U.S. Senate Overwhelmingly Approves Budget Amendment Calling for Repeal of the Medical Device Tax

Florida Medical Manufacturers Consortium Logo

TALLAHASSEE, Fla., March 22, 2013 (GLOBE NEWSWIRE) -- With a sonic boom of uncommon bi-partisan support, the U.S. Senate last night overwhelmingly passed a budget amendment expressing strong support for repeal of ObamaCare's medical device tax. The non-binding amendment to the annual Budget Resolution passed 79-20, with 33 Democrats and one Independent joining all Senate Republicans in passing the measure. Both of Florida's Senators, Marco Rubio and Bill Nelson, voted in favor of the amendment.

"The Florida Medical Manufacturers Consortium would like to express our deep appreciation to Senators Rubio and Nelson for standing with Florida's medical device manufacturers in supporting this budget amendment," said Geary Havran, FMMC Chairman, and President and CEO of NDH Medical, Inc. "The U.S. Senate has spoken that it wants to undo this bad tax, and we urge them to work quickly to find a fiscal solution allowing for its permanent repeal."

"Bi-partisan majorities in both the U.S. Senate and House of Representatives now agree that the medical device tax was a bad idea and should be repealed," said John Ray, Executive Director of the FMMC. "This tax poses a clear and present danger to Florida's leadership position in the medical manufacturing sector, and the U.S. Congress should seize this bi-partisan momentum to end the medical device tax immediately."

Florida is home to one of our nation's largest medical device economies – encompassing 662 medical device manufacturers, employing nearly 21,000 Floridians and paying an average annual wage of more than $60,000. Florida ranks 3rd nationally in the number of FDA-registered medical device establishments. The vast majority of Florida medical device manufacturers (80%+) are small, entrepreneurial firms, employing fewer than 25 people.

As part of national health care reform, Congress passed a 2.3% excise tax on most types of medical devices. Effective January 1, 2013, this $30 billion tax is based on sales, not profit, and is doing the most harm to small-to-midsize medical device companies – the lifeblood of Florida's medical device industry. Medical device manufacturers have paid an estimated $388,000,000 to the Internal Revenue Service (IRS) so far this year.

The Florida Medical Manufacturers Consortium (FMMC) is a statewide association of medical technology firms that make everything from bandages and tubing, to precision surgical tools and implantable devices. The FMMC exists to unite, promote and grow the Florida Medical Device Industry, and to enhance the business success of its member companies.

The Florida Medical Manufacturers Consortium logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=17600

CONTACT: John Ray Florida Medical Manufacturers Consortium (850) 270-3158 or director@FloridaMedTech.com www.FloridaMedTech.com

Source:Florida Medical Manufacturers Consortium