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Contrary to "One Industry's Hold on the Senate" (editorial, April 2), overwhelming bipartisan majorities in Congress want to repeal the medical device tax because they understand how important medical technology is to our economy and patient care.
Medical technology is an American success story, but our world leadership in this sector is increasingly threatened, along with the good jobs, economic growth and new treatments that come with that leadership. The tax creates a heavy additional burden, and dramatically increases the already uncompetitive United States corporate tax rate.
Money to pay the tax comes from somewhere: reduced jobs, research cuts or more likely both. Thousands have already been laid off, and analyses show that the tax threatens as many as 40,000 American jobs.
The industry will reap little, if any, new business from health care reform, certainly not enough to offset the tax. Repealing it won't harm health reform's laudable goals. The tax is simply bad public policy.
STEPHEN J. UBL
GAIL M. RODRIGUEZ
MARK B. LEAHEY
Washington, April 4, 2013
The writers are, respectively, president and chief executive of AdvaMed (Advanced Medical Technology Association); executive director of the Medical Imaging and Technology Alliance; and president and chief executive of the Medical Device Manufacturers Association.
To the Editor:
Taxing the medical device industry is poor policy when applied across the board. You argue that devices "are not purchased directly by consumers," and therefore a price increase will not affect demand. If only that were so.
While there are few, if any, artificial joints and pacemakers that are directly sold to consumers, it is certainly not true for other devices like wheelchairs that are swept into this device tax.
Medical devices aim to mitigate disability and keep people functionally independent and gainfully employed. Yet in many cases, people must pay out of pocket to get the devices they need to remain functionally independent. Functional independence is not considered medically necessary according to the Health and Human Services Department, particularly for wheelchair users.
United Spinal Association's members, most of whom have spinal cord injuries or disorders, need a robust and vibrant medical device industry to provide and maintain access to employment, education and community integration. In combination with the Health and Human Services Department's poorly designed medical equipment bidding program, this device tax will further harm an industry under siege and have a direct, negative effect upon the lives of people with disabilities.
PAUL J. TOBIN
President and Chief Executive
United Spinal Association
East Elmhurst, Queens, April 3, 2013
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