Thalidomide Survivors Compensation Act of 2025

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5865 Introduced in House (IH)]

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119th CONGRESS
  1st Session
                                H. R. 5865

 To establish the Thalidomide Survivors Compensation Program, and for
                            other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                            October 28, 2025

 Mr. Van Drew introduced the following bill; which was referred to the
 Committee on the Judiciary, and in addition to the Committees on Ways
    and Means, Energy and Commerce, Natural Resources, Agriculture,
    Education and Workforce, Financial Services, Transportation and
Infrastructure, and Veterans' Affairs, for a period to be subsequently
   determined by the Speaker, in each case for consideration of such
 provisions as fall within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL

 To establish the Thalidomide Survivors Compensation Program, and for
                            other purposes.

    Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Thalidomide Survivors Compensation
Act of 2025''.

SEC. 2. FINDINGS; PURPOSE.

    (a) Findings.--The Congress finds the following:
            (1) Thalidomide caused an estimated more than 10,000 birth
        defects and deaths worldwide during the 1950s and 1960s.
            (2) Thalidomide exposure in utero is known to cause limb
        deformities and internal organ malformations.
            (3) Although not formally approved in the United States,
        approximately 5 million thalidomide samples were distributed by
        over 1,200 physicians through informal clinical trials.
            (4) The number of U.S. individuals affected remains
        undocumented, but research estimates approximately 100
        thalidomide survivors are still living in the United States.
            (5) U.S. thalidomide survivors have faced decades of
        unreimbursed medical costs, limited accessibility
        accommodations, and lack of formal diagnosis recognition.
            (6) 46 countries currently provide compensation or medical
        assistance to thalidomide survivors, including direct payments,
        pensions, and adaptive living support.
    (b) Purpose.--The purpose of this Act is to allow our thalidomide
survivors the ability to live the remainder of their lives with
independence and dignity.

SEC. 3. THALIDOMIDE SURVIVORS COMPENSATION PROGRAM.

    (a) Establishment of Program.--Not later than 1 year after the date
of enactment of this Act, the Secretary of Health and Human Services
(in this section referred to as the ``Secretary'') shall establish a
program to be known as the Thalidomide Survivors Compensation Program
(in this section referred to as the ``Program'') for the purpose of
providing compensation to individuals injured by exposure to
thalidomide.
    (b) Petitions.--Subject to subsection (c), to receive compensation
under the Program, an individual shall submit to the Secretary a
petition at such time, in such manner, and containing such information
as the Secretary may require, which shall include documentation from a
physician or other health professional showing that--
            (1) the individual was exposed to thalidomide; and
            (2) the individual suffered injury as a result of such
        exposure.
    (c) Limitations.--
            (1) Deadline for petitions.--No petition may be submitted
        under the Program after May 31, 2034.
            (2) 1 petition per individual.--No individual may submit
        more than 1 petition under the Program.
            (3) Exclusive to american citizens, permanent residents.--
        No petition may be submitted under the Program by an individual
        who--
                    (A) is not an American citizen or permanent
                resident at the time of such submission; or
                    (B) was not an American citizen or permanent
                resident at the time of the individual's exposure to
                thalidomide on which the petition is based.
    (d) Compensation.--
            (1) In general.--For any petition for which the expert
        panel described in paragraph (2) determines that the individual
        was exposed to thalidomide and suffered injury as a result of
        such exposure, the Secretary shall pay the individual $150,000.
            (2) Expert panel.--The expert panel described in this
        paragraph is a panel of legal, medical, and thalidomide experts
        and survivors, to be appointed by the Secretary for the purpose
        of reviewing petitions under the Program.
    (e) Treatment of Payments Received for Means-Tested Welfare
Programs.--Compensation provided under this section to an individual
may not be considered for the purpose of calculating such individual's
income or assets under any means-tested welfare program.
    (f) Authorization of Appropriations.--For the purpose of carrying
out this section, there are authorized to be appropriated to the
Secretary, for each of fiscal years 2028 through 2034, such sums as the
Secretary certifies are necessary to carry out this section for each
such fiscal year.

SEC. 4. ANNUAL REVIEW OF PROGRAM.

    (a) In General.--Not later than 1 year after the establishment of
the Thalidomide Survivors Compensation Program under section 3, and
annually thereafter, the Secretary of Health and Human Services (in
this section referred to as the ``Secretary'') shall conduct a
comprehensive review of all compensation provided under the Program.
    (b) Congressional Reports.--Not later than 60 days after the
completion of each review under subsection (a), the Secretary shall
make publicly available and submit to Congress a report, which shall
include--
            (1) an evaluation of whether the objectives of this Act are
        being met;
            (2) recommendations for modifications, improvements,
        support, compensation, or expansions to better serve
        thalidomide survivors in the United States;
            (3) a detailed accounting of funds appropriated and
        expended pursuant to this Act;
            (4) the number of individuals receiving compensation under
        this Act;
            (5) an evaluation of the adequacy of the compensation under
        the Thalidomide Survivors Compensation Program to meet the
        medical and other needs of thalidomide survivors;
            (6) any recommendations for adjustments to amounts
        appropriated to carry out this Act; and
            (7) a summary of the feedback and satisfaction of
        individuals receiving compensation under this Act.

SEC. 5. ADDITIONAL COMPENSATION.

    (a) In General.--Subject to the availability of appropriations
following an annual review under section 4, the Secretary of Health and
Human Services may pay to individuals who received compensation under
the Thalidomide Survivors Compensation Program established under
section 3 such additional compensation, as the Secretary determines
appropriate, to meet the ongoing medical or other needs of such
individuals.
    (b) Treatment of Payments Received for Means-Tested Welfare
Programs.--Compensation provided under this section to an individual
may not be considered for the purpose of calculating such individual's
income or assets under any means-tested welfare program.

SEC. 6. COMPENSATION UNDER THALIDOMIDE SURVIVORS COMPENSATION PROGRAM
              EXCLUDABLE FROM INCOME TAX.

    (a) In General.--Part III of subchapter B of chapter 1 of the
Internal Revenue Code of 1986 is amended by inserting after section
139L the following new section:

``SEC. 139M. COMPENSATION UNDER THE THALIDOMIDE SURVIVORS COMPENSATION
              PROGRAM.

    ``Gross income shall not include compensation received by an
individual under the Thalidomide Survivors Compensation Act of 2025.''.
    (b) Clerical Amendment.--The table of sections for part III of
subchapter B of chapter 1 of such Code is amended by inserting after
the item relating to section 139L the following new item:

``Sec. 139M. Compensation under the Thalidomide Survivors Compensation
                            Program.''.
    (c) Effective Date.--The amendments made by this section shall
apply to amounts received after the date of enactment of this Act, in
taxable years ending after such date.

SEC. 7. DEFINITION OF MEANS-TESTED WELFARE PROGRAM.

    (a) Means-Tested Welfare Program.--In this Act, the term ``means-
tested welfare program''--
            (1) means any Federal program that is designed to
        specifically provide assistance or benefits exclusively to low-
        income Americans; and
            (2) includes community and economic development programs
        targeted to low-income communities or populations.
    (b) Programs Included.--For purposes of subsection (a), the
following Federal programs shall be considered means-tested welfare
programs:
            (1) Cash and general assistance.--
                    (A) The Supplemental Security Income program under
                title XVI of the Social Security Act.
                    (B) The earned income tax credit determined under
                section 32 of the Internal Revenue Code of 1986.
                    (C) The refundable portion of the child tax credit
                determined under section 24 of the Internal Revenue
                Code of 1986.
                    (D) The program of block grants to States for
                temporary assistance for needy families under part A of
                title IV of the Social Security Act.
                    (E) The foster care and adoption assistance program
                under part E of title IV of the Social Security Act.
                    (F) General Assistance to Indians.
                    (G) The programs operated under the Assets for
                Independence Act.
            (2) Medical.--
                    (A) The Medicare program under title XVIII of the
                Social Security Act (42 U.S.C. 1395 et seq.).
                    (B) The Medicaid program under title XIX of the
                Social Security Act.
                    (C) The State Children's Health Insurance Program
                under title XXI of the Social Security Act.
                    (D) Health programs operated by the Indian Health
                Service, Indian tribes, tribal organizations, and Urban
                Indian organizations (as those terms are defined in
                section 4 of the Indian Health Care Improvement Act (25
                U.S.C. 1603)).
                    (E) The health center programs under section 330 of
                the Public Health Service Act (42 U.S.C. 254b).
                    (F) The Maternal and Child Health Services Block
                Grant program under title V of the Social Security Act
                (42 U.S.C. 701 et seq.).
                    (G) The Healthy Start Initiative under section 330H
                of the Public Health Service Act (42 U.S.C. 254c-8).
                    (H) Premium tax credits and cost sharing reductions
                available pursuant to the Patient Protection and
                Affordable Health Care Act (PPACA) and the amendments
                made by such Act.
            (3) Food.--
                    (A) The supplemental nutrition assistance program
                under the Food and Nutrition Act of 2008 (7 U.S.C. 2011
                et seq.).
                    (B) The school lunch program under the Richard B.
                Russell National School Lunch Act (42 U.S.C. 1751 et
                seq.).
                    (C) The special supplemental nutrition program for
                women, infants, and children under section 17 of the
                Child Nutrition Act (42 U.S.C. 1786).
                    (D) The school breakfast program under section 4 of
                the Child Nutrition Act of 1966 (42 U.S.C. 1773).
                    (E) The child and adult care food program under
                section 17 of the Richard B. Russell National School
                Lunch Act (42 U.S.C. 1766).
                    (F) The nutrition services programs under the Older
                Americans Act of 1965 (42 U.S.C. 3001 et seq.).
                    (G) The summer food service program for children
                under section 13 of the Richard B. Russell National
                School Lunch Act (42 U.S.C. 1761).
                    (H) The commodity supplemental food program under
                section 4 of the Agriculture and Consumer Protection
                Act of 1973 (7 U.S.C. 612c note).
                    (I) Commodity distribution programs under the
                Emergency Food Assistance Act of 1983 (7 U.S.C. 7501 et
                seq.).
                    (J) The seniors farmers' market nutrition program
                under section 3007 of Public Law 107-171 (7 U.S.C.
                3007).
                    (K) The special milk program established under
                section 3 of the Child Nutrition Act of 1966 (42 U.S.C.
                1772).
            (4) Housing.--
                    (A) The rental assistance program under section 8
                of the United States Housing Act of 1937 (42 U.S.C.
                1437f).
                    (B) The public housing program under title I of the
                United States Housing Act of 1937 (42 U.S.C. 1437 et
                seq.).
                    (C) The Home Investment Partnerships Program under
                title II of the Cranston-Gonzalez National Affordable
                Housing Act (42 U.S.C. 12721 et seq.).
                    (D) The programs for homeless assistance under
                title IV of the McKinney-Vento Homeless Assistance Act
                (42 U.S.C. 11360 et seq.).
                    (E) The rural housing programs under title V of the
                Housing Act of 1949 (42 U.S.C. 1471 et seq.).
                    (F) The program for supportive housing for elderly
                persons under section 202 of the Housing Act of 1959
                (12 U.S.C. 1701q).
                    (G) The program for Native American housing block
                grants under the Native American Housing Assistance and
                Self-Determination Act of 1996 (25 U.S.C. 4101 et
                seq.).
                    (H) The program for supportive housing for persons
                with disabilities under section 811 of the Cranston-
                Gonzalez National Affordable Housing Act (42 U.S.C.
                8013).
            (5) Energy and utilities.--
                    (A) Low-income home energy assistance under the
                Low-Income Home Energy Assistance Act of 1981 (42
                U.S.C. 8621 et seq.).
                    (B) The Lifeline Assistance Program of the Federal
                Communications Commission and the Tribal Link Up
                assistance program defined in section 54.413 of title
                47, Code of Federal Regulations.
                    (C) Weatherization assistance for low-income
                persons under part A of title IV of the Energy
                Conservation and Production Act (42 U.S.C. 6861 et
                seq.).
            (6) Education.--
                    (A) Federal Pell Grants under subpart 1 of part IV
                of the Higher Education Act of 1965 (20 U.S.C. 1070a et
                seq.).
                    (B) Grants for improving basic programs operated by
                local educational agencies under part A of title I of
                the Elementary and Secondary Education Act of 1965 (20
                U.S.C. 6311 et seq.).
                    (C) Federal TRIO programs under chapter 1 of
                subpart 2 of title IV of the Higher Education Act of
                1965 (20 U.S.C. 1070a-11 et seq.).
                    (D) Federal supplemental educational opportunity
                grants under subpart 3 of part A of title IV the Higher
                Education Act of 1965 (20 U.S.C. 1070b et seq.).
                    (E) Programs for the education of migratory
                children under part C of title 1 of the Elementary and
                Secondary Education Act of 1965 (20 U.S.C. 6391 et
                seq.).
                    (F) Gaining early awareness and readiness for
                undergraduate programs under chapter 2 of subpart 2 of
                part A of title IV of the Higher Education Act of 1965
                (20 U.S.C. 1070a-21 et seq.).
                    (G) The education for homeless children and youth
                program under subtitle B of title VII of the McKinney-
                Vento Homeless Assistance Act (42 U.S.C. 11431 et
                seq.).
                    (H) The leveraging educational assistance
                partnership program of subpart 4 of part A of title IV
                the Higher Education Act of 1965 (20 U.S.C. 1070c et
                seq.).
            (7) Training.--
                    (A) Job Corps under subtitle C of title I of the
                Workforce Innovation and Opportunity Act (29 U.S.C.
                3191 et seq.).
                    (B) Adult employment and training activities under
                title I of the Workforce Innovation and Opportunity Act
                (20 U.S.C. 3101 et seq.).
                    (C) Senior community service employment programs
                under title V of the Older Americans Act of 1965 (42
                U.S.C. 3056 et seq.).
                    (D) Employment and training programs under the Food
                and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.).
                    (E) Migrant and seasonal farmworker programs under
                section 167 of the Workforce Innovation and Opportunity
                Act (29 U.S.C. 3222).
                    (F) The YouthBuild Program under section 171 of the
                Workforce Innovation and Opportunity Act (29 U.S.C.
                3226).
                    (G) Native American Programs under section 166 of
                the Workforce Innovation and Opportunity Act (29 U.S.C.
                3221).
            (8) Services.--
                    (A) The Social Services Block Grant program under
                title XX of the Social Security Act.
                    (B) Programs under the Community Services Block
                Grant Act of 1981 (42 U.S.C. 9901 et seq.).
                    (C) Services for aliens admitted to the United
                States as refugees or granted asylum in the United
                States, and other special populations of aliens.
                    (D) State and community programs on aging that
                receive Federal funds.
                    (E) Legal Services Corporation.
                    (F) Family planning services under title X of the
                Public Health Service Act (42 U.S.C. 300 et seq.).
                    (G) The Emergency Food and Shelter Program for
                homeless persons under title III of the McKinney-Vento
                Homeless Assistance Act (42 U.S.C. 11331 et seq.).
                    (H) The AmeriCorps VISTA program under subtitle C
                of title I of the National and Community Service Act of
                1990 (42 U.S.C. 12571 et seq.).
            (9) Child care and child development.--
                    (A) Head Start programs and Early Head Start
                programs under the Head Start Act (42 U.S.C. 9831 et
                seq.).
                    (B) Programs under the Child Care and Development
                Block Grant Act of 1990 (42 U.S.C. 9858 et seq.).
            (10) Community development.--
                    (A) The Community Development Block Grant Program
                under title I of the Housing and Community Development
                Act of 1974 (42 U.S.C. 5301 et seq.).
                    (B) Programs administered by the Economic
                Development Administration under the Public Works and
                Economic Development Act of 1965 (42 U.S.C. 3121 et
                seq.).
                    (C) Programs administered by the Appalachian
                Regional Commission under subtitle IV of title 40,
                United States Code.
                    (D) Empowerment zones and enterprise communities
                under subchapter U, and renewal communities under
                subchapter X, of the Internal Revenue Code of 1986.
            (11) Veterans programs.--A program designed exclusively or
        primarily to provide to an individual benefits under title 38,
        United States Code, or other provisions of law administered by
        the Secretary of Veterans Affairs.
            (12) Unemployment compensation programs.--A program that
        provides for the receipt of ``regular compensation'',
        ``extended compensation'', or ``additional compensation'' (as
        such terms are defined by section 205 of the Federal-State
        Extended Unemployment Compensation Act (26 U.S.C. 3304 note)).
            (13) Social security.--The Old-Age, Survivors, and
        Disability Insurance Benefit program under title II of the
        Social Security Act (42 U.S.C. 401 et seq.).
    (c) Special Rules.--
            (1)(A) For purposes of subsection (a), only the refundable
        portion of the following tax credits shall be considered means-
        tested welfare programs:
                    (i) The earned income tax credit under section 32
                of the Internal Revenue Code of 1986.
                    (ii) The child tax credit under section 24(d) of
                the Internal Revenue Code of 1986.
            (B) For purposes of subsection (a), only the refundable
        portion of the premium and out-of-pocket health care subsidies
        to be paid under the Patient Protection and Affordable Health
        Care Act shall be considered a means-tested welfare program.
            (C) For purposes of this paragraph, the term ``refundable
        portion'' means the portion of the credit which is paid to an
        individual in excess of the amount of Federal income tax owed
        by the individual.
            (2) For purposes of subsection (a), only the costs of the
        free and reduced price segments of the school lunch and school
        breakfast programs shall be considered means-tested welfare
        programs.
    (d) Exclusion of Certain State and Local Expenditures.--For
purposes of subsection (a), expenditures by State and local governments
of funds that are--
            (1) obtained by the State and local government from taxes,
        fees, or other sources of revenue established by the State or
        local government; and
            (2) not received as any form of grant from the Federal
        Government,
shall not be considered means-tested welfare programs, without regard
to whether the State and local expenditures take the form of
contributions to a Federal program described in subsection (a) or
listed in subsection (b).
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