[Date Prev][Date Next][Thread Prev][Thread Next][Date Index][Thread Index]
Sanders Amendement - Text, Debate and Vote
- To: tap-drugs@tap.org
- Subject: Sanders Amendement - Text, Debate and Vote
- From: James Love <love@tap.org>
- Date: Wed, 24 Jul 1996 10:47:16 -0400 (EDT)
The following is an excerpt from the July 11, 1996 Congressional Record.
It is the text of the Sanders Amendment on restoring the reasonable
pricing clause, followed by the debate, and the vote. As noted earlier,
the amendment was defeated 180 to 242, but the 180 ayes were up from the
previous 141, last august. An example of the increasing support for the
amendment is found in the comments by Rep. ROHRABACHER, a conservative
republican from California. jamie
[[Page H7335]]
Amendment Offered by Mr. SANDERS
Mr. SANDERS. Mr. Chairman, I offer an amendment.
The CHAIRMAN. The Clerk will designate the amendment.
The text of the amendment is as follows:
Amendment offered by Mr. Sanders: At the end of the bill,
insert after the last section (preceding the short title) the
following new section:
Sec. . (a) Limitation on Use of Funds for Agreements for
Department of Drugs.--None of the funds made available in
this Act may be used by the Secretary of Health and Human
Services to enter into--
(1) an agreement on the conveyance or licensing of a patent
for a drug, or another exclusive right to a drug;
(2) an agreement on the use of information derived from
animal tests or human clinical trials conducted by the
Department of Health and Human Services on a drug, including
an agreement under which such information is provided by the
Department of Health and Human Services to another on an
exclusive basis; or
(3) a cooperative research and development agreement under
section 12 of the Stevenson-Wydler Technology Innovation Act
of 1980 (15 U.S.C. 3710a) pertaining to a drug.
(b) Exceptions.--Subsection (a) shall not apply when it is
made known to the Federal official having authority to
obligate or expend the funds involved that--
(1) the sale of the drug involved is subject to a
reasonable price agreement; or
(2) a reasonable price agreement regarding the sale of such
drug is not required by the public interest.
The CHAIRMAN. Pursuant to the order of the House of today, the
gentleman from Vermont [Mr. Sanders] and a Member opposed each will
control 5 minutes.
The Chair recognizes the gentleman from Vermont [Mr. Sanders].
Mr. SANDERS. Mr. Chairman, I yield myself such time as I may consume.
Mr. Chairman, as many Members know, the U.S. taxpayer is the single
largest supporter of biomedical research in the world, spending $33
billion in 1994 alone for biomedical and related health research.
Unfortunately, our taxpayers are unwittingly being forced to pay twice
for drugs because this Congress is deeply beholden to the very
profitable giant drug companies.
Members heard it right, our constituents are not getting a fair
return on the investment of their hard-earned money, paying twice for
pharmaceutical breakthroughs, first as taxpayers and second as
consumers. This harms consumers, and it is a form of corporate welfare
to many of the world's largest corporations.
The bottom line of this amendment is that when taxpayers spend
billions and billions of dollars in developing a new drug, the taxpayer
as a consumer should get a break and we should not be giving all of
this research over to the private industry who then sells the product
to our consumers at outrageous profits.
Mr. OBEY. Mr. Chairman, will the gentleman yield?
Mr. SANDERS. I yield to the gentleman from Wisconsin.
Mr. OBEY. Mr. Chairman, let me simply say on this side of the aisle I
will be willing to accept the gentleman's amendment. I think it is a
good public interest amendment.
[[Page H7336]]
Mr. PORTER. Mr. Chairman, I claim the time in opposition.
The CHAIRMAN. The gentleman from Illinois [Mr. Porter] is recognized
for 5 minutes.
Mr. PORTER. Mr. Chairman, I yield myself such time as I may consume.
Mr. Chairman, the gentleman is repeating his amendment that was
defeated last year on a 141-284 vote. It relates to the reasonable
pricing clause that was in effect for NIH cooperative research and
development agreements, CRADA's, and license agreements until April
1995.
This provision was originally put in place in response to public
concern about the pricing of the AIDS drug AZT, even though AZT had not
been developed through a CRADA or exclusive license. It was
controversial from the start, and NIH decided to conduct an extensive
review of the policy. They held public hearings, consulted with
scientists, patient and consumer advocates, and representatives of
academia and industry.
The director of NIH, Dr. Varmus, concluded after this review that,
and I quote. ``The pricing clause has driven industry away from
potentially beneficial scientific collaborations with Public Health
Service scientists without providing an offsetting benefit to the
public.''
The review also indicated that NIH research was adversely affected by
an inability of NIH scientists to obtain compounds from industry for
basic research purposes. No other Federal agency has a reasonable
pricing clause. No law or regulation expressly requires or permits NIH
to enforce such a provision. No comparable provision exists for NIH
extramural grantees like universities to impose price controls on the
licensees of products they develop with NIH funds.
Contrary to the impression some may have, the principal function of
NIH research is not to develop drugs. NIH supports the basic research
that is the foundation for the applied research that the drug companies
do. NIH focuses on research that is critical for eventual application,
but which is not specific enough to meet the profitability test that
private industry requires.
The drug companies focus their research on bringing products to
market and their investment is considerable. In 1994, the industry
supported almost $14 billion in health research and development, which
is more than half the entire U.S. public and private investment.
While it is appealing to think that reimposing the reasonable pricing
clause may lower health care costs and benefits to consumers, we must
face the possibility that it will drive drug companies out of their
collaborative ventures with NIH and ultimately deny patients access to
important lifesaving drugs.
I doubt that anyone in this Chamber has a detailed understanding of
the impact of this complex issue. I would like to rely on Dr. Varmus'
judgment in this matter and the decision of the Clinton administration.
I might add, I would hope that Congress does not try to intervene, and
for these reasons I must strongly oppose the amendment.
Mr. Chairman, I reserve the balance of my time.
Mr. SANDERS. Mr. Chairman, I yield 1 minute to the gentlewoman from
Florida [Mrs. Thurman].
Mrs. THURMAN. Mr. Chairman, I rise in support of the Sanders
amendment. Consider the case of levamisole. Eleven million dollars in
N.I.H. research lead to the discovery that this drug to prevent worms
in sheep could also prevent some 7,000 cancer deaths each year. No
pharmaceutical company paid for this research, the American taxpayer
did. But, what happened when a pharmaceutical company entered the
picture? A drug that costs 6 cents a dose for sheep skyrocketed to $6 a
dose for colon cancer patients.
A few years ago, the television program ``Primetime Live''
highlighted the problem of levamisole costs in the State of Florida. In
Florida, some people were so desperate for levamisole they turned to
the black market, where sheep pills are ground up into human-sized
doses.
Asked about that price differential between the sheep and human
products, the pharmaceutical executives simply said, ``A sheep farmer
probably would not pay $6 a pill,'' but, ``someone dying of cancer that
pays $1,200 for a treatment regimen, whose life is saved, is getting
one of the most cost-effective treatments they can ever get.''
Well, I resent paying for the development of a drug and then paying
100 times what a sheep farmer pays for it.
This is an outrageous abuse of public funds. Let's make sure we get
our money's worth on our investment. Support the Sanders amendment.
Mr. PORTER. Mr. Chairman, how much time is remaining?
The CHAIRMAN. The gentleman from Illinois [Mr. Porter] has 2 minutes
remaining, and the gentleman from Vermont [Mr. Sanders] has 2\1/2\
minutes remaining.
Mr. PORTER. I have the right to close, am I correct?
The CHAIRMAN. The gentleman is correct.
Mr. SANDERS. Mr. Chairman, I yield 1\1/2\ minutes to the gentleman
from California [Mr. Rohrabacher].
Mr. ROHRABACHER. Mr. Chairman, I rise in strong support of the
Sanders amendment to restore a reasonable pricing clause for drugs that
are developed at taxpayer expense. Let me make it clear, this affects,
this amendment only affects those drugs that are developed at
taxpayers' expense. It does not affect any drugs that are developed
solely by the private sector and by the pharmaceutical companies
themselves.
Mr. Chairman, I am a strong supporter of taxpayer accountability.
Taxpayers who fund this biomedical research to the tune of billions of
dollars should not be forced to pay excessive prices for the drugs that
they themselves have helped develop, but that is exactly what is
happening.
Mr. Chairman, the drug companies are now free, after getting
taxpayers' money to develop their product, to gouge those very same
people 10, 20 times the cost of their own product. They charge that to
the American people who are paying for their research. The American
people end up paying twice.
Now, is that not nice? This is a corporate form of welfare, and it
has got to stop. Drug companies are making fortunes off the backs of
working people. If they developed the product themselves at their own
expense, the Government should not step in. But we have continually
said in this Congress that we want to cut down the expenses of
Government, cut down welfare. This is welfare for the rich, for the
corporations. The American people should not be insulted by being
forced to pay for the research of a company who then turns around and
gouges them for the price of the product that has been developed.
Mr. Chairman, I support the Sanders amendment.
Mr. SANDERS. Mr. Chairman, I yield 1 minute to the gentleman from
Rhode Island [Mr. Kennedy].
Mr. KENNEDY of Rhode Island. Mr. Chairman, I thank the gentleman from
Vermont for yielding me the time.
Mr. Chairman, this amendment is about simply fairness. It says that
when taxpayers foot the bill for research, they should not have to pay
again for it at the drug counter. We invest millions of dollars in
pharmaceutical research. More than 40 percent of all U.S. health care
research and development comes from the U.S. taxpayer.
This amendment, the Sanders amendment, says that drugs developed with
taxpayer dollars cannot be sold back to the taxpayers at excessive
prices. Without a reasonable pricing clause, the taxpayers pay to
develop the drug, only to get their pockets picked when they go to the
pharmacy.
In the 1990's, the drug industry was the Nation's most profitable,
with an annual profit of 13.6 percent, more than triple the average of
the Fortune 500 companies. So while the argument goes that they invest
a great deal in R&D, there is plenty left over for them to give back to
the taxpayer, and that is what this amendment calls for.
Mr. PORTER. Mr. Chairman, I yield myself such time as I may consume.
Mr. Chairman, in closing, I just want to repeat that we have already
voted on this. It lost by a margin of better than two-to-one the last
time it was voted on.
There are times when we simply have to trust the officials that we
have chosen. The Clinton administration has chosen Dr. Varmus to head
the NIH. He
[[Page H7337]]
has looked into this extensively. He believes very strongly that this
amendment is ill-advised. He believes that it is counterproductive to
achieving the purpose for which it is intended, and I would simply urge
Members to listen to his professional and scientific judgment and to
reject the amendment.
Mr. Chairman, I yield back the balance of my time.
The CHAIRMAN. The question is on the amendment offered by the
gentleman from Vermont [Mr. Sanders].
The question was taken; and the Chairman announced that the ayes
appeared to have it.
Mr. PORTER. Mr. Chairman, I demand a recorded vote.
The CHAIRMAN. Pursuant to House Resolution 472, further proceedings
on the amendment offered by the gentleman from Vermont [Mr. Sanders]
will be postponed.
[snip, snip, snip]
[[Page H7363]]
amendment no. 12 offered by mr. sanders
The CHAIRMAN. The pending business is the demand for a recorded vote
on the amendment offered by the gentleman from Vermont [Mr. Sanders] on
which further proceedings were postponed on which the ayes prevailed by
voice vote.
The Clerk will redesignate the amendment.
The Clerk redesignated the amendment.
recorded vote
The CHAIRMAN. A recorded vote has been demanded.
A recorded vote was ordered.
The CHAIRMAN. This is a 5-minute vote.
The vote was taken by electronic device, and there were--ayes 180,
noes 242, not voting 11, as follows:
[Roll No. 306]
AYES--180
Abercrombie
Ackerman
Andrews
Bachus
Baesler
Baker (LA)
Baldacci
Barcia
Barrett (WI)
Becerra
Beilenson
Bereuter
Berman
Bevill
Bishop
Blumenauer
Bonior
Borski
Boucher
Browder
Brown (CA)
Brown (FL)
Brown (OH)
Bryant (TX)
Campbell
Cardin
Chabot
Chrysler
Clay
Clayton
Clement
Clyburn
Coleman
Collins (MI)
Condit
Conyers
Costello
Coyne
Cramer
Cummings
de la Garza
Deal
DeFazio
Dellums
Dicks
Dingell
Dixon
Doggett
Doyle
Duncan
Durbin
Edwards
Engel
Ensign
Evans
Farr
Fattah
Fazio
Fields (LA)
Filner
Flake
Foglietta
Foley
Ford
Frost
Furse
Gephardt
Gordon
Green (TX)
Gutierrez
Gutknecht
Hamilton
Hastings (FL)
Hefner
Hilleary
Hilliard
Hinchey
Hoke
Holden
Jackson (IL)
Jackson-Lee (TX)
Jacobs
Jefferson
Johnson (SD)
Johnson, E. B.
Johnston
Kanjorski
Kaptur
Kennedy (RI)
Kildee
Kleczka
Klink
LaFalce
Lantos
Levin
Lewis (GA)
Lipinski
Lofgren
Longley
Lowey
Luther
Maloney
Manton
Martinez
Mascara
Matsui
McCrery
McDermott
McHale
McKinney
Meek
Menendez
Metcalf
Millender-McDonald
Miller (CA)
Minge
Mink
Mollohan
Nadler
Oberstar
Obey
Olver
Ortiz
Owens
Pallone
Pastor
Payne (NJ)
Pelosi
Peterson (FL)
Peterson (MN)
Poshard
Rahall
Ramstad
Rangel
Reed
Rivers
Roemer
Rohrabacher
Rose
Roybal-Allard
Royce
Rush
Sabo
Sanders
Sawyer
Schroeder
Schumer
Scott
Serrano
Shays
Skaggs
Slaughter
Smith (WA)
Spratt
Stark
Stokes
Stupak
Tanner
Tate
Tauzin
Taylor (MS)
Tejeda
Thompson
Thurman
Torres
Torricelli
Towns
Velazquez
Vento
Visclosky
Volkmer
Ward
Waters
Watt (NC)
Waxman
Williams
Wilson
Wise
Woolsey
Wynn
NOES--242
Allard
Archer
Armey
Baker (CA)
Ballenger
Barr
Barrett (NE)
Bartlett
Barton
Bass
Bateman
Bentsen
Bilbray
Bilirakis
Bliley
Blute
Boehlert
Boehner
Bonilla
Bono
Brewster
Brownback
Bryant (TN)
Bunn
Bunning
Burr
Burton
Buyer
Callahan
Calvert
Camp
Canady
Castle
Chambliss
Chapman
Chenoweth
Christensen
Clinger
Coble
Coburn
Collins (GA)
Combest
Cooley
Cox
Crane
Crapo
Cremeans
Cubin
Cunningham
Danner
Davis
DeLauro
DeLay
Deutsch
Diaz-Balart
Dickey
Dooley
Doolittle
Dornan
Dreier
Ehlers
Ehrlich
English
Eshoo
Everett
Ewing
Fawell
Fields (TX)
Flanagan
Forbes
Fowler
Fox
Frank (MA)
Franks (CT)
Franks (NJ)
Frelinghuysen
Frisa
Funderburk
Gallegly
Ganske
Gejdenson
Gekas
Geren
Gilchrest
Gillmor
Gonzalez
Goodlatte
Goodling
Goss
Graham
Greene (UT)
Greenwood
Gunderson
Hall (TX)
Hancock
Hansen
Harman
Hastert
Hastings (WA)
Hayworth
Hefley
Heineman
Herger
Hobson
Hoekstra
Horn
Hostettler
Houghton
Hoyer
Hunter
Hutchinson
Hyde
Inglis
Istook
Johnson (CT)
Johnson, Sam
Jones
Kasich
Kelly
Kennedy (MA)
Kennelly
Kim
King
Kingston
Klug
Knollenberg
Kolbe
LaHood
Largent
Latham
LaTourette
Laughlin
Lazio
Leach
Lewis (CA)
Lewis (KY)
Lightfoot
Linder
Livingston
LoBiondo
Lucas
Manzullo
Markey
Martini
McCarthy
McCollum
McHugh
McInnis
McIntosh
McKeon
McNulty
Meehan
Meyers
Mica
Miller (FL)
Moakley
Molinari
Montgomery
Moorhead
Moran
Morella
Murtha
Myers
Myrick
Neal
Nethercutt
Neumann
Ney
Norwood
Nussle
Orton
Oxley
Packard
Parker
Paxon
Payne (VA)
Pickett
Pombo
Pomeroy
Porter
Portman
Pryce
Quillen
Quinn
Radanovich
Regula
Richardson
Riggs
Roberts
Rogers
Ros-Lehtinen
Roth
Roukema
Salmon
Sanford
Saxton
Scarborough
Schaefer
Schiff
Seastrand
Sensenbrenner
Shadegg
Shaw
Shuster
Sisisky
Skeen
Skelton
Smith (MI)
Smith (NJ)
Smith (TX)
Solomon
Souder
Spence
Stearns
Stenholm
Stockman
[[Page H7364]]
Studds
Stump
Talent
Taylor (NC)
Thomas
Thornberry
Thornton
Tiahrt
Torkildsen
Traficant
Upton
Vucanovich
Walker
Walsh
Wamp
Watts (OK)
Weldon (FL)
Weldon (PA)
Weller
White
Whitfield
Wicker
Wolf
Young (AK)
Zeliff
Zimmer
NOT VOTING--11
Collins (IL)
Dunn
Gibbons
Gilman
Hall (OH)
Hayes
Lincoln
McDade
Petri
Yates
Young (FL)
{time} 2381
Mr. de la GARZA changed his vote from ``no'' to ``aye.''
Messrs. EHRLICH, MEEHAN, and PETE GEREN of Texas changed their vote
from ``aye'' to ``no.''
So the amendment was rejected.
The result of the vote was announced as above recorded.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
James Love / love@tap.org / P.O. Box 19367, Washington, DC 20036
Voice: 202/387-8030; Fax 202/234-5176
Center for Study of Responsive Law
Consumer Project on Technology; http://www.essential.org/cpt
Taxpayer Assets Project; http://www.tap.org
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~