[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6164 Enrolled Bill (ENR)]
H.R.6164
One Hundred Ninth Congress
of the
United States of America
AT THE SECOND SESSION
Begun and held at the City of Washington on Tuesday,
the third day of January, two thousand and six
An Act
To amend title IV of the Public Health Service Act to revise and extend
the authorities of the National Institutes of Health, and for other
purposes.
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 ``National Institutes of Health Reform
Act of 2006''.
TITLE I--NIH REFORM
SEC. 101. ORGANIZATION OF NATIONAL INSTITUTES OF HEALTH.
(a) In General.--Section 401 of the Public Health Service Act (42
U.S.C. 281) is amended to read as follows:
``SEC. 401. ORGANIZATION OF NATIONAL INSTITUTES OF HEALTH.
``(a) Relation to Public Health Service.--The National Institutes
of Health is an agency of the Service.
``(b) National Research Institutes and National Centers.--The
following agencies of the National Institutes of Health are national
research institutes or national centers:
``(1) The National Cancer Institute.
``(2) The National Heart, Lung, and Blood Institute.
``(3) The National Institute of Diabetes and Digestive and
Kidney Diseases.
``(4) The National Institute of Arthritis and Musculoskeletal
and Skin Diseases.
``(5) The National Institute on Aging.
``(6) The National Institute of Allergy and Infectious
Diseases.
``(7) The National Institute of Child Health and Human
Development.
``(8) The National Institute of Dental and Craniofacial
Research.
``(9) The National Eye Institute.
``(10) The National Institute of Neurological Disorders and
Stroke.
``(11) The National Institute on Deafness and Other
Communication Disorders.
``(12) The National Institute on Alcohol Abuse and Alcoholism.
``(13) The National Institute on Drug Abuse.
``(14) The National Institute of Mental Health.
``(15) The National Institute of General Medical Sciences.
``(16) The National Institute of Environmental Health Sciences.
``(17) The National Institute of Nursing Research.
``(18) The National Institute of Biomedical Imaging and
Bioengineering.
``(19) The National Human Genome Research Institute.
``(20) The National Library of Medicine.
``(21) The National Center for Research Resources.
``(22) The John E. Fogarty International Center for Advanced
Study in the Health Sciences.
``(23) The National Center for Complementary and Alternative
Medicine.
``(24) The National Center on Minority Health and Health
Disparities.
``(25) Any other national center that, as an agency separate
from any national research institute, was established within the
National Institutes of Health as of the day before the date of the
enactment of the National Institutes of Health Reform Act of 2006.
``(c) Division of Program Coordination, Planning, and Strategic
Initiatives.--
``(1) In general.--Within the Office of the Director of the
National Institutes of Health, there shall be a Division of Program
Coordination, Planning, and Strategic Initiatives (referred to in
this subsection as the `Division').
``(2) Offices within division.--
``(A) Offices.--The following offices are within the
Division: The Office of AIDS Research, the Office of Research
on Women's Health, the Office of Behavioral and Social Sciences
Research, the Office of Disease Prevention, the Office of
Dietary Supplements, the Office of Rare Diseases, and any other
office located within the Office of the Director of NIH as of
the day before the date of the enactment of the National
Institutes of Health Reform Act of 2006. In addition to such
offices, the Director of NIH may establish within the Division
such additional offices or other administrative units as the
Director determines to be appropriate.
``(B) Authorities.--Each office in the Division--
``(i) shall continue to carry out the authorities that
were in effect for the office before the date of enactment
referred to in subparagraph (A); and
``(ii) shall, as determined appropriate by the Director
of NIH, support the Division with respect to the
authorities described in section 402(b)(7).
``(d) Organization.--
``(1) Number of institutes and centers.--In the National
Institutes of Health, the number of national research institutes
and national centers may not exceed a total of 27, including any
such institutes or centers established under authority of paragraph
(2) or under authority of this title as in effect on the day before
the date of the enactment of the National Institutes of Health
Reform Act of 2006.''.
(b) Additional Provisions Regarding Organization.--Section 401 of
the Public Health Service Act, as added by subsection (a) of this
section, is amended--
(1) in subsection (d), by adding at the end the following:
``(3) Reorganization of office of director.--Notwithstanding
subsection (c), the Director of NIH may, after a series of public
hearings, and with the approval of the Secretary, reorganize the
offices within the Office of the Director, including the addition,
removal, or transfer of functions of such offices, and the
establishment or termination of such offices, if the Director
determines that the overall management and operation of programs
and activities conducted or supported by such offices would be more
efficiently carried out under such a reorganization.
``(4) Internal reorganization of institutes and centers.--
Notwithstanding any conflicting provisions of this title, the
director of a national research institute or a national center may,
after a series of public hearings and with the approval of the
Director of NIH, reorganize the divisions, centers, or other
administrative units within such institute or center, including the
addition, removal, or transfer of functions of such units, and the
establishment or termination of such units, if the director of such
institute or center determines that the overall management and
operation of programs and activities conducted or supported by such
divisions, centers, or other units would be more efficiently
carried out under such a reorganization.''; and
(2) by adding after subsection (d) the following:
``(e) Scientific Management Review Board for Periodic
Organizational Reviews.--
``(1) In general.--Not later than 60 days after the date of the
enactment of the National Institutes of Health Reform Act of 2006,
the Secretary shall establish an advisory council within the
National Institutes of Health to be known as the Scientific
Management Review Board (referred to in this subsection as the
`Board').
``(2) Duties.--
``(A) Reports on organizational issues.--The Board shall
provide advice to the appropriate officials under subsection
(d) regarding the use of the authorities established in
paragraphs (2), (3), and (4) of such subsection to reorganize
the National Institutes of Health (referred to in this
subsection as `organizational authorities'). Not less
frequently than once each 7 years, the Board shall--
``(i) determine whether and to what extent the
organizational authorities should be used; and
``(ii) issue a report providing the recommendations of
the Board regarding the use of the authorities and the
reasons underlying the recommendations.
``(B) Certain responsibilities regarding reports.--The
activities of the Board with respect to a report under
subparagraph (A) shall include the following:
``(i) Reviewing the research portfolio of the National
Institutes of Health (referred to in this subsection as
`NIH') in order to determine the progress and effectiveness
and value of the portfolio and the allocation among the
portfolio activities of the resources of NIH.
``(ii) Determining pending scientific opportunities,
and public health needs, with respect to research within
the jurisdiction of NIH.
``(iii) For any proposal for organizational changes to
which the Board gives significant consideration as a
possible recommendation in such report--
``(I) analyzing the budgetary and operational
consequences of the proposed changes;
``(II) taking into account historical funding and
support for research activities at national research
institutes and centers that have been established
recently relative to national research institutes and
centers that have been in existence for more than two
decades;
``(III) estimating the level of resources needed to
implement the proposed changes;
``(IV) assuming the proposed changes will be made
and making a recommendation for the allocation of the
resources of NIH among the national research institutes
and national centers; and
``(V) analyzing the consequences for the progress
of research in the areas affected by the proposed
changes.
``(C) Consultation.--In carrying out subparagraph (A), the
Board shall consult with--
``(i) the heads of national research institutes and
national centers whose directors are not members of the
Board;
``(ii) other scientific leaders who are officers or
employees of NIH and are not members of the Board;
``(iii) advisory councils of the national research
institutes and national centers;
``(iv) organizations representing the scientific
community; and
``(v) organizations representing patients.
``(3) Composition of board.--The Board shall consist of the
Director of NIH, who shall be a permanent nonvoting member on an ex
officio basis, and an odd number of additional members, not to
exceed 21, all of whom shall be voting members. The voting members
of the Board shall be the following:
``(A) Not fewer than 9 officials who are directors of
national research institutes or national centers. The Secretary
shall designate such officials for membership and shall ensure
that the group of officials so designated includes directors
of--
``(i) national research institutes whose budgets are
substantial relative to a majority of the other institutes;
``(ii) national research institutes whose budgets are
small relative to a majority of the other institutes;
``(iii) national research institutes that have been in
existence for a substantial period of time without
significant organizational change under subsection (d);
``(iv) as applicable, national research institutes that
have undergone significant organization changes under such
subsection, or that have been established under such
subsection, other than national research institutes for
which such changes have been in place for a substantial
period of time; and
``(v) national centers.
``(B) Members appointed by the Secretary from among
individuals who are not officers or employees of the United
States. Such members shall include--
``(i) individuals representing the interests of public
or private institutions of higher education that have
historically received funds from NIH to conduct research;
and
``(ii) individuals representing the interests of
private entities that have received funds from NIH to
conduct research or that have broad expertise regarding how
the National Institutes of Health functions, exclusive of
private entities to which clause (i) applies.
``(4) Chair.--The Chair of the Board shall be selected by the
Secretary from among the members of the Board appointed under
paragraph (3)(B). The term of office of the Chair shall be 2 years.
``(5) Meetings.--
``(A) In general.--The Board shall meet at the call of the
Chair or upon the request of the Director of NIH, but not fewer
than 5 times with respect to issuing any particular report
under paragraph (2)(A). The location of the meetings of the
Board is subject to the approval of the Director of NIH.
``(B) Particular forums.--Of the meetings held under
subparagraph (A) with respect to a report under paragraph
(2)(A)--
``(i) one or more shall be directed toward the
scientific community to address scientific needs and
opportunities related to proposals for organizational
changes under subsection (d), or as the case may be,
related to a proposal that no such changes be made; and
``(ii) one or more shall be directed toward consumer
organizations to address the needs and opportunities of
patients and their families with respect to proposals
referred to in clause (i).
``(C) Availability of information from forums.--For each
meeting under subparagraph (B), the Director of NIH shall post
on the Internet site of the National Institutes of Health a
summary of the proceedings.
``(6) Compensation; term of office.--The provisions of
subsections (b)(4) and (c) of section 406 apply with respect to the
Board to the same extent and in the same manner as such provisions
apply with respect to an advisory council referred to in such
subsections, except that the reference in such subsection (c) to 4
years regarding the term of an appointed member is deemed to be a
reference to 5 years.
``(7) Reports.--
``(A) Recommendations for changes.--Each report under
paragraph (2)(A) shall be submitted to--
``(i) the Committee on Energy and Commerce and the
Committee on Appropriations of the House of
Representatives;
``(ii) the Committee on Health, Education, Labor, and
Pensions and the Committee on Appropriations of the Senate;
``(iii) the Secretary; and
``(iv) officials with organizational authorities, other
than any such official who served as a member of the Board
with respect to the report involved.
``(B) Availability to public.--The Director of NIH shall
post each report under paragraph (2) on the Internet site of
the National Institutes of Health.
``(C) Report on board activities.--Not later than 18 months
after the date of the enactment of the National Institutes of
Health Reform Act of 2006, the Board shall submit to the
committees specified in subparagraph (A) a report describing
the activities of the Board.
``(f) Organizational Changes per Recommendation of Scientific
Management Review Board.--
``(1) In general.--With respect to an official who has
organizational authorities within the meaning of subsection
(e)(2)(A), if a recommendation to the official for an
organizational change is made in a report under such subsection,
the official shall, except as provided in paragraphs (2), (3), and
(4) of this subsection, make the change in accordance with the
following:
``(A) Not later than 100 days after the report is submitted
under subsection (e)(7)(A), the official shall initiate the
applicable public process required in subsection (d) toward
making the change.
``(B) The change shall be fully implemented not later than
the expiration of the 3-year period beginning on the date on
which such process is initiated.
``(2) Inapplicability to certain reorganizations.--Paragraph
(1) does not apply to a recommendation made in a report under
subsection (e)(2)(A) if the recommendation is for--
``(A) an organizational change under subsection (d)(2) that
constitutes the establishment, termination, or consolidation of
one or more national research institutes or national centers;
or
``(B) an organizational change under subsection (d)(3).
``(3) Objection by director of nih.--
``(A) In general.--Paragraph (1) does not apply to a
recommendation for an organizational change made in a report
under subsection (e)(2)(A) if, not later than 90 days after the
report is submitted under subsection (e)(7)(A), the Director of
NIH submits to the committees specified in such subsection a
report providing that the Director objects to the change, which
report includes the reasons underlying the objection.
``(B) Scope of objection.--For purposes of subparagraph
(A), an objection by the Director of NIH may be made to the
entirety of a recommended organizational change or to 1 or more
aspects of the change. Any aspect of a change not objected to
by the Director in a report under subparagraph (A) shall be
implemented in accordance with paragraph (1).
``(4) Congressional review.--An organizational change under
subsection (d)(2) that is initiated pursuant to paragraph (1) shall
be carried out by regulation in accordance with the procedures for
substantive rules under section 553 of title 5, United States Code.
A rule under the preceding sentence shall be considered a major
rule for purposes of chapter 8 of such title (relating to
congressional review of agency rulemaking).
``(g) Definitions.--For purposes of this title:
``(1) The term `Director of NIH' means the Director of the
National Institutes of Health.
``(2) The terms `national research institute' and `national
center' mean an agency of the National Institutes of Health that
is--
``(A) listed in subsection (b) and not terminated under
subsection (d)(2)(A); or
``(B) established by the Director of NIH under such
subsection.
``(h) References to NIH.--For purposes of this title, a reference
to the National Institutes of Health includes its agencies.''.
(c) Conforming Amendments.--Title IV of the Public Health Service
Act (42 U.S.C. 281 et seq.) is amended--
(1) by redesignating subpart 3 of part E as subpart 19;
(2) by transferring subpart 19, as so redesignated, to part C
of such title IV;
(3) by inserting subpart 19, as so redesignated, after subpart
18 of such part C; and
(4) in subpart 19, as so redesignated--
(A) by redesignating section 485B as section 464z-1;
(B) by striking ``National Center for Human Genome
Research'' each place such term appears and inserting
``National Human Genome Research Institute''; and
(C) by striking ``Center'' each place such term appears and
inserting ``Institute''.
SEC. 102. AUTHORITY OF DIRECTOR OF NIH.
(a) Secretary Acting Through the Director.--Section 402(b) of the
Public Health Service Act (42 U.S.C. 282(b)) is amended--
(1) by redesignating paragraph (14) as paragraph (22);
(2) by striking paragraphs (12) and (13);
(3) by redesignating paragraphs (4) through (11) as paragraphs
(14) through (21);
(4) in paragraph (21) (as so redesignated), by inserting
``and'' after the semicolon at the end;
(5) in the matter after and below paragraph (22) (as so
redesignated), by striking ``paragraph (6)'' and inserting
``paragraph (16)''; and
(6) by striking ``the Secretary'' in the matter preceding
paragraph (1) and all that follows through paragraph (1) and
inserting the following: ``the Secretary, acting through the
Director of NIH--
``(1) shall carry out this title, including being responsible
for the overall direction of the National Institutes of Health and
for the establishment and implementation of general policies
respecting the management and operation of programs and activities
within the National Institutes of Health;''.
(b) Additional Authorities.--Section 402(b) of the Public Health
Service Act, as amended by subsection (a) of this section, is amended
by striking paragraphs (2) and (3) and inserting the following:
``(2) shall coordinate and oversee the operation of the
national research institutes, national centers, and administrative
entities within the National Institutes of Health;
``(3) shall, in consultation with the heads of the national
research institutes and national centers, be responsible for
program coordination across the national research institutes and
national centers, including conducting priority-setting reviews, to
ensure that the research portfolio of the National Institutes of
Health is balanced and free of unnecessary duplication, and takes
advantage of collaborative, cross-cutting research;
``(4) shall assemble accurate data to be used to assess
research priorities, including information to better evaluate
scientific opportunity, public health burdens, and progress in
reducing health disparities;
``(5) shall ensure that scientifically based strategic planning
is implemented in support of research priorities as determined by
the agencies of the National Institutes of Health;
``(6) shall ensure that the resources of the National
Institutes of Health are sufficiently allocated for research
projects identified in strategic plans;
``(7)(A) shall, through the Division of Program Coordination,
Planning, and Strategic Initiatives--
``(i) identify research that represents important areas of
emerging scientific opportunities, rising public health
challenges, or knowledge gaps that deserve special emphasis and
would benefit from conducting or supporting additional research
that involves collaboration between 2 or more national research
institutes or national centers, or would otherwise benefit from
strategic coordination and planning;
``(ii) include information on such research in reports
under section 403; and
``(iii) in the case of such research supported with funds
referred to in subparagraph (B)--
``(I) require as appropriate that proposals include
milestones and goals for the research;
``(II) require that the proposals include timeframes
for funding of the research; and
``(III) ensure appropriate consideration of proposals
for which the principal investigator is an individual who
has not previously served as the principal investigator of
research conducted or supported by the National Institutes
of Health;
``(B) may, with respect to funds reserved under section
402A(c)(1) for the Common Fund, allocate such funds to the national
research institutes and national centers for conducting and
supporting research that is identified under subparagraph (A); and
``(C) may assign additional functions to the Division in
support of responsibilities identified in subparagraph (A), as
determined appropriate by the Director;
``(8) shall, in coordination with the heads of the national
research institutes and national centers, ensure that such
institutes and centers--
``(A) preserve an emphasis on investigator-initiated
research project grants, including with respect to research
involving collaboration between 2 or more such institutes or
centers; and
``(B) when appropriate, maximize investigator-initiated
research project grants in their annual research portfolios;
``(9) shall ensure that research conducted or supported by the
National Institutes of Health is subject to review in accordance
with section 492 and that, after such review, the research is
reviewed in accordance with section 492A(a)(2) by the appropriate
advisory council under section 406 before the research proposals
are approved for funding;
``(10) shall have authority to review and approve the
establishment of all centers of excellence recommended by the
national research institutes;
``(11)(A) shall oversee research training for all of the
national research institutes and National Research Service Awards
in accordance with section 487; and
``(B) may conduct and support research training--
``(i) for which fellowship support is not provided under
section 487; and
``(ii) that does not consist of residency training of
physicians or other health professionals;
``(12) may, from funds appropriated under section 402A(b),
reserve funds to provide for research on matters that have not
received significant funding relative to other matters, to respond
to new issues and scientific emergencies, and to act on research
opportunities of high priority;
``(13) may, subject to appropriations Acts, collect and retain
registration fees obtained from third parties to defray expenses
for scientific, educational, and research-related conferences;''.
(c) Certain Authorities.--Section 402 of the Public Health Service
Act (42 U.S.C. 282) is amended--
(1) by striking subsections (i) and (l); and
(2) by redesignating subsections (j) and (k) as subsections (i)
and (j), respectively.
(d) Advisory Council for Director of NIH.--Section 402 of the
Public Health Service Act, as amended by subsection (c) of this
section, is amended by adding after subsection (j) the following
subsection:
``(k) Council of Councils.--
``(1) Establishment.--Not later than 90 days after the date of
the enactment of the National Institutes of Health Reform Act of
2006, the Director of NIH shall establish within the Office of the
Director an advisory council to be known as the `Council of
Councils' (referred to in this subsection as the `Council') for the
purpose of advising the Director on matters related to the policies
and activities of the Division of Program Coordination, Planning,
and Strategic Initiatives, including making recommendations with
respect to the conduct and support of research described in
subsection (b)(7).
``(2) Membership.--
``(A) In general.--The Council shall be composed of 27
members selected by the Director of NIH with approval from the
Secretary from among the list of nominees under subparagraph
(C).
``(B) Certain requirements.--In selecting the members of
the Council, the Director of NIH shall ensure--
``(i) the representation of a broad range of
disciplines and perspectives; and
``(ii) the ongoing inclusion of at least 1
representative from each national research institute whose
budget is substantial relative to a majority of the other
institutes.
``(C) Nomination.--The Director of NIH shall maintain an
updated list of individuals who have been nominated to serve on
the Council, which list shall consist of the following:
``(i) For each national research institute and national
center, 3 individuals nominated by the head of such
institute or center from among the members of the advisory
council of the institute or center, of which--
``(I) two shall be scientists; and
``(II) one shall be from the general public or
shall be a leader in the field of public policy, law,
health policy, economics, or management.
``(ii) For each office within the Division of Program
Coordination, Planning, and Strategic Initiatives, 1
individual nominated by the head of such office.
``(iii) Members of the Council of Public
Representatives.
``(3) Terms.--
``(A) In general.--The term of service for a member of the
Council shall be 6 years, except as provided in subparagraphs
(B) and (C).
``(B) Terms of initial appointees.--Of the initial members
selected for the Council, the Director of NIH shall designate--
``(i) nine for a term of 6 years;
``(ii) nine for a term of 4 years; and
``(iii) nine for a term of 2 years.
``(C) Vacancies.--Any member appointed to fill a vacancy
occurring before the expiration of the term for which the
member's predecessor was appointed shall be appointed only for
the remainder of that term. A member may serve after the
expiration of that member's term until a successor has taken
office.''.
(e) Review by Advisory Councils of Research Proposals.--Section
492A(a)(2) of the Public Health Service Act (42 U.S.C. 289a-1(a)(2)) is
amended by inserting before the period the following: ``, and unless a
majority of the voting members of the appropriate advisory council
under section 406, or as applicable, of the advisory council under
section 402(k), has recommended the proposal for approval''.
(f) Conforming Amendments.--
(1) Public health service act.--The Public Health Service Act
(42 U.S.C. 201 et seq.) is amended--
(A) in section 402(a), by striking ``Director of the
National Institutes of Health'' and all that follows through
``who shall'' and inserting ``Director of NIH who shall''; and
(B) in sections 405(c)(3)(A), 452(c)(1)(E)(i), and
492(a)(2), by striking the term ``402(b)(6)'' each place such
term appears and inserting ``402(b)(16)''.
(2) Federal food, drug, and cosmetic act.--Section 561(c) of
the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 360bbb) is
amended in the matter following paragraph (7) by striking
``402(j)(3)'' and inserting ``402(i)(3)''.
(g) Rule of Construction Regarding Authorities of National Research
Institutes and National Centers.--This Act and the amendments made by
this Act may not be construed as affecting the authorities of the
national research institutes and national centers that were in effect
under the Public Health Service Act on the day before the date of the
enactment of this Act, subject to the authorities of the Secretary of
Health and Human Services and the Director of NIH under section 401 of
the Public Health Service Act (as amended by section 101 of this Act).
For purposes of the preceding sentence, the terms ``national research
institute'', ``national center'', and ``Director of NIH'' have the
meanings given such terms in such section 401.
SEC. 103. AUTHORIZATION OF APPROPRIATIONS.
(a) Funding.--Title IV of the Public Health Service Act (42 U.S.C.
281 et seq.) is amended by inserting after section 402 the following:
``SEC. 402A. AUTHORIZATION OF APPROPRIATIONS.
``(a) In General.--For the purpose of carrying out this title,
there are authorized to be appropriated--
``(1) $30,331,309,000 for fiscal year 2007;
``(2) $32,831,309,000 for fiscal year 2008; and
``(3) such sums as may be necessary for fiscal year 2009.
``(b) Office of the Director.--Of the amount authorized to be
appropriated under subsection (a) for a fiscal year, there are
authorized to be appropriated for programs and activities under this
title carried out through the Office of the Director of NIH such sums
as may be necessary for each of the fiscal years 2007 through 2009.
``(c) Trans-NIH Research.--
``(1) Common fund.--
``(A) Account.--For the purpose of allocations under
section 402(b)(7)(B) (relating to research identified by the
Division of Program Coordination, Planning, and Strategic
Initiatives), there is established an account to be known as
the Common Fund.
``(B) Reservation.--
``(i) In general.--Of the total amount appropriated
under subsection (a) for fiscal year 2007 or any subsequent
fiscal year, the Director of NIH shall reserve an amount
for the Common Fund, subject to any applicable provisions
in appropriations Acts.
``(ii) Minimum amount.--For each fiscal year, the
percentage constituted by the amount reserved under clause
(i) relative to the total amount appropriated under
subsection (a) for such year may not be less than the
percentage constituted by the amount so reserved for the
preceding fiscal year relative to the total amount
appropriated under subsection (a) for such preceding fiscal
year, subject to any applicable provisions in
appropriations Acts.
``(C) Common fund strategic planning report.--Not later
than June 1, 2007, and every 2 years thereafter, the Secretary,
acting through the Director of NIH, shall submit a report to
the Congress containing a strategic plan for funding research
described in section 402(b)(7)(A)(i) (including personnel
needs) through the Common Fund. Each such plan shall include
the following:
``(i) An estimate of the amounts determined by the
Director of NIH to be appropriate for maximizing the
potential of such research.
``(ii) An estimate of the amounts determined by the
Director of NIH to be sufficient only for continuing to
fund research activities previously identified by the
Division of Program Coordination, Planning, and Strategic
Initiatives.
``(iii) An estimate of the amounts determined by the
Director of NIH to be necessary to fund research described
in section 402(b)(7)(A)(i)--
``(I) that is in addition to the research
activities described in clause (ii); and
``(II) for which there is the most substantial
need.
``(D) Evaluation.--During the 6-month period following the
end of the first fiscal year for which the total amount
reserved under subparagraph (B) is equal to 5 percent of the
total amount appropriated under subsection (a) for such fiscal
year, the Secretary, acting through the Director of NIH, in
consultation with the advisory council established under
section 402(k), shall submit recommendations to the Congress
for changes regarding amounts for the Common Fund.
``(2) Trans-nih research reporting.--
``(A) Limitation.--With respect to the total amount
appropriated under subsection (a) for fiscal year 2008 or any
subsequent fiscal year, if the head of a national research
institute or national center fails to submit the report
required by subparagraph (B) for the preceding fiscal year, the
amount made available for the institute or center for the
fiscal year involved may not exceed the amount made available
for the institute or center for fiscal year 2006.
``(B) Reporting.--Not later than January 1, 2008, and each
January 1st thereafter--
``(i) the head of each national research institute or
national center shall submit to the Director of NIH a
report on the amount made available by the institute or
center for conducting or supporting research that involves
collaboration between the institute or center and 1 or more
other national research institutes or national centers; and
``(ii) the Secretary shall submit a report to the
Congress identifying the percentage of funds made available
by each national research institute and national center
with respect to such fiscal year for conducting or
supporting research described in clause (i).
``(C) Determination.--For purposes of determining the
amount or percentage of funds to be reported under subparagraph
(B), any amounts made available to an institute or center under
section 402(b)(7)(B) shall be included.
``(D) Verification of amounts.--Upon receipt of each report
submitted under subparagraph (B)(i), the Director of NIH shall
review and, in cases of discrepancy, verify the accuracy of the
amounts specified in the report.
``(E) Waiver.--At the request of any national research
institute or national center, the Director of NIH may waive the
application of this paragraph to such institute or center if
the Director finds that the conduct or support of research
described in subparagraph (B)(i) is inconsistent with the
mission of such institute or center.
``(d) Transfer Authority.--Of the total amount appropriated under
subsection (a) for a fiscal year, the Director of NIH may (in addition
to the reservation under subsection (c)(1) for such year) transfer not
more than 1 percent for programs or activities that are authorized in
this title and identified by the Director to receive funds pursuant to
this subsection. In making such transfers, the Director may not
decrease any appropriation account under subsection (a) by more than 1
percent.
``(e) Rule of Construction.--This section may not be construed as
affecting the authorities of the Director of NIH under section 401.''.
(b) Elimination of Other Authorizations of Appropriations.--Title
IV of the Public Health Service Act (42 U.S.C. 281 et seq.) is
amended--
(1) by striking the first sentence of paragraph (5) of section
402(i) (as redesignated by section 102(b));
(2) by striking subsection (e) of section 403A;
(3) by striking subsection (c) of section 404B;
(4) by striking subsection (h) of section 404E;
(5) by striking subsection (d) of section 404F;
(6) by striking subsection (e) of section 404G;
(7) by striking subsection (d) of section 409A;
(8) in section 409B--
(A) in subsection (a), by striking ``under subsection (e)''
and inserting ``to carry out this section''; and
(B) by striking subsection (e);
(9) by striking subsection (e) of section 409C;
(10) in section 409D--
(A) by striking subsection (d); and
(B) by redesignating subsection (e) as subsection (d);
(11) by striking subsection (e) of section 409E;
(12) by striking subsection (c) of section 409F;
(13) in section 409H, by striking--
(A) paragraph (3) of subsection (a);
(B) paragraph (3) of subsection (b);
(C) paragraph (5) of subsection (c); and
(D) paragraph (4) of subsection (d);
(14) by striking subsection (d) of section 409I;
(15) by striking section 417B;
(16) by striking subsection (g) of section 417C;
(17) in section 417D, by striking--
(A) paragraph (3) of subsection (a); and
(B) paragraph (3) of subsection (b);
(18) by striking subsection (d) of section 424A;
(19) by striking subsection (c) of section 424B;
(20) by striking section 425;
(21) by striking subsection (d) of section 434A;
(22) by striking subsection (d) of section 441A;
(23) by striking subsection (c) of section 442A;
(24) in section 445H--
(A) by striking subsection (b); and
(B) in subsection (a), by striking ``(a)'';
(25) by striking subsection (d) of section 445I;
(26) by striking section 445J;
(27) in section 447A--
(A) by striking subsection (b); and
(B) in subsection (a), by striking ``(a)'';
(28) by striking subsection (d) of section 447B;
(29) by striking subsection (g) in section 452A;
(30) by striking paragraph (7) in section 452E(b);
(31) in section 452G--
(A) by striking subsection (b); and
(B) in subsection (a), by striking ``(a) Enhanced
Support.--'';
(32) by striking subsection (d) of section 464H;
(33) by striking subsection (d) of section 464L;
(34) by striking paragraph (4) of section 464N(c);
(35) by striking subsection (e) of section 464P;
(36) by striking subsection (f) of section 464R;
(37) by striking subsection (d) of section 464z;
(38) in section 467--
(A) by striking the first sentence;
(B) by striking ``for such buildings and facilities'' and
inserting ``for suitable and adequate buildings and facilities
for use of the Library''; and
(C) by striking ``The amounts authorized to be appropriated
by this section include'' and inserting ``Amounts appropriated
to carry out this section may be used for'';
(39) by striking section 468;
(40) in section 481A--
(A) in the matter preceding subparagraph (A) of subsection
(c)(2)--
(i) by striking the term ``under subsection (i)(1)''
and inserting ``to carry out this section''; and
(ii) by striking ``under such subsection'' and
inserting ``to carry out this section''; and
(B) by striking subsection (i);
(41) in subsection (a) of section 481B, by striking ``under
section 481A(h)'' and inserting ``to carry out section 481A'';
(42) by striking subsection (c) in the section 481C that
relates to general clinical research centers;
(43) by striking subsection (e) in section 485C;
(44) by striking subsection (l) in section 485E;
(45) by striking subsection (h) in section 485F;
(46) by striking subsection (e) in section 485G;
(47) by striking subsection (d) of section 487;
(48) by striking subsection (c) of section 487A; and
(49) by striking subsection (c) in the section 487F that
relates to a loan repayment program regarding clinical researchers.
(c) Rule of Construction Regarding Continuation of Programs.--The
amendment of a program by a provision of subsection (b) may not be
construed as terminating the authority of the Federal agency involved
to carry out the program.
SEC. 104. REPORTS.
(a) Report of Director of NIH.--The Public Health Service Act (42
U.S.C. 201 et seq.), as amended by section 103(a) of this Act, is
amended--
(1) by redesignating section 403A as section 403C;
(2) in section 1710(a), by striking ``section 403A'' and
inserting ``section 403C''; and
(3) by striking section 403 and inserting the following
sections:
``SEC. 402B. ELECTRONIC CODING OF GRANTS AND ACTIVITIES.
``The Secretary, acting through the Director of NIH, shall
establish an electronic system to uniformly code research grants and
activities of the Office of the Director and of all the national
research institutes and national centers. The electronic system shall
be searchable by a variety of codes, such as the type of research
grant, the research entity managing the grant, and the public health
area of interest. When permissible, the Secretary, acting through the
Director of NIH, shall provide information on relevant literature and
patents that are associated with research activities of the National
Institutes of Health.
``SEC. 403. BIENNIAL REPORTS OF DIRECTOR OF NIH.
``(a) In General.--The Director of NIH shall submit to the Congress
on a biennial basis a report in accordance with this section. The first
report shall be submitted not later than 1 year after the date of the
enactment of the National Institutes of Health Reform Act of 2006. Each
such report shall include the following information:
``(1) An assessment of the state of biomedical and behavioral
research.
``(2) A description of the activities conducted or supported by
the agencies of the National Institutes of Health and policies
respecting the programs of such agencies.
``(3) Classification and justification for the priorities
established by the agencies, including a strategic plan and
recommendations for future research initiatives to be carried out
under section 402(b)(7) through the Division of Program
Coordination, Planning, and Strategic Initiatives.
``(4) A catalog of all the research activities of the agencies,
prepared in accordance with the following:
``(A) The catalog shall, for each such activity--
``(i) identify the agency or agencies involved;
``(ii) state whether the activity was carried out
directly by the agencies or was supported by the agencies
and describe to what extent the agency was involved; and
``(iii) identify whether the activity was carried out
through a center of excellence.
``(B) In the case of clinical research, the catalog shall,
as appropriate, identify study populations by demographic
variables and other variables that contribute to research on
minority health and health disparities.
``(C) Research activities listed in the catalog shall
include, where applicable, the following:
``(i) Epidemiological studies and longitudinal studies.
``(ii) Disease registries, information clearinghouses,
and other data systems.
``(iii) Public education and information campaigns.
``(iv) Training activities, including--
``(I) National Research Service Awards and Clinical
Transformation Science Awards;
``(II) graduate medical education programs,
including information on the number and type of
graduate degrees awarded during the period in which the
programs received funding under this title;
``(III) investigator-initiated awards for
postdoctoral training;
``(IV) a breakdown by demographic variables and
other appropriate categories; and
``(V) an evaluation and comparison of outcomes and
effectiveness of various training programs.
``(v) Clinical trials, including a breakdown of
participation by study populations and demographic
variables and such other information as may be necessary to
demonstrate compliance with section 492B (regarding
inclusion of women and minorities in clinical research).
``(vi) Translational research activities with other
agencies of the Public Health Service.
``(5) A summary of the research activities throughout the
agencies, which summary shall be organized by the following
categories, where applicable:
``(A) Cancer.
``(B) Neurosciences.
``(C) Life stages, human development, and rehabilitation.
``(D) Organ systems.
``(E) Autoimmune diseases.
``(F) Genomics.
``(G) Molecular biology and basic science.
``(H) Technology development.
``(I) Chronic diseases, including pain and palliative care.
``(J) Infectious diseases and bioterrorism.
``(K) Minority health and health disparities.
``(L) Such additional categories as the Director determines
to be appropriate.
``(6) A review of each entity receiving funding under this
title in its capacity as a center of excellence (in this paragraph
referred to as a `center of excellence'), including the following:
``(A) An evaluation of the performance and research
outcomes of each center of excellence.
``(B) Recommendations for promoting coordination of
information among the centers of excellence.
``(C) Recommendations for improving the effectiveness,
efficiency, and outcomes of the centers of excellence.
``(D) If no additional centers of excellence have been
funded under this title since the previous report under this
section, an explanation of the reasons for not funding any
additional centers.
``(b) Requirement Regarding Disease-Specific Research Activities.--
In a report under subsection (a), the Director of NIH, when reporting
on research activities relating to a specific disease, disorder, or
other adverse health condition, shall--
``(1) present information in a standardized format;
``(2) identify the actual dollar amounts obligated for such
activities; and
``(3) include a plan for research on the specific disease,
disorder, or other adverse health condition, including a statement
of objectives regarding the research, the means for achieving the
objectives, a date by which the objectives are expected to be
achieved, and justifications for revisions to the plan.
``(c) Additional Reports.--In addition to reports required by
subsections (a) and (b), the Director of NIH or the head of a national
research institute or national center may submit to the Congress such
additional reports as the Director or the head of such institute or
center determines to be appropriate.
``SEC. 403A. ANNUAL REPORTING TO INCREASE INTERAGENCY COLLABORATION AND
COORDINATION.
``(a) Collaboration With Other HHS Agencies.--On an annual basis,
the Director of NIH shall submit to the Secretary a report on the
activities of the National Institutes of Health involving collaboration
with other agencies of the Department of Health and Human Services.
``(b) Clinical Trials.--Each calendar year, the Director of NIH
shall submit to the Commissioner of Food and Drugs a report that
identifies each clinical trial that is registered during such calendar
year in the databank of information established under section 402(i).
``(c) Human Tissue Samples.--On an annual basis, the Director of
NIH shall submit to the Congress a report that describes how the
National Institutes of Health and its agencies store and track human
tissue samples.
``(d) First Report.--The first report under subsections (a), (b),
and (c) shall be submitted not later than 1 year after the date of the
enactment of the National Institutes of Health Reform Act of 2006.
``SEC. 403B. ANNUAL REPORTING TO PREVENT FRAUD AND ABUSE.
``(a) Whistleblower Complaints.--
``(1) In general.--On an annual basis, the Director of NIH
shall submit to the Inspector General of the Department of Health
and Human Services, the Secretary, the Committee on Energy and
Commerce and the Committee on Appropriations of the House of
Representatives, and the Committee on Health, Education, Labor, and
Pensions and the Committee on Appropriations of the Senate a report
summarizing the activities of the National Institutes of Health
relating to whistleblower complaints.
``(2) Contents.--For each whistleblower complaint pending
during the year for which a report is submitted under this
subsection, the report shall identify the following:
``(A) Each agency of the National Institutes of Health
involved.
``(B) The status of the complaint.
``(C) The resolution of the complaint to date.
``(b) Experts and Consultants.--On an annual basis, the Director of
NIH shall submit to the Inspector General of the Department of Health
and Human Services, the Secretary, the Committee on Energy and Commerce
and the Committee on Appropriations of the House of Representatives,
and the Committee on Health, Education, Labor, and Pensions and the
Committee on Appropriations of the Senate a report that--
``(1) identifies the number of experts and consultants,
including any special consultants, whose services are obtained by
the National Institutes of Health or its agencies;
``(2) specifies whether such services were obtained under
section 207(f), section 402(d), or other authority;
``(3) describes the qualifications of such experts and
consultants;
``(4) describes the need for hiring such experts and
consultants; and
``(5) if such experts and consultants make financial
disclosures to the National Institutes of Health or any of its
agencies, specifies the income, gifts, assets, and liabilities so
disclosed.
``(c) First Report.--The first report under subsections (a) and (b)
shall be submitted not later than 1 year after the date of the
enactment of the National Institutes of Health Reform Act of 2006.
``SEC. 403C. ANNUAL REPORTING REGARDING TRAINING OF GRADUATE STUDENTS
FOR DOCTORAL DEGREES.
``(a) In General.--Each institution receiving an award under this
title for the training of graduate students for doctoral degrees shall
annually report to the Director of NIH, with respect to each degree-
granting program at such institution--
``(1) the percentage of students admitted for study who
successfully attain a doctoral degree; and
``(2) for students described in paragraph (1), the average time
between the beginning of graduate study and the receipt of a
doctoral degree.
``(3) Provision of information to applicants.--Each institution
described in subsection (a) shall provide to each student
submitting an application for a program of graduate study at such
institution the information described in paragraphs (1) and (2) of
such subsection with respect to the program or programs to which
such student has applied.''.
(b) Striking of Other Reporting Requirements for NIH.--
(1) Public health service act; title iv.--Title IV of the
Public Health Service Act, as amended by section 103(b) of this
Act, is amended--
(A) in section 404E(b)--
(i) by amending paragraph (3) to read as follows:
``(3) Coordination of centers.--The Director of NIH shall, as
appropriate, provide for the coordination of information among
centers under paragraph (1) and ensure regular communication
between such centers.''; and
(ii) by striking subsection (f) and redesignating
subsection (g) as subsection (f);
(B) in section 404F(b)(1), by striking subparagraphs (F)
and (G);
(C) by striking section 407;
(D) in section 409C(b), by striking paragraph (4) and
redesignating paragraphs (5) and (6) as paragraphs (4) and (5),
respectively;
(E) in section 409E, by striking subsection (d);
(F) in section 417C, by striking subsection (f);
(G) in section 424B(a)--
(i) in paragraph (1), by adding ``and'' after the
semicolon at the end;
(ii) in paragraph (2), by striking ``; and'' and
inserting a period; and
(iii) by striking paragraph (3);
(H) in section 429, by striking subsections (c) and (d);
(I) in section 442, by striking subsection (j) and
redesignating subsection (k) as subsection (j);
(J) in section 464D, by striking subsection (j);
(K) in section 464E, by striking subsection (e);
(L) in section 464T, by striking subsection (e);
(M) in section 481A, by striking subsection (h);
(N) in section 485E, by striking subsection (k);
(O) in section 485H--
(i) by striking ``(a)'' and all that follows through
``The Secretary,'' and inserting ``The Secretary,''; and
(ii) by striking subsection (b); and
(P) in section 494--
(i) by striking ``(a) If the Secretary'' and inserting
``If the Secretary''; and
(ii) by striking subsection (b).
(2) Public health service act; other provisions.--The Public
Health Service Act (42 U.S.C. 201 et seq.) is amended--
(A) in section 399E, by striking subsection (e);
(B) in section 1122--
(i) by striking ``(a) From the sums'' and inserting
``From the sums''; and
(ii) by striking subsections (b) and (c);
(C) by striking section 2301;
(D) in section 2354, by striking subsection (b) and
redesignating subsection (c) as subsection (b);
(E) in section 2356, by striking subsection (e) and
redesignating subsections (f) and (g) as subsections (e) and
(f), respectively; and
(F) in section 2359(b)--
(i) by striking paragraph (2);
(ii) by striking `` (b) Evaluation and Report'' and all
that follows through ``Not later than 5 years'' and
inserting `` (b) Evaluation.--Not later than 5 years'';
(iii) by redesignating subparagraphs (A) through (C) as
paragraphs (1) through (3), respectively; and
(iv) by moving each of paragraphs (1) through (3) (as
so redesignated) 2 ems to the left.
(3) Other acts.--Provisions of Federal law are amended as
follows:
(A) Section 7 of Public Law 97-414 is amended--
(i) in subsection (a)--
(I) in paragraph (2), by inserting ``and'' at the
end;
(II) in paragraph (3), by striking ``; and'' and
inserting a period; and
(III) by striking paragraph (4); and
(ii) in subsection (b), by striking the last sentence
of paragraph (3).
(B) Title III of Public Law 101-557 (42 U.S.C. 242q et
seq.) is amended by striking section 304 and redesignating
section 305 and 306 as sections 304 and 305, respectively.
(C) Section 4923 of Public Law 105-33 is amended by
striking subsection (b).
(D) Public Law 106-310 is amended by striking section 105.
(E) Section 1004 of Public Law 106-310 is amended by
striking subsection (d).
(F) Section 3633 of Public Law 106-310 (as amended by
section 2502 of Public Law 107-273) is repealed.
(G) Public Law 106-525 is amended by striking section 105.
(H) Public Law 107-84 is amended by striking section 6.
(I) Public Law 108-427 is amended by striking section 3 and
redesignating sections 4 and 5 as sections 3 and 4,
respectively.
SEC. 105. CERTAIN DEMONSTRATION PROJECTS.
(a) Bridging the Sciences.--
(1) In general.--From amounts to be appropriated under section
402A(b) of the Public Health Service Act, the Secretary of Health
and Human Services, acting through the Director of NIH, (in this
subsection referred to as the ``Secretary'') in consultation with
the Director of the National Science Foundation, the Secretary of
Energy, and other agency heads when necessary, may allocate funds
for the national research institutes and national centers to make
grants for the purpose of improving the public health through
demonstration projects for biomedical research at the interface
between the biological, behavioral, and social sciences and the
physical, chemical, mathematical, and computational sciences.
(2) Goals, priorities, and methods; interagency
collaboration.--The Secretary shall establish goals, priorities,
and methods of evaluation for research under paragraph (1), and
shall provide for interagency collaboration with respect to such
research. In developing such goals, priorities, and methods, the
Secretary shall ensure that--
(A) the research reflects the vision of innovation and
higher risk with long-term payoffs; and
(B) the research includes a wide spectrum of projects,
funded at various levels, with varying timeframes.
(3) Peer review.--A grant may be made under paragraph (1) only
if the application for the grant has undergone technical and
scientific peer review under section 492 of the Public Health
Service Act (42 U.S.C. 289a) and has been reviewed by the advisory
council under section 402(k) of such Act (as added by section
102(c) of this Act) or has been reviewed by an advisory council
composed of representatives from appropriate scientific disciplines
who can fully evaluate the applicant.
(b) High-Risk, High-Reward Research.--
(1) In general.--From amounts to be appropriated under section
402A(b) of the Public Health Service Act, the Secretary, acting
through the Director of NIH, may allocate funds for the national
research institutes and national centers to make awards of grants
or contracts or to engage in other transactions for demonstration
projects for high-impact, cutting-edge research that fosters
scientific creativity and increases fundamental biological
understanding leading to the prevention, diagnosis, and treatment
of diseases and disorders. The head of a national research
institute or national center may conduct or support such high-
impact, cutting-edge research (with funds allocated under the
preceding sentence or otherwise available for such purpose) if the
institute or center gives notice to the Director of NIH beforehand
and submits a report to the Director of NIH on an annual basis on
the activities of the institute or center relating to such
research.
(2) Special consideration.--In carrying out the program under
paragraph (1), the Director of NIH shall give special consideration
to coordinating activities with national research institutes whose
budgets are substantial relative to a majority of the other
institutes.
(3) Administration of program.--Activities relating to research
described in paragraph (1) shall be designed by the Director of NIH
or the head of a national research institute or national center, as
applicable, to enable such research to be carried out with maximum
flexibility and speed.
(4) Public-private partnerships.--In providing for research
described in paragraph (1), the Director of NIH or the head of a
national research institute or national center, as applicable,
shall seek to facilitate partnerships between public and private
entities and shall coordinate when appropriate with the Foundation
for the National Institutes of Health.
(5) Peer review.--A grant for research described in paragraph
(1) may be made only if the application for the grant has undergone
technical and scientific peer review under section 492 of the
Public Health Service Act (42 U.S.C. 289a) and has been reviewed by
the advisory council under section 402(k) of such Act (as added by
section 102(c) of this Act).
(c) Report to Congress.--Not later than the end of fiscal year
2009, the Secretary, acting through the Director of NIH, shall conduct
an evaluation of the activities under this section and submit a report
to the Congress on the results of such evaluation.
(d) Definitions.--For purposes of this section, the terms
``Director of NIH'' , ``national research institute'', and ``national
center'' have the meanings given such terms in section 401 of the
Public Health Service Act.
SEC. 106. ENHANCING THE CLINICAL AND TRANSLATIONAL SCIENCE AWARD.
(a) In General.--In administering the Clinical and Translational
Science Award, the Director of NIH shall establish a mechanism to
preserve independent funding and infrastructure for pediatric clinical
research centers by--
(1) allowing the appointment of a secondary principal
investigator under a single Clinical and Translational Science
Award, such that a pediatric principal investigator may be
appointed with direct authority over a separate budget and
infrastructure for pediatric clinical research; or
(2) otherwise securing institutional independence of pediatric
clinical research centers with respect to finances, infrastructure,
resources, and research agenda.
(b) Report.--As part of the biennial report under section 403 of
the Public Health Service Act, the Director of NIH shall provide an
evaluation and comparison of outcomes and effectiveness of training
programs under subsection (a).
(c) Definition.--For purposes of this section, the term ``Director
of NIH'' has the meaning given such term in section 401 of the Public
Health Service Act.
SEC. 107. FOUNDATION FOR THE NATIONAL INSTITUTES OF HEALTH.
Section 499 of the Public Health Service Act (42 U.S.C. 290b) is
amended--
(1) in subsection (d)--
(A) in paragraph (1)--
(i) by amending subparagraph (D)(ii) to read as
follows:
``(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.''; and
(ii) in subparagraph (G), by inserting ``appointed''
after ``that the number of'';
(B) by amending paragraph (3)(B) to read as follows:
``(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.''; and
(C) in paragraph (5), by inserting ``appointed'' after
``majority of the'';
(2) in subsection (j)--
(A) in paragraph (2), by striking ``(d)(2)(B)(i)(II)'' and
inserting ``(d)(6)'';
(B) in paragraph (4)--
(i) in subparagraph (A), by inserting ``, including an
accounting of the use of amounts transferred under
subsection (l)'' before the period at the end; and
(ii) by striking subparagraph (C) and inserting the
following:
``(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.'';
and
(C) in paragraph (10), by striking ``of Health.'' and
inserting ``of Health and the National Institutes of Health may
accept transfers of funds from the Foundation.''; and
(3) by striking subsection (l) and inserting the following:
``(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 to the
Foundation.''.
SEC. 108. MISCELLANEOUS AMENDMENTS.
(a) Certain Authorities of the Secretary.--
(1) In general.--Section 401 of the Public Health Service Act,
as added and amended by section 101, is amended in subsection (d)
by inserting after paragraph (1) a subsection that is identical to
section 401(c) of such Act as in effect on the day before the date
of the enactment of this Act. The subsection so inserted is
amended--
(A) by striking ``(c)(1) The Secretary may'' and inserting
the following:
``(2) Reorganization of institutes.--
``(A) In general.--The Secretary may'';
(B) by striking ``(A) the Secretary determines'' and
inserting the following:
``(i) the Secretary determines'';
(C) by striking ``(B) the additional'' and inserting the
following:
``(ii) the additional''; and
(D) by striking ``(2) The Secretary may'' and inserting the
following:
``(B) Additional authority.--The Secretary may''.
(2) Conforming amendments.--Section 401(d)(2) of the Public
Health Service Act, as designated by paragraph (1) of this
subsection, is amended--
(A) in subparagraph (A)(ii), by striking ``subparagraph
(A)'' and inserting ``clause (i)''; and
(B) by striking ``Labor and Human Resources'' each place
such term appears and inserting ``Health, Education, Labor, and
Pensions''.
(b) Certain Research Centers.--Section 414 of the Public Health
Service Act (42 U.S.C. 285a-3) is amended by adding at the end the
following subsection:
``(d) Research centers under this section may not be considered
centers of excellence for purposes of section 402(b)(10).''.
SEC. 109. APPLICABILITY.
This title and the amendments made by this title apply only with
respect to amounts appropriated for fiscal year 2007 or subsequent
fiscal years.
TITLE II--MISCELLANEOUS PROVISIONS
SEC. 201. REDISTRIBUTION OF CERTAIN UNUSED SCHIP ALLOTMENTS FOR FISCAL
YEARS 2004 AND 2005 TO REDUCE FUNDING SHORTFALLS FOR
FISCAL YEAR 2007.
(a) Redistribution of Certain Unused SCHIP Allotments.--Section
2104 of the Social Security Act (42 U.S.C. 1397dd) is amended by adding
at the end the following new subsection:
``(h) Special Rules to Address Fiscal Year 2007 Shortfalls.--
``(1) Redistribution of unused fiscal year 2004 allotments.--
``(A) In general.--Notwithstanding subsection (f) and
subject to subparagraphs (C) and (D), with respect to months
beginning during fiscal year 2007, the Secretary shall provide
for a redistribution under such subsection from the allotments
for fiscal year 2004 under subsection (b) that are not expended
by the end of fiscal year 2006, to a shortfall State described
in subparagraph (B), such amount as the Secretary determines
will eliminate the estimated shortfall described in such
subparagraph for such State for the month.
``(B) Shortfall state described.--For purposes of this
paragraph, a shortfall State described in this subparagraph is
a State with a State child health plan approved under this
title for which the Secretary estimates, subject to paragraph
(4)(B) and on a monthly basis using the most recent data
available to the Secretary as of such month, that the projected
expenditures under such plan for such State for fiscal year
2007 will exceed the sum of--
``(i) the amount of the State's allotments for each of
fiscal years 2005 and 2006 that was not expended by the end
of fiscal year 2006; and
``(ii) the amount of the State's allotment for fiscal
year 2007.
``(C) Funds redistributed in the order in which states
realize funding shortfalls.--The Secretary shall redistribute
the amounts available for redistribution under subparagraph (A)
to shortfall States described in subparagraph (B) in the order
in which such States realize monthly funding shortfalls under
this title for fiscal year 2007. The Secretary shall only make
redistributions under this paragraph to the extent that there
are unexpended fiscal year 2004 allotments under subsection (b)
available for such redistributions.
``(D) Proration rule.--If the amounts available for
redistribution under subparagraph (A) for a month are less than
the total amounts of the estimated shortfalls determined for
the month under that subparagraph, the amount computed under
such subparagraph for each shortfall State shall be reduced
proportionally.
``(2) Funding remainder of reduction of shortfall for fiscal
year 2007 through redistribution of certain unused fiscal year 2005
allotments.--
``(A) In general.--Subject to subparagraphs (C) and (D) and
paragraph (5)(B), with respect to months beginning during
fiscal year 2007 after March 31, 2007, the Secretary shall
provide for a redistribution under subsection (f) from amounts
made available for redistribution under paragraph (3) to each
shortfall State described in subparagraph (B), such amount as
the Secretary determines will eliminate the estimated shortfall
described in such subparagraph for such State for the month.
``(B) Shortfall state described.--For purposes of this
paragraph, a shortfall State described in this subparagraph is
a State with a State child health plan approved under this
title for which the Secretary estimates, subject to paragraph
(4)(B) and on a monthly basis using the most recent data
available to the Secretary as of March 31, 2007, that the
projected expenditures under such plan for such State for
fiscal year 2007 will exceed the sum of--
``(i) the amount of the State's allotments for each of
fiscal years 2005 and 2006 that was not expended by the end
of fiscal year 2006;
``(ii) the amount, if any, that is to be redistributed
to the State in accordance with paragraph (1); and
``(iii) the amount of the State's allotment for fiscal
year 2007.
``(C) Funds redistributed in the order in which states
realize funding shortfalls.--The Secretary shall redistribute
the amounts available for redistribution under subparagraph (A)
to shortfall States described in subparagraph (B) in the order
in which such States realize monthly funding shortfalls under
this title for fiscal year 2007. The Secretary shall only make
redistributions under this paragraph to the extent that such
amounts are available for such redistributions.
``(D) Proration rule.--If the amounts available for
redistribution under paragraph (3) for a month are less than
the total amounts of the estimated shortfalls determined for
the month under subparagraph (A), the amount computed under
such subparagraph for each shortfall State shall be reduced
proportionally.
``(3) Treatment of certain states with fiscal year 2005
allotments unexpended at the end of the first half of fiscal year
2007.--
``(A) Identification of states.--The Secretary, on the
basis of the most recent data available to the Secretary as of
March 31, 2007--
``(i) shall identify those States that received an
allotment for fiscal year 2005 under subsection (b) which
have not expended all of such allotment by March 31, 2007;
and
``(ii) for each such State shall estimate--
``(I) the portion of such allotment that was not so
expended by such date; and
``(II) whether the State is described in
subparagraph (B).
``(B) States with funds in excess of 200 percent of need.--
A State described in this subparagraph is a State for which the
Secretary determines, on the basis of the most recent data
available to the Secretary as of March 31, 2007, that the total
of all available allotments under this title to the State as of
such date, is at least equal to 200 percent of the total
projected expenditures under this title for the State for
fiscal year 2007.
``(C) Redistribution and limitation on availability of
portion of unused allotments for certain states.--
``(i) In general.--In the case of a State identified
under subparagraph (A)(i) that is also described in
subparagraph (B), notwithstanding subsection (e), the
applicable amount described in clause (ii) shall not be
available for expenditure by the State on or after April 1,
2007, and shall be redistributed in accordance with
paragraph (2).
``(ii) Applicable amount.--For purposes of clause (i),
the applicable amount described in this clause is the
lesser of--
``(I) 50 percent of the amount described in
subparagraph (A)(ii)(I); or
``(II) $20,000,000.
``(4) Special rules.--
``(A) Expenditures limited to coverage for populations
eligible on october 1, 2006.--A State shall use amounts
redistributed under this subsection only for expenditures for
providing child health assistance or other health benefits
coverage for populations eligible for such assistance or
benefits under the State child health plan (including under a
waiver of such plan) on October 1, 2006.
``(B) Regular fmap for expenditures for coverage of
nonchild populations.--To the extent a State uses amounts
redistributed under this subsection for expenditures for
providing child health assistance or other health benefits
coverage to an individual who is not a child or a pregnant
woman, the Federal medical assistance percentage (as defined in
the first sentence of section 1905(b)) applicable to the State
for the fiscal year shall apply to such expenditures for
purposes of making payments to the State under subsection (a)
of section 2105 from such amounts.
``(5) Retrospective adjustment.--
``(A) In general.--The Secretary may adjust the estimates
and determinations made under paragraphs (1), (2), and (3) as
necessary on the basis of the amounts reported by States not
later than November 30, 2007, on CMS Form 64 or CMS Form 21, as
the case may be and as approved by the Secretary, but in no
case may the applicable amount described in paragraph
(3)(C)(ii) exceed the amount determined by the Secretary on the
basis of the most recent data available to the Secretary as of
March 31, 2007.
``(B) Funding of any retrospective adjustments only from
unexpended 2005 allotments.--Notwithstanding subsections (e)
and (f), to the extent the Secretary determines it necessary to
adjust the estimates and determinations made for purposes of
paragraphs (1), (2), and (3), the Secretary may use only the
allotments for fiscal year 2005 under subsection (b) that
remain unexpended through the end of fiscal year 2007 for
providing any additional amounts to States described in
paragraph (2)(B) (without regard to whether such unexpended
allotments are from States described in paragraph (3)(B)).
``(C) Rules of construction.--Nothing in this subsection
shall be construed as--
``(i) authorizing the Secretary to use the allotments
for fiscal year 2006 or 2007 under subsection (b) of States
described in paragraph (3)(B) to provide additional amounts
to States described in paragraph (2)(B) for purposes of
eliminating the funding shortfall for such States for
fiscal year 2007; or
``(ii) limiting the authority of the Secretary to
redistribute the allotments for fiscal year 2005 under
subsection (b) that remain unexpended through the end of
fiscal year 2007 and are available for redistribution under
subsection (f) after the application of subparagraph (B).
``(6) 1-year availability; no further redistribution.--
Notwithstanding subsections (e) and (f), amounts redistributed to a
State pursuant to this subsection for fiscal year 2007 shall only
remain available for expenditure by the State through September 30,
2007, and any amounts of such redistributions that remain
unexpended as of such date, shall not be subject to redistribution
under subsection (f). Nothing in the preceding sentence shall be
construed as limiting the ability of the Secretary to adjust the
determinations made under paragraphs (1), (2), and (3) in
accordance with paragraph (5).
``(7) Definition of state.--For purposes of this subsection,
the term `State' means a State that receives an allotment for
fiscal year 2007 under subsection (b).''.
(b) Extending Authority for Qualifying States to Use Certain Funds
for Medicaid Expenditures.--Section 2105(g)(1)(A) of such Act (42
U.S.C. 1397ee(g)(1)(A)) is amended by striking ``or 2005'' and
inserting ``2005, 2006, or 2007''.
(c) Report to Congress.--Not later than April 30, 2007, the
Secretary of Health and Human Services shall submit a report to the
Committee on Energy and Commerce of the House of Representatives and
the Committee on Finance of the Senate regarding the amounts
redistributed to States under section 2104 of the Social Security Act
to reduce funding shortfalls for the State Children's Health Insurance
Program (SCHIP) for fiscal year 2007. Such report shall include
descriptions and analyses of--
(1) the extent to which such redistributed amounts have reduced
or eliminated such shortfalls on the basis of reports by States
submitted to the Secretary as of April 1, 2007; and
(2) the effect of the redistribution and limited availability
of unexpended fiscal year 2005 allotments under such program on the
States described in section 2104(h)(3)(B) of the Social Security
Act (42 U.S.C. 1397dd(h)(3)(B)) on the basis of reports by States
submitted to the Secretary as of such date.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.