The pharmaceutical industry could face big changes if Democrats gain control of Congress. As mid-term elections near, the increasing likelihood that Democrats could win seats in the House and Senate has pushed the pharmaceutical industry to donate more money to political campaigns than ever before. As of September, the industry has donated $8.7 million to campaigns--$1.7 million more than in 2002. One of the biggest battlegrounds is the Pennsylvania senatorial race, where incumbent Rick Santorum (R) and has received over $450,000 in pharmaceutical industry gifts--more than any other candidate.
“Assailed by Democrats, drug companies are pouring millions of dollars into close races, giving some Republicans a financial edge. In the process, the industry is becoming not just a campaign backer, but also a campaign issue,†observes the Wall Street Journal. The issue at stake is Medicare Part D, which House Democratic Leader Nancy Pelosi has vowed to immediately revamp should Democrats take control after the mid-term elections. Pelosi said legislation would be passed to allow government to negotiate prescription drug prices with drug companies. Under the current system the government must pay full price for the drugs. If this rule is changed, pharma companies may be enjoying far less profit from Part D. Article (WSJ sub. req.)