[House Report 117-183]
[From the U.S. Government Publishing Office]


117th Congress    }                                    {        Report
                        HOUSE OF REPRESENTATIVES
 1st Session      }                                    {       117-183

======================================================================

 
SUPPORTING THE FOUNDATION FOR THE NATIONAL INSTITUTES OF HEALTH AND THE 
    REAGAN-UDALL FOUNDATION FOR THE FOOD AND DRUG ADMINISTRATION ACT

                                _______
                                

 November 30, 2021.--Committed to the Committee of the Whole House on 
            the State of the Union and ordered to be printed

                                _______
                                

 Mr. Pallone, from the Committee on Energy and Commerce, submitted the 
                               following

                              R E P O R T

                        [To accompany H.R. 3743]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Energy and Commerce, to whom was referred 
the bill (H.R. 3743) to increase funding for the Reagan-Udall 
Foundation for the Food and Drug Administration and for the 
Foundation for the National Institutes of Health, having 
considered the same, reports favorably thereon without 
amendment and recommends that the bill do pass.

                                CONTENTS

                                                                    Page
   I. Purpose and Summary............................................. 1
  II. Background and Need for the Legislation......................... 2
 III. Committee Hearings.............................................. 3
  IV. Committee Consideration......................................... 3
   V. Committee Votes................................................. 3
  VI. Oversight Findings.............................................. 4
 VII. New Budget Authority, Entitlement Authority, and Tax Expenditure 4
VIII. Congressional Budget Office Estimate............................ 4
  IX. Federal Mandates Statement...................................... 5
   X. Statement of General Performance Goals and Objectives........... 5
  XI. Duplication of Federal Programs................................. 5
 XII. Committee Cost Estimate......................................... 5
XIII. Earmarks, Limited Tax Benefits, and Limited Tariff Benefits..... 6
 XIV. Advisory Committee Statement.................................... 6
  XV. Applicability to Legislative Branch............................. 6
 XVI. Section-by-Section Analysis of the Legislation.................. 6
XVII. Changes in Existing Law Made by the Bill, as Reported........... 6

                         I. Purpose and Summary

    H.R. 3743, the ``Supporting the Foundation for the National 
Institutes of Health and the Reagan-Udall Foundation for the 
Food and Drug Administration Act,'' amends Section 770(n) of 
the Federal Food, Drug and Cosmetic Act and Section 499(l) of 
the Public Health Service Act to authorize increased transfer 
authorities from the Food and Drug Administration (FDA) and the 
National Institutes of Health (NIH) to the Reagan-Udall 
Foundation for the Food and Drug Administration and the 
Foundation for the National Institutes of Health, respectively.
    H.R. 3743 increases the transfer authority for both 
foundations from ``$500,000 and not more than $1,250,000'' to 
``$1,250,000 and not more than $5,000,000.''

                II. Background and Need for Legislation

    The Reagan-Udall Foundation for the FDA is an independent 
non-profit organization established by Congress in 2007 to 
advance the mission of FDA to modernize medical, veterinary, 
food, food ingredient, and cosmetic product development, 
accelerate innovation, and enhance product safety.\1\ The 
foundation was required to: (1) identify unmet needs in the 
development, manufacture, and evaluation of the safety and 
effectiveness of such products; (2) establish goals and 
priorities; (3) identify federal research and development 
programs and minimize duplication; (4) award grants to 
scientists and entities to efficiently and effectively advance 
such goals and priorities; and (5) provide objective clinical 
and scientific information to FDA and other federal 
agencies.\2\
---------------------------------------------------------------------------
    \1\Food and Drug Administration Amendments Act of 2007, Pub. L. No. 
110-85.
    \2\Id.
---------------------------------------------------------------------------
    Originally named the National Foundation for Biomedical 
Research, the Foundation for the NIH is an independent non-
profit organization established by Congress in 1990 to develop 
private-public partnerships that advance biomedical research at 
the NIH and worldwide.\3\\4\ As part of its mission, the 
Foundation for the NIH organizes and administers research 
projects; supports the education and development of new 
researchers; hosts educational campaigns and symposiums; and 
manages funding to support a wide range of health issues.\5\
---------------------------------------------------------------------------
    \3\National Institutes of Health Amendment Act of 1990, Pub. L. No. 
101-613.
    \4\Foundation for the National Institutes of Health, About Us 
(https://fnih.org/about).
    \5\Id.
---------------------------------------------------------------------------
    Both foundations receive funding from transfers from 
federal agencies, as mandated by law. In addition to these 
transfers, the foundations are authorized to solicit and accept 
gifts from private entities.
    H.R. 3743 would increase the statutory authorization for 
the transferring of funds from the FDA and NIH to their 
respective foundations for the first time since 2007.\6\ 
Increased federal funding will allow the Reagan-Udall 
Foundation and the Foundation for the NIH to carry out more 
authorized projects in service of their respective missions.
---------------------------------------------------------------------------
    \6\Office of Congressman Richard Hudson, Hudson Introduces Bill to 
Expand Future Vaccine Development (June 10, 2021) (https://
hudson.house.gov/press-releases/hudson-introduces-bill-to-expand-
future-vaccine-development) (press release).
---------------------------------------------------------------------------

                        III. Committee Hearings

    For the purposes of section 3(c) of rule XIII of the Rules 
of the House of Representatives, the following hearing was used 
to develop or consider H.R. 3743:
    The Subcommittee on Health held a legislative hearing on 
Tuesday, June 15, 2021, entitled, ``Booster Shot: Enhancing 
Public Health through Vaccine Legislation.'' The Subcommittee 
received testimony form the following witnesses:
           Phyllis Arthur, Vice President, Infectious 
        Diseases and Diagnostic Policy, Biotechnology 
        Innovation Organization;
           Rebecca Coyle, Executive Director, American 
        Immunization Registry Association;
           Yvonne Maldonado, M.D., Chair, Committee on 
        Infectious Diseases, American Academy of Pediatrics, 
        Professor of Pediatrics and of Epidemiology and Public 
        Health, Stanford University, Stanford University Center 
        for Academic Medicine, Pediatric Infectious Diseases; 
        and
           Lijen (L.J.) Tan, Ph.D., Chief Strategy 
        Officer, Immunization Action Coalition.

                      IV. Committee Consideration

    Representatives Richard Hudson (R-NC) and Anna G. Eshoo (D-
CA) introduced H.R. 3743, the ``Supporting the Foundation for 
the National Institutes of Health and the Reagan-Udall 
Foundation for the Food and Drug Administration Act,'' on June 
8, 2021, which was referred to the Committee on Energy and 
Commerce. Subsequently, on June 9, 2021, H.R. 3743 was referred 
to the Subcommittee on Health. A legislative hearing was held 
on the bill on June 15, 2021.
    On July 15, 2021, the Subcommittee on Health met in open 
markup session, pursuant to notice, to consider H.R. 3743 and 
18 other bills. No amendments were offered during consideration 
of the bill. Upon conclusion of consideration of the bill, the 
Subcommittee on Health agreed to report the bill favorably to 
the full Committee, without amendment, by a voice vote.
    On July 21, 2021, the full Committee met in open markup 
session, pursuant to notice, to consider H.R. 3743 and 23 other 
bills. No amendments were offered during consideration of the 
bill. Upon conclusion of consideration of the bill, the full 
Committee agreed to a motion on final passage offered by 
Representative Pallone (D-NJ), Chairman of the Committee, to 
order H.R. 3743 reported favorably to the House, without 
amendment, by a voice vote.

                           V. Committee Votes

    Clause 3(b) of rule XIII of the Rules of the House of 
Representatives requires the Committee to list each record vote 
on the motion to report legislation and amendments thereto. The 
Committee advises that there were no record votes taken on H.R. 
3743, including a motion by Mr. Pallone ordering H.R. 3743 
favorably reported to the House, without amendment.

                         VI. Oversight Findings

    Pursuant to clause 3(c)(1) of rule XIII and clause 2(b)(1) 
of rule X of the Rules of the House of Representatives, the 
oversight findings and recommendations of the Committee are 
reflected in the descriptive portion of the report.

 VII. New Budget Authority, Entitlement Authority, and Tax Expenditures

    Pursuant to 3(c)(2) of rule XIII of the Rules of the House 
of Representatives, the Committee adopts as its own the 
estimate of new budget authority, entitlement authority, or tax 
expenditures or revenues contained in the cost estimate 
prepared by the Director of the Congressional Budget Office 
pursuant to section 402 of the Congressional Budget Act of 
1974.

               VIII. Congressional Budget Office Estimate

                                     U.S. Congress,
                               Congressional Budget Office,
                                  Washington, DC, October 25, 2021.
Hon. Frank Pallone, Jr.,
Chairman, Committee on Energy and Commerce,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 3743, the 
Supporting the Foundation for the National Institutes of Health 
and the Reagan-Udall Foundation for the Food and Drug 
Administration Act.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Ryan 
Greenfield.
            Sincerely,
                                         Phillip L. Swagel,
                                                          Director.
    Enclosure.

[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
    

    H.R. 3743 would authorize the Food and Drug Administration 
(FDA) and the National Institutes of Health (NIH) to increase 
funding transfers to the Reagan-Udall Foundation and the 
Foundation for the National Institutes of Health, respectively, 
up to an annual cap of $5 million each. The foundations are 
501(c)(3) organizations created by the Congress to support the 
missions of FDA and NIH. CBO anticipates that the agencies 
would transfer the maximum authorized amounts to the 
foundations each year, about $38 million more than authorized 
under current law over the 2022-2026 period. CBO estimates that 
costs associated with the increased transfers would total $29 
million over the 2022-2026 period; any spending would be 
subject to the availability of appropriated funds.
    On June 22, 2021, CBO transmitted a cost estimate for S. 
1662, the Supporting the Foundation for the National Institutes 
of Health and the Reagan-Udall Foundation for the Food and Drug 
Administration Act, as ordered reported by the Senate Committee 
on Health, Education, Labor, and Pensions on May 25, 2021. H.R. 
3743 is identical to S. 1662, and CBO's estimates of their 
budgetary effects are nearly identical after adjusting for a 
later projected enactment date.
    The CBO staff contact for this estimate is Ryan Greenfield. 
The estimate was reviewed by Leo Lex, Deputy Director of Budget 
Analysis.

                     IX. Federal Mandates Statement

    The Committee adopts as its own the estimate of Federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act.

        X. Statement of General Performance Goals and Objectives

    Pursuant to clause 3(c)(4) of rule XIII, the general 
performance goal or objective of this legislation is to 
authorize increased transfer authority to the FDA and NIH for 
the Reagan-Udall Foundation for the Food and Drug 
Administration and the Foundation for the National Institutes 
of Health, respectively, to advance public health and 
biomedical research.

                  XI. Duplication of Federal Programs

    Pursuant to clause 3(c)(5) of rule XIII, no provision of 
H.R. 3743 is known to be duplicative of another Federal 
program, including any program that was included in a report to 
Congress pursuant to section 21 of Public Law 111-139 or the 
most recent Catalog of Federal Domestic Assistance.

                      XII. Committee Cost Estimate

    Pursuant to clause 3(d)(1) of rule XIII, the Committee 
adopts as its own the cost estimate prepared by the Director of 
the Congressional Budget Office pursuant to section 402 of the 
Congressional Budget Act of 1974.

   XIII. Earmarks, Limited Tax Benefits, and Limited Tariff Benefits

    Pursuant to clause 9(e), 9(f), and 9(g) of rule XXI, the 
Committee finds that H.R. 4743 contains no earmarks, limited 
tax benefits, or limited tariff benefits.

                   XIV. Advisory Committee Statement

    No advisory committee within the meaning of section 5(b) of 
the Federal Advisory Committee Act was created by this 
legislation.

                XV. Applicability to Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act.

          XVI. Section-by-Section Analysis of the Legislation


Section 1. Short title

    Section 1 designates that the short title may be cited as 
the ``Supporting the Foundation for the National Institutes of 
Health and the Reagan-Udall Foundation for the Food and Drug 
Administration Act.''

Sec. 2. Reagan-Udall Foundation and Foundation for the National 
        Institutes of Health.

    Section 2(a) amends Section 770(n) of the Federal Food, 
Drug, and Cosmetic Act (21 U.S.C. 379dd(n)) by striking 
``$500,000 and not more than $1,250,000'' and inserting 
``$1,250,000 and not more than $5,000,000''.
    Section 2(b) amends Section 499(l) of the Public Health 
Service Act (42 U.S.C. 290b(l)) by striking ``$500,000 and not 
more than $1,250,000'' and inserting ``$1,250,000 and not more 
than $5,000,000''.

      XVII. Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italics, and existing law in which no 
change is proposed is shown in roman):

                  FEDERAL FOOD, DRUG, AND COSMETIC ACT




           *       *       *       *       *       *       *
CHAPTER VII--GENERAL AUTHORITY

           *       *       *       *       *       *       *



      Subchapter I--Reagan-Udall Foundation for the Food and Drug 
                             Administration


SEC. 770. ESTABLISHMENT AND FUNCTIONS OF THE FOUNDATION.

  (a) In General.--A nonprofit corporation to be known as the 
Reagan-Udall Foundation for the Food and Drug Administration 
(referred to in this subchapter as the ``Foundation'') shall be 
established in accordance with this section. The Foundation 
shall be headed by an Executive Director, appointed by the 
members of the Board of Directors under subsection (e). The 
Foundation shall not be an agency or instrumentality of the 
United States Government.
  (b) Purpose of Foundation.--The purpose of the Foundation is 
to advance the mission of the Food and Drug Administration to 
modernize medical, veterinary, food, food ingredient, and 
cosmetic product development, accelerate innovation, and 
enhance product safety.
  (c) Duties of the Foundation.--The Foundation shall--
          (1) taking into consideration the Critical Path 
        reports and priorities published by the Food and Drug 
        Administration, identify unmet needs in the 
        development, manufacture, and evaluation of the safety 
        and effectiveness, including postapproval, of devices, 
        including diagnostics, biologics, and drugs, and the 
        safety of food, food ingredients, and cosmetics, and 
        including the incorporation of more sensitive and 
        predictive tools and devices to measure safety;
          (2) establish goals and priorities in order to meet 
        the unmet needs identified in paragraph (1);
          (3) in consultation with the Secretary, identify 
        existing and proposed Federal intramural and extramural 
        research and development programs relating to the goals 
        and priorities established under paragraph (2), 
        coordinate Foundation activities with such programs, 
        and minimize Foundation duplication of existing 
        efforts;
          (4) award grants to, or enter into contracts, 
        memoranda of understanding, or cooperative agreements 
        with, scientists and entities, which may include the 
        Food and Drug Administration, university consortia, 
        public-private partnerships, institutions of higher 
        education, entities described in section 501(c)(3) of 
        the Internal Revenue Code (and exempt from tax under 
        section 501(a) of such Code), and industry, to 
        efficiently and effectively advance the goals and 
        priorities established under paragraph (2);
          (5) recruit meeting participants and hold or sponsor 
        (in whole or in part) meetings as appropriate to 
        further the goals and priorities established under 
        paragraph (2);
          (6) release and publish information and data and, to 
        the extent practicable, license, distribute, and 
        release material, reagents, and techniques to maximize, 
        promote, and coordinate the availability of such 
        material, reagents, and techniques for use by the Food 
        and Drug Administration, nonprofit organizations, and 
        academic and industrial researchers to further the 
        goals and priorities established under paragraph (2);
          (7) ensure that--
                  (A) action is taken as necessary to obtain 
                patents for inventions developed by the 
                Foundation or with funds from the Foundation;
                  (B) action is taken as necessary to enable 
                the licensing of inventions developed by the 
                Foundation or with funds from the Foundation; 
                and
                  (C) executed licenses, memoranda of 
                understanding, material transfer agreements, 
                contracts, and other such instruments, promote, 
                to the maximum extent practicable, the broadest 
                conversion to commercial and noncommercial 
                applications of licensed and patented 
                inventions of the Foundation to further the 
                goals and priorities established under 
                paragraph (2);
          (8) provide objective clinical and scientific 
        information to the Food and Drug Administration and, 
        upon request, to other Federal agencies to assist in 
        agency determinations of how to ensure that regulatory 
        policy accommodates scientific advances and meets the 
        agency's public health mission;
          (9) conduct annual assessments of the unmet needs 
        identified in paragraph (1); and
          (10) carry out such other activities consistent with 
        the purposes of the Foundation as the Board determines 
        appropriate.
  (d) Board of Directors.--
          (1) Establishment.--
                  (A) In general.--The Foundation shall have a 
                Board of Directors (referred to in this 
                subchapter as the ``Board''), which shall be 
                composed of ex officio and appointed members in 
                accordance with this subsection. All appointed 
                members of the Board shall be voting members.
                  (B) Ex officio members.--The ex officio 
                members of the Board shall be the following 
                individuals or their designees:
                          (i) The Commissioner.
                          (ii) The Director of the National 
                        Institutes of Health.
                          (iii) The Director of the Centers for 
                        Disease Control and Prevention.
                          (iv) The Director of the Agency for 
                        Healthcare Research and Quality.
                  (C) Appointed members.--
                          (i) In general.--The ex officio 
                        members of the Board under subparagraph 
                        (B) shall, by majority vote, appoint to 
                        the Board 14 individuals, of which 9 
                        shall be from a list of candidates to 
                        be provided by the National Academy of 
                        Sciences and 5 shall be from lists of 
                        candidates provided by patient and 
                        consumer advocacy groups, professional 
                        scientific and medical societies, and 
                        industry trade organizations. Of such 
                        appointed members--
                                  (I) 4 shall be 
                                representatives of the general 
                                pharmaceutical, device, food, 
                                cosmetic, and biotechnology 
                                industries;
                                  (II) 3 shall be 
                                representatives of academic 
                                research organizations;
                                  (III) 2 shall be 
                                representatives of patient or 
                                consumer advocacy 
                                organizations;
                                  (IV) 1 shall be a 
                                representative of health care 
                                providers; and
                                  (V) 4 shall be at-large 
                                members with expertise or 
                                experience relevant to the 
                                purpose of the Foundation.
                          (ii) Additional members.--The Board, 
                        through amendments to the bylaws of the 
                        Foundation, may provide that the number 
                        of voting members of the Board shall be 
                        a number (to be specified in such 
                        amendment) greater than 14. Any Board 
                        positions that are established by any 
                        such amendment shall be appointed (by 
                        majority vote) by the individuals who, 
                        as of the date of such amendment, are 
                        voting members of the Board and persons 
                        so appointed may represent any of the 
                        categories specified in subclauses (I) 
                        through (V) of clause (i), so long as 
                        no more than 30 percent of the total 
                        voting members of the Board (including 
                        members whose positions are established 
                        by such amendment) are representatives 
                        of the general pharmaceutical, device, 
                        food, cosmetic, and biotechnology 
                        industries.
                          (iii) Requirements.--
                                  (I) Expertise.--The ex 
                                officio members, acting 
                                pursuant to clause (i), and the 
                                Board, acting pursuant to 
                                clause (ii), shall ensure the 
                                Board membership includes 
                                individuals with expertise in 
                                areas including the sciences of 
                                developing, manufacturing, and 
                                evaluating the safety and 
                                effectiveness of devices, 
                                including diagnostics, 
                                biologics, and drugs, and the 
                                safety of food, food 
                                ingredients, and cosmetics.
                                  (II) Federal employees.--No 
                                employee of the Federal 
                                Government shall be appointed 
                                as a member of the Board under 
                                this subparagraph or under 
                                paragraph (3)(B). For purposes 
                                of this section, the term 
                                ``employee of the Federal 
                                Government'' does not include a 
                                special Government employee, as 
                                that term is defined in section 
                                202(a) of title 18, United 
                                States Code.
                  (D) Initial meeting.--
                          (i) In general.--Not later than 30 
                        days after the date of the enactment of 
                        this subchapter, the Secretary shall 
                        convene a meeting of the ex officio 
                        members of the Board to--
                                  (I) incorporate the 
                                Foundation; and
                                  (II) appoint the members of 
                                the Board in accordance with 
                                subparagraph (C).
                          (ii) Service of ex officio members.--
                        Upon the appointment of the members of 
                        the Board under clause (i)(II)--
                                  (I) the terms of service of 
                                the Director of the Centers for 
                                Disease Control and Prevention 
                                and of the Director of the 
                                Agency for Healthcare Research 
                                and Quality as ex officio 
                                members of the Board shall 
                                terminate; and
                                  (II) the Commissioner and the 
                                Director of the National 
                                Institutes of Health shall 
                                continue to serve as ex officio 
                                members of the Board, but shall 
                                be nonvoting members.
                          (iii) Chair.--The ex officio members 
                        of the Board under subparagraph (B) 
                        shall designate an appointed member of 
                        the Board to serve as the Chair of the 
                        Board.
          (2) Duties of board.--The Board shall--
                  (A) establish bylaws for the Foundation 
                that--
                          (i) are published in the Federal 
                        Register and available for public 
                        comment;
                          (ii) establish policies for the 
                        selection of the officers, employees, 
                        agents, and contractors of the 
                        Foundation;
                          (iii) establish policies, including 
                        ethical standards, for the acceptance, 
                        solicitation, and disposition of 
                        donations and grants to the Foundation 
                        and for the disposition of the assets 
                        of the Foundation, including 
                        appropriate limits on the ability of 
                        donors to designate, by stipulation or 
                        restriction, the use or recipient of 
                        donated funds;
                          (iv) establish policies that would 
                        subject all employees, fellows, and 
                        trainees of the Foundation to the 
                        conflict of interest standards under 
                        section 208 of title 18, United States 
                        Code;
                          (v) establish licensing, 
                        distribution, and publication policies 
                        that support the widest and least 
                        restrictive use by the public of 
                        information and inventions developed by 
                        the Foundation or with Foundation funds 
                        to carry out the duties described in 
                        paragraphs (6) and (7) of subsection 
                        (c), and may include charging cost-
                        based fees for published material 
                        produced by the Foundation;
                          (vi) specify principles for the 
                        review of proposals and awarding of 
                        grants and contracts that include peer 
                        review and that are consistent with 
                        those of the Foundation for the 
                        National Institutes of Health, to the 
                        extent determined practicable and 
                        appropriate by the Board;
                          (vii) specify a cap on administrative 
                        expenses for recipients of a grant, 
                        contract, or cooperative agreement from 
                        the Foundation;
                          (viii) establish policies for the 
                        execution of memoranda of understanding 
                        and cooperative agreements between the 
                        Foundation and other entities, 
                        including the Food and Drug 
                        Administration;
                          (ix) establish policies for funding 
                        training fellowships, whether at the 
                        Foundation, academic or scientific 
                        institutions, or the Food and Drug 
                        Administration, for scientists, 
                        doctors, and other professionals who 
                        are not employees of regulated 
                        industry, to foster greater 
                        understanding of and expertise in new 
                        scientific tools, diagnostics, 
                        manufacturing techniques, and potential 
                        barriers to translating basic research 
                        into clinical and regulatory practice;
                          (x) specify a process for annual 
                        Board review of the operations of the 
                        Foundation; and
                          (xi) establish specific duties of the 
                        Executive Director;
                  (B) prioritize and provide overall direction 
                to the activities of the Foundation;
                  (C) evaluate the performance of the Executive 
                Director; and
                  (D) carry out any other necessary activities 
                regarding the functioning of the Foundation.
          (3) Terms and vacancies.--
                  (A) Term.--The term of office of each member 
                of the Board appointed under paragraph 
                (1)(C)(i), and the term of office of any member 
                of the Board whose position is established 
                pursuant to paragraph (1)(C)(ii), shall be 4 
                years, except that--
                          (i) the terms of offices for the 
                        members of the Board initially 
                        appointed under paragraph (1)(C)(i) 
                        shall expire on a staggered basis as 
                        determined by the ex officio members; 
                        and
                          (ii) the terms of office for the 
                        persons initially appointed to 
                        positions established pursuant to 
                        paragraph (1)(C)(ii) may be made to 
                        expire on a staggered basis, as 
                        determined by the individuals who, as 
                        of the date of the amendment 
                        establishing such positions, are 
                        members of the Board.
                  (B) Vacancy.--Any vacancy in the membership 
                of the Board--
                          (i) shall not affect the power of the 
                        remaining members to execute the duties 
                        of the Board; and
                          (ii) shall be filled by appointment 
                        by the appointed members described in 
                        paragraph (1)(C) by majority vote.
                  (C) Partial term.--If a member of the Board 
                does not serve the full term applicable under 
                subparagraph (A), the individual appointed 
                under subparagraph (B) to fill the resulting 
                vacancy shall be appointed for the remainder of 
                the term of the predecessor of the individual.
                  (D) Serving past term.--A member of the Board 
                may continue to serve after the expiration of 
                the term of the member until a successor is 
                appointed.
          (4) Compensation.--Members of the Board may not 
        receive compensation for service on the Board. Such 
        members may be reimbursed for travel, subsistence, and 
        other necessary expenses incurred in carrying out the 
        duties of the Board, as set forth in the bylaws issued 
        by the Board.
  (e) Incorporation.--The ex officio members of the Board shall 
serve as incorporators and shall take whatever actions 
necessary to incorporate the Foundation.
  (f) Nonprofit Status.--In carrying out subsection (b), the 
Board shall establish such policies and bylaws under subsection 
(d), and the Executive Director shall carry out such activities 
under subsection (g), as may be necessary to ensure that the 
Foundation maintains status as an organization that--
          (1) is described in subsection (c)(3) of section 501 
        of the Internal Revenue Code of 1986; and
          (2) is, under subsection (a) of such section, exempt 
        from taxation.
  (g) Executive Director.--
          (1) In general.--The Board shall appoint an Executive 
        Director who shall serve at the pleasure of the Board. 
        The Executive Director shall be responsible for the 
        day-to-day operations of the Foundation and shall have 
        such specific duties and responsibilities as the Board 
        shall prescribe.
          (2) Compensation.--The compensation of the Executive 
        Director shall be fixed by the Board.
  (h) Administrative Powers.--In carrying out this subchapter, 
the Board, acting through the Executive Director, may--
          (1) adopt, alter, and use a corporate seal, which 
        shall be judicially noticed;
          (2) hire, promote, compensate, and discharge 1 or 
        more officers, employees, and agents, as may be 
        necessary, and define their duties;
          (3) prescribe the manner in which--
                  (A) real or personal property of the 
                Foundation is acquired, held, and transferred;
                  (B) general operations of the Foundation are 
                to be conducted; and
                  (C) the privileges granted to the Board by 
                law are exercised and enjoyed;
          (4) with the consent of the applicable executive 
        department or independent agency, use the information, 
        services, and facilities of such department or agencies 
        in carrying out this section;
          (5) enter into contracts with public and private 
        organizations for the writing, editing, printing, and 
        publishing of books and other material;
          (6) hold, administer, invest, and spend any gift, 
        devise, or bequest of real or personal property made to 
        the Foundation under subsection (i);
          (7) enter into such other contracts, leases, 
        cooperative agreements, and other transactions as the 
        Board considers appropriate to conduct the activities 
        of the Foundation;
          (8) modify or consent to the modification of any 
        contract or agreement to which it is a party or in 
        which it has an interest under this subchapter;
          (9) take such action as may be necessary to obtain 
        patents and licenses for devices and procedures 
        developed by the Foundation and its employees;
          (10) sue and be sued in its corporate name, and 
        complain and defend in courts of competent 
        jurisdiction;
          (11) appoint other groups of advisors as may be 
        determined necessary to carry out the functions of the 
        Foundation; and
          (12) exercise other powers as set forth in this 
        section, and such other incidental powers as are 
        necessary to carry out its powers, duties, and 
        functions in accordance with this subchapter.
  (i) Acceptance of Funds From Other Sources.--The Executive 
Director may solicit and accept on behalf of the Foundation, 
any funds, gifts, grants, devises, or bequests of real or 
personal property made to the Foundation, including from 
private entities, for the purposes of carrying out the duties 
of the Foundation.
  (j) Service of Federal Employees.--Federal Government 
employees may serve on committees advisory to the Foundation 
and otherwise cooperate with and assist the Foundation in 
carrying out its functions, so long as such employees do not 
direct or control Foundation activities.
  (k) Detail of Government Employees; Fellowships.--
          (1) Detail from federal agencies.--Federal Government 
        employees may be detailed from Federal agencies with or 
        without reimbursement to those agencies to the 
        Foundation at any time, and such detail shall be 
        without interruption or loss of civil service status or 
        privilege. Each such employee shall abide by the 
        statutory, regulatory, ethical, and procedural 
        standards applicable to the employees of the agency 
        from which such employee is detailed and those of the 
        Foundation.
          (2) Voluntary service; acceptance of federal 
        employees.--
                  (A) Foundation.--The Executive Director of 
                the Foundation may accept the services of 
                employees detailed from Federal agencies with 
                or without reimbursement to those agencies.
                  (B) Food and drug administration.--The 
                Commissioner may accept the uncompensated 
                services of Foundation fellows or trainees. 
                Such services shall be considered to be 
                undertaking an activity under contract with the 
                Secretary as described in section 708.
  (l) Annual Reports.--
          (1) Reports to foundation.--Any recipient of a grant, 
        contract, fellowship, memorandum of understanding, or 
        cooperative agreement from the Foundation under this 
        section shall submit to the Foundation a report on an 
        annual basis for the duration of such grant, contract, 
        fellowship, memorandum of understanding, or cooperative 
        agreement, that describes the activities carried out 
        under such grant, contract, fellowship, memorandum of 
        understanding, or cooperative agreement.
          (2) Report to congress and the fda.--Beginning with 
        fiscal year 2009, the Executive Director shall submit 
        to Congress and the Commissioner an annual report 
        that--
                  (A) describes the activities of the 
                Foundation and the progress of the Foundation 
                in furthering the goals and priorities 
                established under subsection (c)(2), including 
                the practical impact of the Foundation on 
                regulated product development;
                  (B) provides a specific accounting of the 
                source and use of all funds used by the 
                Foundation to carry out such activities; and
                  (C) provides information on how the results 
                of Foundation activities could be incorporated 
                into the regulatory and product review 
                activities of the Food and Drug Administration.
  (m) Separation of Funds.--The Executive Director shall ensure 
that the funds received from the Treasury are managed as 
individual programmatic funds under subsection (i), according 
to best accounting practices.
  (n) Funding.--From amounts appropriated to the Food and Drug 
Administration for each fiscal year, the Commissioner shall 
transfer not less than [$500,000 and not more than $1,250,000] 
$1,250,000 and not more than $5,000,000, to the Foundation to 
carry out subsections (a), (b), and (d) through (m).

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                       PUBLIC HEALTH SERVICE ACT




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TITLE IV--NATIONAL RESEARCH INSTITUTES

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        PART I--FOUNDATION FOR THE NATIONAL INSTITUTES OF HEALTH

SEC. 499. ESTABLISHMENT AND DUTIES OF FOUNDATION.

  (a) In General.--The Secretary shall, acting through the 
Director of NIH, establish a nonprofit corporation to be known 
as the Foundation for the National Institutes of Health 
(hereafter in this section referred to as the ``Foundation''). 
The Foundation shall not be an agency or instrumentality of the 
United States Government.
  (b) Purpose of Foundation.--The purpose of the Foundation 
shall be to support the National Institutes of Health in its 
mission (including collection of funds for pediatric 
pharmacologic research), and to advance collaboration with 
biomedical researchers from universities, industry, and 
nonprofit organizations.
  (c) Certain Activities of Foundation.--
          (1) In general.--In carrying out subsection (b), the 
        Foundation may solicit and accept gifts, grants, and 
        other donations, establish accounts, and invest and 
        expend funds in support of the following activities 
        with respect to the purpose described in such 
        subsection:
                  (A) A program to provide and administer 
                endowed positions that are associated with the 
                research program of the National Institutes of 
                Health. Such endowments may be expended for the 
                compensation of individuals holding the 
                positions, for staff, equipment, quarters, 
                travel, and other expenditures that are 
                appropriate in supporting the endowed 
                positions.
                  (B) A program to provide and administer 
                fellowships and grants to research personnel in 
                order to work and study in association with the 
                National Institutes of Health. Such fellowships 
                and grants may include stipends, travel, health 
                insurance benefits and other appropriate 
                expenses. The recipients of fellowships shall 
                be selected by the donors and the Foundation 
                upon the recommendation of the National 
                Institutes of Health employees in the 
                laboratory where the fellow would serve, and 
                shall be subject to the agreement of the 
                Director of the National Institutes of Health 
                and the Executive Director of the Foundation.
                  (C) A program to collect funds for pediatric 
                pharmacologic research and studies.
                  (D) Supplementary programs to provide for--
                          (i) scientists of other countries to 
                        serve in research capacities in the 
                        United States in association with the 
                        National Institutes of Health or 
                        elsewhere, or opportunities for 
                        employees of the National Institutes of 
                        Health or other public health officials 
                        in the United States to serve in such 
                        capacities in other countries, or both;
                          (ii) the conduct and support of 
                        studies, projects, and research, which 
                        may include stipends, travel and other 
                        support for personnel in collaboration 
                        with national and international non-
                        profit and for-profit organizations;
                          (iii) the conduct and support of 
                        forums, meetings, conferences, courses, 
                        and training workshops that may include 
                        undergraduate, graduate, post-graduate, 
                        and post-doctoral accredited courses 
                        and the maintenance of accreditation of 
                        such courses by the Foundation at the 
                        State and national level for college or 
                        continuing education credits or for 
                        degrees;
                          (iv) programs to support and 
                        encourage teachers and students of 
                        science at all levels of education and 
                        programs for the general public which 
                        promote the understanding of science;
                          (v) programs for writing, editing, 
                        printing, publishing, and vending of 
                        books and other materials; and
                          (vi) the conduct of other activities 
                        to carry out and support the purpose 
                        described in subsection (b).
                  (E) The Cures Acceleration Network described 
                in section 480.
          (2) Fees.--The Foundation may assess fees for the 
        provision of professional, administrative and 
        management services by the Foundation in amounts 
        determined reasonable and appropriate by the Executive 
        Director.
          (3) Authority of foundation.--The Foundation shall be 
        the sole entity responsible for carrying out the 
        activities described in this subsection.
  (d) Board of Directors.--
          (1) Composition.--
                  (A) The Foundation shall have a Board of 
                Directors (hereafter referred to in this 
                section as the ``Board''), which shall be 
                composed of ex officio and appointed members in 
                accordance with this subsection. All appointed 
                members of the Board shall be voting members.
                  (B) The ex officio members of the Board shall 
                be--
                          (i) the Chairman and ranking minority 
                        member of the Subcommittee on Health 
                        and the Environment (Committee on 
                        Energy and Commerce) or their 
                        designees, in the case of the House of 
                        Representatives;
                          (ii) the Chairman and ranking 
                        minority member of the Committee on 
                        Labor and Human Resources or their 
                        designees, in the case of the Senate;
                          (iii) the Director of the National 
                        Institutes of Health; and
                          (iv) the Commissioner of Food and 
                        Drugs.
                  (C) The ex officio members of the Board under 
                subparagraph (B) shall appoint to the Board 
                individuals from among a list of candidates to 
                be provided by the National Academy of Science. 
                Such appointed members shall include--
                          (i) representatives of the general 
                        biomedical field;
                          (ii) representatives of experts in 
                        pediatric medicine and research;
                          (iii) representatives of the general 
                        biobehavioral field, which may include 
                        experts in biomedical ethics; and
                          (iv) representatives of the general 
                        public, which may include 
                        representatives of affected industries.
                  (D)(i) Not later than 30 days after the date 
                of the enactment of the National Institutes of 
                Health Revitalization Act of 1993, the Director 
                of the National Institutes of Health shall 
                convene a meeting of the ex officio members of 
                the Board to--
                          (I) incorporate the Foundation and 
                        establish the general policies of the 
                        Foundation for carrying out the 
                        purposes of subsection (b), including 
                        the establishment of the bylaws of the 
                        Foundation; and
                          (II) appoint the members of the Board 
                        in accordance with subparagraph (C).
                          (ii) Upon the appointment of the 
                        appointed members of the Board under 
                        clause (i)(II), the terms of service as 
                        members of the Board of the ex officio 
                        members of the Board described in 
                        clauses (i) and (ii) of subparagraph 
                        (B) shall terminate. The ex officio 
                        members of the Board described in 
                        clauses (iii) and (iv) of subparagraph 
                        (B) shall continue to serve as ex 
                        officio members of the Board.
                  (E) The agreement of not less than three-
                fifths of the members of the ex officio members 
                of the Board shall be required for the 
                appointment of each member to the initial 
                Board.
                  (F) No employee of the National Institutes of 
                Health shall be appointed as a member of the 
                Board.
                  (G) The Board may, through amendments to the 
                bylaws of the Foundation, provide that the 
                number of appointed members of the Board shall 
                be greater than the number specified in 
                subparagraph (C).
          (2) Chair.--
                  (A) The ex officio members of the Board under 
                paragraph (1)(B) shall designate an individual 
                to serve as the initial Chair of the Board.
                  (B) Upon the termination of the term of 
                service of the initial Chair of the Board, the 
                appointed members of the Board shall elect a 
                member of the Board to serve as the Chair of 
                the Board.
          (3) Terms and vacancies.--
                  (A) The term of office of each member of the 
                Board appointed under paragraph (1)(C) shall be 
                5 years, except that the terms of offices for 
                the initial appointed members of the Board 
                shall expire as determined by the ex officio 
                members and the Chair.
                  (B) Any vacancy in the membership of the 
                appointed members of the Board shall be filled 
                in accordance with the bylaws of the Foundation 
                established in accordance with paragraph (6), 
                and shall not affect the power of the remaining 
                appointed members to execute the duties of the 
                Board.
                  (C) If a member of the Board does not serve 
                the full term applicable under subparagraph 
                (A), the individual appointed to fill the 
                resulting vacancy shall be appointed for the 
                remainder of the term of the predecessor of the 
                individual.
                  (D) A member of the Board may continue to 
                serve after the expiration of the term of the 
                member until a successor is appointed.
          (4) Compensation.--Members of the Board may not 
        receive compensation for service on the Board. Such 
        members may be reimbursed for travel, subsistence, and 
        other necessary expenses incurred in carrying out the 
        duties of the Board, as set forth in the bylaws issued 
        by the Board.
          (5) Meetings and quorum.--A majority of the appointed 
        members of the Board shall constitute a quorum for 
        purposes of conducting the business of the Board.
          (6) Certain bylaws.--
                  (A) In establishing bylaws under this 
                subsection, the Board shall ensure that the 
                following are provided for:
                          (i) Policies for the selection of the 
                        officers, employees, agents, and 
                        contractors of the Foundation.
                          (ii) Policies, including ethical 
                        standards, for the acceptance, 
                        solicitation, and disposition of 
                        donations and grants to the Foundation 
                        and for the disposition of the assets 
                        of the Foundation. Policies with 
                        respect to ethical standards shall 
                        ensure that officers, employees and 
                        agents of the Foundation (including 
                        members of the Board) avoid 
                        encumbrances that would result in a 
                        conflict of interest, including a 
                        financial conflict of interest or a 
                        divided allegiance. Such policies shall 
                        include requirements for the provision 
                        of information concerning any ownership 
                        or controlling interest in entities 
                        related to the activities of the 
                        Foundation by such officers, employees 
                        and agents and their spouses and 
                        relatives.
                          (iii) Policies for the conduct of the 
                        general operations of the Foundation.
                          (iv) Policies for writing, editing, 
                        printing, publishing, and vending of 
                        books and other materials.
                  (B) In establishing bylaws under this 
                subsection, the Board shall ensure that such 
                bylaws (and activities carried out under the 
                bylaws) do not--
                          (i) reflect unfavorably upon the 
                        ability of the Foundation or the 
                        National Institutes of Health to carry 
                        out its responsibilities or official 
                        duties in a fair and objective manner; 
                        or
                          (ii) compromise, or appear to 
                        compromise, the integrity of any 
                        governmental agency or program, or any 
                        officer or employee involved in such 
                        program.
  (e) Incorporation.--The initial members of the Board shall 
serve as incorporators and shall take whatever actions 
necessary to incorporate the Foundation.
  (f) Nonprofit status.--The Foundation shall be considered to 
be a corporation under section 501(c) of the Internal Revenue 
Code of 1986, and shall be subject to the provisions of such 
section.
  (g) Executive Director.--
          (1) In general.--The Foundation shall have an 
        Executive Director who shall be appointed by the Board 
        and shall serve at the pleasure of the Board. The 
        Executive Director shall be responsible for the day-to-
        day operations of the Foundation and shall have such 
        specific duties and responsibilities as the Board shall 
        prescribe.
          (2) Compensation.--The rate of compensation of the 
        Executive Director shall be fixed by the Board.
  (h) Powers.--In carrying out subsection (b), the Foundation 
may--
          (1) operate under the direction of its Board;
          (2) adopt, alter, and use a corporate seal, which 
        shall be judicially noticed;
          (3) provide for 1 or more officers, employees, and 
        agents, as may be necessary, define their duties, and 
        require surety bonds or make other provisions against 
        losses occasioned by acts of such persons;
          (4) hire, promote, compensate, and discharge officers 
        and employees of the Foundation, and define the duties 
        of the officers and employees;
          (5) with the consent of any executive department or 
        independent agency, use the information, services, 
        staff, and facilities of such in carrying out this 
        section;
          (6) sue and be sued in its corporate name, and 
        complain and defend in courts of competent 
        jurisdiction;
          (7) modify or consent to the modification of any 
        contract or agreement to which it is a party or in 
        which it has an interest under this part;
          (8) establish a process for the selection of 
        candidates for positions under subsection (c);
          (9) enter into contracts with public and private 
        organizations for the writing, editing, printing, and 
        publishing of books and other material;
          (10) take such action as may be necessary to obtain 
        patents and licenses for devices and procedures 
        developed by the Foundation and its employees;
          (11) solicit, accept, hold, administer, invest, and 
        spend any gift, devise, or bequest of real or personal 
        property made to the Foundation;
          (12) enter into such other contracts, leases, 
        cooperative agreements, and other transactions as the 
        Executive Director considers appropriate to conduct the 
        activities of the Foundation;
          (13) appoint other groups of advisors as may be 
        determined necessary from time to time to carry out the 
        functions of the Foundation;
          (14) enter into such other contracts, leases, 
        cooperative agreements, and other transactions as the 
        Executive Director considers appropriate to conduct the 
        activities of the Foundation; and
          (15) exercise other powers as set forth in this 
        section, and such other incidental powers as are 
        necessary to carry out its powers, duties, and 
        functions in accordance with this part.
  (i) Administrative Control.--No participant in the program 
established under this part shall exercise any administrative 
control over any Federal employee.
  (j) General Provisions.--
          (1) Foundation integrity.--The members of the Board 
        shall be accountable for the integrity of the 
        operations of the Foundation and shall ensure such 
        integrity through the development and enforcement of 
        criteria and procedures relating to standards of 
        conduct, financial disclosure statements, conflict of 
        interest rules, recusal and waiver rules, audits and 
        other matter determined appropriate by the Board.
          (2) Financial conflicts of interest.--Any individual 
        who is an officer, employee, or member of the Board of 
        the Foundation may not (in accordance with policies and 
        requirements developed under subsection (d)(6)) 
        personally or substantially participate in the 
        consideration or determination by the Foundation of any 
        matter that would directly or predictably affect any 
        financial interest of the individual or a relative (as 
        such term is defined in section 109(16) of the Ethics 
        in Government Act of 1978) of the individual, of any 
        business organization or other entity, or of which the 
        individual is an officer or employee, or is negotiating 
        for employment, or in which the individual has any 
        other financial interest.
          (3) Audits; availability of records.--The Foundation 
        shall--
                  (A) provide for annual audits of the 
                financial condition of the Foundation; and
                  (B) make such audits, and all other records, 
                documents, and other papers of the Foundation, 
                available to the Secretary and the Comptroller 
                General of the United States for examination or 
                audit.
          (4) Reports.--
                  (A) Not later than 5 months following the end 
                of each fiscal year, the Foundation shall 
                publish a report describing the activities of 
                the Foundation during the preceding fiscal 
                year. Each such report shall include for the 
                fiscal year involved a comprehensive statement 
                of the operations, activities, financial 
                condition, and accomplishments of the 
                Foundation, including an accounting of the use 
                of amounts transferred under subsection (l).
                  (B) With respect to the financial condition 
                of the Foundation, each report under 
                subparagraph (A) shall include the source, and 
                a description of, all gifts or grants to the 
                Foundation of real or personal property, and 
                the source and amount of all gifts or grants to 
                the Foundation of money. Each such report shall 
                include a specification of any restrictions on 
                the purposes for which gifts or grants to the 
                Foundation may be used.
                  (C) The Foundation shall make copies of each 
                report submitted under subparagraph (A) 
                available--
                          (i) for public inspection, and shall 
                        upon request provide a copy of the 
                        report to any individual for a charge 
                        that shall not exceed the cost of 
                        providing the copy; and
                          (ii) to the appropriate committees of 
                        Congress.
                  (D) The Board shall annually hold a public 
                meeting to summarize the activities of the 
                Foundation and distribute written reports 
                concerning such activities and the scientific 
                results derived from such activities.
          (5) Service of federal employees.--Federal employees 
        may serve on committees advisory to the Foundation and 
        otherwise cooperate with and assist the Foundation in 
        carrying out its function, so long as the employees do 
        not direct or control Foundation activities.
          (6) Relationship with existing entities.--The 
        Foundation may, pursuant to appropriate agreements, 
        merge with, acquire, or use the resources of existing 
        nonprofit private corporations with missions similar to 
        the purposes of the Foundation, such as the Foundation 
        for Advanced Education in the Sciences.
          (7) Intellectual property rights.--The Board shall 
        adopt written standards with respect to the ownership 
        of any intellectual property rights derived from the 
        collaborative efforts of the Foundation prior to the 
        commencement of such efforts.
          (8) National institutes of health amendments of 
        1990.--The activities conducted in support of the 
        National Institutes of Health Amendments of 1990 
        (Public Law 101-613), and the amendments made by such 
        Act, shall not be nullified by the enactment of this 
        section.
          (9) Limitation of activities.--
                  (A) In general.--The Foundation shall exist 
                solely as an entity to work in collaboration 
                with the research programs of the National 
                Institutes of Health. The Foundation may not 
                undertake activities (such as the operation of 
                independent laboratories or competing for 
                Federal research funds) that are independent of 
                those of the National Institutes of Health 
                research programs.
                  (B) Gifts, grants, and other donations.--
                          (i) In general.--Gifts, grants, and 
                        other donations to the Foundation may 
                        be designated for pediatric research 
                        and studies on drugs, and funds so 
                        designated shall be used solely for 
                        grants for research and studies under 
                        subsection (c)(1)(C).
                          (ii) Other gifts.--Other gifts, 
                        grants, or donations received by the 
                        Foundation and not described in clause 
                        (i) may also be used to support such 
                        pediatric research and studies.
                          (iii) Report.--The recipient of a 
                        grant for research and studies shall 
                        agree to provide the Director of the 
                        National Institutes of Health and the 
                        Commissioner of Food and Drugs, at the 
                        conclusion of the research and 
                        studies--
                                  (I) a report describing the 
                                results of the research and 
                                studies; and
                                  (II) all data generated in 
                                connection with the research 
                                and studies.
                          (iv) Action by the commissioner of 
                        food and drugs.--The Commissioner of 
                        Food and Drugs shall take appropriate 
                        action in response to a report received 
                        under clause (iii) in accordance with 
                        paragraphs (7) through (12) of section 
                        409I(c), including negotiating with the 
                        holders of approved applications for 
                        the drugs studied for any labeling 
                        changes that the Commissioner 
                        determines to be appropriate and 
                        requests the holders to make.
                  (C) Applicability.--Subparagraph (A) does not 
                apply to the program described in subsection 
                (c)(1)(C).
          (10) Transfer of funds.--The Foundation may transfer 
        funds to the National Institutes of Health and the 
        National Institutes of Health may accept transfers of 
        funds from the Foundation. Any funds transferred under 
        this paragraph shall be subject to all Federal 
        limitations relating to federally-funded research.
  (k) Duties of the Director.--
          (1) Applicability of certain standards to non-federal 
        employees.--In the case of any individual who is not an 
        employee of the Federal Government and who serves in 
        association with the National Institutes of Health, 
        with respect to financial assistance received from the 
        Foundation, the Foundation may not provide the 
        assistance of, or otherwise permit the work at the 
        National Institutes of Health to begin until a 
        memorandum of understanding between the individual and 
        the Director of the National Institutes of Health, or 
        the designee of such Director, has been executed 
        specifying that the individual shall be subject to such 
        ethical and procedural standards of conduct relating to 
        duties performed at the National Institutes of Health, 
        as the Director of the National Institutes of Health 
        determines is appropriate.
          (2) Support services.--The Director of the National 
        Institutes of Health may provide facilities, utilities 
        and support services to the Foundation if it is 
        determined by the Director to be advantageous to the 
        research programs of the National Institutes of Health.
  (l) Funding.--From amounts appropriated to the National 
Institutes of Health, for each fiscal year, the Director of NIH 
shall transfer not less than [$500,000 and not more than 
$1,250,000] $1,250,000 and not more than $5,000,000 to the 
Foundation.

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