Hatch-Klobuchar Amendment Major Step Toward Reinvigorating Domestic Medical Device Industry, Saving Jobs and Improving Healthcare

Cook Medical is gratified and U.S. patients are thankful for the bipartisan vote in the U.S. Senate on Thursday that overwhelmingly passed the Hatch-Klobuchar amendment to the Senate Budget Resolution to repeal the 2.3 percent tax on medical device sales in the United States.

Indiana Senators Dan Coats and Joe Donnelly, Pennsylvania Senators Bob Casey Jr. and Pat Toomey, Illinois Senators Dick Durbin and Mark Kirk, and North Carolina Senators Richard Burr and Kay Hagan deserve praise for their leadership in co-sponsoring the amendment and joining with colleagues to cast 79 votes favoring repeal, Cook officials said.

The amendment recognizes that patient care, jobs and the vitality of one of the nation’s most innovative industries depend on tax policies that spur breakthroughs and do not punish innovators.

“Work still needs to be done, as the vote for repeal of the tax was non-binding,” said Cook Group Chairman Steve Ferguson. “This tax on gross sales threatens regional economic vitality, badly needed jobs and patients’ hopes for new, life-saving products and treatments. Thousands of lay-offs in the U.S. have already occurred because of this tax. We are pleased for the support an American industry that is the envy of the world.”

Work for repeal started in the 2012 U.S. House with its bi-partisan vote, 270-146, to repeal the tax and continued this year with new repeal bills in the House and U.S. Senate.

“American employees and patients appreciate the support of the House and Senate and hope they will finish the job that was started with Thursday’s Senate vote,” Ferguson said. “We need to protect jobs and patients in the U.S. by moving promptly to repeal this tax.”

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A global pioneer in medical breakthroughs, Cook Medical is committed to creating effective solutions that benefit millions of patients worldwide. Today, we combine medical devices, drugs, biologic grafts and cell therapies across more than 16,000 products serving more than 40 medical specialties. Founded in 1963 by a visionary who put patient needs and ethical business practices first, Cook is a family-owned company that has created more than 10,000 jobs worldwide. For more information, visit Follow Cook Medical on Twitter and LinkedIn.