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FDA's $1.9 Billion Budget Proposal Banks on User Fee Revenues
Theadministration's 2006 federal budget proposal released Mondayincludes $1.90 billion for the US Food and Drug Administration(Rockville, MD, www.fda.gov): $1.52billion to be funded from tax revenues and $0.38 billion from industryfees.
The budget request is $86 million (4.7%) higher than this year's$1.81 billion. The scheduled increase comes disproportionately fromincreases in user fee revenues, projected to increase $32 million(11.3%) from 2005 levels. The fee revenues include $20.9 million inPrescription Drug User Fee Act (PDUFA) levies, $6.4 million for medicaldevice review, $3.0 million for animal drug review, and smaller amountsfor programs in mammography inspection, export certification, and colorcertification.
The proposal allocates most of the scheduled $54-million increase(3.8%) in taxpayer-funded budget to the food anti-terrorism program, acollaboration of FDA, the US Department of Agriculture's Food Safetyand Inspection Service, and the White House Homeland Security Council.Food defense funding would increase by $30.1 million (20%) to total$180 million in 2006.
Of the remaining $24 million in increased tax support, $6.0 millionis earmarked for improving medical device review under the MedicalDevice User Fee and Modernization Act, $5.0 million will go to theCenter for Drug Evaluation's Office of Drug Safety for post-marketingmonitoring, and $15.2 million for facilities and relocation expenses.(The earmarks exceed the increase: the agency plans to offset theseexpenditures with savings, including $1.6 million from administrativeefficiencies and $5.1 million by consolidating or postponinginformation technology projects.)