[Congressional Record Volume 157, Number 91 (Thursday, June 23, 2011)]
[Extensions of Remarks]
[Pages E1189-E1190]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                          AMERICA INVENTS ACT

                                 ______
                                 

                               speech of

                          HON. JAMES P. MORAN

                              of virginia

                    in the house of representatives

                        Wednesday, June 22, 2011

       The House in Committee of the Whole House on the State of 
     the Union had under consideration the bill (H.R. 1249) to 
     amend title 35, United States Code, to provide for patent 
     reform:

  Mr. MORAN. Madam Chair, I rise today to express my concerns about the 
Manager's

[[Page E1190]]

Amendment to the America Invents Act, H.R. 1249.
  Specifically, I am troubled by language in the amendment that would 
weaken the ability of the U.S. Patent and Trademark Office to retain 
the fees it collects from inventors for use in improving the patent 
application process.
  As reported by the Judiciary Committee, Section 22 of the underlying 
bill would establish a revolving fund at Treasury to collect all user 
fees from USPTO and restrict their use to only funding USPTO 
activities.
  This section was necessary because Congress has habitually 
underfunded the Patent Office, siphoning more than $875 million over 
the past two decades from fees collected from inventors to fund other 
discretionary programs.
  This fee diversion has severely hampered the ability of USPTO to 
promptly process patent applications, leading to a current backlog of 
1.2 million applications and an average pendency time of 3 years.
  This is entirely unacceptable and a direct result of our decision not 
to provide full funding to the USPTO. Delays in processing patent 
applications drive up the costs and risks for inventors, harm our 
nation's global competitiveness, and literally stall the creation of 
jobs.
  While I appreciate the efforts of Director Kappos over the past two 
years to reduce this backlog, USPTO will not be fully successful in 
this goal unless they are provided with the proper 
resources...resources, remember, they collect from the users of Patent 
Office services.
  That is why I have concerns about a provision in the manager's 
amendment that would undermine this dedicated funding source, instead 
leaving USPTO funding up to annual appropriations.
  While the amendment creates a specific fund for USPTO fees and 
contains promises that this funding will be made available only for 
activities at the patent office, there is no guarantee this pledge will 
be honored in subsequent Congresses.
  I am concerned this modified language does not give USPTO the 
predictability in funding and access to fees that are necessary to 
ensure it best serves the innovation community.
  Now, I understand USPTO has reluctantly agreed to support this 
compromise language, and I therefore plan to support the Manager's 
Amendment.
  But we cannot let jurisdictional concerns here in Congress undermine 
the efficient functioning of the patent process.
  I encourage my colleagues to support the Manager's Amendment as a 
necessary compromise to move this legislation forward, but I plan to 
remain vigilant on this matter to ensure the promises made in this 
Manager's Amendment are kept and that USPTO has ready access to the 
fees it collects.

                          ____________________