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Public Statements

Providing for Consideration of H.R. 436, Health Care Cost Reduction Act of 2012, and Providing for Consideration of H.R. 5882, Legislative Branch Appropriations Act, 2013

Floor Speech

By:
Date:
Location: Washington, DC

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Mr. SESSIONS. Mr. Speaker, today, once again, we're on the floor of the House of Representatives with our friends on the other side of the aisle arguing about how we tax the American people, how if we're going to take this tax out we've got to replace it with another tax. Good gosh, aren't energy prices high enough already? Why do we want to pass that on to consumers and make gasoline more expensive? It does not make sense, and that's why we are here today to repeal a tax.

Mr. Speaker, what is the tax we're talking about? It is a tax on business, on high tech. It is on medical devices that have allowed America to lead the world in solving problems, to give people medical devices, things that will make their lives even better.

Mr. Speaker, I received a letter from Walter J. Humann, president and CEO, OsteoMed. He came and met with me at my office and then sent me a letter. Here's what Mr. Humann said--and I believe he represents not just the industry, but thousands of people, patients also who rely on high-tech and medical devices that would be without. He said:

In addition to challenges with the FDA and reimbursement, this 2.3 percent excise tax--which is on gross sales, whether or not a business has any profits or not--will directly impact our ability to create new jobs, invest in research and development and effectively compete in a global marketplace.

Further, he says:

It should be noted that OsteoMed is also aggressively re-directing its business focus to international markets that provide a less cumbersome and lengthy regulatory pathway with revenue streams that are not subject to the medical device tax ..... immediately saving 2.3 percent in the process. In the past month, OsteoMed initiated the search for sales managers in China and the Middle East to supplement recent managers hired in Korea and Italy.

Mr. Speaker, this is not just a tax. It is not just making it more difficult for employers to hire people. But it will stop America's innovative-ness to compete in the future.

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