1. Short title This Act may be cited as the Medical Innovation Prize Fund Act . 2. Findings Congress makes the following findings: (1) The development of new medicines and vaccines is necessary to improve health care outcomes. (2) Market exclusivity for new products is an expensive, inefficient, and unfair mechanism to reward investments in new products. (3) By de-linking research and development incentives from product prices, and by eliminating legal monopolies to sell products, it is possible to induce investments that are medically more important, procure products at low prices from competitive suppliers, radically lower pricing barriers for access to new medicines, reduce wasteful marketing and research and development activities, and dramatically lower the overall costs of acquiring innovation, while expanding access to that innovation. (4) By funding innovation prizes at .55 percent of gross domestic product, the United States would provide more than $100,000,000,000 in rewards for successful innovation in 2016. (5) The development of new medicines benefits from greater sharing of knowledge, data, materials, and technologies. 3. Purpose It is the purpose of this Act to provide incentives to encourage entities to invest in research and development of new medicines and to share knowledge, data, materials, and technology, through the establishment of a Medical Innovation Prize Fund, while enhancing access to such medicines by eliminating legal monopolies on the manufacture, distribution, and sale of such medicines. 4. Definitions In this Act: (1) Biological product The term biological product has the meaning given such term in section 351 of the Public Health Service Act ( 42 U.S.C. 262 ). (2) Board The term Board means the Board of Trustees for the Fund for Medical Innovation Prizes established under section 7. (3) Drug The term drug has the meaning given such term in section 201 of the Federal Food, Drug, and Cosmetic Act ( 21 U.S.C. 321 ). (4) Fund The term Fund means the Fund for Medical Innovation