
and development program under this section.
``(iv) Availability of data.--The Secretary
may require that, as a condition of being
awarded a contract, grant, cooperative
agreement, or other transaction under
subparagraph (B) or (D) of paragraph (4), a
person make available to the Secretary on an
ongoing basis, and submit upon request to the
Secretary, relevant data related to or
resulting from countermeasure and product
advanced research and development carried out
pursuant to this section.
``(C) Advance payments; advertising.--The authority
of the Secretary to enter into contracts under this
section shall not be limited by section 3324(a) of
title 31, United States Code, or by section 3709 of the
Revised Statutes of the United States (41 U.S.C. 5).
``(D) Milestone-based payments allowed.--In
awarding contracts, grants, and cooperative agreements,
and in entering into other transactions, under this
section, the Secretary may use milestone-based awards
and payments.
``(E) Foreign nationals eligible.--The Secretary
may under this section award contracts, grants, and
cooperative agreements to, and may enter into other
transactions with, highly qualified foreign national
persons outside the United States, alone or in
collaboration with American participants, when such
transactions may inure to the benefit of the American
people and are consistent with National security.
``(F) Establishment of advanced research centers.--
The Secretary may establish one or more federally-
funded research and development centers, or university-
affiliated research centers in accordance with section
303(c)(3) of the Federal Property and Administrative
Services Act of 1949 (41 U.S.C. 253(c)(3)), provided
that such centers are consistent and complementary with
the duties described in paragraph (4), and are
consistent and complementary with, and deemed necessary
after considering the availability of, existing
federally-supported basic research programs.
``(6) Vulnerable populations.--In carrying out the
functions under this section, the Secretary may give priority
to the advanced research and development of qualified
countermeasures and qualified pandemic or epidemic products
that are likely to be safe and effective with respect to the
emergency health security needs of children and other
vulnerable populations.
``(7) Personnel authorities.--
``(A) Specially qualified scientific and
professional personnel.--In addition to any other
personnel authorities, the Secretary may--
``(i) without regard to those provisions of
title 5, United States Code, governing
appointments in the competitive service,
appoint highly qualified individuals to
scientific or professional positions in BARDA,
such as program managers, to carry out this
section; and
``(ii) compensate them in the same manner
in which individuals appointed under section
9903 of such title are compensated, without
regard to the provisions of chapter 51 and
subchapter III of chapter 53 of such title
relating to classification and General Schedule
pay rates.
``(B) Special consultants.--In carrying out this
section, the Secretary may--
``(i) appoint special consultants pursuant
to section 207(f); and
``(ii) accept voluntary and uncompensated
services.
``(c) Inapplicability of Certain Provisions.--
``(1) Disclosure.--
``(A) In general.--The Secretary shall withhold
from disclosure under section 552 of title 5, United
States Code, specific technical data or scientific
information that is created or obtained during the
countermeasure and product advanced research and
development funded by the Secretary that reveal
vulnerabilities of existing medical or public health
defenses against biological, chemical, nuclear, or
radiological threats. Such information shall be deemed
to be information described in section 552(b)(3) of
title 5, United States Code.
``(B) Oversight.--Information subject to
nondisclosure under subparagraph (A) shall be reviewed
by the Secretary every 5 years to determine the
relevance or necessity of continued nondisclosure.
``(2) Federal advisory committee act.--Section 14 of the
Federal Advisory Committee Act (5 U.S.C. App.) shall not apply
to a working group of BARDA or to the National Biodefense
Science Board under section 319M.
``(d) Authorization of Appropriations.--For the purpose of carrying
out advanced research and development under this section, there are
authorized to be appropriated $160,000,000 for each of the fiscal years
2007 and 2008. Such authorizations are in addition to other
authorizations of appropriations that are available for such purpose.
Amounts appropriated under the preceding sentence are available until
expended.
``(e) Definitions.--For purposes of this section:
``(1) BARDA.--The term `BARDA' means the Biomedical
Advanced Research and Development Authority.
``(2) Other transactions.--The term `other transactions'
means transactions, other than procurement contracts, grants,
and cooperative agreements, such as the Secretary of Defense
may enter into under section 2371 of title 10, United States
Code.
``(3) Qualified countermeasure.--The term `qualified
countermeasure' has the meaning given such term in section
319F-1.
``(4) Qualified pandemic or epidemic product.--The term
`qualified pandemic or epidemic product' has the meaning given
the term in section 319F-3.
``(5) Advanced research and development.--
``(A) In general.--The term `advanced research and
development' means, with respect to a product that is
or may become a qualified countermeasure or a qualified
pandemic or epidemic product, activities that
predominantly--
``(i) are conducted after basic research
and preclinical development of the product; and
``(ii) are related to manufacturing the
product on a commercial scale and in a form
that satisfies the regulatory requirements
under the Federal Food, Drug, and Cosmetic Act
or under section 351 of this Act.
``(B) Activities included.--The term under
subparagraph (A) includes--
``(i) testing of the product to determine
whether the product may be approved, cleared,
or licensed under the Federal Food, Drug, and
Cosmetic Act or under section 351 of this Act
for a use that is or may be the basis for such
product becoming a qualified countermeasure or
qualified pandemic or epidemic product, or to
help obtain such approval, clearance, or
license;
``(ii) design and development of tests or
models, including animal models, for such
testing;
``(iii) activities to facilitate
manufacture of the product on a commercial
scale with consistently high quality, as well
as to improve and make available new
technologies to increase manufacturing surge
capacity;
``(iv) activities to improve the shelf-life
of the product or technologies for
administering the product; and
``(v) such other activities as are part of
the advanced stages of testing, refinement,
improvement, or preparation of the product for
such use and as are specified by the Secretary.
``(6) Research tool.--The term `research tool' means a
device, technology, biological material, reagent, animal model,
computer system, computer software, or analytical technique
that is developed to assist in the discovery, development, or
manufacture of qualified countermeasures or qualified pandemic
or epidemic products.
``(7) Program manager.--The term `program manager' means an
individual appointed to carry out functions under this section
and authorized to provide project oversight and management of
strategic initiatives.
``(8) Person.--The term `person' includes an individual,
partnership, corporation, association, entity, or public or
private corporation, and a Federal, State, or local government
agency or department.
``SEC. 319M. NATIONAL BIODEFENSE SCIENCE BOARD AND WORKING GROUPS.
``(a) In General.--
``(1) Establishment and function.--The Secretary shall
establish the National Biodefense Science Board (referred to in
this section as the `Board') to provide expert advice and
guidance to the Secretary on scientific, technical and other
matters of special interest to the Department of Health and
Human Services regarding current and future chemical,
biological, nuclear, and radiological agents, whether naturally
occurring, accidental, or deliberate.
``(2) Membership.--The membership of the Board shall be
comprised of individuals who represent the Nation's preeminent
scientific, public health, and medical experts, as follows--
``(A) such Federal officials as the Secretary may
determine are necessary to support the functions of the
Board;
``(B) four individuals representing the
pharmaceutical, biotechnology, and device industries;
``(C) four individuals representing academia; and
``(D) five other members as determined appropriate
by the Secretary.
``(3) Term of appointment.--A member of the Board described
in subparagraph (B), (C), or (D) of paragraph (2) shall serve
for a term of 3 years, except that the Secretary may adjust the
terms of the initial Board appointees in order to provide for a
staggered term of appointment for all members.
``(4) Consecutive appointments; maximum terms.--A member
may be appointed to serve not more than 3 terms on the Board
and may serve not more than 2 consecutive terms.
``(5) Duties.--The Board shall--
``(A) advise the Secretary on current and future
trends, challenges, and opportunities presented by
advances in biological and life sciences,
biotechnology, and genetic engineering with respect to
threats to biodefense or public health security posed
by naturally occurring infectious diseases and
chemical, biological, radiological, and nuclear agents;
``(B) at the request of the Secretary, review and
consider any information and findings received from the
working groups established under subsection (b); and
``(C) at the request of the Secretary, provide
recommendations and findings for expanded, intensified,
and coordinated biodefense research and development
activities.
``(6) Meetings.--
``(A) Initial meeting.--Not later than one year
after the date of enactment of the Biodefense and
Pandemic Vaccine and Drug Development Act of 2006, the
Secretary shall hold the first meeting of the Board.
``(B) Subsequent meetings.--The Board shall meet at
the call of the Secretary, but in no case less than
twice annually.
``(7) Vacancies.--Any vacancy in the Board shall not affect
its powers, but shall be filled in the same manner as the
original appointment.
``(8) Chairperson.--The Secretary shall appoint a
chairperson from among the members of the Board.
``(9) Powers.--
``(A) Hearings.--The Board may hold such hearings,
sit and act at such times and places, take such
testimony, and receive such evidence as the Board
considers advisable to carry out this subsection.
``(B) Postal services.--The Board may use the
United States mails in the same manner and under the
same conditions as other departments and agencies of
the Federal Government.
``(10) Personnel.--
``(A) Employees of the federal government.--A
member of the Board that is an employee of the Federal
Government may not receive additional pay, allowances,
or benefits by reason of the member's service on the
Board.
``(B) Other members.--A member of the Board that is
not an employee of the Federal Government may be
compensated at a rate not to exceed the daily
equivalent of the annual rate of basic pay prescribed
for level IV of the Executive Schedule under section
5315 of title 5, United States Code, for each day
(including travel time) during which the member is
engaged in the actual performance of duties as a member
of the Board.
``(C) Travel expenses.--Each member of the Board
shall receive travel expenses, including per diem in
lieu of subsistence, in accordance with applicable
provisions under subchapter I of chapter 57 of title 5,
United States Code.
``(D) Detail of government employees.--Any Federal
Government employee may be detailed to the Board with
the approval for the contributing agency without
reimbursement, and such detail shall be without
interruption or loss of civil service status or
privilege.
``(b) Definitions.--Any term that is defined in section 319L and
that is used in this section shall have the same meaning in this
section as such term is given in section 319L.
``(c) Authorization of Appropriations.--There are authorized to be
appropriated $1,000,000 to carry out this section for each of the
fiscal years 2007 and 2008.''.
SEC. 4. CLARIFICATION OF COUNTERMEASURES COVERED BY PROJECT BIOSHIELD.
(a) Qualified Countermeasures.--Section 319F-1(a)(2) of the Public
Health Service Act (42 U.S.C. 247d-6a(a)(2)) is amended--
(1) by amending subparagraph (A) to read as follows:
``(A) diagnose, mitigate, prevent, or treat harm
from any biological agent (including organisms that
cause an infectious disease) or toxin, or from any
chemical, radiological, or nuclear agent, that may
cause a public health emergency affecting national
security; or'';
(2) in subparagraph (B), by striking ``treat, identify, or
prevent harm'' and inserting ``diagnose, mitigate, prevent, or
treat harm''; and
(3) by adding after and below subparagraph (B) the
following:
``If through publication in the Federal Register the Secretary
makes a determination that there is credible evidence that a
biological agent has the potential to cause an epidemic or
pandemic that may constitute a public health emergency, a
countermeasure to such agent shall, without further
administrative action, be considered a qualified countermeasure
within the meaning of this paragraph.''.
(b) Security Countermeasures.--Section 319F-2(c)(1)(B)(i)(I) of the
Public Health Service Act (42 U.S.C. 247d-6b(c)(1)(B)(i)(I)) is amended
by striking ``to treat'' the first place such term appears and all that
follows through ``from a condition'' and inserting the following: ``to
diagnose, mitigate, prevent, or treat harm from any biological agent
(including organisms that cause an infectious disease) or toxin or from
any chemical, radiological, or nuclear agent identified as a material
threat under paragraph (2)(A)(ii), or to diagnose, mitigate, prevent,
or treat harm from a condition''.
SEC. 5. TECHNICAL ASSISTANCE.
Subchapter E of chapter V of the Federal Food, Drug, and Cosmetic
Act (21 U.S.C. 360bbb et seq.) is amended by adding at the end the
following:
``SEC. 565. TECHNICAL ASSISTANCE.
``The Secretary, in consultation with the Commissioner of Food and
Drugs, shall establish within the Food and Drug Administration a team
of experts on manufacturing and regulatory activities (including
compliance with current Good Manufacturing Practice) to provide both
off-site and on-site technical assistance to the manufacturers of
qualified countermeasures (as defined in section 319F-1 of the Public
Health Service Act), security countermeasures (as defined in section
319F-2 of such Act), or vaccines, at the request of such a manufacturer
and at the discretion of the Secretary, if the Secretary determines
that a shortage or potential shortage may occur in the United States in
the supply of such vaccines or countermeasures and that the provision
of such assistance would be beneficial in helping alleviate or avert
such shortage.''.
SEC. 6. PROCUREMENT.
Section 319F-2 of the Public Health Service Act (42 U.S.C. 247d-6b)
is amended--
(1) in the section heading, by inserting ``and security
countermeasure procurements'' before the period; and
(2) in subsection (c)--
(A) in the subsection heading, by striking
``Biomedical'';
(B) in paragraph (5)(B)(i), by striking ``to meet
the needs of the stockpile'' and inserting ``to meet
the stockpile needs'';
(C) in paragraph (7)(B)--
(i) by striking the subparagraph heading
and all that follows through ``Homeland
Security Secretary'' and inserting the
following: ``Interagency agreement; cost.--The
Homeland Security Secretary''; and
(ii) by striking clause (ii);
(D) in paragraph (7)(C)(ii)--
(i) by amending clause (I) to read as
follows:
``(I) Payment conditioned on
delivery.--The contract shall provide
that no payment may be made until
delivery of a portion, acceptable to
the Secretary, of the total number of
units contracted for, except that,
notwithstanding any other provision of
law, the contract may provide that, if
the Secretary determines (in the
Secretary's discretion) that an advance
payment, partial payment for
significant milestones, or payment to
increase manufacturing capacity is
necessary to ensure success of a
project, the Secretary shall pay an
amount, not to exceed 10 percent of the
contract amount, in advance of
delivery. The Secretary shall, to the
extent practicable, make the
determination of advance payment at the
same time as the issuance of a
solicitation. The contract shall
provide that such advance payment is
required to be repaid if there is a
failure to perform by the vendor under
the contract. The contract may also
provide for additional advance payments
of 5 percent each for meeting the
milestones specified in such contract.
Provided that the specified milestones
are reached, these advance payments of
5 percent shall not be required to be
repaid. Nothing in this subclause shall
be construed as affecting the rights of
vendors under provisions of law or
regulation (including the Federal
Acquisition Regulation) relating to the
termination of contracts for the
convenience of the Government.''; and
(ii) by adding at the end the following:
``(VII) Procurement of multiple
products and technologies.--The
Secretary may enter into multiple
transactions for the procurement of
multiple technologies and products from
multiple manufacturers of security
countermeasures in order to mitigate
against the risks associated with
dependence on a single supplier or
technology.
``(VIII) Sales exclusivity.--The
contract may provide that the vendor is
the exclusive supplier of the product
to the Federal Government for a
specified period of time, not to exceed
the term of the contract, on the
condition that the vendor is able to
satisfy the needs of the Government.
During the agreed period of sales
exclusivity, the vendor shall not
assign its rights of sales exclusivity
to another entity or entities without
approval by the Secretary. Such a sales
exclusivity provision in such a
contract shall constitute a valid basis
for a sole source procurement under
section 303(c)(1) of the Federal
Property and Administrative Services
Act of 1949 (41 U.S.C. 253(c)(1)).
``(IX) Surge capacity.--The
contract may provide that the vendor
establish domestic manufacturing
capacity of the product to ensure that
additional production of the product is
available in the event that the
Secretary determines that there is a
need to quickly purchase additional
quantities of the product. Such
contract may provide a fee to the
vendor for establishing and maintaining
such capacity in excess of the initial
requirement for the purchase of the
product. Additionally, the cost of
maintaining the domestic manufacturing
capacity shall be an allowable and
allocable direct cost of the contract.
``(X) Additional contract terms.--
The Secretary, in any contract for
procurement under this section, may
specify--
``(aa) the dosing and
administration requirements for
countermeasures to be developed
and procured;
``(bb) the amount of
funding that will be dedicated
by the Secretary for
development and acquisition of
the countermeasure; and
``(cc) the specifications
the countermeasure must meet to
qualify for procurement under a
contract under this section.'';
and
(E) in paragraph (8)(A), by adding at the end the
following: ``In the case of such agreements by the
Secretary, the Secretary may allow other executive
agencies to order qualified and security
countermeasures under procurement contracts or other
agreements established by the Secretary, and such
ordering process (including transfers of appropriated
funds between an agency and the Department of Health
and Human Services as reimbursements for such orders
for countermeasures) may be conducted under the
authority of section 1535 of title 31, United States
Code, except that all such orders shall be processed
under the terms established under this section for the
procurement of countermeasures.''
Passed the House of Representatives September 26, 2006.
Attest:
KAREN L. HAAS,
Clerk.