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The provision of Personal Protective Equipment (PPE) for COVID-19 demanded initiatives beyond the sole provision of physical artifacts, urging the development of new services and system innovations in order to produce effective solutions. In this paper the authors report one of such initiatives, where a streetwear brand (ÖUS) and Paraná Federal University have joined efforts to develop a sustainable Product-Service System for mask provision, aiming at the protection of vulnerable school children in the surrounding area of a shoe manufacturing plant in the state of Ceará, one of the epicenters of the pandemic in the country. This consisted of an Action Design Research where, due to the pandemic context, all participants were in social isolation and, therefore, the design process was carried out remotely. In the article, the authors explore in-depth the induction of a more distributed economy paradigm on the PSS Design. A distributed approach presents itself more aligned with the health requirements during pandemic, with a higher potential to contain locally the flow of people. Furthermore, it also addresses the need for generating income locally, thus merging the health and economic concerns of the pandemic. [ABSTRACT FROM AUTHOR]