Prescription Drug Negotiations
The halls of government are familiar territory for Billy Tauzin… but not the halls of state government in Sacramento.
Tauzin, a longtime and well-known GOP congressman from Louisiana, is now president and CEO of the Pharmaceutical Research and Manufacturers Association (PhRMA). And on Wednesday, Tauzin made his way to the state Capitol for a private meeting with Assembly Speaker Fabian Nunez.
The meeting, called by Nunez, raises questions about whether there's a possible compromise to be had on the issue of lowering the cost of prescription drugs. If not, Tauzin's organization is ready for war, having amassed a campaign war chest of $53.7 million dollars from the world's largest drug manufacturers.
PhRMA representatives say the reason they've raised so much is because they have two campaigns to wage this fall– a yes on Proposition 78 (their version of prescription drug reform) and a no on Proposition 79 (the union/Democratic version of prescription drug reform).
Reports are that the meeting lasted about four hours and ended with little agreement on the issue.
Also attending were Assemblymember Dario Frommer (D-LA) and Senator Deborah Ortiz (D-Sacramento). The two lawmakers symbolize much of the debate over lowering the cost of prescription drugs.
Frommer introduced legislation which would require drug companies to offer discounts, or be cut out of doing business with the state's lucrative Medi-Cal program. Ortiz's legislation, endorsed by Governor Schwarzenegger, would encourage and ask for discounts, but with no penalties for refusal.
Neither bill has gone anywhere in the Legislature. For the most part, Ortiz's plan turned into Prop 78, Frommer's into Prop 79. And it looks like that's where we still are… even after Tauzin's quiet trip to Sacramento.
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John Myers is Sacramento Bureau Chief for KQED's The California Report, heard on public radio stations around the state. More about John...
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