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1 H.R. 2374, Stop STALLING Act 1 (May 13, 2019)

handle is hein.congrec/stpsll0001 and id is 1 raw text is: 



Congressional Budget Office
Cost Estimate


May 13, 2019


By Fiscal Year, Milions of Dollars   2019              2019=2024            2019o2029
Direct Spending (Outlays)               0                 -42                    -98


Revenues

Deficit Effect


0

0


  8

-50


  18

-117


H.R. 2374 would authorize the Federal Trade Commission (FTC) to initiate a civil action
against any persons involved with submitting certain petitions to the Food and Drug
Administration (FDA) that are objectively without merit and who use the agency's
administrative review process for the purpose of interfering with the business of a
competitor. Such persons would be liable for violating the FTC Act. (Under the bill, the term
persons includes individuals or entities.)

Under current law, section 505(q) of the Federal Food, Drug, and Cosmetic Act governs how
certain petitions submitted to FDA are treated. Such petitions request FDA to take or refrain
from taking an action by the agency that could delay approval of pending marketing
applications, including applications for lower priced generic and biosimilar drugs. FDA's
draft guidance details how FDA assesses whether a petition is submitted with the primary
purpose of delaying the approval of an application. If such a determination is made, FDA
may summarily deny the petition if it also does not on its face raise valid scientific or
regulatory issues. FDA may refer such cases to the FTC, although a recent appellate court
ruling limits FTC's litigation authority in this area.

In addition to establishing a statutory framework for FTC's litigation authority, the bill also
would allow FTC to impose civil penalties and seek other appropriate relief in district court
from parties that violate antitrust law in this area. If FDA determines that a petition was
submitted primarily to delay approval of a marketing application and refers it to the FTC, the


                 See also CBO's Cost Estimates Explained, www.cbo.gov/publication /54437;
  How CBO Prepares Cost Estimates, www.cbo.gov/publication/53519; and Glossary, www.cbo.gov/publication/42904.

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