Oregon slams PhRMA "misinformation"

30 April 2001

John Kitzhaber, Governor of the US state of Oregon, has told a pressconference that the Pharmaceutical Research and Manufacturers of America is spreading misinformation against his plan for a formulary to hold down drug costs by over $7 million in two years.

The formulary would apply to the 30% of Oregon Health Plan patients not covered through managed care plans with formularies and all health plan patients using drugs to treat mental illnesses, which account for about half the Plan's drug budget, notes the Associated Press. Doctors could permit exceptions if the formulary drug had been tried and failed or for other health reasons.

The PhRMA wrote to state legislators claiming that seniors and others affected by the plan would be deprived of the most effective drugs, and that a provision requiring patients to pay the cost differential for requested drugs not on the formulary would be disastrous, said Gov Kitzhaber. To protect their "exorbitant profits," drug firms have resorted to scare tactics and misinformation, he said, adding that without the move, Oregon might have to cut the number of poor people served by the Plan, enrollment in which is expected to grow from about 350,000 to 390,000 in the next two years.

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