Bill Overview
Title: Access to Baby Formula Act of 2022
Description: This bill authorizes the Department of Agriculture (USDA) to take certain actions to address emergencies, disasters, and supply chain disruptions (particularly the shortage of infant formula in the United States) affecting participants of the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC). The bill directs USDA to require each infant formula cost containment contract to include remedies in the event of an infant formula recall, including how an infant formula manufacturer would protect against disruption to WIC participants in the state. USDA must, within 30 days, ensure there is a memorandum of understanding with the Department of Health and Human Services that includes procedures for coordination and information sharing regarding any supply chain disruption, including a supplemental food recall. The bill also authorizes USDA to waive or modify any WIC qualified administrative requirement during emergencies, disasters, and supply chain disruptions. Specifically, USDA may waive or modify such a requirement for one or more state agencies if (1) the requirement cannot be met by state agencies during the emergency, disaster, or disruption; and (2) the modification or waiver is necessary to provide assistance to WIC participants and does not substantially weaken the nutritional quality of supplemental foods. For example, USDA may waive the maximum monthly allowance for infant formula. The bill establishes notification requirements for USDA and state agencies related to supply chain disruptions.
Sponsors: Rep. Hayes, Jahana [D-CT-5]
Target Audience
Population: People dependent on infant formula, particularly WIC participants
Estimated Size: 13000000
- This bill targets WIC participants, a program that serves women, infants, and children with nutritional assistance.
- The bill focuses on ensuring the availability of infant formula during supply chain disruptions.
- The primary group affected will include low-income families who are dependent on WIC for nutritional support.
- Global estimates will also include all infants dependent on formula, indirectly affecting manufacturing and supply chain logistics.
- USDA actions are primarily domestic, focusing on American citizens and residents enrolled in the WIC program.
Reasoning
- The primary beneficiaries of this policy would be families with infants who rely on the WIC program for access to baby formula. Since the policy aims to ensure continued access during emergencies and supply chain disruptions, the wellbeing of these individuals is directly impacted.
- Consideration had to be given to the geographical distribution of the population being interviewed. Target areas included diverse regions including urban and rural to capture a broad spectrum of socioeconomic backgrounds.
- The majority of the interviewees are from lower-income brackets, given that WIC is targeted towards this demographic. This is in line with the stated objectives and supports understanding of how these changes actually benefit or fail to alter the current circumstance for the intended audience.
- A proportion of those interviewed may not directly benefit in the sense that while they may observe no change in their wellbeing (those not reliant on WIC), it is crucial to grasp these peripheral impacts to understand if the policy creates indirect benefits such as reduced formula prices for non-WIC participants.
- The impact of such a policy is expected to ripple even to non-participants of WIC through stabilization of national infant formula supply, but the direct effects should be more pronounced for WIC households.
Simulated Interviews
Stay-at-home mom (Detroit, MI)
Age: 25 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 1.5 years
Commonness: 12/20
Statement of Opinion:
- The formula shortages were stressful because I couldn't find the specific brand my baby needs.
- This policy sounds good if it helps suppliers prepare better for shortages.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 7 | 4 |
| Year 5 | 7 | 4 |
| Year 10 | 6 | 3 |
| Year 20 | 5 | 3 |
Registered Nurse (Raleigh, NC)
Age: 32 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 1.0 years
Commonness: 15/20
Statement of Opinion:
- It's a real relief to think that there will be assurances in getting formula if disasters or recalls happen.
- With more reliability in supply, I plan budgeting better without having to worry about sudden formula price spikes.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 4 |
| Year 10 | 5 | 4 |
| Year 20 | 5 | 3 |
Warehouse manager (Phoenix, AZ)
Age: 41 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 0.5 years
Commonness: 10/20
Statement of Opinion:
- We buy formula, but aren't using WIC. Policies like this seem to help stabilize prices, which is good.
- I think the policy is beneficial mostly for those actively on WIC and not directly for us.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 5 |
| Year 10 | 5 | 4 |
| Year 20 | 5 | 4 |
Part-time retail worker (Chicago, IL)
Age: 29 | Gender: female
Wellbeing Before Policy: 4
Duration of Impact: 2.0 years
Commonness: 13/20
Statement of Opinion:
- There were times when the formula was out of stock—I had to go to several stores.
- A policy like this ensures easier access; it gives more peace of mind.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 4 |
| Year 2 | 6 | 4 |
| Year 3 | 6 | 3 |
| Year 5 | 5 | 3 |
| Year 10 | 4 | 3 |
| Year 20 | 4 | 2 |
Software Developer (New York, NY)
Age: 36 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 0.0 years
Commonness: 20/20
Statement of Opinion:
- I am not really impacted as much because we haven’t needed formula.
- It's important for vulnerable families, but for us, our direct needs remain unchanged.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 5 |
Unemployed (Fresno, CA)
Age: 22 | Gender: female
Wellbeing Before Policy: 3
Duration of Impact: 2.5 years
Commonness: 14/20
Statement of Opinion:
- My family's only source of formula is through WIC, and any shortage hits us hard.
- This policy could really ensure my baby never has to suffer from the shortages.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 4 | 3 |
| Year 2 | 6 | 3 |
| Year 3 | 6 | 2 |
| Year 5 | 5 | 2 |
| Year 10 | 5 | 2 |
| Year 20 | 4 | 2 |
School Teacher (Houston, TX)
Age: 28 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 1.2 years
Commonness: 11/20
Statement of Opinion:
- The stability offered by this policy will likely make adopting more affordable long-term.
- It feels reassuring knowing the backup plan for formula shortages.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 5 |
| Year 10 | 6 | 5 |
| Year 20 | 6 | 4 |
Freelance Artist (Denver, CO)
Age: 34 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 0.8 years
Commonness: 18/20
Statement of Opinion:
- At the moment, we aren’t affected, but once we have kids, these policies could play a major role.
- It’s good to know there’s a safeguard for those who need formula access the most.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 5 |
| Year 10 | 6 | 5 |
| Year 20 | 5 | 4 |
Accountant (Portland, OR)
Age: 31 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 2.0 years
Commonness: 12/20
Statement of Opinion:
- I worry less about formula shortages now, thanks to policies like this.
- Being on WIC, even small improvements in formula reliability mean a lot.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 6 | 4 |
| Year 3 | 7 | 4 |
| Year 5 | 7 | 3 |
| Year 10 | 6 | 3 |
| Year 20 | 5 | 3 |
Tech Support (Boise, ID)
Age: 38 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 1.0 years
Commonness: 9/20
Statement of Opinion:
- We manage well and haven’t needed WIC, but stability in supply could prevent unexpected costs.
- It's essentially peace of mind knowing that measures exist for those hit hardest by shortages.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 5 |
| Year 10 | 5 | 4 |
| Year 20 | 5 | 4 |
Cost Estimates
Year 1: $50000000 (Low: $30000000, High: $70000000)
Year 2: $52000000 (Low: $31000000, High: $73000000)
Year 3: $54000000 (Low: $32000000, High: $76000000)
Year 5: $58000000 (Low: $34000000, High: $80000000)
Year 10: $65000000 (Low: $37000000, High: $88000000)
Year 100: $120000000 (Low: $68000000, High: $162000000)
Key Considerations
- The bill provides proactive strategies to manage formula shortages, crucial for nutrition among WIC participants during unforeseen supply chain disruptions.
- The effectiveness of annual progression depends on USDA and HHS coordination and ability to implement quick response mechanisms.
- Supply chain disruptions are inherently uncertain, and costs can escalate during severe national or global disruptions.
- The ongoing global demand for infant formula implies potential for international supply chain disruptions affecting domestic availability.