II
117th CONGRESS
2d Session
S. 3837
IN THE SENATE OF THE UNITED STATES
March 15, 2022
Mr. Hagerty introduced the following bill; which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs
A BILL
To amend the Defense Production Act of 1950 to ensure the supply of certain medical materials essential to national defense, and for other purposes.
Short title
This Act may be cited as the Securing America’s Vaccines for Emergencies Act of 2022
or the SAVE Act of 2022
.
Securing essential medical materials
Statement of policy
Section 2(b) of the Defense Production Act of 1950 (50 U.S.C. 4502(b)) is amended—
by redesignating paragraphs (3) through (8) as paragraphs (4) through (9), respectively; and
by inserting after paragraph (2) the following:
authorities under this Act should be used when appropriate to ensure the availability of medical materials essential to national defense, including through measures designed to secure the drug supply chain, and taking into consideration the importance of United States competitiveness, scientific leadership and cooperation, and innovative capacity;
.
Strengthening domestic capability
Section 107 of the Defense Production Act of 1950 (50 U.S.C. 4517) is amended—
in subsection (a), by inserting (including medical materials)
after materials
; and
in subsection (b)(1), by inserting (including medical materials, such as drugs, devices, and biological products to diagnose, cure, mitigate, treat, or prevent disease, that are essential to national defense)
after essential materials
.
Strategy on securing supply chains for medical materials
Title I of the Defense Production Act of 1950 (50 U.S.C. 4511 et seq.) is amended by adding at the end the following:
Strategy on securing supply chains for medical materials
In general
Not later than 180 days after the date of the enactment of this section, the President, in consultation with the Secretary of Health and Human Services, the Secretary of Commerce, the Secretary of Homeland Security, and the Secretary of Defense, shall submit to the appropriate Members of Congress a strategy that includes the following:
A detailed plan to use the authorities under this title and title III, or any other provision of law, to ensure the supply of medical materials (including drugs, devices, and biological products (as that term is defined in section 351 of the Public Health Service Act (42 U.S.C. 262)) to diagnose, cure, mitigate, treat, or prevent disease) essential to national defense, to the extent necessary for the purposes of this Act.
An analysis of vulnerabilities to existing supply chains for such medical materials and recommendations to address the vulnerabilities.
Measures to be undertaken by the President to diversify such supply chains, as appropriate and as required for national defense.
A discussion of—
any significant effects resulting from the plan and measures described in this subsection on the production, cost, or distribution of biological products (as that term is defined in section 351 of the Public Health Service Act (42 U.S.C. 262)) or any other devices or drugs (as defined in section 201 of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 321));
a timeline to ensure that essential components of the supply chain for medical materials are not under the exclusive control of a foreign government in a manner that the President determines could threaten the national defense; and
efforts to mitigate any risks resulting from the plan and measures described in this subsection to United States competitiveness, scientific leadership, and innovative capacity, including efforts to cooperate and proactively engage with United States allies.
Progress Report
Not later than one year after submission of the strategy under subsection (a), and annually thereafter until September 30, 2025, the President shall submit to the appropriate Members of Congress a progress report—
evaluating the implementation of the strategy; and
including such updates to the strategy as the President considers appropriate.
Form of strategy and report
The strategy required by subsection (a) and the progress reports required by subsection (b) shall be submitted in unclassified form but may include a classified annex.
Appropriate Members of Congress
The term appropriate Members of Congress means—
the Speaker, majority leader, and minority leader of the House of Representatives;
the majority leader and minority leader of the Senate; and
the chairperson and ranking member of—
the Committee on Financial Services of the House of Representatives; and
the Committee on Banking, Housing, and Urban Affairs of the Senate.
.
Investment in supply chain security
In general
Section 303 of the Defense Production Act of 1950 (50 U.S.C. 4533) is amended by adding at the end the following:
Investment in supply chain security
In general
In addition to other authorities under this title, the President may make available to an eligible entity described in paragraph (2) payments to increase the security of supply chains and supply chain activities, if the President certifies to Congress not less than 30 days before making such a payment that the payment is critical to meet national defense requirements of the United States.
Eligible entity
An eligible entity described in this paragraph is an entity that—
is organized under the laws of the United States or any jurisdiction within the United States; and
produces—
one or more critical components;
critical technology; or
one or more products or raw materials for the security of supply chains or supply chain activities.
Definitions
In this subsection, the terms supply chain and supply chain activities have the meanings given those terms by the President by regulation.
.
Regulations
In general
Not later than 90 days after the date of the enactment of this Act, the President shall prescribe regulations setting forth definitions for the terms supply chain and supply chain activities for the purposes of subsection (h) of section 303 of the Defense Production Act of 1950, as added by subsection (a).
Scope of definitions
The definitions required by paragraph (1)—
shall encompass—
the organization, people, activities, information, and resources involved in the delivery and operation of a product or service used by the Federal Government; or
critical infrastructure as defined in Presidential Policy Directive 21 (February 12, 2013; relating to critical infrastructure security and resilience); and
may include variations as determined necessary and appropriate by the President for purposes of national defense (as defined in section 702 of the Defense Production Act of 1950 (50 U.S.C. 4552)).
