[Ip-health] Groups call for ethics investigation into Tauzin's role in pro-pharma provisions in Medicare Part D

[Mike Palmedo]

http://www.ourfuture.org/press/releases/index.cfm?pressReleaseID=3D160

FOR IMMEDIATE RELEASE:
MONDAY, MAY 8, 2006

CONTACT:Toby Chaudhuri
202-955-5665
chaudhuri@ourfuture.org

PUBLIC INTEREST GROUPS CALL FOR CORRUPTION INVESTIGATION INTO
PRESCRIPTION DRUG LAW - New Report Shows Corrupt Deals That Created
Medicare Part D Disaster Would Not Be Eliminated Under New Rules Before
Congress

WASHINGTON, D.C. =96 With recent attention focused on lobbying reform in
Congress, two public interest groups today called for an investigation
into how former Rep. Billy Tauzin, R-La., now head of the drug
manufacturing companies' lobby in Washington, inserted language into the
drug benefit bill to help big drug companies while he was negotiating to
land a $2 million per year job as president of PhRMA.

Rep. Marion Berry, D-Ark., who served with Rep. Tauzin on the Medicare
Conference Committee, joined leaders from the two groups =96 the Campaign
for American's Future and Americans United =96 on a conference call with
reporters today to discuss a new report of scandals surrounding the
Medicare Part D prescription drug program.

The Campaign for America's Future released a report today that
chronicles how Rep. Tauzin, R-La., former chair of the Congressional
committee overseeing the passage of Part D, worked hard to prohibit
Medicare from negotiating with drug companies to achieve lower prices
for seniors.

"The Republican leaders on the committee paid more attention to the
pharmaceutical and insurance companies who contributed millions of
dollars to their campaigns than the needs of our seniors," said Rep.
Berry. "There were even times when these leaders shut my Democratic
colleagues and I out of the room during critical moments in this debate."

Campaign for America's Future co-director Roger Hickey joined Rep. Berry
to release the report on today's call, noting that the failure to
negotiate prices cost Part D an extra $80 billion annually.

"Part D took billions of tax dollars that could have provided a
comprehensive, guaranteed senior citizen drug benefit and put them into
the pockets of the pharmaceutical companies," said Hickey. "The
consequences of his misconduct dwarfs villains like Cunningham and
Abramoff."

American's United communications director Brad Woodhouse also joined
Rep. Berry and Hickey on today's call. Woodhouse called Part D a
"sell-out to pharmaceutical manufacturers."

"Part D prohibits Medicare from using its bulk-buying power to negotiate
lower drug prices and denies senior citizens the choice of a
prescription drug benefit direct from Medicare," said Woodhouse. "Part D
is better for industry than it is for pharmacists, senior citizens or
patients."

Today's report examines the drug companies' $87 million in federal
campaign contributions between 1998 and 2005, including $1.5 million to
George Bush. Fully 69 percent of industry contributions went to
Republicans. Tauzin himself received $218,000 in drug money between 1989
and his departure.

Former Medicare chief Thomas Scully also receives scrutiny in the
report. Scully received an "ethics waiver" from the Bush administration
permitting him to hunt for his next job while actively negotiating Part
D on behalf of the administration. He immediately left the
administration to become a health industry lobbyist.

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NOTE: An electronic copy of today=92s report is available here:
http://www.ourfuture.org/document.cfm?documentID=3D2050