RAPID Reserve Act

Prevention of Drug Shortages: By requiring a 6-month reserve of critical drugs and their active ingredients, the bill seeks to prevent supply disruptions during public health emergencies, natural disasters, or chemical, biological, radiological, or nuclear threats (Section 2(a); Section 2(b)(1)(A); Section 2(b)(1)(C)(ii)).

Increased Manufacturing Capacity: The bill directs the Secretary to award contracts in a way that strengthens domestic manufacturing, resiliency, and capacity for critical drugs (Section 2(b)(3)(B)).

Enhanced Preparedness: The Secretary may award contracts to support the acquisition, construction, alteration, or renovation of establishments to improve preparedness and response capabilities at the State and local level (Section 2(c)(2)(A)).

Resource Flexibility: The bill allows for the transfer of active pharmaceutical ingredient reserves to other drug manufacturers if the original entity cannot use them to meet demand (Section 2(b)(1)(C)(i)).

Requirements for Entities: Participating entities must agree to specific burdens, such as maintaining a 6-month reserve, regularly replenishing supplies with recently manufactured products, and implementing production at the direction of the Secretary (Section 2(b)(1)(A); Section 2(b)(1)(B)).

Government Direction of Resources: The Secretary is granted the authority to direct the allocation of active pharmaceutical ingredient reserves during public health emergencies, natural disasters, or other specific threats (Section 2(b)(1)(C)(ii)).

Mandated Production Adjustments: Entities may be required to implement the production of drugs or ingredients specifically at the direction of the Secretary under the terms of their contract (Section 2(b)(1)(B)).