83_FR_49014 83 FR 48826 - Fee for Using a Rare Pediatric Disease Priority Review Voucher in Fiscal Year 2019

83 FR 48826 - Fee for Using a Rare Pediatric Disease Priority Review Voucher in Fiscal Year 2019

DEPARTMENT OF HEALTH AND HUMAN SERVICES
Food and Drug Administration

Federal Register Volume 83, Issue 188 (September 27, 2018)

Page Range48826-48829
FR Document2018-21033

The Food and Drug Administration (FDA or the Agency) is announcing the fee rate for using a rare pediatric disease priority review voucher for fiscal year (FY) 2019. The Federal Food, Drug, and Cosmetic Act (FD&C Act), as amended by the Food and Drug Administration Safety and Innovation Act (FDASIA), authorizes FDA to determine and collect rare pediatric disease priority review user fees for certain applications for review of human drug or biological products when those applications use a rare pediatric disease priority review voucher. These vouchers are awarded to the applicants of rare pediatric disease product applications that meet all of the requirements of this program and that are submitted 90 days or more after July 9, 2012, upon FDA approval of such applications. The amount of the fee for using a rare pediatric disease priority review voucher is determined each FY, based on the difference between the average cost incurred by FDA to review of a human drug application designated as priority review in the previous FY and the average cost incurred in the review of an application that is not subject to priority review in the previous FY. This notice establishes the rare pediatric disease priority review fee rate for FY 2019 and outlines the payment procedures for such fees.

Federal Register, Volume 83 Issue 188 (Thursday, September 27, 2018)
[Federal Register Volume 83, Number 188 (Thursday, September 27, 2018)]
[Notices]
[Pages 48826-48829]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-21033]


-----------------------------------------------------------------------

DEPARTMENT OF HEALTH AND HUMAN SERVICES

Food and Drug Administration

[Docket No. FDA-2018-N-0007]


Fee for Using a Rare Pediatric Disease Priority Review Voucher in 
Fiscal Year 2019

AGENCY: Food and Drug Administration, HHS.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: The Food and Drug Administration (FDA or the Agency) is 
announcing the fee rate for using a rare

[[Page 48827]]

pediatric disease priority review voucher for fiscal year (FY) 2019. 
The Federal Food, Drug, and Cosmetic Act (FD&C Act), as amended by the 
Food and Drug Administration Safety and Innovation Act (FDASIA), 
authorizes FDA to determine and collect rare pediatric disease priority 
review user fees for certain applications for review of human drug or 
biological products when those applications use a rare pediatric 
disease priority review voucher. These vouchers are awarded to the 
applicants of rare pediatric disease product applications that meet all 
of the requirements of this program and that are submitted 90 days or 
more after July 9, 2012, upon FDA approval of such applications. The 
amount of the fee for using a rare pediatric disease priority review 
voucher is determined each FY, based on the difference between the 
average cost incurred by FDA to review of a human drug application 
designated as priority review in the previous FY and the average cost 
incurred in the review of an application that is not subject to 
priority review in the previous FY. This notice establishes the rare 
pediatric disease priority review fee rate for FY 2019 and outlines the 
payment procedures for such fees.

FOR FURTHER INFORMATION CONTACT: Lola Olajide, Office of Financial 
Management, Food and Drug Administration, 8455 Colesville Rd., COLE-
14541B, Silver Spring, MD 20993-0002, 240-402-4244.

SUPPLEMENTARY INFORMATION:

I. Background

    Section 908 of FDASIA (Pub. L. 112-144) added section 529 to the 
FD&C Act (21 U.S.C. 360ff). In section 529 of the FD&C Act, Congress 
encouraged development of new human drugs and biological products for 
prevention and treatment of certain rare pediatric diseases by offering 
additional incentives for obtaining FDA approval of such products. 
Under section 529 of the FD&C Act, the applicant of an eligible human 
drug application submitted 90 days or more after July 9, 2012, for a 
rare pediatric disease (as defined in section 529(a)(3)) shall receive 
a priority review voucher upon approval of the rare pediatric disease 
product application. The recipient of a rare pediatric disease priority 
review voucher may either use the voucher for a future human drug 
application submitted to FDA under section 505(b)(1) of the FD&C Act 
(21 U.S.C. 355(b)(1)) or section 351(a) of the Public Health Service 
Act (42 U.S.C. 262(a)), or transfer (including by sale) the voucher to 
another party. The voucher may be transferred (including by sale) 
repeatedly until it ultimately is used for a human drug application 
submitted to FDA under section 505(b)(1) of the FD&C Act or section 
351(a) of the Public Health Service Act. A priority review is a review 
conducted with a Prescription Drug User Fee Act (PDUFA) goal date of 6 
months after the receipt or filing date, depending on the type of 
application. Information regarding PDUFA goals is available at https://www.fda.gov/downloads/forindustry/userfees/prescriptiondruguserfee/ucm511438.pdf.
    The applicant that uses a rare pediatric disease priority review 
voucher is entitled to a priority review of its eligible human drug 
application, but must pay FDA a rare pediatric disease priority review 
user fee in addition to any user fee required by PDUFA for the 
application. Information regarding the rare pediatric disease priority 
review voucher program is available at: https://www.fda.gov/Drugs/DevelopmentApprovalProcess/DevelopmentResources/ucm375479.htm.
    This notice establishes the rare pediatric disease priority review 
fee rate for FY 2019 at $2,457,140 and outlines FDA's procedures for 
payment of rare pediatric disease priority review user fees. This rate 
is effective on October 1, 2018, and will remain in effect through 
September 30, 2019.

II. Rare Pediatric Priority Review User Fee for FY 2019

    Under section 529(c)(2) of the FD&C Act, the amount of the rare 
pediatric disease priority review user fee is determined each fiscal 
year based on the difference between the average cost incurred by FDA 
in the review of a human drug application subject to priority review in 
the previous fiscal year, and the average cost incurred by FDA in the 
review of a human drug application that is not subject to priority 
review in the previous fiscal year.
    A priority review is a review conducted with a PDUFA goal date of 6 
months after the receipt or filing date, depending on the type of 
application. Under the PDUFA goals letter, FDA has committed to 
reviewing and acting on 90 percent of the applications granted priority 
review status within this expedited timeframe. Normally, an application 
for a human drug or biological product will qualify for priority review 
if the product is intended to treat a serious condition and, if 
approved, would provide a significant improvement in safety or 
effectiveness. An application that does not receive a priority 
designation receives a standard review. Under the PDUFA goals letter, 
FDA has committed to reviewing and acting on 90 percent of standard 
applications within 10 months of the receipt or filing date depending 
on the type of application. A priority review involves a more intensive 
level of effort and a higher level of resources than a standard review.
    FDA is setting a fee for FY 2019, which is to be based on standard 
cost data from the previous fiscal year, FY 2018. However, the FY 2018 
submission cohort has not been closed out yet, thus the cost data for 
FY 2018 are not complete. The latest year for which FDA has complete 
cost data is FY 2017. Furthermore, because FDA has never tracked the 
cost of reviewing applications that get priority review as a separate 
cost subset, FDA estimated this cost based on other data that the 
Agency has tracked. FDA uses data that the Agency estimates and 
publishes on its website each year--standard costs for review. FDA does 
not publish a standard cost for ``the review of a human drug 
application subject to priority review in the previous fiscal year.'' 
However, we expect all such applications would contain clinical data. 
The standard cost application categories with clinical data that FDA 
publishes each year are: (1) New drug applications (NDAs) for a new 
molecular entity (NME) with clinical data and (2) biologics license 
applications (BLAs).
    The standard cost worksheets for FY 2017 show standard costs of 
$5,340,560 for an NME NDA, and $4,596,936 for a BLA. Based on these 
standard costs, the total cost to review the 57 applications in these 
two categories in FY 2017 (31 NME NDAs with clinical data and 26 BLAs) 
was $285,077,688. (Note: These numbers exclude the President's 
Emergency Plan for AIDS Relief NDAs; no investigational new drug (IND) 
review costs are included in this amount.) Thirty-three of these 
applications (20 NDAs and 13 BLAs) received priority review, which 
would mean that the remaining 24 received standard reviews. Because a 
priority review compresses a review schedule that ordinarily takes 10 
months into 6 months, FDA estimates that a multiplier of 1.67 (10 
months / 6 months) should be applied to non-priority review costs in 
estimating the effort and cost of a priority review as compared to a 
standard review. This multiplier is consistent with published research 
on this subject which supports a priority review multiplier in the 
range of 1.48 to 2.35 (Ref. 1). Using FY 2017 figures, the costs of a 
priority and standard review

[[Page 48828]]

are estimated using the following formula:

(33 [alpha] x 1.67) + (24[alpha]) = $285,077,688

where ``[alpha]'' is the cost of a standard review and ``[alpha] times 
1.67'' is the cost of a priority review. Using this formula, the cost 
of a standard review for NME NDAs and BLAs is calculated to be 
$3,603,561 (rounded to the nearest dollar) and the cost of a priority 
review for NME NDAs and BLAs is 1.67 times that amount, or $6,017,946 
(rounded to the nearest dollar). The difference between these two cost 
estimates, or $2,414,386, represents the incremental cost of conducting 
a priority review rather than a standard review.
    For the FY 2019 fee, FDA will need to adjust the FY 2017 
incremental cost by the average amount by which FDA's average costs 
increased in the 3 years prior to FY 2018, to adjust the FY 2017 amount 
for cost increases in FY 2018. That adjustment, published in the 
Federal Register on August 1, 2018 (83 FR 37504), setting the FY 2019 
PDUFA fee, is 1.7708 percent for the most recent year, not compounded. 
Increasing the FY 2017 incremental priority review cost of 2,414,386 by 
1.7708 percent (or 0.017708) results in an estimated cost of $2,457,140 
(rounded to the nearest dollar). This is the rare pediatric disease 
priority review user fee amount for FY 2019 that must be submitted with 
a priority review voucher for a human drug application in FY 2019, in 
addition to any PDUFA fee that is required for such an application.

III. Fee Schedule for FY 2019

    The fee rate for FY 2019 is set out in table 1:

  Table 1--Rare Pediatric Disease Priority Review Schedule for FY 2019
------------------------------------------------------------------------
                                                         Fee rate for FY
                      Fee category                             2019
------------------------------------------------------------------------
Application submitted with a rare pediatric disease          $2,457,140
 priority review voucher in addition to the normal
 PDUFA fee.............................................
------------------------------------------------------------------------

IV. Implementation of Rare Pediatric Disease Priority Review User Fee

    Under section 529(c)(4)(A) of the FD&C Act, the priority review 
user fee is due (i.e., the obligation to pay the fee is incurred) when 
a sponsor notifies FDA of its intent to use the voucher. Section 
529(c)(4)(B) of the FD&C Act specifies that the application will be 
considered incomplete if the priority review user fee and all other 
applicable user fees are not paid in accordance with FDA payment 
procedures. In addition, section 529(c)(4)(C) specifies that FDA may 
not grant a waiver, exemption, reduction, or refund of any fees due and 
payable under this section of the FD&C Act.
    The rare pediatric disease priority review fee established in the 
new fee schedule must be paid for any application that is received on 
or after October 1, 2018. In order to comply with this requirement, the 
sponsor must notify FDA 90 days prior to submission of the human drug 
application that is the subject of a priority review voucher of an 
intent to submit the human drug application, including the date on 
which the sponsor intends to submit the application.
    Upon receipt of this notification, FDA will issue an invoice to the 
sponsor who has incurred a rare pediatric disease priority review 
voucher fee. The invoice will include instructions on how to pay the 
fee via wire transfer or check.
    As noted in section II, if a sponsor uses a rare pediatric disease 
priority review voucher for a human drug application, the sponsor would 
incur the rare pediatric disease priority review voucher fee in 
addition to any PDUFA fee that is required for the application. The 
sponsor would need to follow FDA's normal procedures for timely payment 
of the PDUFA fee for the human drug application.
    Payment must be made in U.S. currency by electronic check, check, 
bank draft, wire transfer, credit card, or U.S. postal money order 
payable to the order of the Food and Drug Administration. The preferred 
payment method is online using electronic check (Automated Clearing 
House (ACH) also known as eCheck). Secure electronic payments can be 
submitted using the User Fees Payment Portal at https://userfees.fda.gov/pay. (Note: only full payments are accepted. No 
partial payments can be made online.) Once you search for your invoice, 
select ``Pay Now'' to be redirected to Pay.gov. Note that electronic 
payment options are based on the balance due. Payment by credit card is 
available for balances that are less than $25,000. If the balance 
exceeds this amount, only the ACH option is available. Payments must be 
made using U.S bank accounts as well as U.S. credit cards.
    If paying with a paper check the invoice number should be included 
on the check, followed by the words ``Rare Pediatric Disease Priority 
Review.'' All paper checks must be in U.S. currency from a U.S. bank 
made payable and mailed to: Food and Drug Administration, P.O. Box 
979107, St. Louis, MO 63197-9000.
    If checks are sent by a courier that requests a street address, the 
courier can deliver the checks to: U.S. Bank, Attention: Government 
Lockbox 979107, 1005 Convention Plaza, St. Louis, MO 63101. (Note: This 
U.S. Bank address is for courier delivery only. If you have any 
questions concerning courier delivery contact the U.S. Bank at 314-418-
4013. This telephone number is only for questions about courier 
delivery.) The FDA post office box number (P.O. Box 979107) must be 
written on the check. If needed, FDA's tax identification number is 53-
0196965.
    If paying by wire transfer, please reference your invoice number 
when completing your transfer. The originating financial institution 
may charge a wire transfer fee. If the financial institution charges a 
wire transfer fee it is required to add that amount to the payment to 
ensure that the invoice is paid in full. The account information is as 
follows: U.S. Dept. of Treasury, TREAS NYC, 33 Liberty St., New York, 
NY 10045, Account Number: 75060099, Routing Number: 021030004, SWIFT: 
FRNYUS33.

V. Reference

    The following reference is on display at the Dockets Management 
Staff (HFA-305), Food and Drug Administration, 5630 Fishers Lane, Rm. 
1061, Rockville, MD 20852) and is available for viewing by interested 
persons between 9 a.m. and 4 p.m., Monday through Friday; it is not 
available electronically at https://www.regulations.gov as this 
reference is copyright protected. FDA has verified the website address, 
as of the date this document publishes in the Federal Register, but 
websites are subject to change over time.

1. Ridley, D.B., H.G. Grabowski, and J.L. Moe, ``Developing Drugs 
for Developing Countries,'' Health Affairs, vol. 25, no. 2, pp. 313-
324, 2006, available at: https://faculty.fuqua.duke.edu/~willm/
HSM_RA/Documents/HA2006_Ridley_Vouchers.pdf.


[[Page 48829]]


    Dated: September 20, 2018.
Leslie Kux,
Associate Commissioner for Policy.
[FR Doc. 2018-21033 Filed 9-26-18; 8:45 am]
 BILLING CODE 4164-01-P



                                               48826                    Federal Register / Vol. 83, No. 188 / Thursday, September 27, 2018 / Notices

                                               such as medical information, your or                    information on the cover sheet and not                effectively and quickly as possible. FDA
                                               anyone else’s Social Security number, or                in the body of your comments and you                  seeks comment on this draft guidance,
                                               confidential business information, such                 must identify this information as                     including scope of the term ‘‘retail
                                               as a manufacturing process. Please note                 ‘‘confidential.’’ Any information marked              consignee’’ as used in this document,
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                                               identifies you in the body of your                      and other applicable disclosure law. For              to consumers to identify recalled food in
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                                               posted on https://www.regulations.gov.                  of comments to public dockets, see 80                 information that would be of the most
                                                 • If you want to submit a comment                     FR 56469, September 18, 2015, or access               use to consumers to help them identify
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                                                                                                       Staff, 5630 Fishers Lane, Rm. 1061,
                                               Drug Administration, 5630 Fishers                                                                             draft guidance is not subject to
                                                                                                       Rockville, MD 20852.
                                               Lane, Rm. 1061, Rockville, MD 20852.                                                                          Executive Order 12866.
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                                               Certain Human and Animal Food                                                                                 7.53, 7.55, and 7.59 have been approved
                                               Recalls; Draft Guidance for Industry and                the SUPPLEMENTARY INFORMATION section
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                                               Submissions,’’ publicly viewable at                     Chris Henderson, Office of Regulatory                 may obtain the draft guidance at either
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                                               Dockets Management Staff between 9                      Food and Drug Administration, 12420                   default.htm or https://
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                                                  • Confidential Submissions—To                        fda.hhs.gov.
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                                                                                                       SUPPLEMENTARY INFORMATION:
                                               information that you do not wish to be                                                                        Associate Commissioner for Policy.
                                               made publicly available, submit your                    I. Background                                         [FR Doc. 2018–21042 Filed 9–26–18; 8:45 am]
                                               comments only as a written/paper                           FDA is announcing the availability of              BILLING CODE 4164–01–P
                                               submission. You should submit two                       a draft guidance for industry and FDA
                                               copies total. One copy will include the                 staff entitled ‘‘Public Availability of
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                                               with a heading or cover note that states                Certain Human and Animal Food                         HUMAN SERVICES
                                               ‘‘THIS DOCUMENT CONTAINS                                Recalls.’’ The draft guidance, when
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                                               CONFIDENTIAL INFORMATION.’’ The                         finalized, establishes guidance for
                                               Agency will review this copy, including                 industry and FDA staff on how and                     [Docket No. FDA–2018–N–0007]
                                               the claimed confidential information, in                when FDA intends to publicize retail
                                               its consideration of comments. The                      consignees that may have received                     Fee for Using a Rare Pediatric Disease
                                               second copy, which will have the                        recalled foods. FDA’s goal is to                      Priority Review Voucher in Fiscal Year
                                               claimed confidential information                        publicize retail consignee lists for these            2019
daltland on DSKBBV9HB2PROD with NOTICES




                                               redacted/blacked out, will be available                 food recalls, especially those that are               AGENCY:    Food and Drug Administration,
                                               for public viewing and posted on                        likely to be classified as Class I recalls,           HHS.
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                                                                        Federal Register / Vol. 83, No. 188 / Thursday, September 27, 2018 / Notices                                          48827

                                               pediatric disease priority review                       transferred (including by sale)                       receives a standard review. Under the
                                               voucher for fiscal year (FY) 2019. The                  repeatedly until it ultimately is used for            PDUFA goals letter, FDA has committed
                                               Federal Food, Drug, and Cosmetic Act                    a human drug application submitted to                 to reviewing and acting on 90 percent of
                                               (FD&C Act), as amended by the Food                      FDA under section 505(b)(1) of the                    standard applications within 10 months
                                               and Drug Administration Safety and                      FD&C Act or section 351(a) of the Public              of the receipt or filing date depending
                                               Innovation Act (FDASIA), authorizes                     Health Service Act. A priority review is              on the type of application. A priority
                                               FDA to determine and collect rare                       a review conducted with a Prescription                review involves a more intensive level
                                               pediatric disease priority review user                  Drug User Fee Act (PDUFA) goal date of                of effort and a higher level of resources
                                               fees for certain applications for review                6 months after the receipt or filing date,            than a standard review.
                                               of human drug or biological products                    depending on the type of application.                    FDA is setting a fee for FY 2019,
                                               when those applications use a rare                      Information regarding PDUFA goals is                  which is to be based on standard cost
                                               pediatric disease priority review                       available at https://www.fda.gov/                     data from the previous fiscal year, FY
                                               voucher. These vouchers are awarded to                  downloads/forindustry/userfees/                       2018. However, the FY 2018 submission
                                               the applicants of rare pediatric disease                prescriptiondruguserfee/                              cohort has not been closed out yet, thus
                                               product applications that meet all of the               ucm511438.pdf.                                        the cost data for FY 2018 are not
                                               requirements of this program and that                      The applicant that uses a rare                     complete. The latest year for which FDA
                                               are submitted 90 days or more after July                pediatric disease priority review                     has complete cost data is FY 2017.
                                               9, 2012, upon FDA approval of such                      voucher is entitled to a priority review              Furthermore, because FDA has never
                                               applications. The amount of the fee for                 of its eligible human drug application,               tracked the cost of reviewing
                                               using a rare pediatric disease priority                 but must pay FDA a rare pediatric                     applications that get priority review as
                                               review voucher is determined each FY,                   disease priority review user fee in                   a separate cost subset, FDA estimated
                                               based on the difference between the                     addition to any user fee required by                  this cost based on other data that the
                                               average cost incurred by FDA to review                  PDUFA for the application. Information                Agency has tracked. FDA uses data that
                                               of a human drug application designated                  regarding the rare pediatric disease                  the Agency estimates and publishes on
                                               as priority review in the previous FY                   priority review voucher program is                    its website each year—standard costs for
                                               and the average cost incurred in the                    available at: https://www.fda.gov/Drugs/              review. FDA does not publish a
                                               review of an application that is not                    DevelopmentApprovalProcess/                           standard cost for ‘‘the review of a
                                               subject to priority review in the                       DevelopmentResources/                                 human drug application subject to
                                               previous FY. This notice establishes the                ucm375479.htm.                                        priority review in the previous fiscal
                                               rare pediatric disease priority review fee                 This notice establishes the rare
                                                                                                                                                             year.’’ However, we expect all such
                                               rate for FY 2019 and outlines the                       pediatric disease priority review fee rate
                                                                                                                                                             applications would contain clinical
                                                                                                       for FY 2019 at $2,457,140 and outlines
                                               payment procedures for such fees.                                                                             data. The standard cost application
                                                                                                       FDA’s procedures for payment of rare
                                               FOR FURTHER INFORMATION CONTACT: Lola                   pediatric disease priority review user                categories with clinical data that FDA
                                               Olajide, Office of Financial                            fees. This rate is effective on October 1,            publishes each year are: (1) New drug
                                               Management, Food and Drug                               2018, and will remain in effect through               applications (NDAs) for a new
                                               Administration, 8455 Colesville Rd.,                    September 30, 2019.                                   molecular entity (NME) with clinical
                                               COLE–14541B, Silver Spring, MD                                                                                data and (2) biologics license
                                               20993–0002, 240–402–4244.                               II. Rare Pediatric Priority Review User               applications (BLAs).
                                               SUPPLEMENTARY INFORMATION:                              Fee for FY 2019                                          The standard cost worksheets for FY
                                                                                                          Under section 529(c)(2) of the FD&C                2017 show standard costs of $5,340,560
                                               I. Background                                           Act, the amount of the rare pediatric                 for an NME NDA, and $4,596,936 for a
                                                  Section 908 of FDASIA (Pub. L. 112–                  disease priority review user fee is                   BLA. Based on these standard costs, the
                                               144) added section 529 to the FD&C Act                  determined each fiscal year based on the              total cost to review the 57 applications
                                               (21 U.S.C. 360ff). In section 529 of the                difference between the average cost                   in these two categories in FY 2017 (31
                                               FD&C Act, Congress encouraged                           incurred by FDA in the review of a                    NME NDAs with clinical data and 26
                                               development of new human drugs and                      human drug application subject to                     BLAs) was $285,077,688. (Note: These
                                               biological products for prevention and                  priority review in the previous fiscal                numbers exclude the President’s
                                               treatment of certain rare pediatric                     year, and the average cost incurred by                Emergency Plan for AIDS Relief NDAs;
                                               diseases by offering additional                         FDA in the review of a human drug                     no investigational new drug (IND)
                                               incentives for obtaining FDA approval                   application that is not subject to priority           review costs are included in this
                                               of such products. Under section 529 of                  review in the previous fiscal year.                   amount.) Thirty-three of these
                                               the FD&C Act, the applicant of an                          A priority review is a review                      applications (20 NDAs and 13 BLAs)
                                               eligible human drug application                         conducted with a PDUFA goal date of 6                 received priority review, which would
                                               submitted 90 days or more after July 9,                 months after the receipt or filing date,              mean that the remaining 24 received
                                               2012, for a rare pediatric disease (as                  depending on the type of application.                 standard reviews. Because a priority
                                               defined in section 529(a)(3)) shall                     Under the PDUFA goals letter, FDA has                 review compresses a review schedule
                                               receive a priority review voucher upon                  committed to reviewing and acting on                  that ordinarily takes 10 months into 6
                                               approval of the rare pediatric disease                  90 percent of the applications granted                months, FDA estimates that a multiplier
                                               product application. The recipient of a                 priority review status within this                    of 1.67 (10 months ÷ 6 months) should
                                               rare pediatric disease priority review                  expedited timeframe. Normally, an                     be applied to non-priority review costs
                                               voucher may either use the voucher for                  application for a human drug or                       in estimating the effort and cost of a
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                                               a future human drug application                         biological product will qualify for                   priority review as compared to a
                                               submitted to FDA under section                          priority review if the product is                     standard review. This multiplier is
                                               505(b)(1) of the FD&C Act (21 U.S.C.                    intended to treat a serious condition                 consistent with published research on
                                               355(b)(1)) or section 351(a) of the Public              and, if approved, would provide a                     this subject which supports a priority
                                               Health Service Act (42 U.S.C. 262(a)), or               significant improvement in safety or                  review multiplier in the range of 1.48 to
                                               transfer (including by sale) the voucher                effectiveness. An application that does               2.35 (Ref. 1). Using FY 2017 figures, the
                                               to another party. The voucher may be                    not receive a priority designation                    costs of a priority and standard review


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                                               48828                    Federal Register / Vol. 83, No. 188 / Thursday, September 27, 2018 / Notices

                                               are estimated using the following                       $2,414,386, represents the incremental                cost of 2,414,386 by 1.7708 percent (or
                                               formula:                                                cost of conducting a priority review                  0.017708) results in an estimated cost of
                                               (33 a × 1.67) + (24a) = $285,077,688                    rather than a standard review.                        $2,457,140 (rounded to the nearest
                                                                                                         For the FY 2019 fee, FDA will need                  dollar). This is the rare pediatric disease
                                               where ‘‘a’’ is the cost of a standard                   to adjust the FY 2017 incremental cost                priority review user fee amount for FY
                                               review and ‘‘a times 1.67’’ is the cost of              by the average amount by which FDA’s                  2019 that must be submitted with a
                                               a priority review. Using this formula,                  average costs increased in the 3 years                priority review voucher for a human
                                               the cost of a standard review for NME                   prior to FY 2018, to adjust the FY 2017               drug application in FY 2019, in addition
                                               NDAs and BLAs is calculated to be                       amount for cost increases in FY 2018.
                                                                                                                                                             to any PDUFA fee that is required for
                                               $3,603,561 (rounded to the nearest                      That adjustment, published in the
                                               dollar) and the cost of a priority review                                                                     such an application.
                                                                                                       Federal Register on August 1, 2018 (83
                                               for NME NDAs and BLAs is 1.67 times                     FR 37504), setting the FY 2019 PDUFA                  III. Fee Schedule for FY 2019
                                               that amount, or $6,017,946 (rounded to                  fee, is 1.7708 percent for the most recent
                                               the nearest dollar). The difference                     year, not compounded. Increasing the                    The fee rate for FY 2019 is set out in
                                               between these two cost estimates, or                    FY 2017 incremental priority review                   table 1:

                                                                          TABLE 1—RARE PEDIATRIC DISEASE PRIORITY REVIEW SCHEDULE FOR FY 2019
                                                                                                                                                                                                Fee rate for
                                                                                                                Fee category                                                                     FY 2019

                                               Application submitted with a rare pediatric disease priority review voucher in addition to the normal PDUFA fee ..........................       $2,457,140



                                               IV. Implementation of Rare Pediatric                    FDA’s normal procedures for timely                    418–4013. This telephone number is
                                               Disease Priority Review User Fee                        payment of the PDUFA fee for the                      only for questions about courier
                                                  Under section 529(c)(4)(A) of the                    human drug application.                               delivery.) The FDA post office box
                                               FD&C Act, the priority review user fee                    Payment must be made in U.S.                        number (P.O. Box 979107) must be
                                               is due (i.e., the obligation to pay the fee             currency by electronic check, check,                  written on the check. If needed, FDA’s
                                               is incurred) when a sponsor notifies                    bank draft, wire transfer, credit card, or            tax identification number is 53–
                                               FDA of its intent to use the voucher.                   U.S. postal money order payable to the                0196965.
                                               Section 529(c)(4)(B) of the FD&C Act                    order of the Food and Drug                               If paying by wire transfer, please
                                               specifies that the application will be                  Administration. The preferred payment                 reference your invoice number when
                                               considered incomplete if the priority                   method is online using electronic check               completing your transfer. The
                                               review user fee and all other applicable                (Automated Clearing House (ACH) also                  originating financial institution may
                                               user fees are not paid in accordance                    known as eCheck). Secure electronic                   charge a wire transfer fee. If the
                                               with FDA payment procedures. In                         payments can be submitted using the                   financial institution charges a wire
                                               addition, section 529(c)(4)(C) specifies                User Fees Payment Portal at https://                  transfer fee it is required to add that
                                               that FDA may not grant a waiver,                        userfees.fda.gov/pay. (Note: only full                amount to the payment to ensure that
                                               exemption, reduction, or refund of any                  payments are accepted. No partial                     the invoice is paid in full. The account
                                               fees due and payable under this section                 payments can be made online.) Once                    information is as follows: U.S. Dept. of
                                               of the FD&C Act.                                        you search for your invoice, select ‘‘Pay             Treasury, TREAS NYC, 33 Liberty St.,
                                                  The rare pediatric disease priority                  Now’’ to be redirected to Pay.gov. Note               New York, NY 10045, Account Number:
                                               review fee established in the new fee                   that electronic payment options are                   75060099, Routing Number: 021030004,
                                               schedule must be paid for any                           based on the balance due. Payment by                  SWIFT: FRNYUS33.
                                               application that is received on or after                credit card is available for balances that
                                               October 1, 2018. In order to comply                     are less than $25,000. If the balance                 V. Reference
                                               with this requirement, the sponsor must                 exceeds this amount, only the ACH
                                               notify FDA 90 days prior to submission                  option is available. Payments must be                    The following reference is on display
                                               of the human drug application that is                   made using U.S bank accounts as well                  at the Dockets Management Staff (HFA–
                                               the subject of a priority review voucher                as U.S. credit cards.                                 305), Food and Drug Administration,
                                               of an intent to submit the human drug                     If paying with a paper check the                    5630 Fishers Lane, Rm. 1061, Rockville,
                                               application, including the date on                      invoice number should be included on                  MD 20852) and is available for viewing
                                               which the sponsor intends to submit the                 the check, followed by the words ‘‘Rare               by interested persons between 9 a.m.
                                               application.                                            Pediatric Disease Priority Review.’’ All              and 4 p.m., Monday through Friday; it
                                                  Upon receipt of this notification, FDA               paper checks must be in U.S. currency                 is not available electronically at https://
                                               will issue an invoice to the sponsor who                from a U.S. bank made payable and                     www.regulations.gov as this reference is
                                               has incurred a rare pediatric disease                   mailed to: Food and Drug                              copyright protected. FDA has verified
                                               priority review voucher fee. The invoice                Administration, P.O. Box 979107, St.                  the website address, as of the date this
                                               will include instructions on how to pay                 Louis, MO 63197–9000.                                 document publishes in the Federal
                                               the fee via wire transfer or check.                       If checks are sent by a courier that                Register, but websites are subject to
                                                  As noted in section II, if a sponsor                 requests a street address, the courier can            change over time.
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                                               uses a rare pediatric disease priority                  deliver the checks to: U.S. Bank,                     1. Ridley, D.B., H.G. Grabowski, and J.L. Moe,
                                               review voucher for a human drug                         Attention: Government Lockbox 979107,                      ‘‘Developing Drugs for Developing
                                               application, the sponsor would incur                    1005 Convention Plaza, St. Louis, MO                       Countries,’’ Health Affairs, vol. 25, no. 2,
                                               the rare pediatric disease priority review              63101. (Note: This U.S. Bank address is                    pp. 313–324, 2006, available at: https://
                                               voucher fee in addition to any PDUFA                    for courier delivery only. If you have                     faculty.fuqua.duke.edu/∼willm/HSM_
                                               fee that is required for the application.               any questions concerning courier                           RA/Documents/HA2006_Ridley_
                                               The sponsor would need to follow                        delivery contact the U.S. Bank at 314–                     Vouchers.pdf.



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                                                                        Federal Register / Vol. 83, No. 188 / Thursday, September 27, 2018 / Notices                                           48829

                                                 Dated: September 20, 2018.                            that if you include your name, contact                of comments to public dockets, see 80
                                               Leslie Kux,                                             information, or other information that                FR 56469, September 18, 2015, or access
                                               Associate Commissioner for Policy.                      identifies you in the body of your                    the information at: https://www.gpo.gov/
                                               [FR Doc. 2018–21033 Filed 9–26–18; 8:45 am]             application, that information will be                 fdsys/pkg/FR-2015-09-18/pdf/2015-
                                               BILLING CODE 4164–01–P                                  posted on https://www.regulations.gov.                23389.pdf.
                                                                                                          • If you want to submit an                            Docket: For access to the docket, go to
                                                                                                       application with confidential                         https://www.regulations.gov and insert
                                               DEPARTMENT OF HEALTH AND                                information that you do not wish to be                the docket number, found in brackets in
                                               HUMAN SERVICES                                          made available to the public, submit the              the heading of this document, into the
                                                                                                       application as a written/paper                        ‘‘Search’’ box and follow the prompts
                                               Food and Drug Administration                            submission and in the manner detailed                 and/or go to the Dockets Management
                                               [Docket No. FDA–2009–N–0329]
                                                                                                       (see ‘‘Written/Paper Submissions’’ and                Staff, 5630 Fishers Lane, Rm. 1061,
                                                                                                       ‘‘Instructions’’).                                    Rockville, MD 20852 between 9 a.m.
                                               Dilip Patel; Denial of Hearing; Final                   Written/Paper Submissions                             and 4 p.m., Monday through Friday.
                                               Debarment Order                                                                                               Publicly available submissions may be
                                                                                                          Submit written/paper submissions as                seen in the docket.
                                               AGENCY:    Food and Drug Administration,                follows:
                                                                                                          • Mail/Hand Delivery/Courier (for                  FOR FURTHER INFORMATION CONTACT:
                                               HHS.
                                                                                                       written/paper submissions): Dockets                   Rachael Vieder Linowes, Office of
                                               ACTION:   Notice.
                                                                                                       Management Staff (HFA–305), Food and                  Scientific Integrity, Food and Drug
                                               SUMMARY:   The Food and Drug                            Drug Administration, 5630 Fishers                     Administration, 10903 New Hampshire
                                               Administration (FDA or Agency) is                       Lane, Rm. 1061, Rockville, MD 20852.                  Ave., Bldg. 1, Rm. 4206, Silver Spring,
                                               denying a request for a hearing                            • For a written/paper application                  MD 20993, 240–402–5931.
                                               submitted by Dilip Patel and is issuing                 submitted to the Dockets Management                   SUPPLEMENTARY INFORMATION:
                                               an order under the Federal Food, Drug,                  Staff, FDA will post your application, as
                                               and Cosmetic Act (FD&C Act) debarring                                                                         I. Background
                                                                                                       well as any attachments, except for
                                               Patel for 5 years from providing services               information submitted, marked and                        Section 306(b)(2)(B)(i)(II) of the FD&C
                                               in any capacity to a person that has an                 identified, as confidential, if submitted             Act (21 U.S.C. 335a(b)(2)(B)(i)(II))
                                               approved or pending drug product                        as detailed in ‘‘Instructions.’’                      permits FDA to debar an individual if it
                                               application. FDA bases this order on a                     Instructions: Your application must                finds: (1) That the individual has been
                                               finding that Patel was convicted of a                   include the Docket No. FDA–2009–N–                    convicted of a conspiracy to commit a
                                               conspiracy to commit a felony under                     0329. An application will be placed in                felony under Federal law for conduct
                                               Federal law for conduct relating to the                 the docket and, unless submitted as                   relating to the regulation of any drug
                                               regulation of a drug product under the                  ‘‘Confidential Submissions,’’ publicly                product under the FD&C Act and (2)
                                               FD&C Act and that the conduct                           viewable at https://www.regulations.gov               that the type of conduct which served
                                               underlying the conviction undermines                    or at the Dockets Management Staff                    as the basis for the conviction
                                               the process for the regulation of drugs.                between 9 a.m. and 4 p.m., Monday                     undermines the process for the
                                               In determining the appropriateness and                  through Friday.                                       regulation of drugs.
                                               period of Patel’s debarment, FDA                           • Confidential Submissions—To                         On April 24, 2007, Patel pled guilty
                                               considered the relevant factors listed in               submit an application with confidential               to one count of conspiracy to distribute
                                               the FD&C Act. Patel failed to file with                 information that you do not wish to be                misbranded and adulterated drugs, in
                                               the Agency information and analyses                     made publicly available, submit your                  violation of 18 U.S.C. 371. On December
                                               sufficient to create a basis for a hearing              application only as a written/paper                   9, 2010, the U.S. District Court for the
                                               concerning this action.                                 submission. You should submit two                     District of New Jersey entered the
                                               DATES: The order is applicable                          copies total. One copy will include the               conviction, sentenced Patel to 2 years of
                                               September 27, 2018.                                     information you claim to be confidential              probation, and imposed a $3,000 fine.
                                               ADDRESSES: Any application for                          with a heading or cover note that states              Patel’s conviction stemmed from his
                                               termination of debarment by Patel under                 ‘‘THIS DOCUMENT CONTAINS                              employment at Able Laboratories, Inc.
                                               section 306(d) of the FD&C Act                          CONFIDENTIAL INFORMATION.’’ The                       (Able), where he was a Supervisor of
                                               (application) may be submitted as                       Agency will review this copy, including               Analytical Control and later a Quality
                                               follows:                                                the claimed confidential information, in              Control Manager in the Quality Control
                                                                                                       its consideration of your application.                Department. Patel and his co-
                                               Electronic Submissions                                  The second copy, which will have the                  conspirators conspired and agreed with
                                                 • Federal eRulemaking Portal:                         claimed confidential information                      others to cause the introduction of
                                               https://www.regulations.gov. Follow the                 redacted/blacked out, will be available               misbranded and adulterated drugs into
                                               instructions for submitting comments.                   for public viewing and posted on                      interstate commerce with an intent to
                                               An application submitted electronically,                https://www.regulations.gov. Submit                   defraud and mislead the United States,
                                               including attachments, to https://                      both copies to the Dockets Management                 in violation of sections 301(a) and
                                               www.regulations.gov will be posted to                   Staff. If you do not wish your name and               303(a)(2) of the FD&C Act (21 U.S.C.
                                               the docket unchanged. Because your                      contact information to be made publicly               331(a) and 333(a)(2)). Specifically,
                                               application will be made public, you are                available, you can provide this                       according to the criminal information to
                                               solely responsible for ensuring that your               information on the cover sheet and not                which he pled guilty, Patel supervised
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                                               application does not include any                        in the body of your application and you               the falsification and manipulation of
                                               confidential information that you or a                  must identify this information as                     assay test results for atenolol, a
                                               third party may not wish to be posted,                  ‘‘confidential.’’ Any information marked              prescription medication for cardiac
                                               such as medical information, your or                    as ‘‘confidential’’ will not be disclosed             conditions, and he directed a
                                               anyone else’s Social Security number, or                except in accordance with 21 CFR 10.20                subordinate chemist to falsify and
                                               confidential business information, such                 and other applicable disclosure law. For              manipulate dissolution test results for
                                               as a manufacturing process. Please note                 more information about FDA’s posting                  methylphenidate hydrochloride


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Document Created: 2018-09-27 01:04:57
Document Modified: 2018-09-27 01:04:57
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
ActionNotice.
ContactLola Olajide, Office of Financial Management, Food and Drug Administration, 8455 Colesville Rd., COLE- 14541B, Silver Spring, MD 20993-0002, 240-402-4244.
FR Citation83 FR 48826 

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