President Trump’s administration halts a $460 million Biden-era contract for an oral COVID-19 vaccine development, marking a significant shift in the nation’s pandemic response strategy.
At a Glance
- HHS Secretary Robert F. Kennedy Jr. issued a 90-day stop-work order on Vaxart Inc.’s oral COVID-19 vaccine development
- The contract was part of Biden’s $4.7 billion Project NextGen initiative with $240 million already authorized
- The pause prevents Vaxart from accessing the remaining $230 million earmarked for clinical trials
- This decision follows Kennedy’s recent confirmation as HHS Secretary under the Trump administration
- President Trump has signed multiple Executive Orders to counteract Biden’s vaccine mandates
Kennedy Pauses Multimillion-Dollar Vaccine Contract
Health and Human Services Secretary Robert F. Kennedy Jr. has implemented a temporary halt to a significant Biden-era contract for the development of a new oral COVID-19 vaccine. The contract with Vaxart Inc., valued at $460 million, was supported through the Biomedical Advanced Research and Development Authority (BARDA) as part of the previous administration’s pandemic response initiatives. This decisive action represents one of Kennedy’s first major policy implementations since his confirmation as HHS Secretary in the Trump administration.
The pharmaceutical company received a 90-day stop-work order, effectively pausing the clinical trial that was scheduled to include approximately 10,000 participants. This contract suspension impacts a substantial portion of funding that had been allocated for Vaxart’s innovative approach to vaccine delivery – an oral tablet rather than traditional injection methods. Such development was considered a potentially significant advancement in vaccine technology under the Biden administration’s health policies.
Now that’s why the country is so thankful to have Kennedy in office!
The contract pause has considerable financial ramifications for both the government and Vaxart Inc. Before the suspension, BARDA had committed $460 million toward the development of Vaxart’s oral COVID-19 vaccine, with $240 million of that amount already authorized. The stop-work order effectively prevents the company from accessing the remaining $230 million that had been designated for upcoming clinical trials, representing a significant financial setback for the vaccine development project.
Despite the overall suspension, Kennedy’s order does allow Vaxart to continue invoicing HHS for medical monitoring of participants from early trials. This provision ensures continued safety oversight for individuals who had already begun participation in preliminary testing phases. The contract was originally part of the Biden administration’s broader $4.7 billion Project NextGen initiative, which aimed to develop next-generation vaccines and treatments for COVID-19 and other potential pandemic threats.
“While it is crucial that the Department of Health and Human Services (HHS) support pandemic preparedness, four years of the Biden administration’s failed oversight have made it necessary to review agreements for vaccine production, including Vaxart’s,” Kennedy said in a statement.
Kennedy also added that he is willing to work with vaccine manufacturers to ensure that future products are safe…and actually effective.
“I look forward to working with Vaxart and medical experts to ensure this work produces safe, effective, and fiscal-minded vaccine technology,” he added.
