Bill Overview
Title: FORMULA Act
Description: This bill provides duty-free treatment to infant formula imported from certain countries. Specifically, the bill provides, for 180 days beginning on this bill's enactment, duty-free treatment to infant formula if the formula (1) is imported from specified countries (e.g., Australia, Japan, and the United Kingdom), and (2) was approved by the government of that country regulating such formula. The bill temporarily waives certain Food and Drug Administration regulations and requirements under the Federal Food, Drug, and Cosmetic Act for formula imported under this bill. A person who manufactures or imports formula must notify the Department of Health and Human Services (HHS) if the person has knowledge that such formula may not provide required nutrients or may be unsafe for infant consumption. If HHS determines the formula is unsafe for infant consumption, then the manufacturer or importer must immediately recall shipments from all wholesale and retail establishments. The bill makes formula imported under this bill eligible for purchase using benefits received under the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC). The Department of Agriculture must maintain and publicize a list of imported formula approved for use and marketing within the country of origin and the recommended measurements for mixing or otherwise preparing the formula.
Sponsors: Rep. Stewart, Chris [R-UT-2]
Target Audience
Population: Consumers of infant formula worldwide, and families, manufacturers, and retailers in countries specified in the act
Estimated Size: 4500000
- The bill focuses on the importation and regulation of infant formula from certain international countries, which directly affects infants who consume this formula.
- Parents and caregivers of infants will be directly impacted as the availability of certain international infant formula brands expands.
- Individuals responsible for purchasing infant formula will have more options, and potentially lower costs, due to the duty-free aspect of the bill.
- The Special Supplemental Nutrition Program for Women, Infants, and Children (WIC) beneficiaries will experience changes as the bill allows imported formula to be purchased using WIC benefits.
- Manufacturers and importers of infant formula will be affected by the regulatory changes and the duty-free treatment provided for specified formula imports.
Reasoning
- The FORMULA Act mainly impacts families using infant formula, specifically targeting those with infants who rely on formula due to necessity or convenience.
- The policy's significant target audience includes WIC beneficiaries, as the act allows these families more options with potentially reduced costs.
- Importers and manufacturers face less regulatory burden in the proposed policy timeframe, encouraging a temporary influx of foreign infant formulas into the market.
- Given the budget constraints, the policy is not designed to support long-term systemic market changes but aims to provide a temporary relief in formula availability and costs.
- It will not affect all families equally, as it mainly benefits those who use WIC or are motivated to explore international formula options.
Simulated Interviews
Database Administrator (New York, NY)
Age: 30 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 0.5 years
Commonness: 7/20
Statement of Opinion:
- The extra formula choices sound great! Sometimes I wish I could get other brands my overseas friends use, especially when local supplies run low.
- It's nice that imported formula won't cost more due to tariffs under this policy.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 6 |
| Year 10 | 7 | 6 |
| Year 20 | 6 | 6 |
Retail Associate (Miami, FL)
Age: 22 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 0.5 years
Commonness: 8/20
Statement of Opinion:
- The WIC program and formula access are vital for me. More formula choices could help a lot, especially when my baby doesn't like some types.
- I hope it also means savings on formula, budget's tight with just one income.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 5 | 5 |
| Year 5 | 5 | 5 |
| Year 10 | 5 | 4 |
| Year 20 | 5 | 4 |
Marketing Manager (Los Angeles, CA)
Age: 40 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 0.5 years
Commonness: 6/20
Statement of Opinion:
- We always look for high-quality formula, and this policy might expose us to a better range from countries with rigorous standards.
- I am concerned about the safety checks relaxed for this period, but trust immediate recalls will be handled well.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 5 |
| Year 10 | 6 | 5 |
| Year 20 | 5 | 5 |
Infant Formula Importer (Austin, TX)
Age: 35 | Gender: male
Wellbeing Before Policy: 4
Duration of Impact: 0.5 years
Commonness: 3/20
Statement of Opinion:
- This is a good opportunity for my company since we're in talks with UK partners, but the duty-free period is short.
- Need to ensure all imports are safe, any misstep could damage our reputation significantly.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 4 |
| Year 2 | 6 | 4 |
| Year 3 | 5 | 4 |
| Year 5 | 5 | 4 |
| Year 10 | 5 | 4 |
| Year 20 | 4 | 4 |
Stay-At-Home Mom (Chicago, IL)
Age: 28 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 0.5 years
Commonness: 5/20
Statement of Opinion:
- It could be beneficial if some formulas more suited to my baby's allergy become available duty-free.
- I'll need to research and ensure any new imports meet allergy requirements before trying them.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 5 |
| Year 10 | 5 | 5 |
| Year 20 | 5 | 5 |
Pediatrician (Portland, OR)
Age: 45 | Gender: female
Wellbeing Before Policy: 8
Duration of Impact: 0.5 years
Commonness: 10/20
Statement of Opinion:
- While I support increased access to affordable formulas, I worry about the risk of temporarily weakened safety regulations.
- Any recalls or issues with imported formulas must be dealt with immediately to ensure child safety.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 7 |
| Year 20 | 7 | 7 |
Engineer (Seattle, WA)
Age: 31 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 0.5 years
Commonness: 12/20
Statement of Opinion:
- It's reassuring that there might be a wider array of formula available when the baby comes.
- I am ready for the potential challenges of choosing between more formula options and evaluating which is best.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 6 |
| Year 10 | 7 | 6 |
| Year 20 | 6 | 6 |
High School Teacher (Dallas, TX)
Age: 38 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 0.5 years
Commonness: 15/20
Statement of Opinion:
- Additional formula options are always welcome, especially those with a good international reputation.
- I trust the event of a recall would be handled well since the stakes are incredibly high for infant health.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 5 |
| Year 10 | 6 | 5 |
| Year 20 | 5 | 5 |
Freelance Graphic Designer (Phoenix, AZ)
Age: 26 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 0.5 years
Commonness: 9/20
Statement of Opinion:
- I really hope this policy helps make formula more affordable, especially on my inconsistent income.
- I can spend more on meeting other baby needs if formula prices drop even a little.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 5 | 5 |
| Year 5 | 5 | 4 |
| Year 10 | 4 | 4 |
| Year 20 | 4 | 4 |
Lobbyist for Women's Health (San Francisco, CA)
Age: 52 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 0.5 years
Commonness: 4/20
Statement of Opinion:
- I stay informed on policies impacting women and children—this seems like a beneficial policy if safety protocols remain strict.
- Improving formula access at lower costs always merits attention.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 6 |
| Year 5 | 6 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 6 |
Cost Estimates
Year 1: $15000000 (Low: $10000000, High: $25000000)
Year 2: $0 (Low: $0, High: $0)
Year 3: $0 (Low: $0, High: $0)
Year 5: $0 (Low: $0, High: $0)
Year 10: $0 (Low: $0, High: $0)
Year 100: $0 (Low: $0, High: $0)
Key Considerations
- The temporary nature of the tariff removal means that long-term impacts are minimal.
- The potential need for increased FDA oversight due to regulatory waivers should be balanced against the administrative cost savings from reduced import duties.
- The policy's primary beneficiaries would be domestic consumers and international formula suppliers.