Maine Repeals Three Get-Tough-On-Pharma Laws
18 CommentsBy Ed Silverman // July 15th, 2011 // 10:46 am
In the latest move by the Republican-dominated legislature in Maine to undo laws that have made the pharmaceutical industry uncomfortable, three bills were repealed this week that required drugmakers to report three things: marketing costs, prices subject to the Medicaid Drug Rebate Program and negative findings in clinical trials.
The action follows an effort last month to repeal a 2003 law that was created to prevent pharmacy benefit managers from switching patients to more expensive drugs and protect consumers from co-payments when actual drug prices are cheaper (back story). Taken together, Maine Democrats say the various repeals will roll back important patient safety protections.
“It’s part of the pro-pharma agenda being pushed in Maine these days,” says Sharon Treat, a Maine legislator who heads the National Legislative Association on Prescription Drug Prices. “It all comes down to whose side you are on. Democrats think the law should be on the side of the patient and the taxpayer – not the pharmaceutical companies.”
The new bill, which is called ‘An Act to Make Certain Prescription Drug Disclosure Laws Consistent with Federal Law,’ repealed one law that required drugmakers with reps in Maine to submit an annual report showing marketing costs, such as money spent on food; entertainment; travel and gifts worth more than $25; travel for docs; and drug advertising and promotion specifically targeting Maine residents.
The bill also abolishes a requirement that drugmakers post clinical trials info on a publicly accessible website, such as purpose of the trial, when trials took place and results of the clinical trial, including adverse events. Drugmakers were also required to pay an annual $1,000 fee that was used to fund a state academic detailing programs. The legislature cut the fee to $500 as of April.
The bill also removed a requirement that drugmakers report average manufacturer price and best price for Medicaid drugs. Treat says this will make it harder for the state to negotiate prices, likely driving up costs in the MaineCare program. “Right now,” she says, “Maine gets back on average 50 percent of the cost of drugs purchased by MaineCare in rebates - one of the best percentages in the country.”
The repeal effort comes shortly after Republicans took control of the governor’s mansion and both houses of the legislature. Among the high-profile Republicans connected to industry is Ann Robinson, who has been an attorney for the Maine Republican Party and recently co-chaired the transition team for Governor Paul LePage (see here and here). She has also lobbied on behalf of Medco and PhRMA, the industry trade group (see this - you have to scroll down).
Hat tip to the FDA Law blog
pills pic thx to anolobb on flickr
original industry insider
The Maine state motto is “Dirigo”, meaning “I Direct”, meaning get these government goons out of my back yard, or at least when i finally retire there.
Richard A.
The Republican party is bought and paid for by the pharmaceutical industry. I make this observation as a registered Republican myself.
Dan
Nice to see that the GOP “lapdogs” have completed obedience class and are responding well to their master’s commands! I wonder if they’ve been trained to go outside to pee yet?
Interesting...
They have, and they are doing it right now… all over us!
AnnePME
As the saying goes…As Maine goes, so goes the nation…
original industry insider
Maine has indeed gone to the dogs-the libdem dogs.
Dan
LOL insider…yeah…if I had pharma stock-options, I’d likely have the same opinion that you do!
Mainah
As a rep in Maine. I can tell you with certainty that these laws have nothing to do with the price of pharmaceuticals. Repealing these laws will have no effect on Patients. The trend in New England is for Hospitals and institutions that physicians work for (as employees) to have rules that restrict physicians from participating in any sponsored meal, program etc.. I would say 50% of the Hospitals in Maine do not allow breakfast, lunch or physicians to attend dinners. As far as reporting money spent over $25, it doesn’t matter whether we report it or not, the same money is being spent. No more, no less. And in January when the Federal Sunshine Act starts, all companies have to report for all money spent on a national level. It is redundant reporting that cost time & money for the State of Maine that they no longer have to do. As far as clinical trials go… Go to clinicaltrials.gov to see all trials for all drugs. Another redundancy. These laws are typically Dem strategies to “look” like they are doing something, when in reality, it helps no one. And lastly, Maine will still get the same rebates. This changes none of it.
Basel lair
Why do you think I coined the term: Bigpharmafia? Remember tha famous line from Donni Brasco:”No I am not like them, I am them”.
The bigpharma is not “like” mafia it is a form of mafia that republicans blindly support as they do all big biz and rich in general. These 3 laws were perfectly justified as is any law that can be used to fight the mafia style behaviour of the bigpharma. But the GOP does not want to know what and how they do their biz as long as they do no kill people outright. Even that would be justified in the name of profit, but there are too many cameras around when it happens and that could be uncomfortable for the republicans.
We who watch America with mixture of admiration and opposite can not for the life od us understand the way the big biz and the rich get away with what they get away with. Now that you are in such a financial jeopardy the GOP is holding the knofe to your prez’s throat. No tax fairness by making the rich pay their fair share but reduction to life lines to the poor is OK. As prof. Stiglitz wrote in an article, 1% of you (not you but someone else who would not read Pharmalot) control 40% of wealth in USA he predicted that some kind of uprizing is inevitable. It is only a matter of time. So let them do what they do to you, maybe they are doing everyone a favour for that moment of rebellion will come sooner, once the critical mass is built up. The fight for freedom and justice never ends.
original industry insider
Basel is correct. When I started in Big Pharma 28 years ago they made me an offer I couldn’t refuse. Tried to change careers a few times, but wouldn’t you know it, just like Michael Corleone said in Godfather III: “Just when I thought I was out… they pull me back in”.
original industry insider
BTW Joseph Stiglitz is a far left leaning economist, neo Keynesian big government spender type. My tastes lean toward the more conservative economist, Lawrence Kudlow, who, like me yearns for the good old days of American economic might, when he says “The American way of life is non-negotiable”. And if that means holding Obama hostage then so be it. As former senator and economist Phil Gramm once said metaphorically “Never take a hostage you don’t plan to shoot”.
original industry insider
BTW Basel Obama is losing supportin the population rapidly with his (and your) proposal to soak that same 1% of wealthiest Americans that you conveniently forgot to mention pay more that 50% of the taxes. Every study ever done has concluded that you can’t come even close to closing the deficit by taxing those making more than $250K. The burden of deficit closing must be done by deep cuts in government spending.
And as for the uprising of the proletariat, as you stated, it ain’t gonna happen in the US. American labor has been de-unionized, and don’t even rate a mention from that Communist organization known as The International Workers of the World (IWW).
Observer
OII:
If I make a comment, I do think you should spend a bit more time generating revenue to improve your economic standing - and less fulminating about politics and economics.
Assuming you are really you - the quality and value of your comments has decreased with the quantity. It’s actually a bit sad - again assuming that your are you (the former “II”?)
Then again, the do days of summer can make people a bit …testy.
OMG - now I have to math to post this - I guess Ed wants us to “think twice” - and make sure our comments “add up?”
original industry insider
Observer, I’ve had several different handles, but have had to change due to plaigarism. Some would probably posit the question why would anyone wish to copy the handle of such an obnoxious sort as I?
Probably a fair question.
Basel lair
So the “American way of life is non-negotiable”. That is fine for you because you are on the way to self-destruction while sticking to “American way of life”. Tragedy is that you’ll take us all with you in the end.Once we are all down and maybe even out, we’ll have to start all over again. Those who are left standing that is. As I write this I just started watching the classic “The Apartment”. Now that was a good American way of life but that was ruined by never ending greed of that 1%. They may pay 50% of taxes but look at the money they have left to carry on with opulent, decadent, wastefu…way of life never seen in the history of the world done by those at the top. So is this fair? They continue their orgy while USA Titanic already hit the iceberg. What is needed a balance and fair taxes and spending system not only in USA but everywhere.
As for the Aparment, J.Lemon just said that over 31.649 emplyees worked in that one office building of the same insurance Co. Today such Co would have few hundred in USA and the rest in customer services in India. No wonder you have millions of uneployed and poor.The “American way of life” is slipping away from the majority. They live the third world way of life in their own country of US of A. So to update that slogan one can say: “The American rich’s way of life is non-negotiable”.
original industry insider
“The Apartment” was made in 1960, when the state of computer technology was the UNIVAC I Computer, which weighed 13 metric tons, was 8.5 feet high and took up 116 square feet of floor space. It was a reel-to-reel gargantuan, ran off of vacuum tubes, required specially air conditioned rooms to cool the tubes and only served a handful of users. The insurance business, like all business were paper and pencil operations and probably did need 31,000 employees. Today, with global networking technology we only need that handful of employees that the UNIVAC served to do the equivalent amount of work,
Computers have other advantages. They don’t require food, sleep, vacarion and sick pay, and don’t have to get up in the middle of the night to change diapers. I call that progress.
yo
You know, regardless of what you may think about pharma, they are not doing anything different than any other business organization to win favor with their customers or potential customers. The real problem is, that their customers, doctors, have no skin in the game, and many end users, patients, also have no skin in the game. It is the payers, insurance companies, the government (ie, Medicare, Madicaid, state programs, the VA, etc.) and individuals that get hit with the bills. Individuals get hit the hardest, many times in ways they’re not even aware of. Indiviuals may have to pay out of pocket, they pay insurance premiums, and they pay taxes that fund government programs. WE the people “pay” three or more times for health care and it’s usually not our own. An example of another way is when government, usually at the state level, tacks on a surcharge to your hospital bill. You do not see it; you may only know the total charge. Then your insurer pays the bill with the surcharge going to the state to subsidize Medicaid and indigent programs, etc; your premiums then go up again, not because you were ill but because you are subsidizing the stste. People don’t really know how much is being taken from them and given, yes given to others. If you knew, you’d be outraged, that’s why it’s not disclosed. WE the people get screwed! Back on topic; all other vendors whether they’re calling on government or other companies are doing the same thing… trying to win business, same as pharma. People go after pharma more because of the f***ed up payment system that just lets everything run amuck because no one can clearly identify whose paying what, but ultimately it is you the tax payer that is paying for everything!
original industry insider
I don’t really care as long as Rebekah Brooks goes to prison.