LOANS for Biomedical Research Act Long-term Opportunities for Advancing New Studies for Biomedical Research Act
Impact
The implementation of HB7539 is expected to significantly enhance biomedical research efforts aimed at addressing unmet medical needs. By offering financial backing via the BioBonds Program, the bill aims to alleviate the funding challenges that many researchers face when seeking to conduct clinical trials. Such funding is particularly crucial for innovative therapies that might not otherwise receive financial support from traditional funding mechanisms. This program is designed to prioritize diverse biomedical research projects without favoring a specific disease or disability, promoting a broader spectrum of research opportunities.
Summary
House Bill 7539, known as the 'Long-term Opportunities for Advancing New Studies for Biomedical Research Act' or the 'LOANS for Biomedical Research Act', aims to establish a BioBonds Program. This program is designed to provide funding for biomedical companies and universities to conduct clinical trials that have received approval from the Food and Drug Administration (FDA). The bill mandates that the Secretary of the Treasury collaborate with the Secretary of Health and Human Services to launch this program within 180 days of its enactment, facilitating financial assistance through loans and the issuance of BioBonds.
Contention
While supporters of the bill assert that the BioBonds Program is essential for advancing medical research, there may be points of contention regarding the involvement of federal guarantees in financing these loans. Critics may raise concerns about the potential risks to taxpayers associated with the federal backing of BioBonds. Furthermore, the criteria for determining eligible recipients and the prioritization of funded projects could also be subjects of debate, particularly if stakeholders believe specific areas of research are being underserved. The requirement for fiscal agents to employ sound underwriting practices will be critical in ensuring the protection of taxpayer interests as the program is executed.
Federal Infrastructure Bank Act of 2025This bill establishes the Federal Infrastructure Bank and the Federal Infrastructure Bank Holding Company (FIBHC). The bank shall be a wholly owned subsidiary of the FIBHC.The bank must provide equity investments, direct loans, and loan guarantees for the planning, predevelopment, design, construction, operation, or maintenance of revenue-producing infrastructure projects in the United States with sufficient revenue sources and guarantees to support the interest and principal payments to the bank. At least 10% of the loans, equity investments, and loan guarantees must be for infrastructure projects in rural areas.Entities eligible for loans, equity investments, and loan guarantees include corporations, joint ventures, states, and governmental entities. The bank is prohibited from providing funding for infrastructure projects that are owned, directed, controlled, financed, or influenced by the Chinese government or the Chinese Communist Party.The Board of Governors of the Federal Reserve System shall have oversight and supervisory authority over the FIBHC and the bank. The bank must establish an Infrastructure Guarantee Fund to cover loans and loan guarantees in the event of nonpayment by loan recipients.The FIBHC may issue equity securities, make dividend payments on the securities, and issue bonds. The bill provides for a tax credit in an amount equal to 10% of the amount a taxpayer paid to the FIBHC for an equity investment issued within three years of the formation of the FIBHC.
To amend the Federal Deposit Insurance Act and the Federal Credit Union Act to authorize a temporary transaction account guarantee program, expand deposit and share insurance to cover business payment accounts, and for other purposes.