[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [S. 2292 Reported in Senate (RS)] <DOC> Calendar No. 152 119th CONGRESS 1st Session S. 2292 To amend the Federal Food, Drug, and Cosmetic Act to revise and extend the user fee program for over-the-counter monograph drugs, and for other purposes. _______________________________________________________________________ IN THE SENATE OF THE UNITED STATES July 15, 2025 Mr. Banks (for himself, Mr. Kaine, Mr. Kim, and Mr. Husted) introduced the following bill; which was read twice and referred to the Committee on Health, Education, Labor, and Pensions September 8, 2025 Reported by Mr. Cassidy, with an amendment [Strike out all after the enacting clause and insert the part printed in italic] _______________________________________________________________________ A BILL To amend the Federal Food, Drug, and Cosmetic Act to revise and extend the user fee program for over-the-counter monograph drugs, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, <DELETED>SECTION 1. SHORT TITLE.</DELETED> <DELETED> This Act may be cited as the ``Over-the-Counter Monograph Drug User Fee Amendments''.</DELETED> <DELETED>SEC. 2. FINDING.</DELETED> <DELETED> Congress finds that the fees authorized by the amendments made in this Act will be dedicated to OTC monograph drug activities, as set forth in the goals identified for purposes of part 10 of subchapter C of chapter VII of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 379j-71 et seq.), in the letters from the Secretary of Health and Human Services to the Chairman of the Committee on Energy and Commerce of the House of Representatives and the Chairman of the Committee on Health, Education, Labor, and Pensions of the Senate, as set forth in the Congressional Record.</DELETED> <DELETED>SEC. 3. DEFINITIONS.</DELETED> <DELETED> Section 744L(9)(A) of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 379j-71(9)(A)) is amended--</DELETED> <DELETED> (1) in clause (v), by striking ``; or'' and inserting a semicolon;</DELETED> <DELETED> (2) in clause (vi)--</DELETED> <DELETED> (A) by striking ``addition'' and inserting ``the addition''; and</DELETED> <DELETED> (B) by striking the period and inserting ``; or''; and</DELETED> <DELETED> (3) by adding at the end the following:</DELETED> <DELETED> ``(vii) the addition or modification of a testing procedure applicable to one or more OTC monograph drugs, provided that such additional or modified testing procedure reflects a voluntary consensus standard with respect to pharmaceutical quality that is--</DELETED> <DELETED> ``(I) established by a national or international standards development organization; and</DELETED> <DELETED> ``(II) recognized by the Secretary through a process described in guidance for industry, initially published in July 2023, or any successor guidance, publicly available on the website of the Food and Drug Administration, which addresses voluntary consensus standards for pharmaceutical quality.''.</DELETED> <DELETED>SEC. 4. AUTHORITY TO ASSESS AND USE OTC MONOGRAPH FEES.</DELETED> <DELETED> (a) Types of Fees.--Section 744M(a)(1) of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 379j-72(a)(1)) is amended-- </DELETED> <DELETED> (1) in subparagraph (A)--</DELETED> <DELETED> (A) by striking ``on December 31 of the fiscal year or at any time during the preceding 12- month period'' and inserting ``at any time during the applicable period specified in clause (ii) for a fiscal year'';</DELETED> <DELETED> (B) by striking ``Each person'' and inserting the following:</DELETED> <DELETED> ``(i) Assessment of fees.--Each person''; and</DELETED> <DELETED> (C) by adding at the end the following:</DELETED> <DELETED> ``(ii) Applicable period.--For purposes of clause (i), the applicable period is--</DELETED> <DELETED> ``(I) for fiscal year 2026, the 12-month period ending on December 31, 2025;</DELETED> <DELETED> ``(II) for fiscal year 2027, the 9-month period ending on September 30, 2026; and</DELETED> <DELETED> ``(III) for fiscal year 2028 and each subsequent fiscal year, the 12-month period ending on September 30 of the preceding fiscal year.'';</DELETED> <DELETED> (2) in subparagraph (B)(i), by amending subclause (I) to read as follows:</DELETED> <DELETED> ``(I) has ceased all activities related to OTC monograph drugs prior to--</DELETED> <DELETED> ``(aa) for purposes of fiscal year 2026, January 1, 2025;</DELETED> <DELETED> ``(bb) for purposes of fiscal year 2027, January 1, 2026; and</DELETED> <DELETED> ``(cc) for purposes of fiscal year 2028 and each subsequent fiscal year, October 1 of the preceding fiscal year; and''; and</DELETED> <DELETED> (3) by amending subparagraph (D) to read as follows:</DELETED> <DELETED> ``(D) Due date.--</DELETED> <DELETED> ``(i) Fiscal year 2026.--For fiscal year 2026, the facility fees required under subparagraph (A) shall be due on the later of--</DELETED> <DELETED> ``(I) the first business day of June of such year; or</DELETED> <DELETED> ``(II) the first business day after the enactment of an appropriations Act providing for the collection and obligation of fees under this section for such year.</DELETED> <DELETED> ``(ii) Fiscal year 2027.--For fiscal year 2027, the facility fees required under subparagraph (A) shall be due--</DELETED> <DELETED> ``(I) in a first installment representing 50 percent of such fee, on the later of--</DELETED> <DELETED> ``(aa) October 1, 2026; or</DELETED> <DELETED> ``(bb) the first business day after the enactment of an appropriations Act providing for the collection and obligation of fees under this section for such year; and</DELETED> <DELETED> ``(II) in a second installment representing the remaining 50 percent of such fee, on--</DELETED> <DELETED> ``(aa) February 1, 2027; or</DELETED> <DELETED> ``(bb) if an appropriations Act described in subclause (I)(bb) is not in effect on February 1, 2027, the first business day after enactment of such an appropriations Act.</DELETED> <DELETED> ``(iii) Subsequent fiscal years.-- For fiscal year 2028 and each subsequent fiscal year, the facility fees required under subparagraph (A) shall be due on the later of-- </DELETED> <DELETED> ``(I) the first business day on or after October 1 of the fiscal year; or</DELETED> <DELETED> ``(II) the first business day after the date of enactment of an appropriations Act providing for the collection and obligation of fees under this section for the fiscal year.''.</DELETED> <DELETED> (b) Fee Revenue Amounts.--Section 744M(b) of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 379j-72(b)) is amended to read as follows:</DELETED> <DELETED> ``(b) Fee Revenue Amounts.--</DELETED> <DELETED> ``(1) In general.--For each of the fiscal years 2026 through 2030, fees under subsection (a)(1) shall be established to generate a total facility fee revenue amount equal to the sum of--</DELETED> <DELETED> ``(A) the annual base revenue for the fiscal year (as determined under paragraph (2));</DELETED> <DELETED> ``(B) the dollar amount equal to the inflation adjustment for the fiscal year (as determined under subsection (c)(1));</DELETED> <DELETED> ``(C) the dollar amount equal to the operating reserve adjustment for the fiscal year, if applicable (as determined under subsection (c)(2));</DELETED> <DELETED> ``(D) additional direct cost adjustments (as determined under subsection (c)(3));</DELETED> <DELETED> ``(E) an additional dollar amount equal to--</DELETED> <DELETED> ``(i) $2,373,000 for fiscal year 2026;</DELETED> <DELETED> ``(ii) $1,233,000 for fiscal year 2027; and</DELETED> <DELETED> ``(iii) $854,000 for fiscal year 2028; and</DELETED> <DELETED> ``(F) in the case of a fiscal year for which the Secretary applies the one-time facility fee workload adjustment under subsection (c)(4), the dollar amount equal to such adjustment.</DELETED> <DELETED> ``(2) Annual base revenue.--For purposes of paragraph (1), the dollar amount of the annual base revenue for a fiscal year shall be--</DELETED> <DELETED> ``(A) for fiscal year 2026, the dollar amount of the total revenue amount established for fiscal year 2025 under this subsection as in effect on the day before the date of enactment of the Over-the- Counter Monograph Drug User Fee Amendments, not including any adjustments made for such fiscal year 2025 under subsection (c)(2), as so in effect; and</DELETED> <DELETED> ``(B) for fiscal years 2027 through 2030, the dollar amount of the total revenue amount established under this subsection for the previous fiscal year, not including any adjustments made for such previous fiscal year under subsection (c)(2) or (c)(3).''.</DELETED> <DELETED> (c) Adjustments; Annual Fee Setting.--Section 744M(c) of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 379j-72) is amended--</DELETED> <DELETED> (1) in paragraph (1)--</DELETED> <DELETED> (A) in subparagraph (A), in the matter preceding clause (i)--</DELETED> <DELETED> (i) by striking ``subsection (b)(2)(B)'' and inserting ``subsection (b)(1)(B)''; and</DELETED> <DELETED> (ii) by striking ``fiscal year 2022 and each subsequent fiscal year'' and inserting ``each fiscal year'';</DELETED> <DELETED> (B) in subparagraph (B), by striking ``fiscal year 2022'' and all that follows through the period at the end and inserting the following: ``a fiscal year shall be equal to the product of-- </DELETED> <DELETED> ``(i) for fiscal year 2026-- </DELETED> <DELETED> ``(I) the fee for fiscal year 2025 under subsection (a)(2); and</DELETED> <DELETED> ``(II) the inflation adjustment percentage under subparagraph (C); and</DELETED> <DELETED> ``(ii) for each of fiscal years 2027 through 2030--</DELETED> <DELETED> ``(I) the applicable fee under subsection (a)(2) for the preceding fiscal year; and</DELETED> <DELETED> ``(II) the inflation adjustment percentage under subparagraph (C).''; and</DELETED> <DELETED> (C) in subparagraph (C)--</DELETED> <DELETED> (i) in the matter preceding clause (i), by inserting ``the sum of'' after ``is equal to'';</DELETED> <DELETED> (ii) by striking clause (i);</DELETED> <DELETED> (iii) by redesignating subclauses (I) and (II) of clause (ii) as clauses (i) and (ii), respectively, and adjusting the margins accordingly;</DELETED> <DELETED> (iv) by striking ``(ii) for each of fiscal years 2024 and 2025, the sum of--''; and</DELETED> <DELETED> (v) in clause (ii), as so redesignated, by striking ``Washington- Baltimore, DC-MD-VA-WV'' and inserting ``Washington-Arlington-Alexandria-DC-VA-MD- WV'';</DELETED> <DELETED> (2) in paragraph (2)--</DELETED> <DELETED> (A) in subparagraph (A)--</DELETED> <DELETED> (i) by striking ``fiscal year 2021 and subsequent fiscal years'' and inserting ``each fiscal year'';</DELETED> <DELETED> (ii) by striking ``subsections (b)(1)(B) and (b)(2)(C)'' and inserting ``subsection (b)(1)(C)''; and</DELETED> <DELETED> (iii) by striking ``the number of weeks specified in subparagraph (B)'' and inserting ``10 weeks'';</DELETED> <DELETED> (B) by striking subparagraph (B);</DELETED> <DELETED> (C) by redesignating subparagraphs (C) and (D) as subparagraphs (B) and (C), respectively; and</DELETED> <DELETED> (D) in subparagraph (C), as so redesignated, by striking ``paragraph (4) establishing'' and inserting ``paragraph (5) publishing'';</DELETED> <DELETED> (3) in paragraph (3)--</DELETED> <DELETED> (A) in the matter preceding subparagraph (A), by striking ``subsection (b)(2)(D)'' and inserting ``subsection (b)(1)(D)''; and</DELETED> <DELETED> (B) by striking subparagraphs (A) through (E) and inserting the following:</DELETED> <DELETED> ``(A) $135,000 for fiscal year 2026;</DELETED> <DELETED> ``(B) $300,000 for fiscal year 2027;</DELETED> <DELETED> ``(C) $55,000 for fiscal year 2028;</DELETED> <DELETED> ``(D) $30,000 for fiscal year 2029; and</DELETED> <DELETED> ``(E) $0 for fiscal year 2030.''; and</DELETED> <DELETED> (4) by striking paragraph (4) and inserting the following:</DELETED> <DELETED> ``(4) One