• Decrease font size
  • Return font size to normal
  • Increase font size
U.S. Department of Health and Human Services

About FDA

  • Print
  • Share
  • E-mail

FY 2001 PDUFA Financial Report: Appendix B

Table of Contents

Previous Section: Appendix A: Conditions for Assessment and Use of Fees

Beginning in FY 1993, PDUFA directed FDA to waive or reduce fees in five different circumstances:

  • when a waiver is necessary to protect the public health;
  • when a fee is a significant barrier to innovation;
  • when the fees paid exceed FDA's costs of reviewing a firm's human drug applications;
  • when imposition of the fee creates an inequity between certain 505(b) (1) and 505(b)(2) human drug applications and;
  • when a sponsor withdraws a pending human drug application after FDA has filed it, but before FDA has performed substantial work on the marketing application.

In addition, under FDAMA new exemptions from fees have been added beginning in FY 1998. These specific exemptions are automatic and do not require a waiver request. They include:

  • human drug applications for designated orphan products (designated for rare diseases or conditions affecting fewer than 200,000 patients in the United States);
  • supplemental applications for pediatric indications for use.

Beginning in FY 1998, FDAMA also provides a waiver for certain small businesses for the full application fee for the first application submitted. Before FY 1998, only half of the application fee was waived for small businesses.

The additional statutory exemptions in FY 1998 resulted in a substantial loss of revenue, as can be seen at the top of the chart on the next page. The increased number of exemptions required by FDAMA amendments reduced the number of applications that paid fees.

Fees may be waived or reduced under the waiver provisions of the statute. Many of the application fee waiver requests FDA received in the past pertained to orphan products; since designated orphan products are now given automatic exemptions, the number of waiver requests for waivers of application fees has decreased substantially.

The tables on the following page summarize the exemption and waiver actions taken by FDA for fees payable in FY's 1998, 1999, 2000 and 2001, and pending waiver requests for fees payable from the same periods.

  FY 1998 FY 1999 FY 2000 FY 2001
Exempted Application Fees        
Orphan Product 16.0 14.5 16.3 14.5
Pediatric Supplements 8.0 5.3 12.6 19.0
Small Business 15.0 7.0 8.3 12.0
Total Exemptions 39.0 26.8 37.1 45.5
TOTAL-- Exemptions Granted $10,016,994 $7,283,544 $10,608,098 $14,088,939
Waivers Granted        
Waivers Approved 5.0 4.5 8.3 10.3
Value of Waivers Approved $1,104,269 $1,225,269 $2,357,355 $3,173,882
Waivers Approved 53.0 24.0 19.0 12.0
Value of Waivers Approved $948,009 $440,736 $379,221 $262,704
Waivers Approved 20.0 12.5 11.5 8.3
Value of Waivers Approved $2,329,436 $1,604,795 $1,636,926 $1,211,709
TOTAL-- Waivers Granted: $4,381,714 $3,270,800 $4,373,502  
Waivers Pending Decisions        
  FY 1993 Through FY 1998 FY 1999 FY 2000 FY 2001
Waivers Pending       2
Allowance for Pending Waivers   $0 $0 $619,294
Waivers Pending 4 6.0 9.0 15.0
Allowance for Pending Waivers $68,373 $110,184 $179,631 $328,380
Waivers Pending 1.5 1.5 5.2 6.8
Allowance for Pending Waivers $206,283 $192,653 $738,249 $990,681
TOTAL -- Waivers Pending $274,656 $302,837 $917,880 $1,938,355



Next Section: Appendix C: Allowable and Excluded Costs for the Process for the Review of Human Drug Applications