Sponsors (11)
Creates a new tax subchapter for “economically distressed zones” (details of the subchapter were not provided) and makes those tax changes effective for taxable years beginning after December 31, 2024. It also broadens health law authorities to identify and prioritize “population health products” — drugs and therapeutics for people with non‑communicable (chronic) conditions who face worse outcomes during pandemics — expands what counts as a qualified countermeasure, directs HHS to accelerate R&D, manufacturing, distribution and stockpiling for those products, and requires a report to Congress within 90 days on needs and incentives.
Adds a new subchapter at the end of Chapter 1 of the Internal Revenue Code of 1986 concerning Economically distressed zones.
The amendments made by this section apply to taxable years beginning after December 31, 2024.
Amends the definition of “qualified countermeasure” in subparagraph (A) of section 319F–1(a)(2) of the Public Health Service Act to include drugs, biological products, or devices that the Secretary determines are priorities, including products to address underlying non‑communicable diseases when combined with pandemic influenza or an emerging infectious disease (two clause structure: (i) and (ii)).
Adds a new definition of “population health product” to subsection (a) of section 319L: a widely available drug to diagnose, mitigate, prevent, or treat harm from an underlying non‑communicable disease which, combined with pandemic influenza or an emerging infectious disease, may cause adverse health consequences or serious threat to one or more vulnerable American populations in an epidemic or pandemic.
Adds a new definition of “vulnerable American populations” to subsection (a) of section 319L, listing children, pregnant women, older adults, minority populations, and other at‑risk individuals with relevant characteristics to consider during research and development of countermeasures and products.
Who is affected and how:
People with chronic/non‑communicable diseases (direct effect): The bill directs federal attention to drugs and therapies that reduce pandemic‑related harms for these individuals. That could speed development, approval support, manufacturing scale‑up, prioritization for distribution, and stockpiling for these groups.
Vulnerable American populations (direct effect): The bill defines and prioritizes “vulnerable” groups for access to approved population health products; those groups may receive earlier access during emergencies and be the focus of distribution strategies.
Drug developers and manufacturers (direct effect): Federal prioritization, expanded countermeasure status, and potential incentives will increase demand signals and regulatory attention for companies that develop population health products. This could change R&D and production investment decisions.
Department of Health and Human Services and other federal agencies (direct effect): HHS must establish priorities, coordinate across agencies, and report to Congress. This creates new administrative duties and potential reallocation of existing program resources.
Residents and businesses in designated economically distressed zones (direct/moderate effect): The new tax subchapter is intended to change tax treatment or incentives for economically distressed areas; affected taxpayers, businesses, and local governments may receive new tax benefits or eligibility, depending on the subchapter’s content (not provided).
Public health and supply chain systems (indirect effect): Expanded emphasis on manufacturing and stockpiling could accelerate investments in domestic production capacity, supply chain resilience, and logistics for getting products to prioritized groups.
Risks and unknowns:
Funding: The excerpt does not specify new appropriations, so outcomes depend on available HHS resources and whether Congress provides funding to implement priorities, support manufacturing, or create financial incentives.
Definitions and scope: How broadly “population health products” and “vulnerable American populations” are defined will strongly affect which conditions and populations are prioritized.
Regulatory and timeline uncertainty: Practical impact depends on FDA regulatory pathways, contractor capacity, and the speed of interagency coordination.
Overall, the legislation directs federal focus toward safeguarding people with chronic diseases in pandemics and introduces tax changes targeting economically distressed areas; the magnitude of effects will depend on implementing guidance, funding decisions, and the final tax text.
Referred to the Committee on Ways and Means, and in addition to the Committee on Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Last progress April 28, 2025 (8 months ago)
Introduced on April 28, 2025 by Nicole Malliotakis