Medical Device Tax
Senator Franken supported efforts to ensure that the Affordable Care Act does not add to our country's deficit, but he also agrees that the medical device industry should not bear an unfair burden of paying for health reform. Minnesota's medical device industry creates jobs and improves patients' lives, and during the health care debate Senator Franken was concerned that a tax on medical devices would stifle technological innovation. He believed there were better ways to pay for health reform, like incentivizing high-value health care, eliminating inefficient paperwork, and controlling health insurance company profits.
As a member of the Senate Health, Education, Labor, and Pensions Committee, Senator Franken worked for months with Finance Committee Chairman Max Baucus, a Democrat from Montana and Majority Leader Harry Reid, a Democrat from Nevada, to try to reduce the proposed medical device tax, the tax was successfully cut in half, from $40 billion to $20 billion. While this was a tremendous improvement, Senator Franken will be fighting hard to continue to further reduce the unfair burden on the medical device industry.
Senator Franken is proud that Minnesota is a leader in medical device innovation. Companies in our state are responsible for the devices that people all over the country rely on to keep them healthy. The medical device industry also provides thousands of high-quality jobs in Minnesota, and Senator Franken believes that these companies should have the capital available to invest in research and development and continue to be a vital part of our state's economy.
More information on Sen. Franken's work on behalf of Minnesota's medical device community is available here.