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Obama health reform plan slaps drugmakers

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Health insurers aren’t the only companies in the sights of President Obama’s new health reform proposal.

Drugmakers such as Indianapolis-based Eli Lilly and Co. would shoulder an extra $1 billion in fees per year, up from the $2.3 billion they had already agreed to.

Also, Obama’s plan would allow the Federal Trade Commission to ban so-called pay-for-delay deals, in which makers of brand-name drugs pay generic drug companies to drop their patent challenges to brand-name drugs.

There were 66 such deals in the past five years, according to a January report by the FTC. Lilly wasn't named in the report. By extending the life of expensive brand-name drugs, such deals prevent American consumers from enjoying as much as $3.5 billion a year from low-cost generic drugs.

In December 2003, former Lilly CEO Sidney Taurel was quoted as saying that branded drugmakers could “truly eliminate the incentive in the calculation that generic companies would make” by launching their own generic versions of drugs before the generic maker had the chance to capitalize.

The pharmaceutical trade association, of which Lilly is a member, strongly opposes a ban on pay-for-delay deals.

In an earlier statement, it said, “Patent settlements between brand-name and generics companies can resolve expensive patent disputes to help foster innovation and improve access to medicines so that patients can live healthier, more productive lives.”

 


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  1. something to take iman's mind off CART,,,the league itsownself doesn't do it

  2. Someone mentioned a green roof. Every designer of a new urban building should be required to at least explore the feasibility of a green roof. The ability to cut carbon dioxide, save precious rainwater (drought this summer??) and re-use grey water, cool the building cheaper, and improve the view for neighbors, should be, not only the good neighbor thing to do, it should be the responsible neighbor thing to do. Too bad the city didn't require it when they gave up downtown green space for the Simon Building. Surprised they aren't requiring it now.

  3. About the same means down, like the TV ratings.

    My favorite tradition that needs to be brought back is the 25/8 rule.

  4. Your stats are incorrect. The 85k Government employees working in Marion County includes all government workers in Marion county. That is state, federal, non profit agencies, city and county. The stats the article list is the number of employees for all of the city/county employees and it is correct. That number includes the library, airport, convention center, and so on. The policy of extending benefits to domestic partners is consistent with private sector companies of the same size. Isn't the mantra of most conservatives "run the government like a business."

    Also, too say the "fiscal proposil is huge" without considering the actuarial factors involved is a bit of an overstatement. We really don't know if it is huge or not. If all of the people added to the plan are healthy and don't have claims then it could bring cost done or hold them neutral.

  5. There are 85,346 government employees in Marion county according to Stats Indiana.

    My understanding is that this proposal covers not only same sex partners and children, but opposite same sex partners who are not married and any kids.

    It also covers all city and county employees, plus municipal corporations which use city/county benefits packages including Health and Hospital Corporation (Wishard), Indianapolis Airport Authority, Indianapolis Convention Center,Lucas Oil,Bankers Life, Indianapolis Marion County Library, and Indianapolis Public Transportation Corporation (IndyGo).

    Certainly Indianapolis Public Schools will also want more benefits also.

    The fiscal cost on this proposal is huge.

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