Pharmaceutical corporations gave at the very least $116 million to affected person advocacy teams in a single 12 months, reveals a brand new database logging 12,000 donations from massive publicly traded drugmakers to such organizations.
Even as these affected person teams develop in quantity and political affect, their funding and their relationships to drugmakers are little understood. Unlike funds to docs and lobbying bills, corporations do not need to report funds to the teams.
The database, known as “Pre$cription for Power,” exhibits that donations to affected person advocacy teams tallied for 2015 — the newest full 12 months during which paperwork required by the Internal Revenue Service had been obtainable — dwarfed the whole quantity the businesses spent on federal lobbying. The 14 companies that contributed $116 million to patient advocacy groups reported solely about $63 million in lobbying activities that very same 12 months.
Though their main missions are to focus consideration on the wants of sufferers with a specific illness — corresponding to arthritis, coronary heart illness or varied cancers — some teams successfully complement the work lobbyists carry out, offering sufferers to testify on Capitol Hill and organizing letter-writing and social media campaigns which are useful to pharmaceutical corporations.
Six drugmakers, the information present, contributed 1,000,000 or extra to particular person teams that signify sufferers who depend on their medication. The database identifies over 1,200 affected person teams. Of these, 594 accepted cash from the drugmakers within the database.
To be taught extra about how Kaiser Health News constructed the Pre$cription for Power database, learn our methodology.
The monetary ties are troubling in the event that they trigger even one affected person group to behave in a method that’s “not fully representing the interest of its constituents,” mentioned Matthew McCoy, a medical ethics professor on the University of Pennsylvania who co-authored a 2017 research about affected person advocacy teams’ affect and transparency.
Notably, such teams have been silent or gradual to complain about excessive or escalating costs, a chief concern of sufferers.
“When so many patient organizations are being influenced in this way, it can shift our whole approach to health policy, taking away from the interests of patients and towards the interests of industry,” McCoy mentioned. “That’s not just a problem for the patients and caregivers that particular patient organizations serve; that’s a problem for everyone.”
Bristol-Myers Squibb gives a stark instance of how affected person teams are valued. In 2015, it spent greater than $20.5 million on affected person teams, in contrast with $2.9 million on federal lobbying and fewer than $1 million on main commerce associations, in keeping with public data and firm disclosures. The firm mentioned its choices concerning lobbying and contributions to affected person teams are “unrelated.”
“Bristol-Myers Squibb is focused on supporting a health care environment that rewards innovation and ensures access to medicines for patients,” mentioned spokeswoman Laura Hortas. “The company supports patient organizations with this shared objective.”
There aren’t a number of massive pockets of funding exterior of the pharmaceutical cash. We take it the place we will discover it.
Lorren Sandt, Caring Ambassadors Program
The first-of-its-kind database, compiled by Kaiser Health News, tallies the cash from Big Pharma to affected person teams. KHN examined the 20 pharmaceutical corporations included within the S&P 500, 14 of which had been clear — in various levels — about giving cash to affected person teams. Pre$cription for Power relies on info contained in charitable giving reviews from firm web sites and federal 990 regulatory filings.
It spotlights donations pharma corporations made to affected person teams massive and small. The recipients embrace well-known illness teams, just like the American Diabetes Association, with revenues of a whole bunch of hundreds of thousands of ; high-profile foundations like Susan G. Komen, a affected person group centered on breast most cancers; and smaller, lesser-known teams, just like the Caring Ambassadors Program, which focuses on lung most cancers and hepatitis C.
The information present that 15 affected person teams — with annual revenues as massive as $three.6 million — relied on the pharmaceutical corporations for at the very least 20 p.c of their income, and a few relied on them for greater than half of their income. The database explores solely a slice of the pharmaceutical business’s giving general and shall be expanded with extra corporations and teams over time.
“It’s clear that more transparency in this space is vitally important,” mentioned Sen. Claire McCaskill (D-Mo.), who has been investigating the hyperlinks between affected person advocates and opioid producers and is contemplating laws to trace funding. “This database is one step forward in that effort, but we also need Congress to act.”
Email Sign-Up
Subscribe to KHN’s free Morning Briefing.
What Drives The Money Flow
The monetary ties between drugmakers and the organizations that signify those that use or prescribe their blockbuster medicines have been of rising concern as drug costs escalate. The Senate investigated conflicts of curiosity within the run-up to the passage of the 2010 Physician Payments Sunshine Act — a regulation that required funds to physicians from makers of medication and units to be registered on a public web site — however affected person teams weren’t addressed within the invoice.
Some of the affected person teams with ties to commerce teams echo industry talking points in media campaigns and letters to federal businesses, and do little else. And sufferers, supported by pharma, are dispatched to state capitals and Washington to help analysis funding. Some teams ship sufferers updates on the latest medication and business merchandise.
“It’s through groups like this that patients often learn about illnesses and treatments,” mentioned Rick Claypool, a analysis director for Public Citizen, a shopper advocacy group that claims it does not accept pharmaceutical funding.
It’s clear that extra transparency on this area is vitally necessary.
Sen. Claire McCaskill (D-Mo.)
For the affected person group Caring Ambassadors Program, business funds are wanted to make up for an absence of public funding, mentioned the group’s government director, Lorren Sandt. According to IRS filings and revealed firm reviews, in 2015 the group acquired $413,000, the majority of which got here from one firm, AbbVie, which makes a hepatitis C therapy and has been testing a brand new lung most cancers drug, Rova-T, not but authorised. She mentioned the cash had no affect on the Caring Ambassadors Program’s priorities.
“There aren’t a lot of large pockets of funding outside of the pharmaceutical money,” Sandt mentioned. “We take it where we can find it.”
Other affected person teams corresponding to The National Women’s Health Network, primarily based in Washington, D.C., make sacrifices to keep away from pharmaceutical funding. That contains working with a small workers in a “modest” workplace constructing with few home windows and outdated computer systems, in keeping with government director Cindy Pearson. “You can see the effect of our approach to funding as soon as you walk [in] the door.”
Pearson mentioned it’s exhausting for affected person teams to not be influenced by the funder, even when they proclaim independence. Patient teams “build relationships with their funders and feel in sync and have sympathy” for them. “It’s human nature. It’s not evil or weak, but it’s wrong.”
Charity As Marketing
Patients newly identified with a illness usually flip to affected person advocacy teams for recommendation, however the cash move to such teams might distort sufferers’ data and public debate over therapy choices, mentioned Dr. Adriane Fugh-Berman, the director of PharmedOut, a Georgetown University Medical Center program that’s essential of some pharmaceutical advertising and marketing practices.
“[The money flow limits] their advocacy agenda to competing branded products when the best therapy might be generics, over-the-counter drugs or diet and exercise,” she mentioned.
AbbVie — whose specialty drug Humira made up 65 percent of the corporate’s internet income in 2017 and is used to deal with sufferers with autoimmune ailments, together with Crohn’s illness and sure sorts of arthritis — gave $2.7 million to the Crohn’s & Colitis Foundation and $1.6 million to the Arthritis Foundation, in keeping with the corporate’s public disclosures included within the database. The record worth for a month’s provide of Humira, a biologic drug, is $four,872, in keeping with Express Scripts, a pharmacy advantages supervisor.
Even although Humira will face competitors from near-copycat medication known as biosimilars, it’s anticipated to stay the highest-grossing drug within the United States by means of 2022, in keeping with drug business analysts at EvaluatePharma.
The Arthritis and Crohn’s foundations have been largely silent on the price of Humira and vocal on security issues about biosimilars. The Arthritis Foundation has championed state legal guidelines that might add further steps for customers to obtain biosimilars on the pharmacy counter, doubtlessly protecting extra sufferers on the brand-name drug. Experts say these legal guidelines might assist shield Humira’s market share from generic rivals.
A coalition of affected person teams, Patients for Biologics Safety & Access, opposes the automated substitution of a less expensive biosimilar when docs prescribe a biologic. In 2015, members of that coalition, together with the Crohn’s & Colitis Foundation, the Arthritis Foundation and the Lupus Foundation of America, accepted about $9.1 million from pharmaceutical corporations within the database, in keeping with public disclosures. They embrace AbbVie and Johnson & Johnson, makers of blockbuster biologics.
The Arthritis Foundation didn’t deny receiving the cash however mentioned the muse represents sufferers, not sponsors. It is “optimistic” about biosimilars’ potential to assist sufferers and save them cash, mentioned Anna Hyde, vice chairman of advocacy and entry. “The Foundation supports the Food and Drug Administration’s scientific standards in evaluating the safety and efficacy of biosimilars, and we support policies that encourage innovation and foster a competitive marketplace.”
(Story continues under.)
To be taught extra about how Kaiser Health News constructed the Pre$cription for Power database, learn our methodology.
The Crohn’s & Colitis Foundation maintains “more than an arm’s-length distance” from its donors within the pharmaceutical business, who haven’t any say over the muse’s strategic goals, mentioned president and CEO Michael Osso.
He added that the muse’s place on biosimilars is “evolving.”
Lupus Foundation CEO Sandra Raymond mentioned she couldn’t clarify how her group, additionally primarily based in Washington, was concerned within the coalition. She confirmed the Lupus Foundation acquired $444,000 from Pfizer in 2015 however mentioned the cash was not linked to any relationship with Patients for Biologics Safety & Access.
“I never went to a meeting,” Raymond mentioned. “A former employee signed us up for a whole host of coalitions. I think we put our name on something or someone did.”
She mentioned the Lupus Foundation was now not a member of the coalition. Days after Kaiser Health News reached out to the coalition, its web site was up to date, excluding the Lupus Foundation.
For its half, AbbVie — which general donated $24.7 million to affected person teams in 2015, in keeping with the brand new database — stipulates that its grants to nonprofits are “non-promotional” and supply no direct profit to its enterprise, in keeping with an organization assertion. The firm provides to affected person teams as a result of they function an “important, unbiased and independent resource for patients and caregivers.”
Insulin And Influence
The American Diabetes Association mentioned in an e-mail to KHN that it acquired $18.three million in pharmaceutical funding in 2017, accounting for 12.three p.c of its income; that was down from $26.7 million in 2015. The cash flowed in as insulin makers continued to hike costs in these years — as much as 4 instances per product — resulting in hardships for sufferers.
The solely “Big Three” insulin maker within the database, Eli Lilly, gave $2.9 million to the American Diabetes Association in 2015, in keeping with disclosures from the corporate and its basis. Sanofi and Novo Nordisk are the opposite two main insulin makers, however neither was within the S&P 500 and due to this fact not included within the database. Over the previous 20 years, Eli Lilly has repeatedly raised costs on its bestselling insulins, Humalog and Humulin, regardless that the medicines have been round for many years. The drugmaker confronted protests — by folks demanding to know the price of manufacturing a vial of insulin — at its Indianapolis headquarters final fall.
The ADA launched a marketing campaign decrying “skyrocketing” insulin in late 2016 however didn’t name out any drugmaker in its literature. When legislators in Nevada handed a invoice final 12 months requiring insulin makers to reveal their income to the general public, the ADA didn’t take a public stance.
The American Diabetes Association mentioned it doesn’t confront particular person corporations as a result of it’s in search of motion from “all entities in the supply chain” — producers, wholesalers, pharmacy profit managers and insurers.
“As a public health organization, the ADA’s commitment and focus is on the needs of the more than 30 million people with diabetes,” mentioned Dr. William Cefalu, its chief scientific and medical officer. “The ADA requires support from a diverse set of partners to achieve this objective.”
Eli Lilly mentioned it contributes cash to the American Diabetes Association as a result of the 2 share a “common goal” of serving to diabetes sufferers.
“We provide funding for a wide variety of educational programs and opportunities at ADA, and they design and implement those programs in ways that are aligned with their goals,” Eli Lilly mentioned in an announcement. “We’re proud to support the ADA on important work that helps millions of people living with diabetes.”
Most affected person teams say that funders have little or no affect in shaping their applications and insurance policies, however their agreements are personal.
They Weren’t Always Backed By Pharma
Into the ’80s and early ’90s, affected person lobbying was usually restricted and self-funded with just one or two prosperous sufferers from a corporation touring to Washington on a given day, mentioned Diana Zuckerman, president of the nonprofit National Center for Health Research.
But the ability of patient-lobbyists grew to become obvious after a profitable marketing campaign by AIDS sufferers led to authorities motion and a nationwide push to search out medication to deal with the then-terminal illness. Zuckerman mentioned she is going to always remember when two girls visited her workplace and requested how breast most cancers sufferers might be as efficient because the AIDS sufferers.
“At the time, there were no breast cancer patients advocating for money or anything else. It’s hard to believe,” she mentioned. “I still remember that conversation, because it was really a turning point.”
Soon after, breast most cancers sufferers began visiting the Hill extra steadily. Patients with different ailments adopted. Over time, sufferers’ voices grew to become a potent drive, usually with business help.
Sick customers make for good press.
Dr. Adriane Fugh-Berman, PharmedOut
Even some rich, high-profile organizations take business cash: For instance, $459,000 of Susan G. Komen’s $118 million in 2015 income got here from drugmakers within the database, in keeping with public disclosures. Asked concerning the pharma cash, the muse mentioned it has institutional processes in place to make sure that “no corporate partner — pharma or otherwise — decides our mission priorities,” together with a scientific advisory board — freed from sponsor affect — that critiques its analysis program.
Today, affected person advocacy teams flush with extra business fly sufferers in for testimony and coaching about the right way to foyer for his or her medication.
Some years in the past, because the teams elevated in quantity, Zuckerman mentioned, she began getting e-mail invites from advocacy teams to attend so-called lobbying days explicitly sponsored by the pharmaceutical business. The hosts usually promised coaching and normally some sort of keynote speaker at a luncheon in Washington — plus a possible scholarship to cowl journey. Now, lobbying days involving dozens of sufferers from a single group are a part of the panorama.
Dan Boston, president of lobbying agency Health Policy Source, mentioned, “It would be naive to think these people on a Tuesday afternoon just happen to turn up in XYZ places,” including that the cash isn’t essentially a foul factor. Money tends to move towards citizen teams that have already got the identical priorities as their funders, he mentioned.
Marching Into The Future
Patient teams have been profitable at campaigning for drug approvals, at instances sparking controversy.
To be taught extra about how Kaiser Health News constructed the Pre$cription for Power database, learn our methodology.
When scientists throughout the FDA suggested towards the approval of Exondys 51, a drug to deal with Duchenne muscular dystrophy, dad and mom of youngsters with the uncommon genetic dysfunction and sufferers rallied to foyer for it in Washington. They had been seen as pivotal to the FDA’s 2016 determination to grant approval for the drug, made by Sarepta Therapeutics. The determination was controversial partially as a result of the FDA famous that scientific advantages of the drug — aimed toward a subset of individuals with Duchenne muscular dystrophy — weren’t but established.
Sarepta Therapeutics, which isn’t featured within the database, has taken measures to help its affected person base. In March, it introduced an annual scholarship program — 10 grants of as much as $10,000 every for college students with Duchenne muscular dystrophy to attend college or commerce colleges. Sarepta Therapeutics can be among the many funders of Parent Project Muscular Dystrophy, a affected person advocacy group on the forefront of the push for Exondys 51’s approval.
The Pre$cription for Power database will develop to incorporate new disclosures. Not all drugmakers are prepared to reveal their firm giving. Eleven of the 20 corporations examined — Allergan, Baxter International, Biogen, Celgene, Endo International, Gilead Sciences, Mallinckrodt, Mylan, Perrigo Co., Regeneron Pharmaceuticals and Vertex Pharmaceuticals — declined to reveal their firm giving or didn’t reply to repeated calls.
Paul Thacker, a former investigator for Sen. Chuck Grassley (R-Iowa) who helped draft the Physician Payments Sunshine Act in 2010, mentioned there’s cause to query the move of cash to affected person advocacy teams. The pharmaceutical business has fostered relationships in each hyperlink of the drug provide chain, together with funds to researchers, docs and professional societies.
“There’s so much money out there, and they’ve created all of these allies, so nobody is clamoring for change,” Thacker mentioned.
Since the Physician Payments Sunshine Act started requiring the business to report its funds to physicians, the business is extra reluctant to co-opt them, so “pharma has to find other megaphones,” PharmedOut’s Fugh-Berman mentioned.
And in instances of public outrage over excessive drug costs and hovering insurance coverage prices, sufferers are notably sympathetic messengers, she mentioned.
“Sick consumers make for good press,” Fugh-Berman mentioned. “They make for good testimony before Congress. They can be very powerful spokespeople for pharmaceutical companies.”
To find out how Kaiser Health News created the Pre$cription for Power database, learn the full methodology, here.
KHN’s protection of prescription drug growth, prices and pricing is supported by the Laura and John Arnold Foundation.
Emily Kopp: ekopp@kff.org”>ekopp@kff.org, @emilyakopp
Sydney Lupkin: slupkin@kff.org”>slupkin@kff.org, @slupkin
Elizabeth Lucas: elucas@kff.org”>elucas@kff.org, @eklucas
Related Topics Cost and Quality Health Care Costs Health Industry Pharmaceuticals Investigation Patient Advocacy Pre$cription for Power src=”http://platform.twitter.com/widgets.js” charset=”utf-Eight”>