Renewal of USPTO Fee Setting Authority: Giving Full Effect to the America Invents Act

The House Judiciary GOP subcommittee held a hearing on September 2, 2026, to discuss the renewal of the United States Patent and Trademark Office's (USPTO) fee setting authority under the America Invents Act (AIA). The hearing focused on the importance of maintaining the USPTO's ability to set and adjust fees to ensure stable funding for patent examination, technology investments, and workforce development. Witnesses, including former USPTO officials and intellectual property experts, emphasized that the USPTO is entirely fee-funded and that fee setting authority allows the agency to respond dynamically to workload changes, such as surges in patent applications driven by emerging technologies like AI. The discussion also addressed concerns about recent USPTO policy changes, particularly discretionary denials in Patent Trial and Appeal Board (PTAB) proceedings, which some argue undermine the AIA's intent to provide efficient alternatives to federal court litigation. Several witnesses advocated for reauthorization of fee setting authority with enhanced transparency, advisory committee involvement, and safeguards to prevent abuse of the patent system, especially to protect small and micro entities from costly and frivolous patent challenges. The hearing included debate on fee structures, the impact of AI on patent filings, and the need for legislative reforms such as the Prevail Act to restore balance in patent dispute resolution. No specific contract awards or procurement decisions were discussed, but the policy and budget implications of USPTO's fee setting authority were central to the hearing.