The Medical Device Manufacturers Association Board of Directors has unanimously voted to oppose any device tax as part of healthcare reform bills moving through Congress.
“The overwhelming majority of innovation from the medical device industry comes from smaller manufacturers who work closely with clinicians and engineers to develop the therapies and treatments of tomorrow. If enacted, this tax will stifle innovation, harm patient care and weaken the position of the U.S. as the global leader inmedical device innovation,” said MDMA Chairman Joe Kiani, who also serves as chairman and CEO of Irvine, Calif.-based Masimo Corporation, a manufacturer of patient monitoring devices.
MDMA President and CEO Mark Leahey feels similarly: “There can be little doubt—the proposed tax will have a cascading effect upon innovation, access to technology and employment in the industry.”
On Tuesday, MDMA sent a letter to Senate Finance Chairman Max Baucus (D-Mont.) and ranking member Charles Grassley (R-Iowa) expressing its “steadfast opposition” to the tax and stated that “if enacted, this fee would have a devastating impact on innovation, investment and the nation’s economy."
A vote on healthcare reform legislation in the Senate Finance Committee is slated for Tuesday.
MDMA is a Washington, D.C.-based national trade association that provides educational and advocacy assistance to medical technology companies.