(CHICAGO) February 25, 2016 – This week NAMA joined with more than 70 organizations in signing a letter to Congress regarding the President’s Fiscal Year (2017) proposed user fees to assist in funding the Food and Drug Administration’s (FDA) budget.
The letter, addressed to the Chairmen and Ranking Members of the House and Senate Appropriations Committees, requests they allocate adequate funding for the FDA’s food safety activities as the respective committees examine the President’s fiscal year (FY) 2017 budget request. Currently, the Administration's proposed FY 2017 budget for the FDA includes a proposal to impose a food facility registration and inspection fee to fund agency activities related to the Food Safety Modernization Act (FSMA).
If Congress authorizes the requested fees, the FDA projects it will collect $61.3 million in FY 2017 from food and feed producers, makers and distributors. A food import fee is also proposed, with projected revenues of $105.3 million in FY 2017. In fiscal years 2012 through 2016, the FDA’s budget request recommended raising revenue from new facility registration fees to help fund the agency’s food safety activities. Congress rejected those proposals, as well as food facility registration fees during its passage of FSMA in 2011.
“Imposing new regulatory taxes is the wrong choice for funding food safety programs, and Congress has rightly rejected such fees each time they have been proposed by the Administration,” said Eric Dell, NAMA Senior Vice President of Government Affairs. “Congress should provide adequate funding for the FDA and not rely on new food taxes or regulatory fees that negatively impact many small businesses in the food and beverage industry and their consumers,” he continued.
“The creation of new food taxes or regulatory fees creates higher costs for food. Thus, NAMA stands with our coalition partners in requesting that Congress provide sufficient funding for federal food safety programs through appropriations rather than new taxes and regulatory fees.”
Founded in 1936, NAMA is the association representing the $25 billion U.S. vending and refreshment service industry. With more than 1250 member companies – including many of the world’s most recognized brands – NAMA provides advocacy, education and research for its membership. Visit NAMA on Facebook, Twitterand LinkedIn.
