[Congressional Record (Bound Edition), Volume 162 (2016), Part 6]
[Senate]
[Pages 7616-7617]
[From the U.S. Government Publishing Office, www.gpo.gov]




              PATENTS FOR HUMANITY PROGRAM IMPROVEMENT ACT

  Mr. McCONNELL. Mr. President, I ask unanimous consent that the 
Judiciary Committee be discharged from further consideration of S. 1402 
and the Senate proceed to its immediate consideration.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The clerk will report the bill by title.
  The senior assistant legislative clerk read as follows:

       A bill (S. 1402) to allow acceleration certificates awarded 
     under the Patents for Humanity Program to be transferable.

  There being no objection, the Senate proceeded to consider the bill.
  Mr. LEAHY. Mr. President, today the Senate is passing legislation to 
strengthen an important humanitarian innovation prize created by the 
U.S. Patent and Trademark Office, PTO. Since 2012, the Patents for 
Humanity Award has recognized selected patent holders who use their 
inventions to address humanitarian needs. The legislation the Senate 
passed today will strengthen the award program and encourage innovators 
to continue using their work for humanitarian goals.
  The innovations that are recognized by the Patents for Humanity Award 
program help underserved people throughout the world. Award winners 
have worked to improve nutrition, provide clean drinking water, fix 
broken bones in remote hospitals that lack x-ray technology, bring 
solar-powered energy to villages that are off the power grid, and 
combat the problem of dangerous counterfeit drugs, among other 
achievements. Winners of the Patents for Humanity Award demonstrate 
that our patent system does more than drive economic gain for 
individual companies; it can incentivize research and discoveries that 
promote humanitarian good.
  Winners of the Patents for Humanity Award receive a one-time 
certificate to accelerate a process or application at the PTO, as 
described in the program rules. For several years, small businesses and 
global health groups have told me that the prize would be more usable, 
particularly for small business innovators, if the acceleration 
certificates awarded were transferable to a third party. Award winners 
who are not able to use the acceleration certificate themselves will be 
able to transfer the certificate to another inventor, including through 
sale, allowing the winner to receive a cash benefit. By making the 
certificates transferable, we are increasing the value of this 
humanitarian innovation prize without using a single taxpayer dollar.
  The thoughtful structure of the Patents for Humanity Award program, 
set forth in its founding documents in the Federal Register, will 
ensure that this program remains sustainable and does not unduly burden 
the PTO or other patent applicants whose applications are pending 
before the Office. The award is granted to only a select number of 
patent holders per year--approximately 10 or fewer, with a further 20 
applications receiving honorable mentions--and the PTO has provided 
clear guidance on the types of processes for which the certificates may 
be used. Program judges are selected based on recognized subject matter 
expertise, with clear competition criteria, and rules in place to 
prevent conflicts of interest. These practices and safeguards, which 
are described in detail in the Federal Register at 79 Fed. Reg. 18670 
and 77 Fed. Reg. 6544, will ensure that the program continues to 
operate appropriately and well.
  The Patents for Humanity Program Improvement Act is a straightforward 
and bipartisan bill that will strengthen this valuable innovation 
program and encourage inventions to be used for humanitarian good. I 
thank other Senators for supporting this bill and urge the House to 
pass it without delay.
  Mr. McCONNELL. I further ask unanimous consent that the bill be read 
a third time and passed, and the motion to reconsider be considered 
made and laid upon the table with no intervening action or debate.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The bill (S. 1402) was ordered to be engrossed for a third reading, 
was read the third time, and passed, as follows:

                                S. 1402

       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 ``Patents for Humanity Program 
     Improvement Act''.

     SEC. 2. TRANSFERABILITY OF ACCELERATION CERTIFICATES.

       (a) In General.--A holder of an acceleration certificate 
     issued pursuant to the Patents for Humanity Program 
     (established in the notice entitled ``Humanitarian Awards 
     Pilot Program'', published at 77 Fed. Reg. 6544 (February 8, 
     2012)), or any successor thereto, of the United States Patent 
     and Trademark Office, may transfer (including by sale) the 
     entitlement to such acceleration certificate to another 
     person.
       (b) Requirement.--An acceleration certificate transferred 
     under subsection (a) shall be subject to any other applicable 
     limitations

[[Page 7617]]

     under the notice entitled ``Humanitarian Awards Pilot 
     Program'', published at 77 Fed. Reg. 6544 (February 8, 2012), 
     or any successor thereto.

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