February 2008 Advocacy Update

House and Senate Turn Attention to Budget; ASH Focuses on NIH Appropriations
Upon returning from their brief Presidents’ Day recess, the House and Senate will turn their attention to drafting their respective versions of the FY 2009 Budget Resolution. Each chamber's Budget Resolution sets forth a budgetary blueprint that each appropriations subcommittee uses as guidelines in drafting their respective funding bills. ASH has joined with over 400 other organizations in sending a letter to Congress seeking an additional $5.3 billion over the President Bush’s request for federal public health programs – including the National Institutes of Health (NIH) – in the FY 2009 budget.

As described in ASH’s recent Legislative Alert, the President's FY 2009 budget proposal, released on February 4, would increase discretionary spending for health care and other domestic programs by less than 1 percent. The President also has said that he will veto any appropriations bill that exceeds his request for discretionary spending.

ASH will continue its advocacy efforts on Capitol Hill during the FY 2009 budget debate and encourages all members to take action to support increased funding for NIH. Grassroots advocacy by researchers around the country will be necessary to ensure hematologic research is adequately funded at NIH. For more information about FY 2009 NIH funding and to participate in ASH’s online advocacy campaign, please visit the ASH Advocacy Center.

President Leaves It Up To Congress to Fix Medicare Physician Reimbursement
The Medicare, Medicaid, and SCHIP Extension Act of 2007 enacted earlier this year provided a 0.5 percent increase to the Medicare Physician Fee Schedule (MPFS) conversion factor beginning January 1 through June 30, 2008, instead of the (negative) -10.1 percent that was scheduled to take place. The originally scheduled (negative) -10.1 percent update to the physician fee schedule is now scheduled to become effective July 1, 2008. Consequently, Congress is expected to enact new Medicare legislation before July 1 to prevent the cuts to physician reimbursement.

Although the President's proposed FY 2009 budget included several Medicare policy proposals that would reduce spending and growth in Medicare by $182 billion, the administration's Medicare proposals do not address the physician payment cuts. The Senate Finance Committee has begun to discuss repealing the scheduled physician payment cuts. ASH is working with members of Congress to prevent the cuts and will keep ASH members informed of all developments. In addition, ASH has been working with the Finance Committee on ensuring adequate Medicare reimbursement for radioimmunotherapy agents for non-Hodgkin’s lymphoma. We will keep members apprised on any new developments concerning Medicare legislation.

Presidential Candidates Share Views on Health Issues
As the pace of the presidential primaries heats up, all of the candidates have shared their views and policy positions on health issues. ASH has compiled information about all of the 2008 Presidential Candidates’ positions on a number of health-related issues in a format to help share this information with our members. The information is quoted directly from statements made by the candidates, as well as from information provided on their campaign Web sites. This information is provided solely for the education of the Society’s members, and should in no way be interpreted as an endorsement of any candidate or position.

ASH’s 50th Anniversary Celebrated in U.S. Senate
Senator Arlen Specter recently congratulated ASH on its 50th anniversary during a speech on the floor of the United States Senate. A long-time supporter of increased funding for biomedical research at NIH and a Hodgkin's lymphoma survivor, Senator Specter recognized the many accomplishments of hematologists in translating research funding into effective treatments and cures for hematologic diseases and conditions.

House Readies Generic Biologic Bill
Several Members of the House of Representatives are preparing legislation to give the Food and Drug Administration (FDA) the authority to approve follow-on (or generic) biologics. Representative Anna Eshoo (D-CA) and House Energy and Commerce Committee Ranking Member Joe Barton (R-TX) plan to introduce the legislation following the Presidents’ Day congressional recess.

In his FY 2009 budget proposal, the President indicated his support for a process that "Establishes a pathway for FDA’s approval of follow-on biologics" and "proposes new FDA authorities to approve follow-on protein products through a new regulatory pathway that protects patient safety, promotes innovation, and includes a financing structure to cover the costs of this activity through user fees."

The proposed legislation would be similar to legislation passed last year by the Senate and would grant biotechnology drug makers 12 years of exclusivity to sell their drugs without generic competition. An issue that is still being negotiated is that of interchangeability, or allowing a pharmacist to substitute a generic biologic for a name-brand prescription. While the Senate-passed bill allows for interchangeability, the Bush Administration does not support the idea of interchangeability for generic biologics due to their complexity.