Michigan’s Drug Pricing Proposal Would Cripple Innovation

By | Health Care, Shopfloor Main, Shopfloor Policy | No Comments

From cutting edge advancements in automobile production to lifesaving developments in medical devices and medicines, Michigan manufacturers are global innovators and at the top of their game. As detailed in the NAM’s recent economic analysis, the manufacturing industry in Michigan spent $17.2 billion on R&D in 2015 – ranking it 4th nationally. One key to this success is ensuring all manufacturers’ intellectual property rights continue to be protected.

Unfortunately, legislation currently being debated in Lansing threatens manufacturers’ intellectual property protections. House Bill (HB) 5223, a proposed drug pricing transparency bill, would require manufacturers that distribute prescription medicines in Michigan of a certain cost to submit a substantial amount of proprietary data, including costs associated with research and development (R&D), to the state Department of Health and Human Services, with no protections for the data submitted.

Manufacturers understand the need to reduce health care costs, but we have serious concerns related to the long-term implications of pharmaceutical transparency proposals. Protection of trade secrets and other forms of intellectual property are a fundamental necessity for manufacturers to succeed in today’s intensely competitive global marketplace.

The latest proposal in Michigan sends a wrong signal to the researchers, inventors and innovators who constitute the manufacturing community in Michigan and the rest of the nation who are constantly thinking of new ways to innovate, grow their businesses and serve their customers. For the biopharmaceutical industry, this kind of so-called “transparency” legislation would stifle innovation and impede the ability of companies to bring new, life-saving medicines to market all while failing in its intent to contain health care costs.

Policymakers in Michigan and at the federal level should work to create opportunities that help innovators attract and retain investment. The NAM opposes any efforts that invalidate longstanding intellectual property and trade secrets protections, and force manufacturers of medicines to heed new government-driven demands that are contrary to basic free market principles.

The manufacturing industry employs over 604,500 Michiganders in high-skilled and high wage jobs – the nation’s third highest manufacturing state measured by employment. State lawmakers who value these critical jobs and the state’s innovative manufacturing sector should reject the proposed legislation.

NAM Backs FERC Nominee McNamee Ahead of Confirmation Hearing

By | General | No Comments

Today the Senate Committee on Energy and Natural Resources is considering the nomination of Bernard McNamee to serve as a member of the Federal Energy Regulatory Commission (FERC), a key independent federal agency that regulates energy infrastructure. With leadership vacancies on the commission causing manufacturers in the United States to miss out on new opportunities to create jobs and grow their business, the NAM sent a letter ahead of the hearing to Committee Chairman Lisa Murkowski (R-AK) and Ranking Member Maria Cantwell (D-WA) urging the committee to back McNamee’s nomination. The letter from NAM Vice President for Energy and Resources Policy Ross Eisenberg reads in part:

“The FERC plays a critical role in ensuring Americans can count on the best energy infrastructure in the world. Moving energy safely and efficiently to where it is needed requires a modern and highly interconnected system. Energy infrastructure is delivering opportunity across America, and manufacturers cannot afford to delay progress on new projects. Investments to enhance our energy infrastructure to improve safety, efficiency, affordability, reliability and security are placed in jeopardy when FERC seats are left empty. Robust energy infrastructure creates jobs, improves safety and spurs domestic investment.

“Restoring a full suite of commissioners at FERC is a critical step toward a stronger future, and we ask that you do so as quickly as possible. With each passing day that key independent agencies like FERC have leadership vacancies, manufacturers in the United States are missing out on new business opportunities – to the detriment of local economies and American jobs. I urge you to move forward.

“Manufacturers support the swift confirmation of Mr. Bernard L. McNamee to enable the Commission to carry out decisions that support U.S. manufacturers. The nominee is a proven leader with the necessary experience and policy insights to help strengthen American energy infrastructure.”

Click here to read the letter in full.

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