The Senate Commerce Committee is tentatively planning to hold a hearing on anticompetitive practices affecting generic drug marketing in April or May.

Sen. John McCain (R-Ariz.) is understood to have a commitment from Commerce, Science & Transportation Committee Chairman Fritz Hollings (D-S.C.) to hold a hearing on generic drug issues this spring. A hearing date has not yet been fixed on the committee's calendar.

McCain, the ranking member on the committee, is the cosponsor with Sen. Charles Schumer (D-N.Y.) of legislation to accelerate generic drug competition by refining the 180-day exclusivity law and eliminating the 30-month stay of approval (¹ Also see "McCain/Schumer Generic Bill Would End 30-Month Stay Of Approval" - Pink Sheet, 7 May, 2001., p. 8).

The planned hearing will not specifically address the McCain-Schumer bill. Instead, it will establish the background for a legislative fix by airing the marketing practices by firms from both the brand name and generic sectors. Recent investigations by the Federal Trade Commission will serve as a point of departure.

FTC is negotiating a settlement with Biovail regarding late-listed Tiazac patents and recently reached an agreement with American Home Products regarding its K-Dur patent settlement with Schering-Plough ("The Pink Sheet" Feb. 25, p. 8).

The committee is expected to invite witnesses from the generic and brand drug industries, patient and consumer groups, businesses and FTC. Several groups that could be among those interested in testifying attended a meeting at Blue Cross/Blue Shield's Washington, D.C. office March 11.

The Blue Cross/Blue Shield meeting brought together lobbyists from an array of health interest groups, generic manufacturers, heavy industry and unions.

In addition to generic industry lobbyists (Generic Pharmaceutical Association, Barr, Teva), those attending included representatives of employers (GM, United Auto Workers), health plans (Aetna, Humana, WellPoint, American Association of Health Plans, Health Insurers Association of America, National Association of Healthcare Underwriters) and patient and consumer groups (National Organization for Rare Disorders, Consumers Union, Consumer Federation, Public Citizen, Gray Panthers). The National Association of Chain Drug Stores was also represented.

Chris Jennings from the Clinton White House was also among those at the meeting. Barr was represented by attorney Kathleen Jaeger.

Staffers from the offices of McCain, Schumer and Reps. Sherrod Brown (D-Ohio) and Jo Ann Emerson made up the congressional contingent at the meeting. Brown and Emerson cosponsor the House version of the McCain-Schumer bill.

Generic Drug Competition Hearing Planned For Senate Commerce Committee

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