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Copyright 2002 The Buffalo News  
The Buffalo News

October 6, 2002 Sunday, FINAL EDITION

SECTION: EDITORIAL PAGE, Pg.H2

LENGTH: 481 words

HEADLINE: KEEPING DRUG COSTS HIGH

BODY:
A Senate bill that would lower the costs of prescription drugs and also give states some relief on the soaring costs of Medicaid seems about to die in the House of Representatives, where Republicans are touting a Medicare prescription drug benefit, but are, in reality, protecting their friends in the pharmaceutical industry.

The Senate bill, sponsored by Charles Schumer, D-N.Y., and John McCain, R-Ariz., passed in a lopsided 78-21 vote. The legislation helps constituents, lowers government costs and relies on the free market to reduce the costs of drugs. Schumer called it the kind of bill Republicans dream about and, indeed, more Republicans voted for the bill than voted against it. And still it is on life support in the House.

One explanation for that seeming contradiction is that some Republican senators, facing difficult election campaigns, took a "free vote" on the matter, knowing their colleagues in the House would kill the bill. The reason for that is opposition from the pharmaceutical industry, which is a generous donor to Republican candidates.

Among those who believe that to be the case is none other than McCain, himself, who recently appeared with House Minority Leader Richard Gephardt, D-Mo., to urge passage of the bill, which closes loopholes that allow drug companies to maintain patent privileges long after the law says they should expire.

The approach is sensible. By protecting reasonable patent rights, Congress would ensure that drug companies remain willing to invest the money needed to produce new treatments, some of them for debilitating illnesses. But by ensuring that lower-cost, generic brands can compete when the patent period expires, legislators also would encourage the kind of price-lowering competition that capitalism holds as its highest value.

The bill has another benefit in that it increases Washington's share of funding for Medicaid for 18 months. The federal government typically pays only half that cost, with states picking up the remainder. In New York, Albany foists half of its costs onto the counties, many of which are facing the prospect of big tax increases or service reductions to account for soaring costs. The Schumer bill would provide some relief.

It's scandalous that the House is bottling up this bill, and proof that campaign finance reform was, and is, an important subject. Schumer and other Democrats are urging House members to sign a "discharge petition" that could force a vote, but for it to succeed, they need at least nine Republicans to buck their leadership. Prospects are doubtful.

But Americans, especially older ones, should know that when it comes to their ability to afford the prescriptions they need, House Republicans are siding with manufacturers who want to keep generic drugs off the shelves, and against people who need relief both from illness and high cost.

LOAD-DATE: October 8, 2002




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