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Drug Makers' Big Spending Pays Off on Hill

Biologics debate shows how lobbyists shape health debate

By Kevin Spak, Newser Staff

Posted Oct 22, 2009 12:33 PM CDT

(Newser) – Drugmakers could get quite a gift from the health care reform bill. Senate and House amendments passed this summer give the makers of biologics—next-generation wonder drugs derived from living matter—12 years of exclusivity on their hyperexpensive products. That’s 7 more years than normal drugs get, and critics say it’ll cost consumers hundreds of billions of dollars. But the industry's deep pockets buy a lot of influence, Time reports.

The drug industry has spent more than $110 million on influencing Congress this year, employing an average 2.3 lobbyists for every legislator on the Hill. The network extends into think tanks, advocacy groups, and more. “You can't get on the phone with someone who isn't getting paid,” says one biologist. “They give money to everyone and anyone.”

[Images (3)]

[Quotes (1)]

James Greenwood, president and chief executive officer of the Biotechnology Industry Organization, testifies on Capitol Hill in Washington, May 1, 2008. (AP Photo/Brendan Hoffman)

Henry Waxman fought for no more than a five-year period of exclusivity for biologics, but so far he's on the losing end. (AP Photo/Ron Edmonds, File)

Rep. Henry Waxman (pictured with Charles Rangel) takes part in the House Democratic Steering Committee forum on health insurance reform, Tuesday, Sept. 15, 2009, on Capitol Hill in Washington. (AP Photo/Harry Hamburg)

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COMMENTS

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Showing 3 of 15 comments

tomodachi

Oct 23, 2009 2:23 AM CDT

@SPH: This is one of the fundamental flaws in the US government: A national lawmaker is elected by a local electorate... who is ultimately responsible to the rich and powerful within his district. Yet this person has almost NO responsibility the nation? He spends from the nationally collected tax revenues, but his only worry is getting re-elected by his local constituents? This system produces a plethora of liars and cheaters who make sure their local electorate get just enough of their ill-gotten federal tax dollars to keep them in office. BS BS BS. Senators who wastefully spend our hard earned tax dollars and sleep with corporations or special interests need to be (able to be) fired by the ones who's money they spend.

cornelison

Oct 22, 2009 10:31 AM CDT

A drug company spends more on advertising than they are on research & development. In Canada we banned drug companies from advertising on TV & our drugs are cheaper. Also, you're indirectly paying for the lobbyists as well. You'd think with a bigger market you would be able to negotiate a cheaper price.

davjc09

Oct 22, 2009 8:09 AM CDT

Herceptin is now a widely used chemotherapy agent. The problem with this reform is that all these players are intertwined, so you can't deal with just one without the other. The insurance companies pay for these drugs. And if the government is going to be a player in the insurance market, reimbursement for services by insurers are going to drop (including those to drug companies for treatments). So the drug companies are seeking extra protection for their product so they can remain profitable under this reform.

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Politics • Health • Money

biotechnology • Senate Health Committee • lobbying • lobbyists • health care reform • House Energy and Commerce Committee • biotech companies • biologics

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Drug Makers' Big Spending Pays Off on Hill