Drugmaker lobby may top '05 mark

Industry's spending called a record pace

April 03, 2007|By Ricardo Alonso-Zaldivar | Ricardo Alonso-Zaldivar,Los Angeles Times

WASHINGTON -- Drugmakers spent $155 million lobbying the federal government from 2005 to mid-2006, setting a record that they could outdo this year as Congress considers high stakes legislation for the industry and for consumers, a public interest group said yesterday in a report.

Researchers at the nonpartisan Center for Public Integrity said the drug industry spent nearly $111 million on lobbying in 2005, a record for the sector in any one year. The record pace appeared to be sustained in the first half of 2006, the report said.

Pharmaceutical industry officials said the report distorts the industry's role in Washington, which they say is primarily educational and scientific. They said industry spending is designed to ensure that new drugs for intractable illnesses get government approval to be marketed.

"The Center for Public Integrity's report, not surprisingly, misses the mark when it comes to efforts by America's pharmaceutical research companies to educate policymakers," said Ken Johnson, senior vice president at the Pharmaceutical Research and Manufacturers of America. "Our priority has always been to help advance patient health and we have supported policies and programs that bolster patient access to safe and effective medicines."

Lobbying is only one facet of the industry's influence. Drug company sources also accounted for more than $19 million in political contributions to candidates in last year's congressional elections, mainly to Republicans. And user fees paid by drugmakers make up more than half the budget of the Food and Drug Administration centers that evaluate new drugs.

The industry's lobbying budget enabled drugmakers to field about 1,100 agents to work congressional committees and administration offices in each of the past two years, the study said.

The industry achieved several of its major objectives, the report added, including upholding the government's ban on imports of lower-cost medications from abroad.

"Essentially what they did is they blocked any legislation," said M. Asif Ismail, director of the center's project to monitor the drug industry. "There have been several attempts to revisit this issue, and importation is still illegal."

With strong support from the Bush administration, the industry also appears to be in a position to make sure the prohibition against Medicare negotiating drug prices for seniors in its prescription program remains intact.

These battles are expected to be fought more fiercely this year. For example, in the past, senior Republican leaders were able to keep import legislation from getting a floor vote. But Democrats are now in control of Congress.

"The industry is going to spend more money this time than the record amount that is reported by the center," said Sidney Wolfe, director of the liberal Public Citizen's health research group. "From the perspective of the industry, this money is extremely well spent, because they have used it to win virtually every important battle."

The industry's influence will be severely tested in coming months.

Legislation authorizing the FDA's user-fee system will expire this year unless Congress acts. Such must-pass legislation often attracts amendments. Reforms to strengthen the FDA's drug safety system are expected to be part of the bill. And supporters of lifting the ban on pharmaceutical imports are also eyeing the user-fee bill as a vehicle.

Sens. Byron L. Dorgan, a North Dakota Democrat, and Olympia J. Snowe, a Maine Republican, have introduced legislation that would allow American consumers to import lower-cost prescriptions from Canada.

The industry is approaching the debate by offering carrots and sticks.

It has agreed to hefty user-fee increases that would pay for more safety reviewers at the FDA and help set up a computerized surveillance system to aid in detecting harmful side effects in new drugs. But it is vowing to fight legislation allowing imports, arguing that it would lead to a flood of fake drugs.

"The bills will in all probability end up importing what has become a counterfeit epidemic around the world into the United States," W.J. "Billy" Tauzin, a former Louisiana congressman who is the industry's top lobbyist, said during a recent discussion with reporters. "Congress is looking at an importation bill that would bust open the biggest safety protections we have."

Ricardo Alonso-Zaldivar writes for the Los Angeles Times.

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