Indianapolis Star

May 10, 2005

By Maureen Groppe

That doesn't mean the industry will change its opposition to such popular initiatives as allowing drugs to be imported from other countries or letting the government negotiate lower prices for the new Medicare prescription drug benefit.

What it does mean, said Billy Tauzin, president of the Pharmaceutical Research and Manufacturers of America, is the industry will support other ways to help Americans pay for their medicines.

That includes educating people about public and private assistance programs, and supporting tax incentives to make health insurance more affordable, he said.

"You can't really produce those kinds of products that are so critical to people and not also be heavily involved in making sure they're accessible and affordable," said Tauzin, a former Louisiana congressman who until this year headed one of the House committees with jurisdiction over health care issues.

Sidney Taurel, CEO of drugmaker Eli Lilly and Co., has said the industry's image problems stem from the fact that health care is something people don't necessarily want but need. And that makes the public suspicious of those making a living off the industry.

Ron Pollack, director of Families USA, a liberal health care advocacy group, agrees that public unhappiness with the industry is tied to prices. But he said Tauzin is advocating only baby steps when giant steps are needed.

"I don't see how this industry is going to curry favor with the public as long as prescription drug prices continue to skyrocket," Pollack said. "The industry appears to be totally unwilling to change its practices."

A recent CNN-USA Today-Gallup Poll found that 81 percent of those surveyed believe that drug companies have too much influence. That's higher than the 69 percent who thought so in 2000, and higher than the public's perception of the influence of HMOs and trial lawyers.

According to a USA Today report published last month, since 1998 drug companies have spent $758 million on lobbying -- more than any other industry, according to government records analyzed by watchdog group Center for Public Integrity.

Tauzin said the industry is not going to cut back on its lobbying to try to improve its public image.

"There are a lot of bad policies being proposed, and our job is to protect against those bad policies," he told reporters Monday.

The industry opposes drug importation proposals, calling such action unsafe. And Tauzin said government involvement in setting the price of Medicare drugs is unnecessary as the private plans that will be offering coverage will be negotiating prices with drug companies.