The second paragraph in the link you shared says the following:
It is intended that the new public-key cryptography standards will specify one or more additional unclassified, publicly disclosed digital signature, public-key encryption, and key-establishment algorithms that are capable of protecting sensitive government information well into the foreseeable future, including after the advent of quantum computers.
So it appears that they want both key establishment algorithms (what you refer to as "public key distribution method") as well as public key encryption algorithms (and digital signature algorithms too).