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As part of the House’s “China Week”—focusing on legislation to curb threats from Beijing—the House passed the BIOSECURE Act (H.R. 8333) on September 9 with strong bipartisan support (in a 306–81 vote).1 If signed into law, this legislation would prohibit federal contracting with, or procurement from, certain biotechnology companies connected to foreign adversaries, including several explicitly named Chinese companies and entities associated with those companies or the Chinese government. The bill requires the Office of Management and Budget (OMB) Director to annually review the companies of concern and make necessary modifications and allows the relevant agency head to waive the prohibition on a case by case basis, with the Director’s approval. These provisions attempt to address warnings from the pharmaceutical industry that the bill will further create supply chain issues, particularly for foreign companies that supply significant amounts of active pharmaceutical ingredients to the U.S. The legislation includes a grandfather policy for contracts that were put in place prior to 2023. The bill defines contracts as those governed by the Federal Acquisition Regulation, which does not apply to federal health programs. Therefore, if enacted, the bill would not prevent Medicare or Medicaid from reimbursing medical devices or prescription drugs provided by the restricted companies. The legislation will now be considered by the Senate, which may include the House-passed version in its National Defense Authorization Act for fiscal year 2025.
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1 79 Democrats and two Republicans opposed the legislation.