HR 1262 · 119th Congress

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Mikaela Naylon Give Kids a Chance Act

pediatric cancer drugsrare disease treatmentsFDA regulationorphan drugsgeneric drug approval
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Last action 2025-12-02

Sponsored by Rep. McCaul, Michael T. [R-TX-10] (R) — TX

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Would expand the FDA's authority over pediatric drug research by enabling enforcement against drug sponsors that ignore pediatric study requirements, extending priority review vouchers for rare pediatric diseases through 2029, narrowing orphan drug market exclusivity to specific approved indications, and establishing a new FDA office in Abraham Accords countries.

These changes would address a court ruling that broadened orphan drug exclusivity beyond FDA's intent, give the agency new tools to compel compliance with pediatric research mandates, and create an international regulatory cooperation mechanism — touching children's cancer drugs, rare-disease markets, and generic drug competition.

What this bill would do

What it would do

The bill would make several changes to federal drug law. It would expand the scope of molecularly targeted pediatric cancer investigations to permit research on new drugs used in combination with already-approved active ingredients, subject to conditions. It would authorize the FDA to take enforcement action — including civil penalties — against drug sponsors that fail pediatric study requirements, but only when the sponsor demonstrated a lack of due diligence, and only for products still on the market. It would extend the FDA's authority to award priority review vouchers for rare pediatric disease treatments through September 30, 2029. It would codify in statute the FDA's interpretation that the seven-year orphan drug exclusivity period blocks approval of the same drug only for the same approved indication — directly overriding a court ruling to the contrary. It would reauthorize $25 million per year through FY2028 for NIH pediatric drug studies, update the Organ Procurement and Transplantation Network statute, and increase the Medicare Improvement Fund balance.

The bill would also establish an Abraham Accords Office within the FDA, to be located in an Abraham Accords country and charged with providing regulatory technical assistance and facilitating interactions with industry partners in those countries. It would require the FDA to disclose to generic drug applicants whether their formulation matches the listed drug's ingredients, improving transparency in the generic drug review process.

Key provisions

  1. 1Would expand molecularly targeted pediatric cancer investigations to permit research on new drugs used in combination with certain already-approved active ingredients, subject to design and eligibility conditions.Sec. 2
  2. 2Would authorize FDA civil enforcement penalties against drug sponsors that fail pediatric study requirements, but only if the sponsor demonstrated a lack of due diligence; prohibits enforcement for drugs no longer marketed.Sec. 3
  3. 3Would extend FDA authority to award priority review vouchers to sponsors of rare pediatric disease drug products through September 30, 2029.Sec. 5
  4. 4Would codify in statute that the seven-year orphan drug exclusivity period applies only to the same approved use or indication, overriding a court ruling that extended exclusivity to all uses for the same disease.Sec. 6
  5. 5Would reauthorize $25 million per year for FY2026 through FY2028 for NIH to fund priority pediatric drug research.Sec. 7
  6. 6Would establish an Abraham Accords Office within the FDA, located in an Abraham Accords country, to provide regulatory technical assistance and facilitate industry interactions.Sec. 9
  7. 7Would require FDA to disclose to generic drug applicants whether their formulation qualitatively and quantitatively matches the listed drug, including identifying any deviating ingredients.Sec. 10

Who would be affected

Pharmaceutical and biotechnology companies that develop drugs for pediatric cancers and rare pediatric diseases; children with cancer or rare diseases who could benefit from new treatments; sponsors of orphan drugs whose seven-year exclusivity period would be narrowed to specific indications; generic drug manufacturers seeking formulation guidance from the FDA; hospitals, organ procurement organizations, and transplant centers subject to updated OPTN requirements; and regulatory bodies in Abraham Accords countries.

Why it matters

Drug sponsors who have been able to avoid penalties for ignoring pediatric study requirements would face new enforcement risk. Companies holding orphan drug exclusivity would lose the broader protection a federal court granted, potentially opening markets to competitors sooner for different indications of the same disease. Children with rare cancers could gain access to more combination therapies. Generic manufacturers would receive clearer FDA guidance on ingredient matching, potentially speeding approvals.

What would change

Changes to existing law

Amends Federal Food, Drug, and Cosmetic Act, Section 505B (21 U.S.C. 355c) (Sec. 2, Sec. 3)

Expands molecularly targeted pediatric cancer investigations to include drug combinations with approved ingredients; adds due-diligence enforcement standard for noncompliance.

Amends Federal Food, Drug, and Cosmetic Act, Section 529 (21 U.S.C. 360ff) (Sec. 5)

Extends FDA authority to award rare pediatric disease priority review vouchers through September 30, 2029; adjusts user fee payment timing.

Amends Federal Food, Drug, and Cosmetic Act, Section 527 (21 U.S.C. 360cc) (Sec. 6)

Narrows orphan drug seven-year exclusivity to the same approved use or indication, codifying FDA's interpretation against a contrary court ruling.

Amends Public Health Service Act, Section 409I (42 U.S.C. 284m) (Sec. 7)

Reauthorizes $25 million per year for fiscal years 2026 through 2028 for NIH priority pediatric drug research.

Amends Public Health Service Act, Section 372 (42 U.S.C. 274) (Sec. 8)

Updates OPTN duties to encourage electronic health records integration and transplant dashboards; authorizes registration fee collection from network members.

Amends Federal Food, Drug, and Cosmetic Act, Section 505(j)(3) (21 U.S.C. 355(j)(3)) (Sec. 10)

Requires FDA to disclose to generic drug applicants whether their formulation matches the listed drug's ingredients, including identifying deviating ingredients.

Amends Social Security Act, Section 1898 (42 U.S.C. 1395iii) (Sec. 11)

Increases the Medicare Improvement Fund balance from $1,403,000,000 to $2,622,000,000.

Agencies directed to act

Food and Drug AdministrationDepartment of Health and Human ServicesNational Institutes of HealthGovernment Accountability Office (Comptroller General)Department of State

Effective dates

  • FDA enforcement actions for pediatric study requirement failuresSec. 3Within 180 days of enactment
  • Molecularly targeted pediatric cancer investigation amendments apply to new drug applicationsSec. 2Within 3 years of enactment
  • Abraham Accords Office to be establishedSec. 9Within 2 years of enactment
  • Priority review voucher authority expirationSec. 52029-09-30
  • OPTN registration fee collection authority sunsetSec. 8Within 3 years of enactment
  • Generic drug ingredient transparency provisionSec. 10Upon enactment

Funding and costs

  • $25,000,000FY2026-FY2028

    NIH priority pediatric drug research program, per yearSec. 7

  • $2,622,000,000

    Medicare Improvement Fund balance (amended from $1,403,000,000)Sec. 11

How implementation would work

The FDA would issue draft guidance within 12 months of enactment on expanded pediatric cancer investigation requirements, with final guidance due 12 months after the comment period closes. Enforcement authority over noncompliant drug sponsors would activate 180 days post-enactment, with a required noncompliance letter and 45-day response window before any penalty. The Secretary would establish the Abraham Accords Office within two years. The GAO would conduct multiple studies — on pediatric cancer drug effectiveness, priority review voucher impact, and OPTN registration fees — and report to Congress at five- to ten-year intervals. FDA must issue generic drug transparency guidance within one year.

Legislative status & sources

Latest action

Received in the Senate.

2025-12-02

Official CRS summary

Show the CRS summary

This bill expands the Food and Drug Administration’s (FDA’s) authority with respect to research on rare pediatric diseases, including by permitting the FDA to take enforcement action against drug sponsors that fail to satisfy pediatric study requirements and by reauthorizing programs that support pediatric research.

Specifically, the bill

  • modifies requirements relating to molecularly targeted pediatric cancer investigations to permit research on new drugs in combination with active ingredients that have already been approved, provided certain conditions are met;
  • permits the FDA to take enforcement action against drug sponsors that fail to comply with pediatric study requirements, if such sponsors demonstrated a lack of due diligence in satisfying the requirement;
  • renews the FDA’s authority to award priority review vouchers to sponsors of new products intended to treat rare pediatric diseases through September 30, 2029; and
  • reauthorizes through FY2027 certain funding for the National Institutes of Health to support priority pediatric research.

The bill also provides statutory authority for the FDA’s interpretation of the orphan drug exclusivity period. The bill specifies, consistent with FDA regulations, that the seven-year market exclusivity period for drugs for rare diseases or conditions (i.e., orphan drugs) prohibits the approval of the same drug for the same approved use or indication with respect to the disease or condition. (In Catalyst Pharmaceuticals, Inc. v. Becerra, a court rejected the FDA’s interpretation and held that orphan drug exclusivity extends to all uses or indications for the disease or condition.)

From the Congressional Research Service.

Legislative subjects

Arab-Israeli relations; Bahrain; Cancer; Child health; Computers and information technology; Congressional oversight; Drug safety, medical device, and laboratory regulation; Executive agency funding and structure; Food and Drug Administration (FDA); Government information and archives; Government studies and investigations; Health; Health information and medical records; International law and treaties; Israel; Licensing and registrations; Medical research; Organ and tissue donation and transplantation; Performance measurement; Prescription drugs; Research administration and funding; Telephone and wireless communication; United Arab Emirates; User charges and fees

Committee report

H. Rept. 119-352

Congressional Bill

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HR 1262: Mikaela Naylon Give Kids a Chance Act | Legislation Reporter