The bill would create a nine-year pilot program to encourage certain hospitals to buy personal protective equipment (PPE) and medical supplies made in the United States. Hospitals in the program would generally need to buy at least 40% of these products domestically. The Health and Human Services Secretary could lower that share during supply disruptions, natural disasters, or national emergencies. Hospitals that miss the target could face payment cuts starting after the program's third year, with larger cuts for repeated failures.
The bill would also raise import duties on listed medical products over time, to rates equivalent to 300% of their value. It would use added duty revenue to reimburse participating hospitals for domestic purchases. Manufacturers could qualify for tax credits for producing certain U.S.-made PPE or investing in U.S. PPE manufacturing property. The program would begin within two years of enactment and end nine years after implementation.
Some hospitals could change where they buy PPE and medical supplies and would report their purchases to the federal government. Manufacturers could qualify for tax credits if they meet the bill's U.S. production and content rules. The bill does not specify how these changes would affect patients or product prices.
The bill provides no estimate of total costs or tax-credit amounts. It directs the government to reimburse participating hospitals using additional import-duty revenue. It also creates tax credits for qualifying PPE production and manufacturing investments.
No publicly available information.
No publicly available information.