PROTECTING SMALL BUSINESS, PROMOTING ENTREPRENEURSHIP

Advocate for Entrepreneurs on H.R. 3: Punishing to Innovation, Puts Drug Consumers at Risk

By at 12 December, 2019, 11:29 am

NEWS

For Immediate Release

Washington, D.C. – Today, the U.S. House of Representatives is scheduled to vote on the “Lower Drug Costs Now Act of 2019,” H.R. 3, and the Small Business & Entrepreneurship Council (SBE Council) is urging Members to vote no on the damaging legislation. In a letter to U.S. House members, SBE Council president & CEO Karen Kerrigan wrote that H.R. 3 undermines and erodes innovation and investment, and “in the end would harm consumers and America’s global leadership in the bio-pharmaceutical sector.”

On Dec. 12, Kerrigan joined radio host Jim Blasingame to review H.R. 3’s harm and danger to health consumers, U.S. innovation and small companies that drive breakthroughs in the bio-pharmaceutical industry. Listen to the 6-minute segment by clicking the image above.

In the letter, Kerrigan also reminded House members about the dominant role that entrepreneurs and innovative small companies play in this critical industry:

“The price controls and taxes (an excise tax as high as 95%) embedded in H.R. 3 would disincentive risk-taking and prevent the innovative breakthroughs that save lives. Small innovative companies are responsible for the lion’s share of these groundbreaking innovations, and H.R. 3 will erect significant barriers to their work. Among U.S. pharmaceutical and medicine manufacturing firms, 57% have less than 20 workers and 79% have less than 100 workers. This critical industry is all about risk-taking entrepreneurs. They are passionate about saving lives. Policies should encourage this noble and critical work, not punish or impede it.”

She added that the partisan H.R. 3 is a missed opportunity to lower drug costs, and the House needs to pursue bipartisan solutions – such as the many common-ground provisions in H.R. 19, the “Lower Costs, More Cures Act.”  Members of the House will have the opportunity to vote for H.R. 19 today as a substitute amendment, and SBE Council strongly encourages each and every member to do so. According to the Council of Economic Advisers, H.R. 3’s price controls and punishing excise tax could remove as many as 100 critical drugs from the marketplace.

Kerrigan bemoaned the missed bipartisan opportunity to address drug costs and distortions in government programs through common-ground proposals:

“For all the right reasons, H.R. 3 is not going anywhere in the Senate and President Trump said he would veto the legislation. It appears the Democrat leadership in the House is all-in on partisanship, and unfortunately hard-working Americans are on the receiving end of their willfulness. The American people, including small business owners, want solutions to their pain points not this needless polarization that is driving activity in the Democrat-controlled House,” said Kerrigan.

Contact: 

Karen Kerrigan, SBE Council president & CEO

e-mail: kkerrigan@sbecouncil.org

SBE Council is nonpartisan advocacy, research and education organization dedicated to protecting small business and promoting entrepreneurship. For 25 years, SBE Council has worked on and advanced a range of private sector and public policy initiatives to strengthen the ecosystem for strong startup activity and small business growth. Visit www.sbecouncil.org for additional information. Twitter: @SBECouncil

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