<DOC> [110th Congress House Hearings] [From the U.S. Government Printing Office via GPO Access] [DOCID: f:41026.wais] ASSESSING THE SAFETY OF OUR NATION'S DRUG SUPPLY ======================================================================= HEARING BEFORE THE SUBCOMMITTEE ON HEALTH OF THE COMMITTEE ON ENERGY AND COMMERCE HOUSE OF REPRESENTATIVES ONE HUNDRED TENTH CONGRESS FIRST SESSION __________ MAY 9, 2007 __________ Serial No. 110-43 Printed for the use of the Committee on Energy and Commerce energycommerce.house.gov U.S. GOVERNMENT PRINTING OFFICE 41-026 PDF WASHINGTON DC: 2008 --------------------------------------------------------------------- For Sale by the Superintendent of Documents, U.S. Government Printing Office Internet: bookstore.gpo.gov Phone: toll free (866) 512-1800; (202) 512ÿ091800 Fax: (202) 512ÿ092104 Mail: Stop IDCC, Washington, DC 20402ÿ090001 COMMITTEE ON ENERGY AND COMMERCE JOHN D. DINGELL, Michigan, JOE BARTON, Texas Chairman Ranking Member HENRY A. WAXMAN, California RALPH M. HALL, Texas EDWARD J. MARKEY, Massachusetts J. DENNIS HASTERT, Illinois RICK BOUCHER, Virginia FRED UPTON, Michigan EDOLPHUS TOWNS, New York CLIFF STEARNS, Florida FRANK PALLONE, Jr., New Jersey NATHAN DEAL, Georgia BART GORDON, Tennessee ED WHITFIELD, Kentucky BOBBY L. RUSH, Illinois BARBARA CUBIN, Wyoming ANNA G. ESHOO, California JOHN SHIMKUS, Illinois BART STUPAK, Michigan HEATHER WILSON, New Mexico ELIOT L. ENGEL, New York JOHN B. SHADEGG, Arizona ALBERT R. WYNN, Maryland CHARLES W. ``CHIP'' PICKERING, GENE GREEN, Texas Mississippi DIANA DeGETTE, Colorado VITO FOSSELLA, New York Vice Chairman STEVE BUYER, Indiana LOIS CAPPS, California GEORGE RADANOVICH, California MIKE DOYLE, Pennsylvania JOSEPH R. PITTS, Pennsylvania JANE HARMAN, California MARY BONO, California TOM ALLEN, Maine GREG WALDEN, Oregon JAN SCHAKOWSKY, Illinois LEE TERRY, Nebraska HILDA L. SOLIS, California MIKE FERGUSON, New Jersey CHARLES A. GONZALEZ, Texas MIKE ROGERS, Michigan JAY INSLEE, Washington SUE WILKINS MYRICK, North Carolina TAMMY BALDWIN, Wisconsin JOHN SULLIVAN, Oklahoma MIKE ROSS, Arkansas TIM MURPHY, Pennsylvania DARLENE HOOLEY, Oregon MICHAEL C. BURGESS, Texas ANTHONY D. WEINER, New York MARSHA BLACKBURN, Tennessee JIM MATHESON, Utah G.K. BUTTERFIELD, North Carolina CHARLIE MELANCON, Louisiana JOHN BARROW, Georgia BARON P. HILL, Indiana <RULE>_________________________________________________________________ Professional Staff Dennis B. Fitzgibbons, Chief of Staff Gregg A. Rothschild, Chief Counsel Sharon E. Davis, Chief Clerk Bud Albright, Minority Staff Director (ii) Subcommittee on Health FRANK PALLONE, Jr., New Jersey, Chairman HENRY A. WAXMAN, California NATHAN DEAL, Georgia, EDOLPHUS TOWNS, New York Ranking Member BART GORDON, Tennessee RALPH M. HALL, Texas ANNA G. ESHOO, California BARBARA CUBIN, Wyoming GENE GREEN, Texas HEATHER WILSON, New Mexico Vice Chairman JOHN B. SHADEGG, Arizona DIANA DeGETTE, Colorado STEVE BUYER, Indiana LOIS CAPPS, California JOSEPH R. PITTS, Pennsylvania TOM ALLEN, Maine MIKE FERGUSON, New Jersey TAMMY BALDWIN, Wisconsin MIKE ROGERS, Michigan ELIOT L. ENGEL, New York SUE WILKINS MYRICK, North Carolina JAN SCHAKOWSKY, Illinois JOHN SULLIVAN, Oklahoma HILDA L. SOLIS, California TIM MURPHY, Pennsylvania MIKE ROSS, Arkansas MICHAEL C. BURGESS, Texas DARLENE HOOLEY, Oregon MARSHA BLACKBURN, Tennessee ANTHONY D. WEINER, New York JOE BARTON, Texas (ex officio) JIM MATHESON, Utah JOHN D. DINGELL, Michigan (ex officio) C O N T E N T S ---------- Page Hon. Frank Pallone, Jr., a Representative in Congress from the State of New Jersey, opening statement......................... 1 Hon. Nathan Deal, a Representative in Congress from the State of Georgia, opening statement..................................... 3 Hon. Henry A. Waxman, a Representative in Congress from the State of California, opening statement............................... 3 Hon. Lois Capps, a Representative in Congress from the State of California, opening statement.................................. 4 Hon. Diana DeGette, a Representative in Congress from the State of Colorado, opening statement................................. 6 Hon. Joe Barton, a Representative in Congress from the State of Texas, opening statement....................................... 7 Hon. John D. Dingell, a Representative in Congress from the State of Michigan, opening statement................................. 8 Hon. Michael C. Burgess, a Representative in Congress from the State of Texas, opening statement.............................. 10 Hon. Hilda L. Solis, a Representative in Congress from the State of California, opening statement............................... 11 Hon. Mike Rogers, a Representative in Congress from the State of Michigan, opening statement.................................... 12 Hon. Edolphus Towns, a Representative in Congress from the State of New York, opening statement................................. 13 Hon, Tim Murphy, a Representative in Congress from the Commonwealth of Pennsylvania, opening statement................ 13 Hon. Jan Schakowsky, a Representative in Congress from the State of Illinois, opening statement................................. 14 Hon. Marsha Blackburn, a Representative in Congress from the State of Tennessee, opening statement.......................... 15 Hon. Gene Green, a Representative in Congress from the State of Texas, opening statement....................................... 16 Hon. Anna G. Eshoo, a Representative in Congress from the State of California, opening statement............................... 17 Hon. Tom Allen, a Representative in Congress from the State of Maine, prepared statement...................................... 18 Hon. Barbara Cubin, a Representative in Congress from the State of Wyoming, prepared statement................................. 18 Witnesses Steven K. Galson, M.D., Director, Center for Drug Evaluation and Research, Food and Drug Administration......................... 19 Prepared statement........................................... 22 Answers to submitted questions............................... 161 Marcia Crosse, Director, Health Care Issues, U.S. Government Accountability Office.......................................... 36 Prepared statement........................................... 38 Lisa Van Syckel, Flemington, NJ.................................. 78 Prepared statement........................................... 78 Ellen Sigal, chairperson and founder, Friends of Cancer Research. 81 Prepared statement........................................... 83 Susan Ellenberg, University of Pennsylvania School of Medicine, on behalf of the Coalition for a Stronger FDA.................. 87 Prepared statement........................................... 88 Caroline Loew, senior vice-president, scientific and regulatory affairs, Pharmaceutical Research and Manufacturers of America.. 90 Prepared statement........................................... 92 Diane Thompson, vice-president, public policy and communications, Elizabeth Glaser Pediatric AIDS Foundation, on behalf of the Alliance for Drug Safety and Access............................ 122 Prepared statement........................................... 123 John Theriault, chief security officer and vice president, global security, Pfizer............................................... 125 Prepared statement........................................... 127 Sharon Levine, M.D., associate executive director, Permanente Medical Group, on behalf of the Kaiser Permanente Medical Care Program........................................................ 129 Prepared statement........................................... 132 John Powers, M.D. assistant professor of medicine, the George Washington University School of Medicine, and University of Maryland School of Medicine.................................... 143 Prepared statement........................................... 144 Submitted Material Drug Safety & Drug Efficacy Two Sides of the Same Coin........... 172 ASSESSING THE SAFETY OF OUR NATION'S DRUG SUPPLY ---------- WEDNESDAY, MAY 9, 2007 House of Representatives, Subcommittee on Health, Committee on Energy and Commerce, Washington, DC. The subcommittee met, pursuant to call, at 10:00 a.m., in room 2123 of the Rayburn House Office Building, Hon. Frank Pallone, Jr. (chairman) presiding. Members present: Representatives Waxman, Towns, Eshoo, Green, DeGette, Capps, Schakowsky, Solis, Matheson, Dingell, Markey, Deal, Buyer, Pitts, Ferguson, Rogers, Murphy, Burgess, Blackburn, and Barton. Staff present: Ryan Long, Chad Grant, John Ford, Virgil Miller, Bobby Clark, Jack Maniko, Melissa Sidman, Lauren Bloomberg, and Nandan Kenkeremath. OPENING STATEMENT OF HON. FRANK PALLONE, JR., A REPRESENTATIVE IN CONGRESS FROM THE STATE OF NEW JERSEY Mr. Pallone. Today the subcommittee is holding a hearing to assess the safety of our Nation's drug supply, and I feel very strongly that today's hearing is long overdue. For far too long, the subcommittee has not paid enough attention, I think, to the issue of drug safety, despite the growing concerns that the health and well-being of millions of Americans may be at risk due to a broken and inadequate drug safety system. In recent years, there have been a number of revelations about drug safety that have shaken public confidence in the FDA's ability to ensure that consumers have access to safe and effective medications. From Vioxx to Paxil, tens of thousands of patients have been placed in harm's way due to the failings of our current drug safety system. And as a result, the American people have steadily begun to lose faith in the FDA. That should change. We must restore public confidence in FDA's ability to protect people from harmful products and to safeguard the public health. But first, the FDA itself must change. There are a number of issues we must consider as we move forward. First and foremost, FDA is woefully underfunded. This was highlighted, as you know, in the hearing that we had a couple weeks ago on the reauthorization of PDUFA. More money is necessary for FDA to carry out its responsibility to protect consumers from harmful drugs. However, it is an issue of where that money is going to come from. And obviously there is a lot of debate. There is growing concern regarding the increasing amount of user fees that FDA relies on to fund its budget. And as I have said before, if given the option, I think everyone would agree that FDA should be funded more, if not entirely, by annual appropriations. But realistically speaking, we are not in a place where we can't rely on user fees to help support the functions of the FDA. That is not to say that we should give the drug industry carte blanche on how these fees should be applied. FDA should have more flexibility about what functions these monies can be used for, such as postmarket and surveillance. For far too many years, the focus of FDA has been to approve the amount of time it takes to improve new drugs. And this is, of course, a direct result of previous PDUFA agreements in which industry provides a new revenue stream to FDA and in exchange establishes benchmarks for a more timely drug approval process. Unfortunately, however, this has caused an imbalance between the pre-approval process and the post-market monitoring of drugs. We have to fix this imbalance and focus more of our attention on what happens with drugs once they reach the marketplace. Assessing the risk of the drug once it is on the market is just as important, if not more, than before it is approved. Now, how are we going to achieve a more robust post-market drug safety system? Fortunately, we seem to already have many of the answers. First, we need to give the FDA greater authority and flexibility to manage the risks associated with a new drug once it has been approved. Currently FDA has little authority to control how a drug is marketed and how the risks and benefits are communicated to consumers. FDA should have more options to mitigate the risks consumers face from a particular drug other than pulling it off the market entirely. Let us give the FDA the ability to require label changes, should it deem them necessary. Similarly, FDA should have the authority to require, as a condition of approval, that manufacturers follow through on their commitments to conduct and publish phase-four trials. Even more important is ensuring that information about the clinical trials, including the results, is made public. It makes no sense that we would allow such information to remain locked away at the discretion of the industry. If my Republican friends are keen on transparency in the health care market, as they say, then let us start with full transparency of clinical trials. Let the consumers and their doctors decide what they think is safe or not based on complete information. The results of these clinical trials contain valuable information for patients and their physicians, and we should demand that they be made available. Finally, I want to voice my concern about direct-to- consumer advertising. I realize that this is a very contentious issue, and I appreciate the industry and FDA's willingness to work out a compromise, which was included in this year's PDUFA proposal. However, as I said a couple of weeks ago, I am not certain that the new program outlined in the PDUFA proposal will suffice. The fact that the program relies on voluntary participation from the industry strikes me as a program with no teeth. I am skeptical of these advertisers and the alleged value they bring to consumers. We will have to look at this program further and ensure that consumer's best interests are being served well. There are many other issues that need to be discussed as we talk about drug safety. That is why today's hearing is an important one. And like I said at the beginning of my statement, it is long overdue that we have these hearings. I am looking forward to hearing from today's witnesses, and I thank you all for being with us and now recognize my friend from Georgia, Mr. Deal, for an opening. OPENING STATEMENT OF HON. NATHAN DEAL, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF GEORGIA Mr. Deal. Thank you, Mr. Chairman. Thank you for holding this hearing today on an issue that certainly will be a component of our discussions on other FDA-related legislation that comes before our committee this year. Recent incidences, such as the recall of Vioxx that highlighted the importance of FDA's role in evaluating the safety of products both pre- and post-market, these events undermine consumers' confidence in the safety of medications they are taking and remind us that, while drugs provide useful life-saving treatment, there are risks associated with any medication. In February 2005, the FDA announced the creation of a new independent drug safety oversight board to oversee the management of drug safety issues and provide information to help providers and patients about the risks and benefits of medicines. I hope that our witnesses will be able to tell us about some of the work this board has been doing to monitor drug safety in addition to the FDA's other drug safety efforts. I also look forward to hearing about the role of databases in studying drug safety. I believe one of these studies was instrumental in highlighting that Vioxx increased the risk of heart disease. Studies like these show promise and demonstrate some of the possibilities for the FDA make use of existing drug data. I want to thank our witnesses for their time and attendance today, and I look forward to your testimony as we evaluate the best means for ensuring patients have access to safe medications. Thank you, and I yield back. Mr. Pallone. Thank you, Mr. Deal. Mr. Waxman. OPENING STATEMENT OF HON. HENRY A. WAXMAN, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF CALIFORNIA Mr. Waxman. Thank you, Mr. Chairman. I want to applaud you for holding this hearing today, for taking up the issue of drug safety at an opportune time. The Prescription Drug User Fee Act, or PDUFA, must be reauthorized this year, and everyone knows that in the end, it will pass. There is no realistic argument that it won't. So we have a vehicle that will move, and as recognized in the administration's own PDUFA proposal, this vehicle could serve as a means to strengthen FDA's oversight of drug safety. We need to ensure that FDA not only has the ability to collect fees that help to finance its oversight in our drug supply, but it also has the authority it needs to do this job well. There is recent and mounting evidence that FDA's ability to oversee drug safety is a pale shadow of its ability to review drugs before they are approved. We are familiar with the series of post-market safety problems in the past year with drugs like Vioxx and Ketek. They demonstrate beyond a shadow of a doubt that FDA's post-market drug safety oversight is in serious need of repair. The Institute of Medicine, the GAO, have examined this situation. Both concluded that FDA cannot protect Americans from unsafe drugs unless Congress provides more resources and more legal authorities. For example, right now, FDA cannot require post-market safety studies, even when FDA believes they are necessary to fully understand the drug's risk. FDA's only choice is to ask a company to perform these studies and hope they will agree. And in the case where the companies do commit to doing the studies in advance, if they don't do it, the only option is to take the drug off the market completely, which is a very serious one called a nuclear option, in fact. It is too tough for FDA to actually pursue. According to the FDA's own figures in 2006, manufacturers submitted only 11 percent of the 1,200 open study commitments. 71 percent of these studies hadn't even started. The FDA also can't compel companies to make labeling changes after approval, as the case of Vioxx illustrates. FDA must haggle with companies, often for many months on end about the wording that should be used to notify the public about what are often very serious risks associated with taking their drugs. And throughout this process, the American public continues to take these drugs without any knowledge of these risks. I have my own ideas for drug safety. Congressman Markey and I have introduced a bill, which incorporates the recommendations of the IOM and GAO. It is a counterpart to the drug safety legislation being debated on the floor of the Senate this week as part of its consideration of PDUFA. H.R. 1561 represents the blueprint for what we should be working on to fix the FDA's ailing drug safety system. I hope the committee will have an opportunity to consider it. Thank you, Mr. Chairman. Mr. Pallone. Thank you, Mr. Waxman. Mr. Buyer. Mr. Buyer. I will waive my time. Mr. Pallone. The gentlewoman from California, Mrs. Capps. OPENING STATEMENT OF HON. LOIS CAPPS, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF CALIFORNIA Mrs. Capps. Thank you, Mr. Chairman, and thank you for having this hearing, as others have said. I thank our witnesses for being here. I know the issue of drug safety has to be front and center as we discuss ways to go forward with PDUFA reauthorization. It is vitally important for the millions of people who depend upon pharmaceuticals and reasonably assume that they will do no harm. FDA is charged with the responsibility to ensure that there are safe and effective drugs, and that is the purpose of our hearing today, to discuss ways to ensure that this responsibility is fulfilled. Drug safety must be addressed before clinical trials and continue not only through the approval process but extend to post-market activity as well. In the pre-approval period, we have to make sure that clinical trials are conducted with the highest scientific and ethical standards, ensure also that the members of the advisory committees, who make such important decisions about drug approvals, are free of ties to the industry. The FDA has taken a supposed first step in this direction. I understand they have proposed a regulation which prohibits voting advisory committee members from holding more than $50,000 in stock in a drug before being considered or any of its competitors. But do we really believe that goes far enough? Certainly we know that it hasn't yet been implemented. We must have confidence that drug approval decisions are based on scientific data, not on financial interests. As my colleague has mentioned, the high profile cases of Ketek and Vioxx and many others were fateful reminders about the importance of post- marketing studies and data collection. I also hope we can discuss direct-to-consumer advertisements. It is a great concern to me that so many consumers who are patients rely on these ads and that proper oversight of their content does not exist. Perhaps most importantly, I believe we must equip the Food and Drug Administration with adequate resources. User fees have been instrumental in reducing drug approval time, but we must make sure that fees do not make up such a large proportion of FDA funding that it becomes a conflict of interest. So I thank you, Mr. Chairman, again for holding this hearing. I look forward to ways in which we can work together to improve drug safety. I yield back the balance of my time. Mr. Pallone. Thank you. Mr. Ferguson. Mr. Ferguson. Thank you, Mr. Chairman. I am going to waive my opening statement for additional time in questioning, but I do just want to welcome constituent and friend Lisa Van Syckel. She will beon the second panel today. I am delighted that she is here today. I know she has several folks with her, including Ellen Liversage and Vera Sheral and Kim Witsack also here with her today. And because of the many, many meetings that she and I have had talking about drug safety over the course of the last several years, I have become very involved in the medication guide issue. We have been doing an investigation in our office and working with FDA and others. So I am looking forward to getting into that today, and I will look forward to using my extra time during questioning. I yield back. Mr. Pallone. Thank you. Ms. DeGette. I didn't count that. I guess I should have. Yes, we are going to have to watch---- Mr. Ferguson. I think I am owed a little latitude by a chairman from my home State. Mr. Pallone. I will do better in the monitoring this in the future. Ms. DeGette. OPENING STATEMENT OF HON. DIANA DEGETTE, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF COLORADO Ms. DeGette. Thank you, Mr. Chairman. I think it is important that as we prepare to mark up legislation affecting regulation of pharmaceuticals and biologics that we put the safety of patients as paramount. And so I know these drugs will save countless lives, but we have to do what we can to mitigate unintended harm. I really have three concerns today. The first one has been mentioned by several of my colleagues, and that is how we can make systemic changes to the FDA to make sure that they are really approving drugs that are safe. And our own investigations of Vioxx and Ketek as well as a number of other drugs over a period of years have shown that we really can't have that confidence that the safety is paramount. The second issue that I have is that the FDA just really doesn't have the resources to adequately address drug safety concerns. And the most PDUFA agreement provides a significant increase in resources for post-market surveillance, but the fact remains that Congress still has to provide additional funds. Also because of the drug safety problems, the American public has lost faith in the FDA and its ability to protect them from adverse effect. And this problem has been exacerbated by the ambiguous nature of the drug safety process. The general lack of transparency to the American public means that they don't see how decisions are made, and therefore they don't see why the drug companies are accountable to the FDA. And finally, the full Senate is currently considering legislation to reauthorize PDUFA as well as a seemingly endless array of other drugs included in it. Though watered down, the Senate bill includes drug reimportation. Those of you who read the New York Times this last weekend saw the front page article that should make us all think twice about that policy. According to that article, counterfeit drugs made in China were exported to Panama for sale, and they included a deadly toxin. Last year, 365 families reported deaths as the result of the tainted cough syrup and fever medication. And they think that that number is vastly underreported. Mr. Chairman, the dangers from counterfeit and contaminated drugs are frighteningly real, even under the current construct. Permitting reimportation would significantly increase the risk of counterfeit, misbranded and adulterated drugs that would end up in my constituents home. I hope we keep this in mind as we mark up- [Applause.] Ms. DeGette. I might have to take that back given the response from the other side. But seriously, I hope we keep this in mind as we mark up legislation on prescription drugs. If we have a problem with drug prices being too high in this country, we need to confront that problem head on and not allow reimportation policies that may affect the efficacy and safety of our drug supply in this country. Mr. Pallone. OK, now we have applause. Our ranking member of the full committee, Mr. Barton. OPENING STATEMENT OF HON. JOE BARTON, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF TEXAS Mr. Barton. Thank you, Mr. Chairman. It is good to have this hearing. I just got back from the trilateral committee hearing in Ways and Means where we had Ways and Means, Financial Services, and Energy and Commerce. Their opening statements will go on until about 5:00 this afternoon, I guess. So it is good to be here with one committee and one subcommittee and focus on one subject. We do appreciate this hearing today. When I was full committee chairman of this august committee, I took the issue of drug safety very seriously. I am glad to see that Mr. Dingell and Mr. Pallone are continuing this. I requested a Government Accountability Office review of how the FDA approaches issues related to drug safety. I am looking forward to hearing from that agency today about what steps it has taken to improve the safety of our drug supply. Where action is needed to improve drug safety, I think that Congress should be prepared to act. I do hope that we do it right instead of just in a hurry. I can testify personally that the development of new prescription drugs have revolutionized medicine and is saving lives. Forty years ago, a person who had a heart attack like I had a year and a half ago would have been given nitroglycerin, a pat on the back, and sent home. Now, modern pharmaceuticals can help prevent attacks from occurring or even reoccurring. I know because each morning when I get up, I take six prescription drugs before I begin my day. We must take steps to ensure that the drugs that we are taking are safe when they are approved and remain safe as they are put into commercial use. No drug can be 100 percent safe for every person who might take it. Even aspirin, the ubiquitous miracle drug that does everything from curing headaches to stopping heart attacks, has to be avoided by some people. No responsible authority insists on absolute 100 percent safety because that standard would have the reverse effect of increasing the likelihood that many people would suffer or even die because they didn't have access to that particular drug. As a drug used in the general population, less common side effects may be evident. Congress could impose Draconian new regulations that provide marginal benefits so that we appear to address the problem. What we would actually be doing in that case, in my opinion, is severely limiting access to life-saving drugs for tens of thousands or hundreds of thousands of people, lives that might be lost without that particular drug. The history of drug regulation in this country reflects a conscious weighing of the drug's risks versus the drug's benefit. If more needs to be done to bring this balance into equilibrium, this Congress and this committee should and must explore those options, but we should never lose sight that millions of Americans depend on these medications to preserve and improve their lives. Twenty-first century medicines must come with 21st century surveillance. Our health care system produces large quantities that can and should be used to monitor drug safety issues. We should have systems in place that can link up clinical data with prescription drug use. Pre-market clinical trials are useful to determine the safety and efficacy profile of a drug, but if rare side effects occur, they must not become known until after the drug has been taken by a larger population. It is my understanding that the FDA has begun to use clinical databases as a methodology to monitor safety concerns. I believe we should enhance that ability to tap into the existing health information. I am pleased that the agreement on Reauthorization of Prescription Drug User Fee Act will provide the FDA the ability to obtain access to additional drug safety information, including population-based epidemiological data and other types of observational data resources. I look forward to hearing from the FDA on their efforts in this area. I also am looking forward to hearing from the testimony of Mr. John Theriault who will discuss the issue of prescription drug counterfeiting. It is shocking and unacceptable that the maximum penalty for counterfeiting a prescription drug in this country is 3 years in prison. Three years in prison. Phony drugs are the ultimate bad medicine. Impurities in the counterfeit drugs pose dangerous consequences for patients, and intentionally giving a serious ill person a drug that does not contain the active ingredients that they think it does could actually be considered to be murder. Addressing counterfeit drugs requires public and private entities working together. Unfortunately, our anti- counterfeiting drug problems are not nearly as smart as the counterfeiters are. A first step to address the problem would be for the House to pass Congressman Rogers' legislation to substantially increase the criminal penalties for drug counterfeiters. Second, we should look at new technologies that will allow us to better track these drugs in our supply system. I look forward to hearing from the company Pfizer about what steps that they are taking in this area. Again, Mr. Chairman, thank you for holding this hearing. I look forward to participating. Mr. Pallone. Thank you, and I will recognize the chairman of our full committee, Mr. Dingell. OPENING STATEMENT OF HON. JOHN D. DINGELL, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF MICHIGAN Mr. Dingell. Mr. Chairman, thank you for holding this important hearing. The committee is here today to discuss the safety of our Nation's drug supply. And included in that is the competence and ability of FDA to carry out its very important mission. The question here is what does it mean to say that a drug is FDA approved. Good government would say that the Food and Drug Administration approval should be the gold standard throughout the world, that the drugs approved provide needed therapies for consumers without causing further medical complications or worse, death. Unfortunately, Food and Drug approval of pharmaceuticals as the gold standards has been called into question. Incidents highlighted by the recall of the arthritis drug Vioxx have created a crisis of confidence in the Food and Drug Administration. It should be observed, however, that problems with Food and Drug go more broadly than this. It is an agency which has inadequate resources, inadequate numbers of personnel, inadequate financial support, and inadequate ability to carry out its responsibility, over both drugs manufactured and food manufactured in this country, and over imports, something which has shaken my confidence in a very real way in the agency. I publicly express my dissatisfaction with the way in which Food and Drug has handled the important issue of drug safety. FDA's lack of transparency and recent recalls have greatly contributed to the loss of public confidence. The agency must aggressively monitor and assess safety and efficacy throughout the entire life cycle of a product. Simply stated, FDA must ensure that just as much time, resources and energies are invested in the aggressive post-market observation as is spent in pre-market trials, consultation, and meetings with the industry. Unfortunately, it appears that there is a singular lack of resources at Food and Drug to carry out these responsibilities as it is to carry out other important responsibilities of that agency. A recent Institute of Medicine report concluded FDA and the pharmaceutical industry do not consistently communicate safety concerns in a timely and efficient and effective manner. In addition to insisting on structural and resource changes within the agency, the country must also see to it that FDA continues to push for significant improvements in cultural changes at that agency. Public health policy is ultimately a human enterprise, and all facets of FDA's drug programs must work in a coordinated fashion for a common purpose, thereby ensuring consumers that the drugs they take are safe and effective. Again this will require a cultural change, but more importantly, it is going to require adequate funding and support for the agency which it currently lacks. FDA has taken steps to boost consumer confidence. In 2004, they introduced a new drug safety initiative that promised to promote a cultural of openness and enhanced oversight within the agency. And it has included additional drug safety provisions in its recent PDUFA proposal. The agency also asked the Institute of Medicine to evaluate its current system of drug safety and make recommendations for improvement. The Government Accountability Office, GAO, has also weighed in, and in 2006, released a report on FDA's ability to ensure a safe drug supply. The report included a number of recommendations. I am pleased that a representative from GAO is here to discuss this report. We will also want to discuss it with representatives of FDA and of higher officials in the Department of Health and Human Services. It is, I think, appropriate that we should appreciate these efforts, but it is not clear to me that they, when coupled with the budget shortages of the agency, are sufficient. We are here today to see what additional steps that Congress may need to take so that American citizens are protected and the confidence in the agency is restored. I appreciate this hearing, and I look forward, Mr. Chairman, to the testimony of our witnesses and the input of our members as we discuss the safety of the U.S. drug supply and the reasons why it is not as safe as it should be and what steps we will take to improve it. Thank you, Mr. Chairman. Mr. Pallone. Thank you, Chairman Dingell. The gentleman from Texas, Mr. Burgess. OPENING STATEMENT OF HON. MICHAEL C. BURGESS, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF TEXAS Mr. Burgess. Thank you, Mr. Chairman, and frankly about the referenced aspirin, I guess I can't help but wonder if we were to send aspirin now through the Food and Drug Administration process if it would survive the approval studies or whether it would survive the post-market surveillance. But this is a good hearing. This is an important panel of witnesses. I believe that we must strive to seek a balance between the safety measures that we put in place, at the same time allowing and facilitating new drugs coming to market. I believe that the FDA has done a good job with the resources available to it, but we can make it better. And Chairman Dingell may be correct about the allocation of resources. Senator Mike Enzi from Wyoming has made a reasonable start to this discussion over in the other body by introducing his bill. His legislation would bring the risk/benefit analysis in at the beginning of the drug approval process. It would facilitate a lifetime approach to drug evaluation through the establishment of a drug safety oversight board. Senator Enzi's bill also addresses two topics that are of particular interest to me, the critical path initiative and the establishment of databases. The critical path initiative strikes me as having great potential to fundamentally improve the way that we approve new drugs by utilizing the science that the research has yielded. If we could make our approval process more personalized, more efficient, safer, and faster, than I certainly support this. In reading the materials supplied by the general accountability office, they raise a question what safety action that the FDA lacks--or rather they raised the point that the FDA lacks the information about what safety actions to take and when to take them. I believe that additional databases and data mining can help utilize information that is already available but needs to be collected properly. This can be helpful whatever we are examining, whether we are looking at the results from clinical trials or searching for adverse drug events through, for example, the Permanente patient population. Data mining and rapid learning techniques are tools that are available but not being used to their full potential. Mr. Chairman, there is lots of information out there. It is a time of rapid change in the medical field. Going on clinicaltrials.gov Web site this morning, you can see that they have had 143 new hits during last week alone. And that is the pace at which information is coming into the FDA. This deals with illnesses as varied as asthma and appendicitis, pulmonary hypertension, and magnetic therapy for depressed adolescents. Innovative therapies must reach the clinical applicability stage with greater speed, but there also has to be the collection of data, the utilization of that data, and the post- marketing studies. Data collections should be available to arrive with greater speed and clarity for the clinician. Finally, I do have to agree with my colleague from Colorado about reimportation. If the debate is over cost, then let us be honest and have that debate. Don't reimport drug price controls from countries who refuse to participate in paying for the research and development of those products in the first place. Thank you, Mr. Chairman. I will yield back my time. Mr. Pallone. Thank you. The gentlewoman from California, Ms. Solis. OPENING STATEMENT OF HON. HILDA L. SOLIS, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF CALIFORNIA Ms. Solis. Thank you, Mr. Chairman, and good morning. I am very pleased that you are having this hearing today and have an opportunity to talk about this important issue. Hundreds of millions of Americans rely on FDA's judgment regarding the safety of prescription drugs. In 2005, the number of prescriptions purchased was about 3.6 billion, on an average, about 12.3 prescriptions per person. And FDA regulates daily 25 percent of gross domestic product and is sometimes called the largest consumer protection agency. It is critical that our consumers are actually being protected. Each decision made by FDA is crucial and has life or death consequences for many of our constituents. In the past, drug safety may have been taken for granted. Patients have great trust and faith in FDA. However, the publicity surrounding many several drug recalls in the Institute of Medicine's report ``The Future of Drug Safety: Promoting and Protecting the Health of the Public'' shows that much work is needed to improve the safety of our medicines. The Institute of Medicine identified serious problems in monitoring drug safety and created numerous recommendations. FDA has a difficult balancing act indeed. So I am pleased that FDA has taken the initiative to strengthen and improve the drug safety efforts. We know that FDA has to deal with external constraints, including significant funding gaps at the Center for Drug Evaluation and Research. However, FDA has a responsibility to evaluate and address the safety of prescription drugs after they have reached the market. We must enable providers and patients to make the best possible decision about using medicines to improve their health. I have serious concerns regarding the transparency of the drug approval process, specifically adverse event reporting and the fact that FDA lacks authority to require that a manufacturer conduct a rigorous clinical trial to investigate post-market safety. Even if FDA requests a trial to be conducted, it has no way of enforcing the completion of that study. The fact that the completion rate of the post-market studies was less than 25 percent between 1991 and 2003 is disturbing. The Adverse Event Reporting System is not an adequate drug surveillance system and does not capture all the adverse drug events. We need greater transparency and better communication in order to protect American consumers. I thank the witnesses for coming today, and I look forward to hearing their recommendations, and I yield back the balance of my time. Mr. Pallone. Thank you. Mr. Rogers. OPENING STATEMENT OF HON. MIKE ROGERS, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF MICHIGAN Mr. Rogers. Thank you, Mr. Chairman. I have a long statement, and I would like to waive it at the end so that I can get more time in questions. Just kidding. If you are from New Jersey, you think that is funny, Mr. Chairman. I want to bring your attention to an article published in The New York Times on May 6, 2007. It highlighted an investigation into the global and often deadly epidemic of counterfeit drugs. The investigation by the Times examined how counterfeit glycerin, a product often used in cough syrup, fever medication, and injectable drugs made its way via a poison pipeline stretching halfway around the world. The counterfeit product was diethylene glycol, an industrial solvent and prime ingredient in antifreeze. Through shipping records and interviews, the counterfeit product from Panama was traced back through trading companies in Barcelona, Spain, a permitted country, I might add, under the legislation currently being considered--and back through Beijing, China. Seventy years ago, when medicines laced with diethylene glycol killed more than 100 people in the United States. It led to the passage of the toughest drug regulations of that era and creation of the modern Food and Drug Administration. This creates an interesting contrast to the current debate over the potential drug safety and reimportation legislation. This has to be a component of that discussion, Mr. Chairman. Last year, in Panama, 365 deaths were attributed to this poisoning with diethylene glycol in cough syrup. The World Health Organization estimates that global sales of counterfeit drugs were $32 billion in 2003. That is the last best year we have information. 10 percent of all those medicines sold worldwide, the value seized for counterfeit and diverted drugs in the United States alone was almost $200 million in 2003. And that was a sevenfold increase from the previous year. Authorities have encountered significant difficulty in tying deaths to the actual consumptions of fake drugs mainly for the reporting system that is in place today. In Canada, it is currently investigating the death of a British Columbia woman, who died apparently after taking counterfeit pills she ordered online from what she believed was a Canadian Internet pharmacy. Officials have linked the death to pills purchased from this alleged Canadian Internet pharmacy about a month before she died. Her toxicology tests revealed that the counterfeit pills contained dangerous high levels of heavy metals strontium, uranium, and lead. The World Health Organization estimates that 50 percent of the medicines purchased over the Internet from sites that conceal their address are counterfeit. This is a serious and growing problem, Mr. Chairman. The five top countries ranked for counterfeit incidents to the FDA are: one, China; two, Columbia; three, Russia; four, India; and five, the United States. So I have introduced H.R. 780, a counterfeit drug protection act to strengthen the criminal penalties against those who participate in the production, distribution, and sale of counterfeit drugs, understanding the prevalence and dangers of counterfeit drugs is absolutely necessary, Mr. Chairman, in determining the safety of prescription medications in our Nation. And would yield back the remainder of my time. Mr. Pallone. Thank you. Mr. Towns. OPENING STATEMENT OF HON. EDOLPHUS TOWNS, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF NEW YORK Mr. Towns. Thank you very much, Mr. Chairman, for having this very important hearing today. Making sure that drugs are safe means making sure that they are safe for the diverse segments of our population as well. That simply is not the case. Minority participation in clinical trials has been cut in half over the last decade from 12 percent to 6 percent. And African-Americans represent less than 8 percent of those enrolled in cancer clinical trials, while Hispanics make up just 3 percent. While pharmaceuticals are largely an effective means for addressing a wide range of health care needs, I am concerned that minority patients have not been adequately represented in many clinical trials. This means that as we seek to reauthorize the FDA, that we take into account the needs of diverse populations. To do this, we must increase the number of racial and ethnic minorities in clinical trials, particularly for diseases and conditions where there are health disparities. This will increase public confidence in the FDA's ability to ensure drug safety. We must also make sure that the FDA itself is diverse. In addition, data from diverse populations must also be included in both pre- and post-marketing reports on safety and effectiveness to ensure that these studies look like America. Mr. Chairman, if we are to serve a diverse America, we cannot continue a one-size-fits-all approach to the development of new drugs and ensuring patient safety. Thank you, Mr. Chairman, for bringing this critical subject before us today, and I look forward to the testimony coming from the witnesses. Mr. Pallone. Thank you. Mr. Murphy. OPENING STATEMENT OF HON. TIM MURPHY, A REPRESENTATIVE IN CONGRESS FROM THE COMMONWEALTH OF PENNSYLVANIA Mr. Murphy. Thank you, Mr. Chairman. The recent case, the tragedy at Virginia Tech, and actually the less publicized but equally problematic problems throughout our universities with mental health issues remind us that we have a large mental health problem nationwide that is not being adequately addressed. And when it comes to FDA and drug safety, and given my career as a psychologist, I want to emphasize some of the problems with this that I hope the FDA will address. Today we are scheduled to hear some rather tragic testimony from a mother about her daughter, about some of the problems she had with antidepressant medication. And I want to emphasize this for the FDA. That dealing with safe drugs is not just a matter of running clinical trials and posting more news in the PDA. It is also making sure that careful trials on adults and children and any of the population that will be using the medication is done, that research is ongoing, and that information is readily available and sent to all those who are prescribing the medications. In the example of psychiatric medications, I find it disturbing to note that 75 percent of psychiatric medications are prescribed by non-psychiatrists. Even though we also know that a combination of medications with regular psychotherapy provided by trained licensed professionals is the most helpful, very often what happens with patients, they are given some medication and have little or no additional follow-up. I believe it is critically important, whenever the FDA looks at approving drugs, they also make it absolutely clear under what context medication should be used, not only providing information on the use and side effects and regular and rapid updates to positions, but also making sure that information on the full context of treatment under which that medication is used is part of the prescribed regimen and not just the idea of handing off a pill. It is also essential that messages continue to go out to the prescribers that clear communication must be ongoing with the parents when dealing with the pediatric population. Unfortunately we have set up so many barriers where parents are not aware of what is happening with their children's medication and with treatment, we are actually contributing to the problems of these children, and that is wrong. Good health care has never been just a matter of taking a pill. Our culture, our whole health care system, has too often supported this past approach of take a pill and call me in the morning. We have to make sure that the FDA, in approving any medication, makes it absolutely clear the context that medication is prescribed and make sure that all involved are part of that communication system. And parents of the pediatric population, psychologists, psychiatrists, and others who are involved. Failure to do so will mean that more families will be harmed, and I hope that is one of the outcomes of what the FDA will be working on. Thank you. Mr. Pallone. Thank you. The gentlewoman from Illinois, Ms. Schakowsky. OPENING STATEMENT OF HON. JAN SCHAKOWSKY, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF ILLINOIS Ms. Schakowsky. Thank you, Mr. Chairman. I first want to associate myself with the remarks of Mr. Towns, the clinical trials are to look like America. I know that women weren't included in cardiovascular trials until women were present in the Congress. And so now that we are a grand number of 72, I was surprised to hear at one of our last hearings that still the clinical trials, only 25 percent are women that are being tested. And yet we know already that there are great differences, as we know with African-Americans as well when it comes to cardiovascular disease and others. I also wanted to talk about the approval process. The fact that it has been trimmed down from over 29 months in 1987 to cut in half since then is a good thing for many people who are facing serious illness or chronic disease. But as we move forward with this conversation, it is very important to consider the other end of this approval process, the proposed approval process, which is essential to the health and safety of our constituents. If we accelerate pre-approval procedures, then tracking a drug in its post-approval lifespan becomes ever more important. Relying on the current Adverse Events Reporting System, the AER System, is not sufficient. Not all adverse reactions are obvious to those who experience them. In cases like Vioxx, they only become apparent after months of use. Additionally a person won't always make the correct connection between a prescription drug and the side effect they are experiencing. Or they will fail to make any connection at all. Furthermore, one has to consider how often a person or doctor will take the time to actually report a serious side effect. How many adverse effects are we missing with this process? We need to make sure that the right mechanisms are in place at the FDA to deal with these adverse events information in an efficient, objective, scientifically sound way and that the reported data is accessible to those who can use it to help avoid further incidents down the road. One other concern I want to mention, we are relying on patients, many of whom are frail, elderly to understand complicated medical advisories, unclear directions issued by pharmaceutical manufacturers. Who is making sure that this information makes sense to them? Can they understand the relevant safety information on the drug inserts that come with their prescription medications? Is this information in the appropriate language? Are seniors and other relying on advertisements in the paper or able to read warnings that may be in four-point font? I am concerned with the dependency on adverse reporting to recognize post-market problems, troubled by the lack of oversight and authority on FDA's part to monitor the information on prescription drugs that is received or we think is received by those who need them. So I look forward to hearing from our witnesses, and I thank each of you for being here. I yield back. Mr. Pallone. Thank you. The gentlewoman from Tennessee, Mrs. Blackburn. OPENING STATEMENT OF HON. MARSHA BLACKBURN, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF TENNESSEE Mrs. Blackburn. Thank you, Mr. Chairman. Thank you for the hearing, and I did want to say welcome to our witnesses. We do look forward to hearing from you, and we look forward to the information you are going to give us. According to the GAO, the FDA lacks a clear and effective process for decision making about and providing oversight of post-market drug safety issues. I have often thought it would be interesting if the FDA were a patient to see what kind of diagnosis we would provide the agency. The situation is exactly what my constituents complain about when they reference those bureaucrats in Washington, DC. We have two FDA offices functioning without clear guidelines and duplicating each other's work. And it is unfortunate that the Federal Government both allows and tolerates this kind of bureaucracy. And it is amazing that it comes at the risk of public safety. I would hope that there are some best practices that someone is looking at implementing. Any private sector company would be out of business if they ran their business like the FDA runs the public's business. However, our drug review system is not totally broken, as many would believe, and sometimes it is as if we are trying to scare people to death by chipping away at the public's trust in this drug review process that we have. The U.S. has the best pharmaceuticals in the world and will continue to ensure that all drugs are properly vetted using the highest safety and review standards. And I hope that the FDA has the institutional will to reform their process and work toward restoring this trust. While I understand the need for oversight and increased transparency in the FDA's drug review process, Congress should work toward a system with appropriate checks and balances. We must refrain from tactics, such as imposing a litany of needless regulation on the drug review system, which will prevent access to lifesaving drugs. Expediency, transparency, efficiency should be a big part of the discussion. As we continue to learn about drug safety issues, we must not forget that it is our duty to protect the public from unsafe drug approval and post-market review tactics. I am looking forward to hearing from our witnesses. Mr. Chairman, I thank you, and I yield back. Mr. Pallone. Thank you. I recognize our vice chair, Mr. Green. OPENING STATEMENT OF HON. GENE GREEN, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF TEXAS Mr. Green. Thank you, Mr. Chairman, for holding this hearing on the safety of our drug supply. This hearing will complement this subcommittee's work on the Reauthorization of Prescription Drug User Fee Act as well as the Oversight and Investigation Subcommittee work on drug safety lapses at the FDA. And the O&I subcommittee has uncovered serious problems with the FDA's handling of Ketek, antidepressants, and, of course, Vioxx. These cases have shed light on the structure and cultural and administrative problems at the FDA with regard to drug safety. They also have contributed to a decline in the American people's confidence in the FDA's ability to ensure the safety of our drug supply. According to a Harris poll, 58 percent of Americans gave the FDA a negative rating when it came to public confidence, a number that has increased from 39 percent 2 years ago. To improve the public's confidence in the safety of our drug supply, there needs to be some big changes in the FDA. Some of the drug safety concerns can be addressed administratively at the FDA. I know that Dr. von Eshenbach has made significant effort to implement many of the Institute of Medicine's recommendations. To correct other problems, however, the agency needs expanded authority from Congress. And it is our job to give the FDA the resources it needs to improve drug safety. We need to take a serious look at the Adverse Events Recording System and its ability to identify adverse drug reactions following the drug's approval. The system is plagued with underreporting, and the FDA currently has a very high threshold for action. When taken together, these two factors unfortunately result in too many Americans being subject to harmful drugs for too long before the FDA steps in. While the high profile cases make the nightly news, we know that problems continue beyond Vioxx, Ketek, and antidepressants. According to the GAO, 51 percent of all approved drugs have had at least one serious adverse drug reaction that wasn't caught during the approval process. There is no question we should be catching more of these adverse drug reactions before approval, but we should also have a robust post-market system that is nimble enough to recognize problems and act quickly to correct it. Unfortunately, the scope that the FDA has authority to react is currently severely limited, and I hope that we change that in the PFUDA. If we are going to expand the FDA to ensure safety of our drug supply, they need to have the authority to require changes to drug labels when their scientists determine that black box warnings are necessary or that products should be restricted. The FDA also needs the authority to enforce post-market study commitments made by drug manufacturers. With 71 percent of post-market study commitments not even begun by drug manufacturers, it is clear that the FDA lacks an enforcement mechanism with any teeth. Otherwise, the drug sponsor wouldn't show such blatant disregard for their post-market commitments to the FDA. I would like to commend my colleagues, both Mr. Waxman and Mr. Markey for addressing many of these issues in their current legislation, a good portion of which is currently being considered on the Senate floor. I look forward to hearing from our witnesses on these issues and many others surrounding drug safety, and we appreciate their being here today. And I yield back my time, Mr. Chairman. Mr. Pallone. Thank you. Ms. Eshoo. OPENING STATEMENT OF HON. ANNA G. ESHOO, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF CALIFORNIA Ms. Eshoo. Thank you, Mr. Chairman, for holding this important hearing. I think that the issues that we are dealing with in this hearing are amongst the most important for the American people because there isn't a person in the country that, on their own, on their very own, can guarantee in any way, shape, or form that what they are taking, what they are ingesting is absolutely safe. They know that they have to depend on really the government and its blue chip agency, the Food and Drug Administration for it. Now, we know that we have a problem, and it lies, I think, more in the post-marketing phase of drugs. The FDA actually does not have an active drug surveillance system. So I think now is the time. We are reauthorizing PDUFA, and we need to build in a process by which and an authorization, a direction for the FDA to actually have an active drug surveillance system. The drugs that have caused problems or high profile Vioxx and Ketek, first of all, the agency has to have the funding to do this. I think that we have gotten to a point now where there is an overreliance on user fees. And the Congress has to step up to the plate to make sure that the agency has the resources it needs to carry out what, I believe, we need to do, and that is to set up a post-marketing drug surveillance system. So I look forward to what the witnesses are going to inform us. I would like to thank publicly the IOM for the work that they have done on this. I think it has been useful and instructive to us. And I look forward to a reauthorization of PDUFA that is going to very clearly define the responsibilities for the FDA in this very particular area, as well as our recommendation relative to the resources for it. I think if we do one without the other, that it simply won't happen, and this is just too critical. So thank you, Mr. Chairman. This is important, and we have had, since you have taken over as the chairman of this subcommittee, I think the hearings that we are having are the hearings that really matter on the most important things that are challenging us in the health arena. Thank you. Mr. Pallone. Thank you very much. I believe we are done with the opening statements, and any other statements for the record will be accepted at this time. [The prepared statements of Mr. Allen and Mrs. Cubin follow:] Prepared Statement of Hon. Tom Allen, a Representative in Congress from the State of Maine Mr. Chairman, thank you for calling for this important hearing to examine efforts to improve the current drug safety system. I want to commend Representatives Waxman and Markey for their work on this issue and for the introduction of H.R. 1561, the Enhancing Drug Safety and Innovation Act, which will make the critical changes necessary to improve our current process for ensuring the safety and effectiveness of prescription drugs. A pillar of U.S. policy on prescription drugs is the protection of the individuals who use them. Public confidence in our Nation's drug supply has been shaken in recent years by recalls of heavily marketed and widely prescribed drugs such as Vioxx. A new poll by Consumer Reports indicated that the vast majority of Americans want stronger drug safety laws and believe that more authority should be given to the FDA to protect consumers. The Institute of Medicine report issued last fall offered 25 recommendations to improve the FDA's pre-approval processes. One of the most important recommendations, in my opinion, is the need for continuous safety monitoring throughout the life of the drug, including post-marketing surveillance. The study found that ``the FDA lacks the clear, unambiguous authority needed to enforce compliance with regulatory requirements and instead relies on the prospect of productive negations with industry.'' This is troubling, and a clear indication that the system is broken. I look forward to working with my colleagues to address this and other important issues; including improving public access to clinical trial results and ensuring that the FDA has adequate staff and funding to fulfill their mission to protect the public health. I look forward to hearing the views of our distinguished panelists on ways to improve the current system to protect consumers from unsafe prescription drugs and restore their confidence in the FDA. ---------- Prepared Statement of Hon. Barbara Cubin, a Representative in Congress from the State of Wyoming The Food and Drug Administration's safety activities are directly relevant to the everyday lives of every U.S. citizen. The 10,000 person agency is charged with monitoring roughly 124,000 firms that manufacture or process FDA-regulated products, which compose roughly one-fifth of our Nation's gross domestic product. With this in mind, the notion that the public may be losing faith in the FDA's drug safety activities is unsettling at best. Over the last few years, the heavily publicized removal of drugs from the marketplace has cast a shadow of public doubt over the FDA's ability to protect the American people from harmful products. 64,000 seniors in Wyoming now have access to affordable Medicare prescription drug coverage, but this means little if our drug supply is not safe. In response to public and congressional concern, the FDA asked the Institute of Medicine to assess and make recommendations for our Nation's drug safety system, in addition to their own ongoing drug safety assessment. I am hopeful that today's testimony will help our committee understand both the extent of the safety reforms the FDA and industry have embarked upon, as well as steps that may need to be taken by Congress. I would urge my colleagues to keep in mind that the FDA is charged not only with assessing drug safety, but also drug efficacy. These two prongs of the FDA's mission are not mutually exclusive, and should not be separated as we consider legislative changes to the agency's structure and authorities. The agency does not just conduct risk management. It must also conduct risk-benefit analysis. Risk-benefit analysis can and should vary based on the severity of an illness and the availability of alternative therapies. We must consider the cancers and neuro-degenerative disorders for which patients have few, or even no, existing treatment options. The acceptable risk for a drug treating mild arthritis will not be the same as for a drug treating Alzheimer's or Lou Gehrig's disease. There are seriously ill patients whose access to innovative treatments would be jeopardized by regulatory overreach, now matter how good intentioned. Their voices deserve to heard in this debate. While I believe there is no one-size-fits-all regulatory solution for drug safety, there is no question that drug safety assessment should be based, to the greatest extent possible, on sound science. Perhaps the greatest room for improvement in drug safety lies with post approval monitoring. Rare and serious side effects may not emerge until after a drug has been approved based on clinical trial data, in particular, drugs that treat smaller populations. I hope today's panels will have suggestions for the tools and resources the FDA needs to conduct science-based, risk/ benefit analysis throughout the market life of a drug. The dire need for innovative medicines among the seriously ill does not start and stop with the FDA's approval time-line, nor should serious efforts to ensure the health and safety of the American people. Thank you Mr. Chairman. I yield back. ---------- Mr. Pallone. I will turn to our witnesses and ask the two for the first panel would come forward if you would. Now, let me introduce the two of you. First, we have Dr. Steven Galson, who is Director of the Center for Drug Evaluation and Research at the Food and Drug Administration. And next is Dr. Marcia Crosse, Director of Health Care Issues at the U.S. Government Accountability Office. You have 5 minutes each. Your statements will be made part of the record, and you may, at the discretion of the committee, submit additional brief and pertinent statements in writing for inclusion in the record. And I will now recognize first Dr. Galson. STATEMENT OF STEVEN GALSON, M.D., DIRECTOR, CENTER FOR DRUG EVALUATION AND RESEARCH, FOOD AND DRUG ADMINISTRATION Dr. Galson. Thank you very, very much, Mr. Chairman and members of the committee. I am Rear Admiral Steven Galson, FDA's director for the Center for Drug Evaluation and Research. I am very pleased to be here to talk about FDA's drug safety program and to reemphasize our continued commitment to drug safety. As a physician, I have dedicated my career to serving public health. As a career medical officer in the U.S. public health service since 1986, I have worked in the Nation's public health agencies to assess scientific data and make health recommendations and regulatory decisions that protect and promote the health of the American people. In my current position as director of CDER, I am deeply committed to leading an organization that inspires the trust and confidence of the people we serve. My detailed testimony submitted for the record talks about the many initiatives CDER has on the way to strengthen drug safety. Modernizing the science of drug regulation, improving our internal operations, and enhancing our communications. I will focus my brief remarks today on describing my vision for the center and our vital role in protecting and promoting the public health with an increasingly complex health care system. As you know, no drug is risk-free, and FDA plays a key role in assuring that a drug's benefits outweigh its risks, beginning with our determination whether a drug can be approved for marketing. And if so, ensuring that is it truthfully and adequately labeled. Scientific progress is key to improving drug safety. CDER is meeting this challenge in many ways, including partnerships with outside groups who can assist us in developing new tools to improve safety. One example is an ongoing FDA scientific collaboration intended to yield better tests for toxicity than our current screening techniques. Such new tests would detect toxicity problems earlier in drug development than our current approaches. Our responsibility continues, as you know, post-marketing when our programs identify adverse events not previously brought forward. To meet this challenge, CDER has taken a number of steps to strengthen the science that underpins these regulatory decisions. These scientific activities include developing and incorporating new tools to assess benefit and risk, upgrading our adverse event reporting system, and expanding our database resources. One example of the work we are doing to support the science of post-marketing drug safety assessment is exploring opportunities for linking private sector and public sector post-marketing safety monitoring systems to create a nationwide medical product safety network. Such a system could enable better safety information about medical products to get to health care professionals and patients at the point at which they are providing and receiving their care. Communicating about marketed drugs is one of our key responsibilities, and health communications technology is rapidly evolving in this century. We too must change as this technology changes and improves. In this area, we have recently issued final guidance that describes our approach to communicating drug safety information, including emerging drug safety information to the public quickly, even if, in some cases, we are still evaluating this data. Another part of improving our approach to drug safety is to listen to people outside FDA for ideas. Next month, on June 25 and 26, we will hold a public workshop to seek input from outside experts to discuss how risk management plans are working to enhance patient safety. In addition, we plan to establish a new advisory committee to obtain input on how to improve our external communications. Lastly, I would like to address the steps we are taking to affect a culture change within CDER to become the kind of effective, efficient and integrated center I am committed to leading. We are addressing tensions between our pre-approval and post-approval staff. We have enlisted the help of external experts to help to identify opportunities for improvement and assist us with implementation of these steps. We are examining ways to improve our handling and resolution of scientific disagreements. CDER has employed process improvement teams to recommend changes to our drug safety program. A number of their recommendations have already been implemented, including the establishment of new safety-related positions in each of our drug review divisions and conducting regular safety meetings between groups. We are also developing pilot projects to evaluate models of integrating our surveillance staff more into our drug review process, including having the staff participate in new drug reviews. We are firmly committed to ensuring that our surveillance staff have a strong voice pre- and post-marketing in safety decisions. In conclusion, CDER's mission is to ensure that Americans have access to safe and effective drugs. Toward that end, our regulatory decisions must be based on sound science, applied with consistency and integrity. My personal commitment is to ensure that these decisions are informed by diverse points of view and vigorous academic debate. We are committed to creating a comprehensive, systematic approach to improving the drug safety system, as quickly and efficiently as available resources allow. As always, we value input from Congress, the public, and the medical community as we develop and refine these drug safety initiatives. Thank you for the opportunity to testify in front of the committee today, and I am happy to respond to questions after the next person. Thank you. [The prepared statement of Dr. Galson follows:] [GRAPHIC] [TIFF OMITTED] T1026.001 [GRAPHIC] [TIFF OMITTED] T1026.002 [GRAPHIC] [TIFF OMITTED] T1026.003 [GRAPHIC] [TIFF OMITTED] T1026.004 [GRAPHIC] [TIFF OMITTED] T1026.005 [GRAPHIC] [TIFF OMITTED] T1026.006 [GRAPHIC] [TIFF OMITTED] T1026.007 [GRAPHIC] [TIFF OMITTED] T1026.008 [GRAPHIC] [TIFF OMITTED] T1026.009 [GRAPHIC] [TIFF OMITTED] T1026.010 [GRAPHIC] [TIFF OMITTED] T1026.011 [GRAPHIC] [TIFF OMITTED] T1026.012 [GRAPHIC] [TIFF OMITTED] T1026.013 [GRAPHIC] [TIFF OMITTED] T1026.014 Mr. Pallone. Thank you, Doctor. Am I supposed to refer to you as Admiral or Doctor? Dr. Galson. Either. Mr. Pallone. Well, I guess we will stick with Doctor, I guess. And, Dr. Crosse, If you would give us your statement, thank you. STATEMENT OF MARCIA CROSSE, DIRECTOR, HEALTH CARE ISSUES, U.S. GOVERNMENT ACCOUNTABILITY OFFICE Ms. Crosse. Mr. Chairman and members of the subcommittee, I am pleased to be here today as you examine the safety of the drug supply. My remarks today are based on GAO's March 2006 report on FDA's process for decision making regarding post- market drug safety and on steps FDA has taken that respond to the recommendations we made in that report. Our work focused on two FDA offices that are involved in post-market drug safety: the Office of New Drugs, OND, and the Office of Drug Safety, ODS, which has since been renamed the Office of Surveillance and Epidemiology. Consistent with our report, I am referring to this office as ODS. As we reported in March 2006, we found that FDA lacked a clear and effective process for making decisions about post- market drug safety issues. We found a lack of clarity about how decisions were made and about organizational roles. There was insufficient oversight by management. There were significant data constraints, and the agency lacked sufficient resources and authority to effectively ensure the safety of marketed drugs. The decision-making process for post-market drug safety is complex, involving input from a variety of FDA staff, drug sponsors, the public, and many other information sources. Central to the process is the iterative interaction between OND and ODS, and many of the problems we identified derived from the ways these two offices managed their drug safety responsibilities. In particular, there was a lack of criteria for determining what safety actions to take and when to take them, which contributed to disagreements over decisions about post-market safety. We found that insufficient communication between ODS and OND was an ongoing concern and hindered the decision-making process. For example, ODS did not always know how or whether OND had responded to safety analyses and recommendations for safety actions. ODS management did not systematically track information about the recommendations its staff made and OND's response. This limited the ability of ODS management to ensure that safety concerns were resolved in a timely manner. Moreover, FDA faced data constraints that contributed to the difficulty in making post-market safety decisions. FDA's access to post-market clinical trial and observational data is limited. FDA does not have authority to require that a drug sponsor conduct a study for the purpose of investigating a specific post-market safety concern. In the absence of such authority, FDA has relied on drug sponsors voluntarily agreeing to conduct these studies. However, as we heard, these studies have not consistently been completed. FDA was also limited in the resources it had available to obtain data from outside sources. Annual funding for this program was less than $1 million a year for 2002 through 2005 and was $1.6 million in 2006, which allowed for four data contracts. Today, just over a year after our report was issued, FDA has begun to take steps that could address the goals of three of our four recommendations to the agency. First, we recommended that FDA systematically track post-market drug safety issues, and the agency is in the process of implementing a tracking system. Second, we recommended that FDA revise and implement its draft policy on the decision-making process for major post- market safety actions. And FDA has made revisions to, but not finalized, its draft policy. Third, we recommended that FDA clarify ODS's role in scientific advisory committees, and the agency is developing, but has not finalized, guidance to clarify their role. And fourth, we recommended that FDA improve its process to resolve internal disagreements, but FDA has not taken action in response to this recommendation. In addition, we suggested in our 2006 report that Congress consider expanding FDA's authority to require drug sponsors to conduct post-market studies as needed to collect additional data on drug safety concerns. In conclusion, while FDA has taken positive steps, its actions are not yet fully implemented, so it is too soon to evaluate their effectiveness in addressing these problems. Most importantly, the agency needs additional resources and authority to be able to fully address the range of post-market drug safety concerns. Mr. Chairman, this concludes my prepared remarks. I would be happy to respond to questions that you or other members of the subcommittee may have. [The prepared statement of Ms. Crosse follows:] [GRAPHIC] [TIFF OMITTED] T1026.015 [GRAPHIC] [TIFF OMITTED] T1026.016 [GRAPHIC] [TIFF OMITTED] T1026.017 [GRAPHIC] [TIFF OMITTED] T1026.018 [GRAPHIC] [TIFF OMITTED] T1026.019 [GRAPHIC] [TIFF OMITTED] T1026.020 [GRAPHIC] [TIFF OMITTED] T1026.021 [GRAPHIC] [TIFF OMITTED] T1026.022 [GRAPHIC] [TIFF OMITTED] T1026.023 [GRAPHIC] [TIFF OMITTED] T1026.024 [GRAPHIC] [TIFF OMITTED] T1026.025 [GRAPHIC] [TIFF OMITTED] T1026.026 [GRAPHIC] [TIFF OMITTED] T1026.027 [GRAPHIC] [TIFF OMITTED] T1026.028 Mr. Pallone. Thank you, Dr. Crosse, and we will start with the questions. I will recognize myself for 5 minutes, and I wanted to ask these questions of Dr. Galson. In your testimony, you talked about all the things that FDA is doing in response to the IOM report. For example, you cite steps you have taken to improve communications and information flows as well as improve operations and management, especially between the Office of Surveillance and Epidemiology and the Office of New Drug. And I think these are positive steps that FDA has taken to reform itself administratively. But as you know, there are some recommendations made by the IOM report that FDA can't do administratively. And I would like to know where the administration might stand on some of these recommendations. It is important for us to know where the administration stands as we move forward with reforming our drug safety system and whatever legislation we are going to put forward. So I have three questions. Let me begin with the clinical trials. Does the administration agree with the IOM report that Congress should require industry sponsors to register in a timely manner at clinicaltrials.gov, at a minimum, all phase two through phase four clinical trials wherever they may have been conducted if data from the trials are intended to be submitted to the FDA as part a MBA, SMBA or to fulfill a post- market commitment? This goes on. Why or why not? And if Congress were to include this in our drug safety reform package, do you know whether or not the administration would object? That is my first question. Dr. Galson. Yes, as you know, provisions changing the way that we register and require registration of clinical trials has been part of the debate and the discussions going on in the Senate. And we are very actively participating in providing technical assistance to those provisions, and it has changed as time has gone by. We have supported some and not supported others, so we look forward to continuing the work---- Mr. Pallone. I haven't necessarily followed the Senate. Sometimes we take pride in not following the Senate. Do you just want to comment, as best you can, on what you have been saying over there in this regard? Dr. Galson. We are very much in favor with providing as much transparency as possible, concerning clinical trials that are underway. There has been a huge amount of progress made over time in getting more of these trials registered, and I am sure you are going to hear more about this from the pharmaceutical representatives that are up here. But if you look on that Internet site now, there is a lot more information on there than it used to be, and we are in favor of that. Mr. Pallone. Well, what about the mandate though, the mandatory aspect? Dr. Galson. With regard to the specific provisions, we will continue to discuss that with staff, and the administration hasn't taken a firm position on exactly where we stand on each one of those provisions. Mr. Pallone. OK. Well, let me go to No. 2. The IOM recommended that Congress ensure that the FDA has the ability to require such post-marketing risk assessment and risk management programs as needed to monitor and ensure safe use of drug products. They go on to recommend that FDA should have the ability to impose these conditions before and after approval of a new drug, as well as having increased authority and better enforcement tools, such as fines, injunctions, and withdrawal of approval to ensure compliance by drug sponsors. Are these recommendations something that the administration would support, and again why or why not with regard to the risk management assessment? Dr. Galson. Thank you. As you know, I am sure, there are risk management plans that are currently part of approval of a number of drugs that are on the market, and we thought them through very carefully. And after the drugs are on the market, we evaluate those plans to see whether they are working. This is another area we have been very active providing technical assistance to the Senate and other Members of Congress that are interested in talking about this. And we think when there are drugs that have special risks, they do require special attention and special risk management plans for the drugs to be approved and for us to carefully follow up afterwards. Mr. Pallone. But again in those cases, you have mentioned special cases, would you think the FDA should have the ability to require the risk assessment and the risk management in those cases? Dr. Galson. We don't feel comfortable approving drugs that have special risks, unless there is a way to manage that risk. And it is very much on a case-by-case basis that we make that assessment. We are concerned about a one-size-fits-all approach in the discussions that we have had with the Senate on this provision because the work is very time consuming for our staff. And we want the ability to focus our attention on the most pressing public health problems. So, in general, we haven't favored a one-size-fits-all approach but our ability to make a case-by-case assessment. And that could include, in some cases, being able to make sure that some studies get done. Mr. Pallone. OK, I have to ask one more question only because I didn't get a chance last time. This is about the new DTC user fee program that was included in PDUFA Four Proposal. That was negotiated between the FDA and industry. I wanted to ask this at the PDUFA hearing, but I ran out of time, and again I am running out of time. What assurances do we have that drug companies would actually participate in this new program, given that it remains voluntary? And would the administration support a program that requires all advertisements for new drugs be reviewed by the FDA? Dr. Galson. Again, this is a complex regulatory and legal area, and as you may be aware, there are a large number of television ads and, of course, even much larger number of printed materials that are produced by the pharmaceutical industry. And we have a fairly modest staff that is able to review those as it is. So again we are concerned that if we are asked to review more materials that we have adequate ability to do that, and that has been a challenge between the resources and the number of products that have come in. What this new program does is give us additional staff so that we can do a lot more comprehensive job of looking at this particular subset as they come in. And we are very, very interested in making sure that they are truthful and they are not misleading. And I suspect that the industry is interested in that as well. Mr. Pallone. So it is a question of money as always. All right, thank you very much. I yield to the gentleman from Georgia, Mr. Deal. Mr. Deal. Thank you. One of the issues that has come up before this subcommittee on other hearings as it relates to approval of products has been the question of where intellectual property rights become an impediment to making information more available. With regard to clinical trials, both pre-approval and post- approval, one of the discussions has been to make more information about those clinical trials available to the public. Are intellectual property rights one of the constraints that you encounter in those environments? And if so, would you elaborate on that? Dr. Galson. Absolutely. One of the challenges in all the work that we do is having our scientists able to look at all the vast information that is available concerning products. We digest this. We evaluate it. We sometimes debate it, and in the end, we come out with assessments and communication that helps both practitioners and patients make the right decisions about risk and benefit. Putting every single piece of information that may be in that drug company application down to the patient level does raise intellectual property issues. And we are obligated by our laws to protect the intellectual property, and I am not sure that it would really benefit patients as well because they don't want the undigested data. They want to know what is FDA's assessment of this data. An additional point on that is that we do think very carefully about patients who need new products, patients who have cancer and other chronic conditions. And we don't want to do anything that is going to stand in the way of getting those products through the development process and evaluated by us in making those appropriate products available. Mr. Deal. One of the tools for post-market determinations and safety, of course, is in mining data that may be available. To what extent has the FDA utilized whatever resources, if any, might exist in mining data collected by CMS, since they have a huge bank of data? Has there been any correlation between the two agencies in that regard? Dr. Galson. Yes, there has. As you know and you have heard, some of the statements that you all have made have indicated the very, very exciting frontier really in drug safety--our ability to look at large data sets as they are being developed specifically, electronic medical records, more records from these larger payer databases, such as CMS. And as you all are very, very aware, the new provisions in Medicare drug benefit are going to make a lot more data available in the Medicare system that will allow us to link eventually medical outcomes with the drugs that are prescribed. And to prepare for that very optimistic future of being able to use more of this data, we have been engaged in an interaction with the Medicare program, looking at the existing data to try to see how can we work with that and learn lessons with that interaction. We have been working with our sister agency, AHRQ as well, and I just got a briefing on this earlier in the week. And we are making some good progress and hopefully will learn some lessons that will allow us to move forward as we get more funds from Congress to be able to use this data and hire our staff so we are prepared to mine any available data sets that are valuable for patients. Mr. Deal. Dr. Crosse, have you had the opportunity to look at what other countries are doing on post-market surveillance of drugs, and how does that compare with what we are doing in the United States? Ms. Crosse. Sir, I am afraid we have not done any recent work at all looking at drug safety systems in other countries. As you know, there are a number of differences in the review and approval process in those countries and also in the kinds of data that may be available to them because of the national health systems they have. But we have not done any recent reviews that would help you on that. Mr. Deal. Dr. Galson, with regard to imported drugs, does the law, as it is currently written, in your opinion, give FDA sufficient authority to deal with drugs that are actually manufactured in other countries? What are the limitations that you incur in dealing with those imported drugs? Dr. Galson. Right. I assume you mean the legally imported drugs that are part of our current system, and there is a significant portion of the drug supply that is currently manufactured by some of the same companies that are household names, but they happen to be manufactured overseas. All of our requirements for drug approval generally apply for drugs that are imported, as they do here. So we go overseas, and we inspect foreign manufacturing facilities when those companies are importing their product to the United States. When clinical trials are done overseas and those clinical trials are used in our application process, we go overseas and inspect them. So we have good authorities to do that. Mr. Pallone. Thank you. Mr. Waxman. Mr. Waxman. Thank you, Mr. Chairman. Dr. Galson, if you look at the drugs where there have been problems or drugs that have been withdrawn from the market, it looks like a pattern where the risks appeared before approval, and the agency got caught off guard. To fully address this trend, I think it is clear you need some help from Congress. You need more resources. You need more authorities. But within the confines of FDA's current authorities and resources, what are you going to do to fix this problem? Dr. Galson. That is a very challenging issue, and I think the first thing is we have to be very wary about looking backwards and trying to figure out what we may have done wrong in the past when the situation was very different back when you were looking at data initially, but your point is well taken. And I think the real future of improvements in drug safety lie in scientific areas, and we are very invested in that and our critical path initiative and talking to many of you working on projects with not just the industry but also with academic groups and non-profit organizations to try to make sure that the information that we are getting before approval gives us the best possible data so that we do a better job of being able to predict which drugs are going to work and which drugs are going to cause adverse events in other people. And so that 10 years down the road, we will be able to stand on our laurels and say that these sort of surprises after approval have been avoided. Now, we do sometimes get signals before a drug is approved, as you said, that there may be a safety issue. And each time we see that, based on clinical trial data, we look carefully into that, and we try to make an assessment about whether that signal is going to result in a problem post- approval. The way to do a better job of that and to avoid what you are pointing out is better techniques, techniques like pharmacogenomics that will allow us to understand better individual differences between patients. Mr. Waxman. In the meantime, there are problems that are discovered after the drug has already been approved. FDA asks the manufacturer if they would be willing to do a drug surveillance after approval. And especially if you have those signals, you want the manufacturer to do that because you think there may be a problem down the road. When FDA identifies, after a post-market survey, a need to change the drug's label, including adding a black box warning, can you describe the process FDA uses to compel a drug company to make a change? Can you compel a drug company to make that change? Dr. Galson. We feel pretty strongly that when we need a black box, or we feel like a drug has to be labeled better, either with a black box or another kind of warning for the drug to stay on the market--we have a very good process of sitting down with the company and saying look, there is this new information that has come out. We are really not comfortable-- -- Mr. Waxman. When you negotiate in this process with the company, that can take a long time, can't it? Dr. Galson. We are committed to reducing that time, and it has been reduced. And the other thing that we are doing related to that is that if there is not agreement there, we will go ahead--and we have done this in numerous cases over the last couple years. We will go ahead and put that information out without discussing it with the company. We will put out patient or physician information sheets. We will issue a public health advisory. Mr. Waxman. But how about that label, even a black box label, if the company refuses as you are negotiating, and it takes months to negotiate. Meanwhile the public is unaware of these problems. If the company refuses to make the labeling change that FDA believes is necessary, what are your options? Isn't it just simply to take the drug off the market? Dr. Galson. We could take the drug off the market, but we push the companies, and in general, they respond. It doesn't take months, and once we say we are going to go out and put this information in the public realm, whether or not you move quickly enough, they usually move. Mr. Waxman. Dr. Crosse, from what Dr. Galson has told us, it seems like he feels comfortable with the situation. Yet you made a recommendation that Congress provide FDA with the authority to require post-market studies and to be able to put these labels on and to insist that these studies be done. Ms. Crosse. Yes, sir. The information that we have reviewed over a number of years has found that it can be a lengthy process. I think it is a very positive step that FDA is now taking to more publicly notify physicians and individual patients of concerns that have arisen. In the past, that was not their general practice. And so I do think that that is a positive step that the agency is taking to put the information out publicly if the company is not moving expeditiously to make these changes. But our understanding is that the FDA's options are limited if the company is not cooperating. And while I agree that pressure can be brought to bear, and making this information public helps to bring that pressure, still the options available are quite limited if FDA feels that there is a positive benefit of this drug and that there are patients who need to continue to be able to receive it, and they don't therefore want to enforce the withdrawal from the market. Mr. Waxman. Just a last comment. I know my time is up, but I am in a situation now where I am chairman of the Oversight Committee, try to get information to conduct investigations. But knowing that I have the authority to issue a subpoena doesn't mean I have to issue subpoenas. But it does mean that those who have to deal with me are more forthcoming. I would rather have FDA be able to deal from a position of strength rather than pleading for information, which they need and ought to have in order to protect the public health and to make sure the public is aware of the problems once they are discovered. Thank you, Mr. Chairman. Mr. Pallone. Thank you. Mr. Barton. Mr. Barton. Thank you, Mr. Chairman. Back in August 2007, Mr. Whitfield and I wrote a letter to the Department of Justice, asking for them to review current law in terms of FDA authority with respect to imports of drugs both legally and illegally into this country. And their response back to us was this past December. And in that letter, the Assistant Attorney General, a Mr. Klinger, said that they, the Department of Justice, would support a change in the Food, Drug, and Cosmetic Act that would make sure that that Act gave the FDA explicit jurisdiction over conduct that occurs outside the United States for drug products that are subject to the Food, Drug, and Cosmetic Act when they are imported into the United States. I would assume that the FDA supports that. Is that correct? Dr. Galson. Yes, we do, as well as stiffer fines in those circumstances. Mr. Barton. And if we did give this authority, this explicit authority, how would the FDA and would that give the FDA the authority to inspect facilities overseas on a random, surprise basis like you have here in the United States? My understanding is when you inspect a pharmaceutical factory in China, you have to get permission before the fact and they actually announce sometimes 2 to 3 months in advance so that the day you show up, everything is sparkling clean and smiley- faced. Dr. Galson. I am not an expert at international comparative regulatory law; however, it is very important that we are able to go into foreign factories. The current situation is we do work with foreign countries, governments, when we make these visits. Even to get into many countries, they have to be aware that FDA officials are coming in. On the other hand, we do do a lot of these inspections, and we send teams over, and they successfully inspect and identify problems. And those problems are addressed or we move forward to take the next step. Mr. Barton. In the United States, you can just show up and flash the badge, so to speak, and do the inspection. Isn't that correct? Dr. Galson. That is correct. Mr. Barton. But overseas, you can't do that. Is there any country that you can inspect as you do here in the United States? Or do you have to pre-clear it? Dr. Galson. I am happy to look into that to see whether there are any countries where we have the capacity to do that and get back to you. Mr. Barton. And on counterfeit drugs, what is the current status of trying to prevent the counterfeit drugs in terms of number of inspectors and things like that? Dr. Galson. We do focus some resources on counterfeit drugs, and we are very concerned about this. We work with pharmacies, with States, to move forward when we identify problems and to make sure that we have an open policy wherein people hear about counterfeit drugs. They are reported to us. We investigate it. We are concerned about counterfeits that are available on the Internet. And of course, if there are more drug imports coming in, that would be something we have to focus on more. Mr. Barton. Dr. Crosse, would you like to comment on any suggestions for combating counterfeit drugs? Ms. Crosse. Well, we had undertaken a review about 2\1/2\ years ago of Internet pharmacies, and we placed a number of orders from pharmacies over the Internet, both in the United States and in Canada and other foreign countries. We found a number of problems including counterfeit drugs. Some of the samples that we received were counterfeit medications, and a very small sample of drugs we purchased, out of about 63 purchases, we have four counterfeit drugs. And we had other drugs that were provided without any instructions for use, without appropriate labels or warning information or directions on how many tablets to take and at what interval. There are a number of difficulties that we identified in that review in the use of foreign pharmacies. Mr. Barton. But four of the 63 purchases were counterfeit? Ms. Crosse. Yes, sir. Mr. Barton. That is pretty amazing. Well, Mr. Chairman, my time has expired, but I hope that is something that, as we move forward, this whole issue of counterfeiting is, I think, a very great concern and based on what Dr. Crosse just said, I was assuming it was maybe 1 percent, 1 out of 100. But 4 out of 60 is--what is that--about 8 percent, something like that. So that is non-trivial. Thank you, Mr. Chairman. Mr. Pallone. Thank you. The gentlewoman from Colorado, Ms. DeGette. Ms. DeGette. Thank you, Mr. Chairman. Following up a little bit on Mr. Barton's question. Dr. Crosse, I think the time is now to start looking at these counterfeit drugs because we had some hearings in the Oversight Investigation subcommittee in the last Congress where customs is just seizing all kinds of these drugs coming in, and as Dr. Crosse described, they have no description what they are and when they are tested. Some of the drugs from South America were actually yellow paint, dyed paint. And there is no indication if the proper climate controls or other kinds of controls have been established. And so I guess my question to you is what mechanisms do we currently have in the U.S. to expose counterfeit drugs before they reach a U.S. consumer? Do we have enough laws to do that, and maybe more importantly do we have enough resources to do that? Dr. Galson. Let me talk about a couple of the things that we have been doing. We have been focusing on this for quite a few years, but there is no doubt that this is something that probably needs more attention into the future. And you only have to open up the newspaper to see some of the problems that have occurred. One of the things that we did is we were hearing that it was cumbersome for people to figure out how to report when they found a counterfeit or when they heard about a counterfeit. So we modified our standard adverse event reporting form that comes in to make it easier for people to explicitly say when they find a counterfeit. Ms. DeGette. When did you modify that report? Dr. Galson. I believe it was 2005. Ms. DeGette. And have you noticed an increased number of reports coming in? Dr. Galson. We haven't, but that probably reflects the fact that the adverse reporting system is not that sensitive. Ms. DeGette. It has probably been the least effective way, waiting until the drug actually gets to the consumer. And then they have to make a report. Dr. Galson. Absolutely. Ms. DeGette. So what else are you doing? Dr. Galson. Well, one of the things that does concern us, and we are going out with education efforts about this, is the increase of number of drugs that have been purchased over the Internet and the proliferation of Internet pharmacies and people thinking that this is an answer to getting their drugs. And clearly that makes it easier for people to get. Even if the drug is advertised that it is ``from Canada'' it may come from somewhere else. Ms. DeGette. I know that, so what are those efforts? Dr. Galson. Those efforts are trying to communicate with people and with pharmacists and. Ms. DeGette. And have those born fruit in finding additional counterfeit drugs? Dr. Galson. I don't think our detection of counterfeits is robust enough to really know whether---- Ms. DeGette. And so what do we need to do? Dr. Galson. Yes. Well, I think one thing is resources, and we do expect to be getting more resources under PDUFA that we will be able to put out in the field to detect more of these. As you know, there is just a sea of drugs coming in through the mail and through the borders. And it is a challenge for us to open up every single package. But there is more that we could do, and we will be focusing---- Ms. DeGette. Dr. Crosse, do you have any opinions what we could do to beef up our detection of counterfeit drugs coming in? Ms. Crosse. I think it is a very difficult issue for FDA alone to face because a lot of the drugs that are coming from the Internet pharmacies from overseas are coming directly to consumers. Ms. DeGette. Right. Ms. Crosse. They are not passing through the normal drug supply chain in this country. And so, there really is very little, short of intercepting packages at the border, that FDA, I think, can do beyond these kinds of steps to monitor the pharmacies that are on the Internet. We found Web sites popping up and closing in a matter of days when we were undertaking our work. It is very difficult to track all of the Web sites that may be available to sell some of these drugs. Ms. DeGette. So really consumer education will be important? Ms. Crosse. That is one of the steps, and certainly, I think there are some technological solutions that are being proposed to try to put in some sorts of tracers and other kind of tracking information that would allow the drug supply system to more adequately monitor when the drugs that are coming in are authentic. Ms. DeGette. Now, do you think that this problem we have got right now would be exacerbated if more reimportation was allowed by Congress? Ms. Crosse. I am not aware of what the specifics are for proposals that are under consideration for the limits that we placed on that importation. In the small review that we did, we did not find problems with the drugs we purchased from Canadian pharmacies. But, as Dr. Galson has indicated, one cannot always determine just from looking at a Web site whether a site that identifies itself as being Canadian actually is. Ms. DeGette. Dr. Galson. Dr. Galson. Yes. A couple points. The first is just following up on the technological solution. We do think that there are some technological steps, and these radio frequency identification tags, RFID, is one of the technologies that has been identified that can mark packages so they can be tracked and traced more efficiently. We have issued guidance on the use of this technology, and we are going to be putting more effort towards that. So that is a technological solution. On your question about importation, I don't think there is any question that if there are more drugs coming into the country from other places, it is going to be more difficult. And I think about my challenge in being responsible for all the currently legally imported drugs. If the number of manufacturing facilities and companies doubles or triples with drugs coming in from a lot more countries or from countries that are difficult for us to inspect, there is no question that it is going to be more of a challenge to detect these counterfeits and go out and inspect the sources. Ms. DeGette. Thank you. Mr. Pallone. Thank you. The gentleman from Indiana, Mr. Buyer. Mr. Buyer. I want to thank Ms. DeGette. I welcome her to this issue. This is a pretty strong concern of members on this committee. We reauthorized PDUFA, and we are now examining the post-market review. I don't understand how a manufacturer out there can do the very best they can, they are responsive to these reports of adverse effects that are being sent on, yet their ability to police the counterfeit--it is almost as if we have a system--so what do we have in America? We have got this system, and we have a leak. And the strength of the policing of that leak is going to come from who? Those whom have the most at stake. So it is going to come from, first would be the manufacturers themselves. They are going to protect because they have liability on the line. Second it is you, us, the Federal Government because we have given this assurance to the American people that we are going to have a closed system with regard to our drug supply, and that it is that FDA stamp of approval. It has got to mean something. So I think it is pretty clear. An unapproved FDA drug lacks your assurances of safety, effectiveness, quality, and purity. Now, if the FDA cannot assure the safety and efficacy of a drug product line because you can't gain access to the manufacturing process, we have serious problems. So if that drug is manufactured in a foreign country and you gain access to that manufacturing process, there is not a problem there, and you do that all the time. In the mid 1990's, we had this political escalation and the attacks of our pharmaceutical manufacturers and as if well, just run off to Canada and get your drugs. And this reimportation issue began to erupt. And then we see this increase in the volume of adverse event reports. So my question is do you know of any correlation between this increase in adverse reports and the amount of FDA unapproved drugs that are finding access into our country. Is there a correlation between this? Do you know? Dr. Galson. We are not aware of a correlation between those two. There are a number of hypothesized explanations for why that number is increased. One is there are more drugs out there. More people are taking more prescription products. If you look over time at the number of prescription drugs taken per person in the United States, it has gone up. And similarly there is absolutely more awareness of drug adverse events. I am not at all trying to say that there is no correlation, but I wouldn't want to blame that increase entirely on this issue. Mr. Buyer. All right, let us bubbacize this. So last night, I picked up the phone and I called an internist, Dr. Lauren McClure in Muncie, Indiana, OK. Now, she is dealing with a problem because the mayor of Muncie, he is going to reduce the drug costs to the city of Muncie, Indiana. So what does he do? He instructs the city employees and the workers and the retirees to do what? Get their drugs from Canada. Now, as a practicing internist, she has a challenge. She will do her diagnosis, and in her prognosis, she will prescribe particular drugs. And she doesn't know what is working and what is not working and why. So here we have someone that we as a country have invested greatly into this medical expertise, and it is a scratch of the head. She doesn't know whether the drugs the person is taking are FDA-approved drugs, or are these the counterfeit drugs? And so she has been challenged as she continues on. Now, this happens to be a doctor that actually knows that a patient is gaining access through Canadian pharmacies. How about if the docs all across the country, you prescribe a drug, and they don't even realize that their patients are out there. Ma'am, when you said I don't have a problem with Canadian pharmacies, what about these Canadian Internet sites? People think that they are approved, and many of them are unapproved, and they are the flow, the pathways of these illegal substances. Now, our challenge is the person may not get better and die if it doesn't get reported. Those who say well, let us go to reimportation. People aren't dying from reimportation. You never know. So now if we want to make sure that we really understand about a drug that is out there, what do we in Congress need to do here? Do we have to mandate that doctors ask their patients that--I gave you that prescription. When you come back and you are not better, we ask them where did you buy your drugs? I hate to do something like that. Are we going to have to do that? And No. 2, when you talk about tools and modernization in the aftermarket, are you going to take into account the knowledge that we have about this escalation of the counterfeit drugs that are coming into the market? Those are my two questions. Dr. Galson. Yes. Well, we have identified one of our major goals in drug safety is to improve how we communicate to the public about drug risks, through the Internet, through other types of media, through medical organizations, other professional organizations, such as the pharmacists. There are other players in this, as you may know. The pharmacy world is regulated by and large by the State pharmacy boards, so talking to State people. And there is no question that we need to do more communication. We have a lot of activities underway in the agency focused on this, particularly warning people about Internet pharmacies and to get their drugs through a traditional source. But there is no question we could do more. Mr. Buyer. Here is how you stop the mandate. How about you contact the AMA and through the continuing medical education, advising counsel with regard about asking that question. Where are you getting your drugs? Dr. Galson. Yes, we do work with the AMA. Mr. Buyer. In medical schools? Dr. Galson. Yes. Mr. Buyer. In the training? You work with the medical schools? Dr. Galson. We do some work with medical schools. That is an excellent idea. Mr. Buyer. Let us do more with our medical schools and teaching so that they know it is part of their prognosis is what I would recommend, and the continuing medical education piece. And you can take that with you. Dr. Galson. Thank you. Mr. Buyer. The last is on the increase in surveillance. I like the fact that you are checking our ports of entry and working properly with customs. So in PDUFA, if we want a purity with regard to that close market review sample, what in resources do we need to put in this bill? Tell me what you want and need to get the assurances of clients. Dr. Galson. Right, the FDA staff who are out in the field who are at the ports working with customs are not part of the drug center. It is a different part of the agency. I would be happy to go back and ask them exactly to let you know what they think is needed to move forward here. We do provide technical and other kinds of compliances systems and work together with that group. And we are looking very much forward to additional resources coming in through the PDUFA program so that we can do more of this kind of assistance and participation in our compliance efforts. Mr. Buyer. What agency is it? Dr. Galson. It is part of FDA. It is called the Office of Regulatory Affairs. Mr. Buyer. All right, thank you. Thank you, Mr. Chairman. Mr. Pallone. Thank you. Recognize the gentlewoman from Illinois, Ms. Schakowsky. Ms. Schakowsky. Thank you, Mr. Chairman. I wanted to ask Dr. Galson, you may have said this already. Maybe I missed it. The GAO suggested that Congress expand or consider expanding FDA's ability to require drug sponsors to conduct post-market studies, and so what is your view on that? Dr. Galson. Well, we have been working, as you know, with providing technical assistance to the committees in Congress and both sides that are working on issues of authority, so we will continue to do that. We do feel like we are able to get a lot of information post-marketing, and we are very committed to what we have talked about, improved surveillance by getting data sets and groups of data about drugs and how they are prescribed and the adverse events that may result through them that had nothing to do with even requiring drug companies to do studies. This is kinds of surveillance data that other groups, such as the health care payers--you are going to hear a little bit from them in the afternoon--that I think is the future of drug safety, looking at the databases that are out there. Ms. Schakowsky. I understand you are talking about outside groups, but if we maintain a voluntary infrastructure on this in general, why would we as members of Congress or the public have confidence when we have seen so many problems with failure to report things and poor reporting of clinical trials and all kinds of things that the pharmaceutical companies have done? I mean I am trying to understand the source of your confidence when you emphasize this relationship with the private sector and pharmaceutical companies. Dr. Galson. Yes, a couple points. First is that what many people don't realize in the debate is that we can require some studies to be done in several different categories. The first of those are under the legislation that has promoted the development of more information about drugs for children, and we are able to require companies to do studies. Ms. Schakowsky. How is it that many of them have been started but incomplete? Dr. Galson. In the pediatric area, I will get to that in a second. The other second area is the program that we have under our regulations called accelerated approval. When there is something that is really needed to fulfill a medical need, such as a cancer drug where there isn't another drug out there, we can approve the drug and then require a company to do a study after approval. And those studies do get done. And the third area is in the counter-terrorism area where there is a drug that we think needs to be made available in case of a terrorist attack, but it wouldn't be ethical to do that study in humans. We can approve the drug using animals and then require a later study or a later collection of data. But with regard to your main question, we are happy to continue to discuss it with this committee and with others your ideas for requiring more study to be done and give you our views on the specifics. Ms. Schakowsky. Dr. Crosse, I wondered if you wanted to comment on that. Ms. Crosse. Yes, we do believe that FDA would benefit from having additional tools at hand to be able to take steps when they believe they were necessary and they were not getting voluntary cooperation. With regard to the pediatric studies, that certainly has promoted a number of drugs being studied for pediatric uses; however, almost 20 percent of those drugs that FDA asked to be studied, the sponsors declined to study for a variety of reasons. But nevertheless, there still are a number of drugs out on the market that FDA had indicated were important for review. And it was at the option of the manufacturer whether to pursue those. The alternative path that the pediatric--and specifically Best Pharmaceuticals for Children Act--have provided for the Foundation for the National Institutes of Health to pursue the studies has not been effective. None of the drugs that have been referred for study by that organization have yet been studied. Ms. Schakowsky. We have a problem here. I was intrigued by--both Dr. Crosse mentioned that there were some problems with the pre- and post-marketing divisions of the FDA. You called it tensions, Dr. Galson. Do we have to really deal with tensions here? I mean can you resolve those problems? Dr. Galson. Well, there is tension inherent in drug regulation, and I don't think we will ever get away with a totally stress-free easy job. And that is really not what I am looking for. And the fact is that two people looking at the same scientific data may come to different conclusions, and so it is not just between offices but even within the staff. And again this is normal, and the other regulatory and scientific agencies that I have worked in, you have had this same tension. I am not meaning to diminish it or anything by calling it tension. It is part of the regular scientific debate when we make science-based decisions in public health agencies, and we have to do our best. And we are working to improve how we handle those disagreements to make sure that both sides are able to articulate their views and that we document our position in relation to those views and move forward and make our decisions. Ms. Schakowsky. I am out of time. Thank you. Mr. Pallone. Thank you. Mr. Ferguson. Mr. Ferguson. Thank you, Mr. Chairman. Thank you both for being here, and thank you for your testimony. Dr. Galson, I have a lot I want to try and get through, and I am just going to try and get through it as quickly as I can. I appreciate your cooperation as well. As you are aware, I have been interested in this issue of regulation and distribution of medication guides, med guides, for a while now. I want to focus my time today on this alarming situation in which young patients and their parents may not be receiving the information that they need to make fully informed decisions about the treatment of certain medications, particularly including antidepressant medications. Specifically, it has been brought to my attention by constituents in New Jersey that the FDA-required med guides are in many instances not distributed when antidepressant medications are dispensed, even though such a distribution is required under the regulations introduced by the FDA, by your agency. In examining this issue, I contacted the FDA representative from the National Association of Chain Drug Stores, the National Community Pharmacists Association, the New Jersey Pharmacists Association, the New Jersey State Board of Pharmacy, and four different drug manufacturers of these products, of antidepressant medications. In fact, I have two letters that I sent to Dr. von Eshenbach and the two responses that I received from the FDA. Mr. Chairman, I would ask unanimous consent to submit them for the record in this hearing. It has appeared to me throughout this investigation that a significant breakdown is occurring between the FDA and the State regulatory authorities, a breakdown that is depriving parents of children for whom antidepressant medications are prescribed, that their ability to make these fully informed decisions, to have all the information they really need. And med guides are so important because it gives us information in English that normal people can understand. For example, it is impossible to determine with certainty that the med guides are in fact being distributed with the prescribed antidepressant medications because regulatory authorities at the Federal and State levels are not enforcing the FDA's Stated protocol on medication guides. I am going to just read the portion of the statute that is relevant here, and I quote, Each authorized dispenser of a prescription drug product for which a medication guide is required under this part shall, when the product is dispensed to a patient or to a patient's agent, provide a medication guide directly to each patient or to the patient's agent unless an exemption applies under 208.26. Did the FDA issue this regulation? Dr. Galson. Yes. Mr. Ferguson. Yes. Thank you. Can you or anybody tell me with certainty that medication guides are being distributed to patients and parents when they ought to be? Dr. Galson. Right. I know you are in a hurry. I will be quick. We have invested a huge amount of time in determining what should be in these medication guides. Every word is looked at very, very carefully because we want these messages to get to patients. So let me make it easier for you and tell you that we share your concern and we are not denying this. We know that in many cases, these medications are not being given out. The challenge, like so many things at FDA, is what is the best thing to do about it. They are required to be given out. On the other hand, we don't regulate the practice---- Mr. Ferguson. Right, and we are going to get to that right now. Dr. Galson. Yes. Mr. Ferguson. I appreciate your---- Dr. Galson. So it is really our interaction with the States and the pharmacy organization. Mr. Ferguson. That is exactly right. In my investigation, I also contacted the New Jersey State Board of Pharmacy, and I got this response from Joann Boyer, who is the board's executive director in New Jersey, and I quote, The board does have the authority to enforce the Federal regulation regarding the distribution of these guides. An overview of this Federal regulation will be included in the Board of Pharmacy newsletter with a statement addressing the need to be compliant and the fact that our inspectors will be including this item in their normal inspection routines. I will provide the inspectors with all necessary information regarding medication guidelines and instruct them to ensure compliance when they perform their inspections in our retail pharmacies. Those pharmacies identified as being noncompliant will be brought to the board's attention for review and action, which may include financial penalties. Before my inquiries, States like New Jersey were not using their authority to monitor pharmacists and their distribution of medication guides. Does the FDA have the authority to contact and instruct State board of pharmacy to follow New Jersey's example? Dr. Galson. We certainly don't need any special authority to contact the board of pharmacy and encourage them to action. What we have heard from some of the people that we have contacted is that they consider the regulations that we have onerous, that there is a lot of paper, that they don't have the capacity to store all the paper that is required to be given out, and that there are some real logistic issues. Mr. Ferguson. Right. Dr. Galson. And it is because of this that we have organized and announced a public meeting coming up this spring so we can get the views of all the constituents involved with pharmacies and States, hopefully the patients. Mr. Ferguson. That is where I am going next. Dr. Galson. They will come with suggestions---- Mr. Ferguson. We didn't even coordinate this, but that is where I am going next. Dr. Galson. Absolutely, yes. We agree this is a problem. Mr. Ferguson. I would urge you to use the authority that you say you don't even need, I would urge you to take those actions to contact State boards of pharmacy because there are actions that they could be taking to make sure that parents and patients get these very important information. Moving on, I have heard from pharmacists in our district and elsewhere that they encounter problems getting the med guides, as you were just saying, from manufacturers and storing the adequate numbers of the med guides in their stores. Shelf space can become an issue. Under the FDA's rule, medication guides must be generated by manufacturers, then sent to the pharmacists, in most instances via a wholesaler and then given to the patient when the drug is dispensed. Is the FDA monitoring whether manufacturers are actively providing these med guides to pharmacists so they can dispense them to patients? Is that something FDA does? Dr. Galson. We certainly could do that. I would have to get back to you. I don't know for sure whether there have been any compliance or inspectional kind of activities specifically focused on that. Mr. Ferguson. If it not going on, I would urge the FDA to take that step. That is another potential breakdown, and in some cases I am sure has been a breakdown in the system. Does the agency also monitor whether manufacturers of generic versions of brand name drugs are distributing these as well? Dr. Galson. They are required to give out the same forms as the brand names. Mr. Ferguson. OK, so they would be included in this oversight as well? In our investigation, the National Association of Chain Drugstores told me that they delivered a proposal to the FDA 2 years ago, asking if they could distribute med guides electronically, thereby greatly simplifying the lengthy and unreliable distribution chain. Can you tell me if the agency will allow pharmacists to print these electronically, just sort of print them off the computer rather than having to store reams and reams of paper in their pharmacy? Dr. Galson. Yes, this is one of the issues that we are going to take comment on and talk about at this public meeting. I am not certain whether the electronic provision of an identical medication guide to the one that we require companies to put out, I suspect there is no problem with that. The problem is that the format sometimes changes. It is different, and we have to look at those issues. Mr. Ferguson. My time is almost up. I understand in my letter from the FDA that you will be holding a public meeting soon to discuss the distribution of medication guides. I am delighted. That is a very important part of the process. I am pleased the FDA has taken that important step. My last question. In the last week, the FDA has drafted many changes to the med guide for antidepressants, and I have copies of each of the two. Most strikingly, the title of these med guides was changed. The previous one said ``Medication Guide about Using Antidepressants in Children and Teenagers.'' That title has changed, and I would like to submit both of these for the record under unanimous consent, Mr. Chairman. It was changed to ``Medication Guide: Antidepressant Medicines, Depression, and Other Serious Mental Illnesses, and Suicidal Thoughts or Actions.'' Just seems to me that the old version of the medication guide was more thorough and sort of concentrated exclusively on the potential adverse reactions that could occur when taking antidepressants. The new version seems to sort of delve into a whole discussion on depression. Can you tell me why? Do you have any idea why these changes were made in that way? Dr. Galson. Yes, I have a very good idea, and it is not easy to explain. If you could give me just a few minutes to do it. This has been one of the most contentious and difficult areas of drug regulation over the past few years in FDA but not atypical in that new information has been developed about potential risks related to these products since they have been on the market, and those are the risks that are discussed in the med guide with suicidality. Now, we have taken steps going back a number of years to add information to the labels and to the med guides, making sure that patients and physicians are aware of this new information and what it may mean to patients. And what we have heard is some people think that this is great. Other people think it is bad. The psychiatric community, the American Psychiatric Association has been very, very angry at the FDA because they think that telling people about these risks is dissuading people who really need these drugs for depression from taking them and therefore contributing to the number of people that are expressing suicidal activity. And this is, of course, something that worries us a lot. What we try to achieve in our communications products is to balance benefit and risk, which is what is absolutely critical in explaining the risks and the benefits of drugs so that people can make the decisions. So what we have attempted to do with these latest changes in the med guide is not to excessively focus on the risk but also talk about the balance of what these drugs are for, the risks obviously of feeling suicidal, and to make sure that people understand. And I know that it is a more complex task, but this isn't an easy goal to communicate. We are working. We continue to work with experts on how to communicate with patients and with physicians, and we hope to continue to improve the messages that we are getting across, the points we want to. Mr. Pallone. Thank you. The gentleman from Texas, Mr. Green. Mr. Green. Dr. Galson, thank you for being here and listening to all our opening statements before we could actually ask questions. It is correct that the FDA currently does not have the authority to grant conditional approval for a new drug application. Is that correct? Dr. Galson. Yes. Mr. Green. Can you comment on how the extension of your authority to implement a conditional approval process would offer the FDA additional tools to ensure that drug's safety. Dr. Galson. Well, that is something that would have to come from you all from Congress to do that. We are implementing a new pilot program, in the center to look back at drugs a year or 18 months after they are approved to see whether new information that has been developed about them changes the way that we balance benefit and risk and may require us to communicate about changes. Mr. Green. So would this stand in the place of a post- market study, or would it just be implemented a second way---- Dr. Galson. What this pilot project does is it takes the information that is available from the reports that have been submitted by companies from adverse event reports from any information that has been developed in literature, and it has us do an additional benefit/risk assessment to see whether there has been any change and to see whether there are changes that are required and how we communicate. If there is a post- marketing study that has to happen, it wouldn't influence that one way or another. Mr. Green. OK, in your testimony, you indicated that the responsibility for correcting many of the organizational problems has fallen on you and your position. Can you expand on your efforts to focus on the drug safety within the center, particularly what protections as the FDA put in place to ensure that any analysis of post-market data by the Office of Drug Safety is accepted and acted upon in a timely manner? Is there a process going on now? Dr. Galson. Yes, there is a process going on now, but as you have heard before, there is a challenge to making sure that the decisions that we come out with at the end of the day reflect the best possible input that we receive from people across the center. And what I have heard is that some people in the process sometimes feel undervalued. And my goal is to make sure that that doesn't happen, that we improve that situation, and that the people from all the different perspectives in the center have those perspectives considered. If there is a disagreement, it comes to light so that we can make sure that the more senior people are the people that have to make those decisions, can weigh the evidence on each side and come out with the right decision. Mr. Green. I think from our hearings in the Oversight and Investigations Subcommittee, that is what we are hearing, that there has been a discrepancy, and some of the FDA employees feel like that their statements or status wasn't considered. So I appreciate that. Let me ask you a specific issue. I am concerned about the safety of signing both the approval process and the post-market surveillance. On the approval side, there is an issue that has come up about safety issues and particularly surrounding RHLF, recombine human lacto-ferin, which has been widely studied for treatment of serious illnesses, including cancer. On the drug safety side, I think that is on the drug side, but I also understand there is a potential for using that as a food additive. And I have some concerns because the food additives are not as rigidly controlled as a pharmaceutical. Can you speak to that issue? Dr. Galson. Well, in general--and I don't want to refer to a specific product that is under review--but in general, of course, we don't want drugs to be put in food. And that would concern me a lot. This particular product is a natural product and, as you may recall a number of weeks ago, that the deputy commissioner, Dr. Woodcock, came and testified to you about follow on protein products. We have to make sure that if there are products entering the marketplace, they get the appropriate types of medical and other testing that are necessary to make sure that we understand well what the impacts are going to be. This sounds like it is a very complex regulatory matter between the food side and the drug side, and we will have to have our legal experts look into that and follow through on it. Mr. Green. But the concern is that using it as a food additive, the regulation and the oversight is much less as making that an actually prescription drug. Dr. Galson. Yes. Well, we have to follow our procedures, but just in general, as I said, the idea of a drug being in the food supply doesn't strike me as a great idea. Mr. Green. I agree, and that is my concern. Thank you, Mr. Chairman. I yield back my 6 seconds. Mr. Pallone. Thank you, and we have the other gentleman from Texas, Mr. Burgess. Mr. Burgess. Great, I will take the extra 6 seconds. Dr. Galson, Dr. Crosse, thank you both for being here with us. Dr. Galson, let me ask you, you mentioned in your testimony the importance about communicating and drug safety and the emerging data on drug safety. Do you get an annual report from a manufacturer every year on the anniversary date of introducing a new product? Dr. Galson. Yes, we do. Mr. Burgess. So we consider that post-marketing information? Dr. Galson. We get a huge amount of post-marketing information. Mr. Burgess. But that report on the anniversary date, would that be fair to call that post-marketing information? Dr. Galson. Of course. Mr. Burgess. So how do you utilize that? Dr. Galson. Well, we look at those reports. There is a specific requirement that companies let us know about any serious and unexpected adverse events. And those are the ones that we spend the most time looking at very carefully to make sure that what we aren't seeing is a new emerging kind of risk with the product that we wouldn't see before. So we look at those. We combine it with almost half a million adverse events reports that we get that come into our spontaneous reporting system, separately from that. And we have safety evaluators look at those data and then meet with other staff if there is a concern that is developing. Mr. Burgess. So you would regard this information as helpful? Dr. Galson. Yes. Mr. Burgess. And you have developed the computer algorithms and protocols to help you sift through all that voluminous information? Dr. Galson. We need to do a lot more in that regard, and we are moving forward but it is--yes. Mr. Burgess. Let us come back to that thought if we have time, but there is also a lot of information that is just out there in the--we might call open source information that is not necessarily the purview of the FDA or even necessarily the-- well, we could reference the CMS database, and I am sure NIH has their own databases and their private databases. Do you peruse those sources for information about products, particularly when something has come to your attention? Dr. Galson. We look at any available data. I do want to emphasize though that the number of staff that we have been able to devote to this activity traditionally has been limited by our resources, and that is why we have been working through the user fee program with Members of Congress to beef up in particular that part of our operations so---- Mr. Burgess. Since you brought that up, so how many FTEs do you devote to that? Can you tell us? Dr. Galson. Well, it is difficult to say but---- Mr. Burgess. Perhaps you can provide it after the fact--the number of people who are actively working on that and in an ideal perfect world what that number would be so this committee could perhaps deal with that---- Dr. Galson. We will get it to you. Mr. Burgess. The stuff that is it the open source, do you ever go out and purchase information from private sources? Dr. Galson. Yes, we do. Mr. Burgess. And is that important? Dr. Galson. Extremely important and will be more important in the future. Mr. Burgess. And does funding play a role there? Is price important? Is price a benefit for purchase of that private source information? Dr. Galson. Price has been important, so that is another way that I am looking forward to more progress. Mr. Burgess. Could you possibly again provide us with some actual data on the specifics of what we are talking about so we perhaps could make informed decisions? Dr. Galson. Yes. Mr. Burgess. And I know in the past, you brought up the question of tension. The folks that do the pre-market and the post-market testing and the tension that exists between them. Is any of this--and I worked in offices. I am well aware of the front office/back office tension that is going to occur. But is any of the tension related to any perceived financial impetus that is placed on either hastening the approval or strengthening the post-market surveillance? Does that enter into the equation at all? Is that something this committee needs to be concerned about? Dr. Galson. Well, I haven't seen any evidence---- Mr. Burgess. Well, let me change the context a little bit because it keeps coming up, and I think that it is a good idea. And I think it is something that we should continue to do, but this concept keeps coming up. It is fair to ask the question is this a problem? Is this entering into the tension equation that you referenced? And if so, could you help us quantify it? And could you help us by providing areas where--if that is an issue, and I don't know that it is--but if it is, how can it be mitigated? How can it be qualified? Dr. Galson. Yes, I may have misunderstood you. You mean the disparity in funding issue, but that is a factor if that is what you mean. I am not sure what you mean by financial. Mr. Burgess. The theme keeps recurring that there is a problem with how the FDA does its work because of undue influences that are placed on it by outside industry because of the funding mechanism, and I don't know. Is that the situation or not? Dr. Galson. I wanted to make sure I understood what you were saying. Mr. Burgess. Is that a source of the tension that you alluded to? Dr. Galson. I don't think so. There are 2,300 people in the drug center, and no matter which office they are in, they are very, very dedicated to doing the right thing for public health regardless of where their source of funding is. Individual drug reviewers don't know if their salary is coming from user fees or from appropriations. I haven't seen any evidence that that is a factor. Mr. Burgess. Thank you. That is a very direct answer, and I appreciate that. Mr. Chairman, I will yield back. Mr. Pallone. Thank you. Ms. Eshoo. Ms. Eshoo. Thank you, Mr. Chairman, and thank you, Drs. Galson and Crosse for your testimony and the answers that you have given to the questions that have been posed by my colleagues. I want to make a couple of comments before I ask my questions. Number 1, the whole issue of advertising, of drugs. I can't help but think it is kind of in the middle of this. I mean the heavier something is marketed, the more pressure there is to buy, and obviously, this pipeline to examine and for efficacy and then the pressure that I think justifiably is brought on the Congress and the agency for post-market surveillance. For the life of me, I really don't know what good advertising has done except for, I mean for corporate reasons to market. And I can't help but think that we should revisit this. We should take a look at this and not only examine, in my view, the genesis but all the issues that surround it. To see someone skipping through a meadow, and the tagline being buy such and such a product. I remember my mother used to say, ``what is it that they are advertising here?'' So I think that we should take a look at that. It is curious to me of the whole issue of reimportation being raised by Members here. I have always thought that it was a very important issue, and there is the bastardization of drugs by others and the attempt to bring them into the country. But I also think it is a political curiosity about what the Congress did in the name of trying to save money to bring other drugs into the country. I never thought that was a good policy. I didn't support it. I don't support it now, and I think that we have our hands full because there is more and more coming into the country. And we have to take a look at what to do with it. Now, my questions. In your testimony, Dr. Crosse, you found that FDA's access to post-market clinical trial and observational data is limited by both resources and by authority. This is a softball issue, but do you think that the FDA should have such an authority? Ms. Crosse. Yes, we do. We have recommended to Congress to do that. Ms. Eshoo. Right. Now, would the administration's PDUFA for a proposal include this authority, and specifically what types of post-market observational and clinical studies will FDA be permitted to exercise under the administration's plan? Dr. Galson. Right, in our PDUFA proposal and in the legislation that is on the Hill, we will get important new sources of resources---- Ms. Eshoo. Does the Waxman-Markey legislation match what the administration has proposed? Dr. Galson. I don't believe it does. Ms. Eshoo. It doesn't? Dr. Galson. Yes, I am not an expert. Ms. Eshoo. OK. One, I think, is stronger than the other? Dr. Galson. I believe so, yes. Ms. Eshoo. OK, so it is Waxman-Markey that is the stronger of the two. I think we should know that. I mean in my view it is. Do you agree? Dr. Galson. It depends which provision specifically you are talking about here. Ms. Eshoo. Well, overall, is it weaker or is it stronger? Dr. Galson. I don't like that characterization. Ms. Eshoo. OK, I think we know what the answer is here. All right. Now, thank you. I want to go to something that I feel strongly about, and that is health information technology. Your testimony, Dr. Galson, indicates that an additional $4 million is adequate to upgrade FDA's current drug review system. Is it really? I mean what is an additional $4 million going to buy? And how long will it take to go to full implementation? This is about, my colleagues, I think this is about expeditious review. I mean I don't know. Someone is sitting in a back room and going through this sheet by sheet. Or is it all part of a technology system? First of all, what is the $4 million going to buy? Is it really enough, and how soon does that get the agency to full implementation? Dr. Galson. We are in the middle of a very rapid transformation from a paper environment to--there are some areas, depending on what you are talking about, where the technology is there. Ms. Eshoo. Help us. We want to help you accomplish this. So what is the $4 million going to buy? Dr. Galson. The $4 million is helping us move from a paper system to an electronic system. Ms. Eshoo. How much of the system is still paper, using percentages? Dr. Galson. A lot of it is still paper. Ms. Eshoo. But give me--come on. Dr. Galson. I think we are getting about half of all our applications in by paper, but again that is from the pharmaceutical industry. We need to get there faster. Ms. Eshoo. I think we need to revisit this, and I think that you are tremendously low balling the amount of money that needs to be invested in this. We should really take a look at it. You tell us what you need to move to full implementation and over what period of time. $4 million, my sense is, represents snail's pace. Dr. Galson. We will be happy to get you there. Ms. Eshoo. OK, good. Thank you, Mr. Chairman. Mr. Pallone. Thank you. Mr. Murphy. Mr. Murphy. Thank you, Mr. Chairman. Doctor and Doctor, I don't know if you heard some of my opening comments about my concerns about the breadth of the kind of warnings and comments made when FDA approves a product. That currently it is one that focuses, I think, a lot of the other reactions and things, but part of my concern as a psychologist, at least when it comes to psychiatric medications, particularly pediatric ones, that I am concerned that 75 percent of drugs are prescribed by non- psychiatrists and that oftentimes there may not be coordination with other people providing consultation with the family and therapy, et cetera. What kind of actions does and can the FDA do to make sure that the proper use of the medications and not just prescribing them is part of the plan? Dr. Galson. Right. We, as you know, we don't regulate the practice of medicine. So what goes on in the prescribing room and all sorts of other questions having to do with the way physicians work is not under our purview. But what we do do and what we are very, very committed in is making sure that physicians have the best possible information as quickly as possible when we develop new recommendations or new views about safety and efficacy, the benefit and risk of products. And we see our role here in making sure that the information accompanying products, the information that is available to the public, is as accurate as possible. We also work with professional organizations, the people who provide different, some specialty organizations. When there are issues, we bring them in. We talk to them, so that is the way that we work with the medical community, but we don't actually have regulatory authority over that operation. Mr. Murphy. Dr. Crosse, do you have some comments on that? Ms. Crosse. No, we are well aware that this is an issue for the FDA and that many of the problems that have arisen with drugs and some of the post-marketing safety concerns that have arisen have been in instances where medications have been prescribed that are not in accordance with the label indications or for populations for whom they are not indicated. And FDA, in a number of instances, has taken additional steps to try to add warnings to the labels of those drugs to try to put out information to the public and to try to put on some other kinds of controls on who can prescribe these medications. But it remains a problem of great concern. Mr. Murphy. Certainly, Dr. Crosse, you are involved with some of the labels and some of the information that goes to physicians on things even though you can't regulate them and tell them who has to do it. When it comes to some of these psychotropic medications, however, what kind of commentary goes into the warnings, et cetera, with regard to, I guess, the pool of knowledge someone should have or that medications should be used in conjunction with other types of treatment. Dr. Galson. Well, we have a team of people who are experts and psychiatrists who look specifically at the labeling and the information that we provide to the public about that kind of medication, as we do oncologists for cancer drugs. And we get together, and for a new drug, we look at the information that is available from the clinical trials. And we determine the best way to communicate about that, having to do with the dose, having to do with contraindications, other types of warnings or precautions, concomitant diseases that may affect the use of the drug. And we endeavor to make sure that all that information is put together in the drug label, and if there are special ways that that has to be communicated, we will get together and discuss that as well. Mr. Murphy. But is it done, again the psychotropic medications, where it is described that the medication--the volumes of research indicate it should be done, provided, in the context of a sort of structurally trained psychotherapy and monitoring these cases, No. 1. The second issue is that in many cases, I don't know if these drugs are really evaluated on a pediatric population. What is done to communicate those issues of the full spectrum of treatment under which these medications seem to work best? Dr. Galson. Our authority doesn't, in most cases, extend to some of the things that you are mentioning. When we do think that there is a drug that has such severe risks that we think that only a physician with a certain kind of training should give it. Or there is a drug, for example, that has risks that we think it should only be administered in a hospital, we can require that. Mr. Murphy. Well, I am not saying just in terms of who prescribed it, but also other components of therapy that go with that. Many medications may have other side effects. Take insulin for diabetics. It is not enough just to say here is the insulin, but it should be used in accordance with a strict dietary and exercise information. Dr. Galson. We can put that information in our labels, and we do all the time. Mr. Murphy. I am not sure that is done adequately when it comes to psychiatric medications, especially when it comes to recognizing a lot of these medications have not really run through proper trials on a pediatric population. Dr. Galson. Right. We have under our authorities to require and to urge that studies be done in pediatric populations. We have succeeded in having more of the studies looked at for younger age groups, but there is no question this is a challenge. Mr. Murphy. I would hope, Mr. Chairman, as we pursue this because our culture is becoming so much giving kids drugs, and it is amazing how many youth are given drugs for psychiatric reasons to quiet them down, to stabilize them. And the almost explosion of diagnosing these things. I really hope this is an area that you continue to investigate. Thank you very much. Mr. Pallone. I appreciate your comments. I agree with you. I recognize the gentleman from Massachusetts, Mr. Markey. Mr. Markey. Thank you, Mr. Chairman, and again I appreciate your giving me this opportunity. Mr. Galson, Mr. Waxman and I have introduced the House counterpart to the Kennedy-Enzi drug safety legislation, which includes many of the recommendations of the Institute of Medicine and GAO. And we are hopeful that it will be included as part of PDUFA reauthorization on the House side. So Dr. Galson, if I may, my wife is a doctor. So I apologize for calling you mister. Dr. Galson. I am a doctor. Mr. Markey. Doctor, yes, I apologize. Let me begin with you. In response to Chairman Pallone's questions about clinical trials, you stated that there has been tremendous improvement in registration of clinical trials. However, companies aren't in 100 percent compliance with registration of required trials. Is that correct? Dr. Galson. I am not sure that is exactly what--you are quoting my response from just a few minutes ago? Mr. Markey. Yes, they are not in 100 percent compliance. Dr. Galson. I would have to look specifically at the rules. What I believe I was trying to convey is that not all the detailed information that some people think should be put on public databases, going down to patient-level data, is on there. I am not aware of compliance issues. Mr. Markey. OK, would you agree that if registration is not mandatory and the FDA does not have any enforcement mechanisms to require registration, that we will never get 100 percent compliance? Dr. Galson. I don't know really and wouldn't want to speculate. Mr. Markey. And I appreciate that. Dr. Galson. Yes. Mr. Markey. If we are trying to ensure that we know about all of the trials that have been conducted on a product after phase one and eliminate the problem of selective disclosure of trial results, which can give the public a distorted view of the risk of benefits of the drug getting most of the trials doesn't really fix the problem because the trials the companies are registering may be the most important for the public to know about. By only selecting the answers that you want to give, the public might be denied information that could be useful, or the physicians could be denied the information. Do you agree with that? Dr. Galson. I agree that it is very, very important when there is a marketed product, if there is a clinical trial that is done that is relevant to patient care and drug safety, that it is important that the information that could have an impact on whether patients and physicians want to use a drug, that that be available. Mr. Markey. OK. And, Dr. Galson, some people have raised the concern that emphasizing post-market safety could slow down the approval process. However, it would seem to me that if FDA is confident in its ability to detect and manage problems after approval, then the FDA should actually be able to approve the drugs faster even if there are some lingering questions about the safety preapproval because there will be a strong system to monitor and invest those issues, if necessary, after the drug is on the market. Do you agree that having a stronger post-market safety system, a safety net if you will, is important to giving the FDA the confidence that they don't have to catch everything pre-approval because the approval is not the last chance to address the safety issues. Dr. Galson. That is a complex, multi-part question. Let me just say starting that it is not possible to catch everything with the current state of knowledge. If we want new products for patients who need them, we are going to sometimes find out things after approval that we didn't know when the drugs were approved. Mr. Markey. So the point I am making is don't you think a stronger post-market safety system would give people more confidence? Dr. Galson. Yes, I am a very strong supporter of a stronger post-market safety system. Mr. Markey. OK, Dr. Crosse, in your testimony, you described some major gaps that currently exists in the FDA's post-market safety net system. In his statement, Dr. Galson testified that the FDA's PDUFA proposals will transform the drug safety system at FDA. Do you believe that additional resources for post-market safety without additional authority to require post-market studies and changes is enough to transform the post-market drug safety program in FDA? Ms. Crosse. We believe that additional authority is warranted for FDA to give them all the tools that they need to be able to effectively oversee this process. Mr. Markey. How does FDA's current lack of authority to require post-market studies affect the FDA's ability to assess safety problems after a drug is on the market? Ms. Crosse. I think it complicates and slows the availability of information that is needed to be able to fully understand certain types of problems. Absent certain types of information, the agency often cannot make a determination quickly or possibly even at all about what kind of action ought to be taken. Mr. Markey. I thank you. I think of it as a trainer for tightrope walkers. Before the walker steps off the platform, the FDA is in a strong position to make sure the walker will succeed by requiring a harness, if necessary. But once the drug is approved and the walker leaves the platform, the FDA can do little to require protections if companies don't want to accept them. Knowing this, the FDA is unlikely to let products go if felt a little wobbly. However, if the FDA had a strong safety net in place to catch problems and prevent a major crash, the FDA is more likely to feel comfortable in getting products to patients who need them. That is what the Waxman-Markey safety bill would do. It would create a strong but flexible drug safety net, and it is something that, I believe, at the end of the day is actually essential to having a good drug approval system. I thank the chairman for allowing me that little extra time. Mr. Pallone. Thank you, Mr. Markey. That concludes our questions, and thank you both for being here today. I thought it was a very good questions-and-answers series. Let me just say though that we are going to take a break before the second panel goes in. We have 11 minutes left on one vote, and then there will be three 5-minute votes after that. So figure about half an hour we will be back and start with the second panel. But we are now in recess. Thank you. [Recess.] Mr. Pallone. The subcommittee hearing will reconvene, and I will ask the panelists to come forward and sit down. Welcome to all of you. Let me introduce each of you actually. We have a pretty large panel here today. We will start on my left with someone from New Jersey, Lisa Van Syckel, who is from Flemington, New Jersey. We are going to have a video that she has brought us. And then we have Dr. Ellen Sigal, who is chairperson and founder of the Friends of Cancer Research. And Dr. Susan Ellenberg from the University of Pennsylvania School of Medicine. She is speaking at the request for the Coalition for a Stronger FDA. Dr. Caroline Loew, who is senior vice-president for scientific and regulatory affairs of the Pharmaceutical Research and Manufacturers of America. Diane Thompson, who is vice-president for Public Policy and Communications at the Elizabeth Glaser Pediatric AIDS Foundation. She is speaking on behalf of the Alliance for Drug Safety and Access. John Theriault, chief security officer and vice president, global security at Pfizer. Dr. Sharon Levine, associate executive director for the Permanente Medical Group, speaking on behalf of the Kaiser Permanente Medical Care Program. And Dr. John Powers, who is assistant professor of medicine at George Washington University School of Medicine, and I guess also at the University of Maryland School of Medicine. So thank you all for being here today. We are going to start with Ms. Van Syckel, and does the video go first, or how does that work? We will do the video first? Now, we were going to try to put it on the big screen, but it didn't work. So we are using the TV. Thank you. [Video shown.] Mr. Pallone. First of all, let me thank you for being here and for bringing us the video and relating your own story of your daughter. I know it has got to be tough, but we really appreciate your being here. STATEMENT OF LISA VAN SYCKEL, FLEMINGTON, NJ Ms. Van Syckel. Yes, it is very tough, and I just want to make sure that no family ever has to endure what our family endured. The FDA and pharmaceutical industry continues to downplay the risks of antidepressants in children. They have gone from causal low to increased risk and to most recently the Johns study, saying that the benefits of antidepressants outweigh the risks. When we hear about increased suicide within the media, they think that it is something that is very quiet. And that is why I thought it was important to come and play the tape so Congress can actually see it for themselves, hear about it, because it is a violent suicide. It is not something quiet, and I think it is very disturbing for this FDA to allow the pharmaceutical industry to negotiate the labels that are placed on antidepressant medications. They should never be allowed to negotiate the lives of our children, and I think that is what the very important issue here is. And, Mr. Chairman, we have another serious concern, especially in the State of New Jersey where infants are being given antidepressant medications, not only antidepressants but antipsychotics to medicate children as young as infants, 12 months. And we need to ask why. So with the FDA and their failure to provide the medication guides, which is an issue I have been speaking with Mr. Ferguson, it is quite clear that the FDA is incapable of doing their job and notifying the public of severe side effects. And I am begging you, as parents from the State of New Jersey, from district 6 and district 7, because I represent all of New Jersey, we need an independent office of drug safety. We need better control of direct consumer marketing, and we need a better med watch program. I want to give you an example. My brother had a severe condition and was critical, and a nurse had stated to me--I said ``well, what about the side effects.'' And it was the particular drug Zocor. And she says you can actually get the side effects from the television, from the commercial. And I said to the nurse you are telling me, as a caregiver, that I should look to the television, to a commercial for side effects. That was ridiculous, and I said I think you are saying that to the wrong person. So I am really concerned as to the direct consumer marketing. I realize they have a right to free speech, but medical professionals should not be telling patients to watch it on TV. [The prepared statement of Ms. Van Syckel follows:] Statement of Lisa Van Syckel Mr. Chairman, members of the committee, thank you very much for inviting me to testify at today's important hearing. I would like you to hear how corporate greed, our woefully inadequate mental health system and over-reliance on pharma- psychiatry, and the little pink pill, Paxil, have forever altered the life of my most precious gift from God, my daughter Michelle. Michelle was raised in a loving, stable home in the small town of Dunellen where she participated in many community events and was proud to be a girl scout. In 1995 American Standard transferred my husband to their European Division in Brussels, Belgium. Michelle, who had always been an honor roll student, attended St. John's International School in Waterloo. Michelle traveled and explored many European countries. She became fluent in the French language. Our family returned to the United States in the summer of 1999. Our life, as we once knew it, would change dramatically. Michelle began complaining of ill health and missed her friends in Belgium. She was also upset over the declining health of her grandmother. In April 2000 Michelle continued to complain of ill health, she was losing weight and had stopped eating. She was admitted to Somerset (New Jersey) Medical Center's eating disorder unit, where she was diagnosed with depression and anorexia nervosa and was prescribed the antidepressant Zoloft. Within hours of digesting Zoloft, she reported to hospital staff that she had the urge to hurt and cut herself and two days later, again reported she was uncomfortable taking the medication. Her complaints were dismissed. Several weeks later, Zoloft was discontinued due to dramatic orthostatic changes and bradycardia. (very slow heart beat). Michelle became very hyperactive and was diagnosed with a personality disorder. No one apprised me of what was happening to her. She was fourteen; I should have been informed. In June 2000 Michelle was placed on Paxil. Within a few weeks she began to self-mutilate with knives, razors and broken plastic CD cases. She became verbally abusive and was displaying extreme oppositional behavior, along with severe insomnia, diarrhea, chest pain, weak muscles, and on a few occasions vomited blood and had rectal bleeding. In August 2000 the Paxil was increased to 40 mg along with a diagnosis of major depressive disorder with psychotic features. In September Michelle's self mutilating behavior was increasing. During one episode, she had inflicted over 23 wounds and cut the word ``die'' onto her abdomen. She became violent and suicidal and was hospitalized because she was deemed to be a danger to herself and others. Her Paxil was reduced from 40 to 20 mg and Depakote was prescribed. On October 6, 2000 my daughter Michelle attempted suicide and became extremely violent. She assaulted her brother as he was desperately trying to keep her from killing herself. He was just 4 days shy of his 12th birthday. She then viciously attacked three police officers and managed to escape from her handcuffs twice. She was kicking, spitting and screaming obscenities. She even attempted to kick out the rear window of the patrol car. When they arrived at the hospital, it took five men to place her in leather humane restraints. The next day Michelle awoke dystonic and unaware of her surroundings. Again, she became violent and had to be restrained. Michelle was transferred to UMDNJ Behavioral Health. Paxil was discontinued, but she was then prescribed Celexa and Risperdal (what I didn't know then, but have since learned, was that Michelle was placed in a clinical trial of these drugs without my knowledge or consent). Within 36 hours, Michelle again became violent and self mutilated. She was injected with Thorazine for her out-of-control behavior. Approximately two weeks later, she was released from UMDNJ with a 3-day supply of medication (what I know now and didn't know then, was that this was a very dangerous thing to do). In an abrupt withdrawal, Michelle again became violent and threatened to kill me. She thought I was the devil and told me I was evil. In April 2001 Michelle was removed from all psychotropic medication. Recovery was a long, tedious process. Everything Michelle endured while on the drugs was suffered through the withdrawal process. Michelle's Paxil-induced psychosis, self-mutilation, violent, and suicidal behavior are gone now. What remains upsetting is that the physical scars of her self mutilation will be with her forever. Michelle's beautiful smile and sweet disposition were returned. Michelle never had violent and suicidal behavior prior to taking antidepressants, nor displayed this behavior after recovering from withdrawal. I believe, without question, drug companies and their apologists are putting a great deal of pressure on the FDA. Despite all of the controversy and exposed failures surrounding the FDA in the last few years, it appears that the FDA simply cannot muster the guts to act without industry influence. Absent this influence, there would be no reason why the FDA wouldn't insist on label warnings for all ages on anti- depressants. No doubt drug companies are a formidable force, but the FDA must remember whose interests it is supposed to protect. If it does not, the representatives of the people, Congress, will have to step in and do it for them. I would like to show you about a minute and half of a video of Michelle and other families' children who have suffered because the FDA failed to better warn the public about dangerous side effects. Legislative Suggestions So that other families are saved from the tragedy and heartbreak that my family and other families in this hearing room have endured, I urge you to approve--as part of the must- pass user fee legislation--the strongest possible FDA drug safety reform legislation. PDUFA: Break the ties that are distorting the FDA's mission. First, on the extension of the Prescription Drug User Fee Act (PDUFA IV), I know that the FDA needs the resources, and more, that the user fees bring. The user fees need to be continued, and expanded to provide more resources for safety. But under the current law, the industry's user fee money comes with a huge cost. It comes with detailed requirements to serve the drug industry--and that is a cancer that is eating at the culture and integrity, both real and perceived, of the FDA. If anyone doubts that the user fees are having a corrupting influence on the culture of the FDA, I urge them to read last summer's poll by the Union of Concerned Scientists, to which about 1000 of the FDA's medical scientists responded. Many poured out their frustration at being pressured to approve drugs on which they had serious safety concerns, and a number cited PDUFA as an inherent conflict of interest. A recent study by a group of Harvard researchers has found that drugs approved just in time to meet the PDUFA time goals have many more post- market safety problems than drugs which receive more review time. An earlier study by Harvard Professor Daniel Carpenter pointed out that the FDA's time-to-approve drugs was declining in the years before PDUFA's first passage in 1992; the study found that the FDA staff was being increased through regular appropriations, and that every 100 person increase in staff was resulting in a 3.3 month decline in approval times. I think this study shows that while the FDA does need more resources, it does not need the rigid framework of PDUFA. This committee is famous for its tough oversight. I am sure that you can make sure that the user fee money is well spent and that the FDA continues to give priority, timely attention to truly life-saving drugs. Therefore, I urge you to break the entangling webs of obligations that come with the user fees and just let the FDA use the fee money to do its job. Congressman Hinchey has previously introduced legislation that would achieve this reform. Kennedy-Enzi (S. 1082), and Waxman-Markey (H.R. 1561) The bill the Senate is passing makes important improvements for safety. And in many ways, the bill by Representatives Waxman and Markey is even better, because it <bullet> requires a warning signal for the first 2 years a drug is on the market (an important fact for consumers, since the real test of a drug's safety comes once it is mass marketed and used by the general population); <bullet> requires a review of a drug's safety history after 7 years (important because only about half of a drug's side effects and labeling changes are detected in the first 7 years it is on the market); <bullet> provides much more meaningful civil monetary penalties than the Senate bill; <bullet> protects the public from overuse of particularly dangerous drugs by limiting direct-to-consumer ads for up to three years; the First Amendment does not give the drug companies the right to kill Americans, and moderation of ads on a new drug with serious warning signs of danger should be one of the FDA's tools; <bullet> ensures that the results of all clinical trials (other than phase 1 trials) will be made publicly available in a timely manner. To save other families from future drug safety disasters, I urge you to take this best opportunity in the next five years to pass this kind of legislation, and I urge that it be made even stronger. We need a better Adverse Event/MedWatch Reporting system. The Senate bill includes a major new monitoring of huge medical databases to detect quickly problems with drugs. It is said that the problems with Vioxx might have been detected in about 3 months under such a system. But I believe we also need to educate and involve the American consumer more in reporting adverse events. Today, the average citizen has no idea how or where to report a problem with a drug. I urge you to require all drug ads to prominently display a 1-800 number where problems can be reported. The FDA should also start using the tools of the Internet and e-mail to, with patients' permission, periodically query people who are taking a new drug whether they notice any adverse reactions. Instead of passively waiting for reports of trouble, a modern FDA should be seeking out the areas of danger. We need someone responsible and accountable for safety at the FDA. I support a separate Office of Drug Safety in the FDA, one that will be free of the control and overwhelming presence of the Office of New Drugs. The FDA Commissioner and many others have said that a separate office would be duplicative, expensive, and hold up approvals. If that is a problem, the same goal of accountability for safety could be achieved by giving the head of the Office of Drug Safety the power to call for a safety action (a REMS adjustment in HR 1561). If the head of the Office of New Drugs disagreed, the Commissioner would decide between them, all within a week or so (so that there can be no charge that we are delaying the approval of vital new drugs). There needs to be a locus of safety accountability in the FDA. This proposal, or a wholly separate office, would achieve that goal. No Conflicts of Interest (COI) in FDA Advisory Committees. The FDA recently announced guidance that makes major improvements in the Advisory Committee (AC) process: no participation in an AC if one has over $50,000 in conflicts, and participation in the AC, but no vote if one has any conflict. I hope you will codify the FDA's action, but go beyond it by requiring the active recruitment of COI-free experts, and prohibiting those with conflicts from sitting with the AC (they can testify, but they should not be part of the camaraderie-building AC process where they can influence outcomes even though they can not vote). Thank you for your consideration of these legislative ideas. If enacted, you could give the American people the FDA they need and deserve. ---------- Mr. Pallone. Thank you. And we are going to ask you some questions later, but thank you for being here today. I appreciate it. Dr. Sigal. STATEMENT OF ELLEN SIGAL, CHAIRPERSON AND FOUNDER, FRIENDS OF CANCER RESEARCH Ms. Sigal. Thank you, Mr. Chairman, members of the committee. Thank you for the opportunity to testify today about drug safety. It is an extremely important issue. My name is Ellen Sigal. I am chair of Friends for Cancer Research. Friends is a coalition of all of the major groups in cancer research. Our mission is the importance of cancer research. We represent patients, scientists, clinicians, cancer center directors, and we care deeply about research. The issue of drug safety is very personal to me. My own sister died 21 years ago of toxicity of a drug for breast cancer. So I know personally what this means. She left a 4- year-old child. So this is a very important issue to me and to all of us. My testimony will cover four major points today that are extremely important to the patient community and the science community. Patients needs for life-improving therapies and a crucial pipeline and access to drugs, providing additional resources for FDA--you have heard that before, and you have heard it here again--establishing a systematic routine and easily accessible safety monitoring system, and finally integrating science into the regulatory process, the critical path initiative and the proposed FDA foundation. I also do want to point out that the president of Friends, Molly Mallick, is here today, and I thank her for coming here and supporting us. Millions of other people have shared my experience and care deeply about this issue of drug safety, just as Ms. Van Syckel and others that you will hear today. So this is a concern that the patient community cares about deeply. I am going to read a quote from Meryl Wineberg, who is the chair of the National Health Counsel. ``Speaking on behalf of 100 million Americans with chronic conditions and disabilities, it is equally important that patients whose quality of life or indeed life itself are not deprived of the medications they need.'' I did have other testimony for the record from the American Cancer Society and other patient groups. When the issue of drug safety was surfacing and it was clear there were going to be hearings and legislation about it--we are very research oriented at Friends of Cancer Research, and we convened a group of experts in cancer and outside of cancer, clinicians, scientists, epidemiologists, patients, to look at the issue because we wanted to have an informed position on this. And we wanted to make sure that we looked at the position from a scientific point of view. We are science oriented, and we thought it was important to have clinicians, people that actually treat patients, weighing in on this issue. Our major recommendations--the White Paper is drug safety and drug efficacy. I would like it to be submitted to the record. Thank you. The paper highlights three major areas: active surveillance, systems of the life cycle of a drug. We don't have all the information up front in preclincal environment. We really find most of it in post-surveillance. Resources for the FDA and training, training for FDA personnel. That is absolutely critical. The integration of science through critical path, and the public/private partnerships. We can't, as much as we need to fund FDA, and we support substantial increased funding, partnerships through this critical path initiative and this hopefully relief from foundation will be critical to it. We also think that we have to use existing networks, such as the VA, Kaiser, Blue Cross and others. The database and the information they have are critical. I want to read a quote from the recent IOM report. The recent IOM report on drug safety states ``to expect a pre-market studies or FDA review of these studies can reveal all the information about the risks and benefits of new drugs that is needed to make optimal treatment decisions with occasion and reasonable delay in approval.'' Authority is fine for the FDA. We support additional authorities. We do not support those authorities without the resources crucial to make these informed decisions. FDA is a chronically underfunded agency that is continually assigned more responsibilities without matching resources. It is unreasonable to starve an agency of the resources it needs yet hold it solely accountable for protecting the health of Americans. One thousand five hundred people a day die of cancer. Four thousand will be diagnosed today. They cannot afford to wait. They need new treatments. Other patients with chronic diseases need treatments too. They deserve better treatments and more informed treatments. They should be safe, and they should be effective. The pipeline for these new patients is critical. They must be informed and must have choices, and allow them to participate in the process. Patients are crucial to the process. Patient needs are not monolithic, nor do all patients respond the same to a particular treatment. Only science and evaluation of patients will really make us understand that and why that happens. In conclusion, we remain extremely supportive of the goal to improve our drug safety system, and we believe that we can best achieve this goal through a science-based approach, taking into full account the voice and perspective of patients. We applaud the committee for holding these hearings, and we welcome further thoughtful policy discussions. Thank you. [The prepare statement of Ms. Sigal follows:] Statement of Ellen V. Sigal Mr. Chairman and distinguished members of the committee, I thank you for the opportunity to discuss the important topics of drug safety and efficacy as the committee begins to take important steps to strengthen FDA as part of the upcoming reauthorization of the Prescription Drug User Fee Act. My name is Ellen Sigal, and I am the Chair and founder of Friends of Cancer Research. Friends is a non-profit organization that over the past 10 years has pioneered innovative public-private partnerships, organized critical policy forums, educated the public, and brought together key communities to develop collaborative strategies in the field of cancer research. We are a coalition of major cancer groups representing patients, researchers, physicians, and survivors. It is our belief that a science-guided approach will best enable us to improve drug safety and efficacy in this country. We urge this committee and Congress to pursue a legislative course that provides FDA with the resources it needs to conduct systematic risk assessment across a drug's lifespan while protecting patients' access to needed treatments. Specifically, we believe that any legislative approach to strengthening FDA must give priority consideration to: <bullet> Patient need for life-improving therapies <bullet> Providing additional resources for FDA <bullet> Establishing a systematic, routine and easily accessible safety monitoring system <bullet> Integrating science into the regulatory process through the Critical Path Initiative and the proposed FDA Foundation We all want the safest possible drugs. But we recognize that no drug is 100 percent safe or 100 percent effective. We also realize that each patient responds differently to medication. Like the patients I speak on behalf of, and many of you in this room today, I have encountered this reality in a very personal way. Twenty years ago, my own sister died of toxicity associated with a bone marrow transplant to treat metastastic breast cancer. She was 40 years old and left behind a 4-year-old daughter. This was a tragic event that clearly changed my life. While I hope that no one would have to go through such an event themselves or with their loved ones, this was a risk that we knowingly accepted based upon what was best for my sister at the time. As emotional as my experience was, I recognize that emotions cannot be the guiding force behind decisions about what treatments should and should not be available to patients. We believe that a science-driven approach to drug development and approval will help to ensure that each person receives the treatment that is most likely to be effective and safe for them. In examining treatment options, all patients must weigh the benefits and risks when determining their own course of treatment. Legislation aimed at strengthening drug safety must take care to preserve patients' access to a wide array of treatment options while not impinging on the development of new treatment options or removing existing options for patients in need--bearing in mind that for many diseases, including many cancers--patients still have few or no treatment options available to them at all. We are confident that increased funding for FDA and policy that is grounded in science can achieve an optimal balance between protecting patients and expanding treatment options. A benefit-risk approach conducted across a product life cycle-- guided by sound and systematic data collection and careful, regular assessment of a drug's safety and efficacy across subpopulations, dosage levels, and other factors--is the cornerstone of drug development and should be the foundation of drug regulation. In any treatment decision, consideration must be given to the condition the drug is meant to treat as well as to the extent of the patient's disease, its duration and its impact on the patient's functional status and quality of life. Depending on the particular illness, drugs can potentially be designed for and used at a specific point in the continuum of disease from prevention to terminal illness. Patients' needs are not monolithic, nor do all patients respond the same to a particular treatment. Legislation should acknowledge the great variability across diseases, patient preferences, and individual circumstances and facilitate continued access to a wide array of treatment options accordingly. Indeed, across the board, one need stands paramount for patients--it is the need for more and better options to fight disease and improve disability. We believe that any legislative initiative that limits patient choice and access to treatments in the name of safety would be counterproductive and not achieve the goal of improving patient outcomes. As this committee considers ways to enhance the FDA's ability to monitor drug safety to help patients make the most informed decisions about their treatment options, it is of the utmost importance that patient needs and voices be at the forefront of discussions and that all decisions pertaining to drug safety be driven by sound scientific data. Dr. Jerry Yates, National Vice President of Research for the American Cancer Society, describes a scientific foundation for FDA: ``Based on the course of cancer--from prevention to terminal illness--improving the science of safety will help identify the proper balance between risk and benefit for each stage of the disease and assure optimal investments in both cancer research and the care of patients.'' This issue, of course, impacts not only the cancer community, but the entire patient community as well. For example, Myrl Weinberg, president of the National Health Council, expresses her community's needs: ``Of course, prescription drug safety is of paramount importance, and--appropriate measures should be taken to ensure the public is not unnecessarily exposed to--potential harm. However, speaking on behalf of 100 million Americans with chronic conditions and disabilities, it is equally important that patients--whose quality of life,--or indeed life itself-- are not deprived of the medications they need.'' Lauren Roberts, a multiple sclerosis (MS) patient who was directly affected by the temporary removal of Tysabri from the market, described her experience by saying: ``MS progresses on its own timetable, not the FDA's. In the course of 90 days, there will be, on average, 2,160 more people who hear the words, ``You have multiple sclerosis.'' My own MS continues to ravage my body--Tysabri was the first and only therapy that helped me--the small risk from Tysabri pales in comparison to the risks created by not having Tysabri available to us as a choice--As for me, I am willing to take that risk, in exchange for having an improved quality of life, my life, back.\1\ --------------------------------------------------------------------------- 1 Roberts, Lauren. Multiple Sclerosis Patients v. FDA Over-Caution. Washington Legal Foundation. May 19, 2006 --------------------------------------------------------------------------- FDA must have the best tools to make these important assessments and effectively communicate with physicians and patients as they together make individual treatment decisions. New policy to expand the authority of FDA alone will not sufficiently strengthen the agency. Simply put, FDA needs more dollars from Congress. This is a chronically under funded agency that is continually assigned more responsibilities without matching resources. It is unreasonable to starve an agency of the resources it needs, yet hold it solely accountable for protecting the health of Americans. Now, in a time when public perception is declining, user fees are not the best answer. Due to the current budget climate, user fees are a reality, but a strong FDA is an investment in patient and public health. Congress should find the money to invest. Drug Safety & Drug Efficacy: Two Sides of the Same Coin Several months ago, we convened an independent committee of expert academic scientists and clinicians, research advocates, and representatives of the patient community to examine and recommend ways to further strengthen the agency and its product evaluation process. It is extremely important that the patient voice be heard along with the perspective of expert clinicians experienced in clinical trial design and translational research. The members of this committee are distinguished experts in diseases such as cancer, infectious disease, and diabetes. They are experts in drug development but also have first hand knowledge in patient care and patient needs. This is a vital perspective that cannot be excluded from the drug safety debate. I would like to thank Dr. Robert Young, president of the Fox Chase Cancer Center in Philadelphia and chairman of the board of Scientific Advisors of the National Cancer Institute, for his leadership of the authoring committee. The resulting document, entitled, ``Drug Safety & Drug Efficacy: Two Sides of the Same Coin'' is a proposal for improving drug safety, ensuring new drug access, and strengthening the FDA. I would like to ask that a copy of the full report be submitted to the record as an addendum to my testimony, and I would like to briefly discuss some of the recommendations. A Systematic Approach to Safety Surveillance It is most important for patients that FDA continuously evaluate both safety and efficacy when determining public access to new products. At the level of medical practice, safety and efficacy are always considered together by the treating healthcare professional in the context of a patient's specific circumstances and preferences. The regulatory process should reflect this essential balance that is fundamental to all medical decision-making. Because it is impossible to know everything about a drug at the time of approval, it is important to monitor the safety and effectiveness of drugs as they are used in the general population. To strengthen the effectiveness of the current post-market system, the agency needs to develop and implement a more systematic and automated approach to safety surveillance. By utilizing drug safety and efficacy information from a variety of sources, such as established healthcare networks like Kaiser or UnitedHealth Group, the FDA could actively identify, evaluate and respond to signals more efficiently. New policy should shift the emphasis of drug safety away from solely risk management, and instead focus upon systematic benefit-risk assessment based on comprehensive and valid information provided by the healthcare community. Currently, a great deal of drug safety evaluation is based upon the limited data available in the New Drug Application. A locked focus on safety at this early point in a drug's life cycle would increase the amount of pre-market data required, with the likely result of stifling or unnecessarily slowing patients' access to potentially beneficial medicine. The recent IOM report on drug safety states, ``to expect that pre-market studies or FDA review of these studies can reveal all the information about the risks and benefits of new drugs that is needed to make optimal treatment decisions would occasion unreasonable delay in approval.'' \2\ --------------------------------------------------------------------------- 2 Institute of Medicine of the National Academies. ``The Future of Drug Safety: Promoting and Protecting the Health of the Public'' Sept. 26, 2006. --------------------------------------------------------------------------- It would be far better to utilize available data mining techniques and other potential new information sources to identify unanticipated adverse events sooner following product launch and adoption in medical practice. New policy should focus on efficiently and accurately identifying unexpected serious adverse events in a scientifically rigorous manner. Once a serious signal has been identified, FDA should have the tools to react in a proper manner that will protect the public while ensuring responsible access for patients who may depend on a particular drug. Such an approach would benefit all stakeholders. Enhanced Technology Infrastructure With the proper resources to improve the technology infrastructure, FDA could routinely and systematically evaluate data from completed and ongoing clinical trials and registry studies, perform useful epidemiological studies, and characterize population subtypes and their response to treatments. In addition, greater ability to compare and combine data across different sources would result in greater flexibility and improved efficiency and the potential to generate novel insights about vulnerable populations. This includes the ability to share information regularly with the Center for Medicare and Medicaid Services and with sister agencies within the Public Health Service, including the National Institutes of Health and the Centers for Disease Control and Prevention. Increase Training and Personnel Just as FDA needs enhanced infrastructure and information systems, it also needs adequate personnel training to meet emerging technology advances. Increasing the number of IT trained staff is essential for the overall advancement of the bioinformatics systems. As the agency strives to monitor and evaluate the treatments of the future, it is imperative that FDA have the resources to effectively manage and interpret the wealth of information currently available. FDA needs to attract and retain a greater number of professional staff with the training required to perform accurate benefit-risk assessment, evaluate new therapies and implement scientific initiatives. As the FDA workload grows, so too must the resources to recruit and increase staff with critical competencies. Increased training of FDA personnel will also enhance agency effectiveness and standards. FDA experts could play an integral role in the development of advanced clinical trial designs that achieve greater efficiency and permit definitive conclusions to be obtained more quickly. Such advancements to the current clinical trial system could result in improved pre-market product evaluation, smaller trial sizes, more efficient dosing determinations, and ultimately, safer products reaching patients faster. Integrating New Science through the Critical Path Initiative As science progresses and new treatments emerge from laboratories and clinics around the world, FDA must be equipped to perform accurate and efficient evaluation and continue its science-based tradition. It is imperative that resources be devoted to increase the support for the Critical Path Initiative to modernize FDA. A central goal of the Critical Path Initiative is to provide tools to identify patients who will most likely respond to particular treatments, thereby improving the risk to benefit ratio. As this is accomplished, there will be new ways to diagnose, treat, cure or prevent disease and allow life-saving therapies to reach patients faster while reducing the overall cost of healthcare in the country. Legislation introduced by Senators Kennedy and Enzi, and recently considered by the Senate, would create the Regan-- Udall Foundation for the Food and Drug Administration. This will establish a leading organization for the advancement of the Critical Path Initiative and foster the advancement of the science of drug safety through public-private partnership. NIH initiatives and collaborative research partnerships should place high priority upon the identification and use of biomarkers to (1) determine the role of genetic polymorphisms in causing drug toxicities; (2) establish effective strategies for selecting patients for treatment with specific drugs and (3) identify early biomarkers of drug benefit. The sub- populations most susceptible to an adverse event could be identified by detecting the presence or absence of a biological indicator. Further integrating science into the regulatory process will aid researchers who design drugs, experts who evaluate their safety and efficacy, health care providers who prescribe medicine, and most importantly patients who will benefit from continued medical discovery and more effective application of new treatments. Conclusions In conclusion, we remain extremely supportive of the goal to improve our drug safety system and we believe that we can best achieve this goal through a science-based approach, taking into full account the voice and perspective of patients. Scientific advancements have led to better methods of disease treatment, early detection and prevention, and such technological advancements can translate to identifying safety signals more accurately and efficiently. Increased funding for the FDA will help the agency access and utilize these tools to assess the benefits and risks of medical therapies and, in turn, help patients make the most informed decisions about the treatment options available to them. A wide range of treatment options should and must remain available to patients. While we, of course, want safer drugs, we caution against unintentional consequences that could remove or slow access to valuable therapies without actually improving their safety. Of even greater detriment would be discouraging the future innovation of potentially life-saving new products altogether. We applaud the committee for holding this important hearing and we welcome further, thoughtful policy discussions toward ensuring that FDA has the resources and tools it needs to advance the science of drug safety while it continues its important work to evaluate and approve new therapies for patients in need. We look forward to continuing to work with all of you to ensure that the lives and hopes of patients continue to improve through sound, science-based, and patient-focused FDA policy. Thank you for the opportunity to speak to you today. I look forward to answering any questions you may have. ---------- Mr. Pallone. Thank you. Dr. Ellenberg. STATEMENT OF SUSAN ELLENBERG, UNIVERSITY OF PENNSYLVANIA SCHOOL OF MEDICINE, SPEAKING AT THE REQUEST FOR THE COALITION FOR A STRONGER FDA Ms. Ellenberg. Mr. Chairman and members of the committee, I am Susan Ellenberg, professor of biostatistics and associate dean for clinical research at the University of Pennsylvania School of Medicine. Prior to my current appointment, I directed the biostatistics and post-market surveillance programs at the FDA's Center for Biologics Evaluation Research from 1993 to 2004. I also recently served on the Institute of Medicine committee on the assessment of the U.S. drug safety system. During my career with the FDA, I was deeply involved in one of FDA's most important functions, monitoring the safety of medical therapies after they had been approved for marketing. As such, I want to thank the committee for inviting me here today to testify on the important issue of drug safety. Although there are many aspects of drug safety that the committee is looking at, I am going to speak particularly from my own knowledge and experience about one aspect of FDA's drug safety program that I feel most strongly about, and that is its resource needs to carry out its congressionally-mandated responsibilities. As you know and as others have said today, there is no such thing as a totally safe drug. All drugs pose some risk to patients. Drugs are deemed safe when it appears that their benefits outweigh their risks in a given population, safe enough. The approval for marketing a new drug or vaccine is only the beginning of a drug's lifecycle. It is critical drugs be monitored once on the market. Drug manufacturers', physicians and the FDA continuously watch for signals that a drug poses greater risks than originally believed or it may be unsafe in certain patient populations, or require special restrictions to control hazards that would otherwise cause FDA to remove it from the market. For some years now, FDA scientists have recognized a growing resource imbalance between the agency's pre-market drug review program and its post-marketing safety surveillance capabilities. This imbalance has resulted from enactment of Congress of the Prescription Drug User Fee Act, which has greatly enhanced and enlarged FDA's pre-market drug review program and a parallel lack of increased funding for FDA's post-market drug safety program. The recent Institute of Medicine report, ``The Future of Drug Safety: Promoting and Protecting the Public Health,'' which I am sure many or all of you have seen, noted this resource imbalance and concluded that our drug safety system was severely underfunded. The User Fee Act has required the drug review staff at FDA to grow steadily larger to allow much more rapid review and approval of drugs than ever before. That has been a great boon to the citizens of this country, resulting in more new drugs to prevent and treat illness. But the drug safety programs at FDA have received only very limited increases in staff and funding, and thus these programs have continually lost ground in their ability to monitor the rapidly increasing number of new drugs on the market. Further, the volume of adverse event reports submitted to the FDA has increased steadily. As you can see on the monitor, the numbers of reports of adverse events submitted to the FDA has climbed so rapidly that they threaten the ability of drug safety staff to review and process them effectively. And we discussed this earlier, the various reasons. But in any case, the numbers have gone up quite dramatically. One of the initiatives of which I was most proud during my tenure at FDA was a thorough reevaluation of FDA safety monitoring systems, an effort commissioned by then Commissioner Jane Henney. That assessment, which was completed in 1999, resulted in a series of recommendations for major changes in our post-marketing safety programs including, among other things, intense monitoring of newly marketed products during the initial period on the market, obtaining access to health care databases, such as those of Medicare and the VA that we have talked about today, developing a new active surveillance capacity to complement existing passive surveillance system, which also need to be improved, funding for research to improve FDA's tools for monitoring the study of medical product risks, more intense intervention such as stronger warning labels or restricted distribution of higher-risk products, and funding to conduct focus safety studies when needed. Commissioner Henney's request for a substantial boost in FDA appropriations to fund these recommendations unfortunately were not successful. But these recommendations made by FDA staff 8 years ago are very similar to the drug safety provisions of the current Senate and House bills that are currently being considered, and are entirely consistent with the recommendations of the recent IOM report. If the necessary funding had been provided at that time, the proposed programs would be up and running today and might have permitted much more rapid identification of many, if not all, of the recent drug safety problems that we have been experiencing, meaning far fewer individuals would have been exposed to excess risk. And so, Mr. Chairman, I urge you to set as one of your highest priorities this year provision of the necessary resources to FDA's drug safety programs. I thank you very much for inviting me to present my views. [The prepared statement of Ms. Ellenberg follows:] Statement of Susan S. Ellenberg Mr. Chairman and members of the committee. I am Susan S. Ellenberg. Prior to my current appointment as professor of biostatistics and associate dean for clinical research at the University of Pennsylvania, I directed the biostatistics and postmarket surveillance programs at the Food and Drug Administration's Center for Biologics Evaluation and Research from 1993 through 2004. That Center, as you may know, is charged with assuring the safety of biological drugs, blood and blood products, and vaccines, and works closely with FDA's other programs for approving and monitoring pharmaceuticals. I also served on the recent Institute of Medicine Committee on the Assessment of the U.S. Drug Safety System, and am associate editor of Clinical Trials (the official journal of the Society for Clinical Trials) and of JNCI (Journal of the National Cancer Institute). During my career at the FDA, I was deeply involved in one of FDA's most important functions--monitoring the safety of medical therapies after they have been approved for marketing. As such, I wish to thank the Committee for inviting me here today to testify on the important issue of drug safety, an issue that the Committee will be considering this year as part of its effort to reauthorize the Prescription Drug User Fee Act. Although there are many aspects of drug safety that the Committee is examining, I have been requested by the Coalition for a Stronger FDA to speak in particular, from my knowledge and experience, about one aspect of FDA's drug safety program-- its resource needs to carry out its Congressionally-mandated responsibilities. Background As you know, there is no such thing as a totally ``safe'' drug--all drugs pose some risk to patients. Drugs are deemed ``safe'' when it appears that their benefit outweighs their risks in a given population. The approval for marketing of a new drug or vaccine is only the beginning of a drug's ``life cycle.'' It is critical that drugs be monitored once on the market--drug manufacturers, physicians and the FDA continuously watch for signals that a drug poses greater risk than originally believed, may be unsafe in certain patient populations, or requires special restrictions that must be imposed so as to control hazards that would otherwise cause FDA to remove it from the market. A Resource for Imbalance For several years now, FDA scientists have recognized that there has been a growing resource imbalance between the agency's premarket review program for drugs and its postmarket surveillance capabilities. This imbalance has been occasioned by two developments: the enactment by Congress of the Prescription Drug User Fee Act, which has greatly enhanced and enlarged FDA's pre-market drug review program, and a parallel lack of increased funding for FDA's postmarket drug safety program. The recent Institute of Medicine Report, The Future of Drug Safety: Promoting and Protecting the Health of the Public, of which I was a co-author, confirmed those internal FDA concerns by concluding that our drug safety system was ``severely underfunded.'' As the IOM report noted, the user fee act has required the drug review staff at FDA to grow steadily larger, which has allowed much more rapid review and approval of new drugs than ever before. That has been a great boon to our citizens, resulting in more new therapies that can prevent or treat illness. But the drug safety programs in FDA have received only very limited increases in staff or funding, and in fact have been largely held to their pre-PDUFA levels. Thus, FDA's postmarketing safety programs have continually lost ground in their ability to monitor the rapidly increasing number of new drugs on the market. Further, the volume of adverse event reports submitted to the FDA has increased steadily. As you can see from the attached FDA graphic, the number of required reports from drug sponsors of adverse events they received from physicians has climbed so rapidly that they threaten the ability of drug safety staff to review and process those reports effectively. Resource Limitations Greatly Affect FDA'S Capacity One of the efforts of which I was most proud during my tenure at the Food and Drug Administration was a study commissioned by then-Commissioner Jane Henney, in which she charged senior drug, device and biologics officials with a thorough re-evaluation of FDA's safety monitoring systems. That assessment, completed in 1999, resulted in a series of recommendations for major changes in our post-market safety programs, including: <bullet> Closer monitoring of newly marketed products, particularly those for which safety ``signals'' suggest greater risk <bullet> Obtaining access to health care databases, such as those of the Medicare program and the Veterans Administration <bullet> Development of a new active surveillance capacity, to complement the existing passive surveillance systems (which would also be improved) <bullet> Funding for epidemiological and methodological research to improve FDA's tools for understanding medical product risks <bullet> More intense intervention in higher risk products identified by postmarket surveillance as needing special attention, such as stronger warning labels or restricted distribution, and <bullet> Funding to conduct focused safety studies when needed Commissioner Henney requested a substantial boost in FDA appropriations to fund these recommendations, the implementation of which would clearly have required a substantial increase in FDA's safety surveillance staff, but these requests unfortunately did not yield any additional funding . Ironically, those recommendations are very similar to the drug safety provisions of the current Senate and House bills that are being considered along with the Prescription Drug User Fee Act. I ask you to imagine, Mr. Chairman, the frustration of the FDA drug safety staff who were denied the capacity to make those improvements, only to see the very same concepts emerge years later in Congressional legislation. One can also imagine that we as a nation would be in a far better place if the necessary funding had been provided by Congress in those years past, as the proposed programs could be up and running today, and might well have permitted much more rapid identification of many, if not all, of the recent drug safety problems that we have experienced, meaning that far fewer individuals would have been exposed to excess risk. In conclusion, Mr. Chairman, while there are many, many issues that the Committee must grapple with in considering drug safety legislation this year, I urge you to make resourcing the drug safety programs at FDA one of your highest priorities. The agency's scientists very much want to make the kinds of improvements you are contemplating, and will do so with intensity and enthusiasm if you provide to them the staff and resources to carry out your mandate. Thank you for inviting me to present my views on this important matter. ---------- Mr. Pallone. Thank you. Dr. Loew. STATEMENT OF CAROLINE LOEW, SENIOR VICE-PRESIDENT, SCIENTIFIC AND REGULATORY AFFAIRS OF THE PHARMACEUTICAL RESEARCH AND MANUFACTURERS OF AMERICA Ms. Loew. Thank you. Mr. Chairman, Ranking Member Deal, and members of the subcommittee, I want to thank you for the opportunity to testify today about the vitally important issue of maintaining the safety of Americans' medicine supply. My name is Dr. Caroline Loew, and I am the senior vice president of scientific and regulatory affairs at the Pharmaceutical Research and Manufacturers of America, or PhRMA. PhRMA shares the view of the importance of drug safety. It is also a top priority for all our member companies. PhRMA is committed to working with the Food and Drug Administration and all other stakeholders to continually improve our drug safety system in a way that preserves innovation and patient access to medicine. As we address this critical topic, however, it is important to remember that drug safety fundamentally involves a balance between benefit and risk. Neither can be considered in isolation. Firstly and most importantly, we support the FDA's proposal to reauthorize the Prescription Drug User Fee Act, also known as PDUFA, because it most effectively addresses the issues that are critical in improving drug safety in America today. The PDUFA proposal will make a good system even better by addressing FDA's most pressing drug safety needs: additional resources and access to the latest scientific tools and technologies. The current drug safety is stronger but could be made even stronger by the passage of PDUFA. The agency already has robust and effective systems in place for drug approval and monitoring of medicines once they are on the market. Drug safety is an extensive ongoing process that starts long before a medicine enters the market and continues long after it has been made available. It does not begin with or end when the new medicine is approved. Before patients can receive new medicines, they undergo rigorous safety and effectiveness testing and evaluation. It often spans 10 to 15 years. Drug safety, or more precisely the benefit/risk balance, is only determined after extensive testing in laboratories, animals, patients, and after FDA regulators have studied tens of thousands of pages of scientific data for each drug. In fact, fully one-half of FDA's drug review project is devoted to drug safety. Agency officials also have broad statutory authority to monitor and ensure the safety of drugs after they are approved. There are extensive adverse event reporting requirements, annual reports filed by companies, and for the vast majority of approvals, post marketing studies are conducted. The impact of this systems is undeniable. Over the last two decades, only about 3 percent of the medicines approved for the American market have been withdrawn for safety reasons. That is an enviable record by any estimation. It is also important to note that drug safety assessments today are more effective than ever before, thanks to new scientific tools and technologies. What we need to do now to improve drug safety is to continue developing and better utilizing these new modern techniques, and we need more resources devoted to drug safety. The PDUFA proposal that FDA has put forward would help advance these crucial goals. It would provide about $150 million over 5 years to hire 82 additional staffers for post-market drug safety activities, and it would increase the use of large medical databases, which contain a wealth of drug safety information. The proposal put forward by the FDA also addresses all of the Institute of Medicine's most important recommendations for more agency resources and improvements in the science of drug safety. Any additional drug safety reforms considered by Congress should strengthen FDA's product oversight capabilities without harming innovation or access to medicines. PhRMA would support very targeted legislative revisions that clarify FDA authority in the areas of clinical drug exposure, post-market studies, labeling and distribution restrictions. For their part, PhRMA and its member companies have contributed to the drug safety improvement effort in recent years by initiating a number of major programs from clinical trial disclosure to biomarket research to research studies on new drug safety tools and methodologies to training programs for better adverse event detection and reporting. In the end, we all want the same thing: the timely delivery of safe and effective medicines to patients suffering from a wide range of medical conditions and diseases. We have a system that is accomplishing that critical goal. FDA does need more resources to increase the use of today's modern technology. And that is what the FDA's PDUFA proposal would provide, and we urge Congress to reauthorize the PDUFA proposal as quickly as possible. Thank you for this opportunity to inform the subcommittee about PhRMA's perspectives in this critical public health arena. Thank you. 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Thank you. Ms. Thompson. STATEMENT OF DIANE THOMPSON, VICE-PRESIDENT, PUBLIC POLICY AND COMMUNICATIONS, ELIZABETH GLASER PEDIATRIC AIDS FOUNDATION, SPEAKING ON BEHALF OF THE ALLIANCE FOR DRUG SAFETY AND ACCESS Ms. Thompson. Good afternoon, Mr. Chairman, Ranking Member Deal, and members of the committee. Thank you for the opportunity to participate in today's hearing. I am Diane Thompson, vice president for public policy and communications at the Elizabeth Glaser Pediatric AIDS Foundation. Today I am testifying on behalf of the Alliance for Drug Safety and Access, a coalition of 11 patient and provider organizations, whose members advocate on behalf of over 30 million patients, suffering from hundreds of serious and life-threatening and rare diseases. Alliance members also represent over 100,000 providers of care to children and individuals with mental illnesses. The Elizabeth Glaser Pediatric AIDS Foundation has been focused on speeding patient access to safe medicine since its inception in 1988. The foundation's creation was sparked by Elizabeth Glaser's outrage over the lack of safe and effective options for treating her two HIV-infected children. We know this committee shares our goals of ensuring that patients continue to have timely access to new therapies while strengthening and improving the drug safety system. Simply put, we do not accept that patients should have to choose between safety and speedy access to new medications. The history of our foundation, of the HIV/AIDS community and that of many in our coalition is the story of the power of patients' contributions to regulatory and scientific decision-making. One mom's determination to fight for her child's survival helped transform drug development for children. No one stands to benefit or lose more than patients in drug safety decisions, and patients must have a strong voice in decisions about safety and risk management. In its September 2006 report on drug safety, the Institute of Medicine proposed a fundamental paradigm shift in this country's approach to drug safety. We agree. Attention to safety must be integrated throughout the life cycle of every drug, and it must be recognized that continuous assessment of benefit and risk is every bit as important once a product is on the market and in the hands of patients as it is during the drug review phase. FDA must be given the authority to require drug manufacturers to continue to study the safety of products after approval, to force changes to drug labels when safety issues are uncovered, and to require that the results of clinical trials be shared with patients who, after all, are the people who make the clinical trials possible. Giving the FDA adequate authorities and flexible tools to enforce them, including civil money penalties, will benefit both patients and the industry. By providing FDA the flexibility to impose fines for noncompliance, we can avoid the worst possible outcome for everyone: having to pull a drug from the market that still holds some benefit for some group of patients. We also agree with the IOM's recommendation that FDA safety staff must have a greater formal role in drug review and in risk management decisions. Finally, safety-related performance goals must be added to PDUFA. The IOM report notes that a recent study found that 21 percent of prescriptions are written for off-label uses. Any effort to reform the drug safety system that fails to address one-fifth of the use of drugs in real world settings would leave a significant safety gap, a safety gap that would particularly affect children since still far too few drugs are ever tested in children before they are allowed on the market. The FDA's authority to require post-market safety studies must clearly and unequivocally extend to both on-label and off- label uses. We ask that the subcommittee make the public dissemination of trial results a cornerstone of its drug safety efforts by establishing a clinical trials results database. By linking the registration of new trials with final outcomes, the database would provide patients and providers with additional information with which to assess benefits and risks and could help prevent selective reporting of positive results and the problems that have resulted from the withholding of negative trial results. Given that clinical trials would not exist without patients' willingness to give of their time and health, such a mechanism could help restore patients' trust in the integrity of the clinical trials process. For FDA to succeed in implementing these reforms, it is essential that new and expanded safety activities be explicitly paired with increased resources, both in user fees targeted to drug safety activities and in appropriations. The need for new authorities and for the increased funding are inextricably linked, and we strongly urge the subcommittee to consider these issues along with legislation to improve the safety and access of pediatric drugs and devices as a part of a single package. Mr. Chairman, members of the committee, the committee has before it an historic opportunity to finally match our Nation's success in speeding new therapies to patients with a system that can better ensure the safety of those products once they are on the market. We appreciate your interest in the patients' perspectives on these critical issues and look forward to working with you to accomplish these goals. Thank you again for the opportunity to share our views. [The prepared statement of Ms. Thompson follows:] Statement of Diane E. Thompson Mr. Chairman, Mr. Deal, and members of the subcommittee, thank you for the opportunity to participate in today's hearing. I am Diane Thompson, vice president for public policy and communications at the Elizabeth Glaser Pediatric AIDS Foundation. Today, I will be testifying on behalf of the Alliance for Drug Safety and Access (ADSA), a coalition of 11 patient and provider organizations. Collectively, members of ADSA advocate on behalf of over 30 million patients, including those suffering from HIV/AIDS, Parkinson's disease, spinal cord injuries, paralysis, multiple sclerosis, leukodystrophies, Tourette Syndrome, and over 6,000 known rare diseases. In addition, our members represent over 100,000 providers of care to children and individuals with mental illnesses. As a representative of the Elizabeth Glaser Pediatric AIDS Foundation, I am also proud to offer the perspective of an organization that has been focused on speeding patient access to safe medicines since its inception in 1988. This issue is at the heart of our mission--the Foundation's creation was sparked by Elizabeth Glaser's outrage over the lack of safe and effective options for treating her two HIV-infected children. Although Elizabeth's efforts were too late to save her daughter, Ariel, who died from AIDS at the age of 7, her legacy includes her son Jake, now 22 years old, and the thousands of HIV-infected children around the world who now have the chance to grow up healthy and even start families of their own, thanks to the search for lifesaving pediatric medicines that Elizabeth Glaser and the Foundation championed. I would like to thank the chairman, the ranking member, Mr. Waxman, Mr. Markey, and other members of the subcommittee for your leadership on this issue, for moving beyond the headlines to examine our nation's current drug safety system and discuss meaningful solutions to ensure that the Food and Drug Administration (FDA) remains the world's gold standard for public health protection. Your task is not an easy one and we appreciate the historic nature of this undertaking. We have the opportunity before us to both maintain timely access of patients to new therapies, while strengthening oversight of drugs already on the market. We believe that with sufficient resources both goals are achievable. Simply put, we do not accept that patients should have to choose between safety and speedy access to new medications. Patients with serious illnesses understand that bringing drugs to market in a timely way means that not every risk can be identified in advance. What they also demand, however, is sufficient information for themselves and their providers to assess risks and benefits on an ongoing basis--which often means further testing of the drug after approval. Yet, the FDA has virtually no authority to compel drug manufacturers to continue to study the safety of products after they have been approved, force changes to drug labels if dangerous side effects are uncovered, or require that the results of clinical trials be shared with the patients who make them possible. Giving FDA these authorities and flexible tools to enforce them, including civil money penalties, as legislation pending before the Committee would do, ultimately benefits both patients and drug manufacturers. Allowing FDA to require additional testing of drugs postmarket could actually allow the FDA to approve drugs more quickly, knowing it will have the ability to act if there are new safety concerns once the drug is in the hands of patients. Also, by giving FDA the flexibility to impose fines for non-compliance, we can avoid the worst possible outcome for everyone: pulling a drug from the market that still holds some benefit for some group of patients. We believe that the core of any effort to improve drug access and safety must be a shift to a ``life-cycle'' paradigm, with an emphasis on the continuing pursuit of knowledge about a drug's risk-benefit profile and timely communication of that information to patients and providers. This approach, which is recommended by the Institute of Medicine (IOM), has been included in drug safety legislation introduced by Mr. Waxman and Mr. Markey. In our view, individualized risk evaluation and mitigation strategies, rather than a one-size-fits-all approach to patient safety, will be key to the appropriate balancing of drug risks and benefits that is so critical to patients with life-threatening illnesses. To further improve the depth and breadth of input into drug safety decision making, we ask the Committee also to adopt the IOM's recommendation that the Office of Surveillance and Epidemiology (OSE) be given a greater role in drug review and the development of safety plans. The lack of communication and cooperation between that office and the Office of New Drugs, highlighted in both the IOM report and a March 2006 report by the Government Accountability Office, is deeply troubling. At minimum, we recommend that the Committee formally assign OSE staff a role in the review of new drugs applications and post approval regulatory actions, as the IOM recommends. We ask the subcommittee also to ensure that any drug safety legislation includes mechanisms for greater public input and transparency. The history of our Foundation and of the broader HIV/AIDS community is the story of the power of patients' contributions to scientific decision making. Although they began as three mothers around a kitchen table with no formal training in science and medicine, Elizabeth Glaser and the other founders of the Foundation ultimately changed the accepted thinking of both the National Institutes of Health and FDA about the risks of not studying AIDS drugs in children--a success story that is repeated throughout the histories of patient organizations. Given that no one stands to benefit or lose more than patients in drug safety decisions, we ask that you consider a significant role for patients in the assessment and management of drug risks. We also urge the committee to clarify that any new authority of FDA to require studies of post-market safety concerns is not confined to on-label uses of the drug. In our efforts to improve the drug safety system, we need to pay particular attention to not only what happens inside the FDA, but also what goes on in the real world. A recent study found that 21 percent of prescriptions written in 2001 were for off- label uses. Any effort to reform the drug safety system that fails to address one-fifth of the use of drugs in real-world settings leaves a significant safety gap. Children would be left at particular risk by the failure to clarify this authority, since as much as three-quarters pediatric prescribing is off-label. Thanks to the efforts of many on this Subcommittee, there are mechanisms available to both encourage and require manufacturers to study their products for children. However, there are gaps in those mechanisms. The existing pediatric study requirement does not apply to off-label uses. While the existing incentives can be applied to off-label studies, they are voluntary--and we are seeing that manufacturers are increasingly opting not to conduct the studies FDA requests. Unambiguous authority to require such studies when the off-label use is significant will help ensure that children too can reap the benefits of an improved drug safety system. In our view the subcommittee must make the public dissemination of trial results a cornerstone of its drug safety efforts. The establishment of a results database would be a significant step forward in giving patients and providers additional information with which to assess benefits and risks. By linking the registration of new trials with final outcomes, this database also could help prevent selective reporting of positive results and the problems that have resulted from the withholding of negative trial results. And, not incidentally, given that clinical trials could not exist without patients' willingness to give of their time and health, such a mechanism could help restore patients' trust in the integrity of the clinical trials process. While we work toward providing the FDA additional authorities and enforcement tools, we must acknowledge that chronic under-funding is severely straining the ability of the Agency to perform even its current functions. Years of essentially flat funding, coupled with new challenges such as increasingly global markets, the threat of bioterrorism, and the promise of personalized medicine, have left the Agency struggling to meet its obligation to protect the public health. We--Congress, the Administration and patients--must work together to give the FDA the resources it needs to accomplish its critical mission. We suggest the combination of an increase in user fees targeted to drug safety activities and an increase in appropriations. Because we believe that the need for new authorities and for increased funding are so inextricably linked, we strongly recommend the subcommittee consider these issues, along with legislation to improve the safety and availability of pediatric drugs and devices, as part of a single legislative package. Mr. Chairman, you have before you a historic opportunity to finally match our nation's success in speeding new therapies to patients with a system that can better ensure the safety of those products once on the market. We appreciate your interest in patients' and providers' perspectives on these critical issues and look forward to working with you to accomplish these goals. Thank you again for the opportunity to share our views. ---------- Mr. Pallone. Thank you. Thanks a lot. Mr. Theriault. STATEMENT OF JOHN THERIAULT, CHIEF SECURITY OFFICER AND VICE PRESIDENT, GLOBAL SECURITY, PFIZER Mr. Theriault. Thank you, Chairman Pallone and Ranking Member Deal and members of the subcommittee. My name is John Theriault. I am the vice president of global security at Pfizer. Prior to joining Pfizer, I was a special agent with the FBI for 25 years, retiring in 1995 as a member of the Bureau's Senior Executive Service. It is a pleasure to appear before you today to talk about a critical issue: drug safety and efforts to protect the U.S. pharmaceutical supply from counterfeit medicines. When I joined Pfizer in 1996, the company did not have an anti-counterfeiting program, frankly because there were no indications that any of our products were being counterfeited. That changed in 1998 when we launched Viagra, and I think that understanding what happened with that product at that time will help in understanding the counterfeit medicines industry that has evolved since then. Viagra was a unique product in 1998, and it was in great demand all over the world. But because of regulatory requirements, it was not legally available in many countries. So what we saw immediately was a global demand that was filled by entrepreneurs who purchased the product in a country where it was available and resold it sometimes at 10, 20 times what they had paid for it in countries where it was not available. Very soon thereafter, we saw our first counterfeiting case. It involved a UK organized crime figure who was convicted of conspiring to import counterfeit Viagra from a legitimate Indian company. Now, over the next few years, we conducted several investigations to identify Viagra counterfeiters and distributors. But in doing so, what we discovered was that they were counterfeiting and distributing other counterfeit medicines that we were not aware of. The Viagra investigations actually opened a door for us to look into a very robust counterfeiting industry that we didn't know existed. Since the inception of our anti-counterfeiting program, we have discovered counterfeit versions of our medicines in more than 60 countries. The medicines span a wide range of therapeutic areas, and they include Aricept, Lipitor, Norvasc, Diflucan, Ponstan, Cabaser Celebrex, Dilantin, Vibramycin and Zoloft. This is an issue that goes well beyond erectile dysfunction drugs. It is a counterfeiting issue that affects virtually every therapeutic area you can think of. Now, it is Pfizer's goal to make sure that every patient who buys a Pfizer product receives an authentic Pfizer product, and we consider the counterfeiting problem to be so serious today that our program to investigate and deal with it has increased from one security professional in New York in 1999 to 17 security professionals based in the United States, Mexico, the United Kingdom, Germany, Turkey, mainland China, Hong Kong, India, Thailand, and Malaysia. To give you some idea of the scope of the problem, in 2006 alone, law enforcement and customs authorities, with whom our investigators are working, conducted 238 raids, made 501 arrests, seized over 8.1 million units of counterfeit Pfizer products and enough active pharmaceutical ingredient to manufacture more than 15 million counterfeit Viagra tablets and more than 20 million counterfeit Norvasc tablets. During those raids, counterfeit versions of other companies' medicines were discovered as well. Counterfeiting is a serious crime, and as you can see from this display, counterfeiters take great care in replicating the appearance of genuine product. The counterfeit product there is on the left. The authentic is on the right, and it is virtually impossible to differentiate those by visual inspection. But what you can see from the next display is that the counterfeiters don't really take quite as much care in the manufacturing process. Counterfeits are inherently dangerous. They are manufactured in unknown locations using unknown ingredients. We have seen counterfeits that contain no active pharmaceutical ingredient and therefore did not deliver the therapeutic benefits for which they were prescribed. Some contain super potent amounts of active ingredient, which increase the risks of adverse events, and yet others contain toxic ingredients that are harmful in themselves. Our experience indicates that the counterfeit medicines problem is growing, and it is being facilitated by the Internet, which provides both business-to-business distribution capabilities as well as retail opportunities, via bogus online pharmacies. Counterfeiters are also exploiting a loose distribution channel to get their bad medicine into the hands of patients. The evidence clearly reveals that the more times medicines change hands in the distribution system, the more opportunities there are to introduce counterfeits. Now, I said the problem is growing, and the reason for that is simple. This is a very, very high-profit, low-risk criminal enterprise, and we shouldn't lose sight of the criminal nature of this as we debate drug safety. How profitable is this for counterfeiters? That graphic shows that if you were to invest $20,000 in a kilo of cocaine--not that anybody would do that, but that is about what it costs these days. $20,000 for a kilo of cocaine would yield $60,000 in sales. Subtract the cost, and you have got a $40,000 profit. You can buy from any Indian company on the Internet the active ingredient for Viagra, $64. That would produce 14,000 50-milligram Viagra tablets at $10 apiece, $140,000 in revenue. Subtract the $64, and you have got a much greater profit margin doing counterfeit drugs. This is a crime that attracts serious criminals. Now, the facts here are irrefutable. The importation of counterfeit, infringing, misbranded, non-approved, pharmaceutical products in the United States is increasing exponentially. Those products, by definition, pose a risk to public health and safety. The response by regulatory and law enforcement agencies to this growing crisis has to be reviewed, analyzed and modified at all levels. To sum up quickly, instead of discussing ways to deregulate the current safety system, we think that we ought to be discussing ways in which the current system could be improved to mitigate these threats to patients. Mr. Chairman, Ranking Member, members of the committee, thank you for the opportunity to share this with you. [The prepared statement of Mr. Theriault follows:] Statement of John Theriault Chairman Pallone, Ranking Member Deal, and members of the subcommittee, my name is John Theriault. I am the chief security officer and vice president of global security at Pfizer Inc, the world's largest pharmaceutical company. It is a pleasure to appear before you today to discuss an issue of critical importance: drug safety and efforts to protect the United States pharmaceutical supply from contamination with counterfeit products. Prior to joining Pfizer, I spent more than 25 years as a Special Agent of the Federal Bureau of Investigation. During my FBI career I had substantial experience in international law enforcement and served for a number of years as the Legal Attache in Ottawa, Canada and London, England. Mr. Chairman, while my testimony today focuses on our experience with counterfeit Pfizer products, I wish to impress upon the subcommittee that these problems are not limited to Pfizer. They threaten the entire pharmaceutical industry and most importantly, the U.S. patients who depend upon that industry. As the subcommittee is well aware, there is already importation of counterfeit and diverted medicines into the United States through the mail, courier services, and some unethical re-packagers and wholesalers. Millions of Americans who assume that the prescription medicines they buy online are safe and effective are at risk. Regardless of the method of obtaining drugs from Canada or other countries, there is a real potential for fraud or harm. I would emphasize that every time a medicine changes hands represents--an additional opportunity for counterfeit products to be introduced into distribution. Counterfeit Pharmaceutical Products: What is the Scope of the Problem? The problem of counterfeit medicines, once thought to be limited to developing countries with weak regulatory systems, is now recognized as a global problem from which no country is immune. The manufacture of counterfeits is not limited to China and India. They are produced in at least twenty-four countries, including Canada, the United Kingdom, and four other members of the European Union--Belgium, the Netherlands, Poland, and Portugal. Since 1998, when the first counterfeit Viagra tablets were discovered in the United Kingdom, Pfizer has developed a focused anti-counterfeiting program to protect the integrity of our products and supply chain. Staffing for that program has increased from one security professional based in New York, to seventeen security professionals based in the United States, Mexico, the United Kingdom, Germany, Turkey, China, Hong Kong, India, Thailand, and Malaysia. Our Product Integrity Steering Committee has set as Pfizer's goal ensuring that every patient who buys a Pfizer product receives an authentic Pfizer product. We are waging a fierce battle against these counterfeiters. Pfizer products targeted by counterfeiters now include Aricept (Alzheimer's disease), Lipitor (cholesterol), Norvasc (hypertension), Diflucan (antifungal), Ponstan (anti- inflammatory) and Viagra (erectile dysfunction), Cabaser (Parkinson's disease), Celebrex (pain), Dilantin (epilepsy), Vibramycin (antibiotic), and Zoloft (depression). Although it is difficult to measure the true scope of the counterfeiting problem, the number of reported seizures by law enforcement of Pfizer products serves as a useful baseline. During 2006, authorities from 36 countries reported seizing more than 8.1 million counterfeit tablets, a 20.8 percent increase over 2005. That increase was most significant in Europe, the Middle East and Africa, where seizures increased by more than 332 percent A Case in Point: Deadly Poison Masquerading as Medicine Fake medicines are costing lives. In March 2007, we heard of a tragic story of a woman's death which, according to press reports, was caused by drugs she ordered online from a bogus Canadian pharmacy. Instead of treatment for her arthritis and allergies, Ms. Marcia Bergeron was slowly poisoned by products that contained dangerously high levels of strontium, uranium, and lead, heavy metals that had apparently been used as a cheap filler. Ms. Bergeron started losing her hair and had blurred vision and died a few days after Christmas in 2006. We fear that there may be more terrible stories like this one. I'm sure you all have read the story from Sunday's New York Times about the hundreds of deaths in Panama from cough syrup from China that contained diethylene glycol. It is virtually impossible to see differences between counterfeit and genuine medications. If you visited the manufacturing facilities, the differences would be shockingly obvious. Drug counterfeiters do not care about safety or sanitation. They only care about profits, and counterfeiting is highly lucrative. The profitability of drug counterfeiting far exceeds that of the illicit drug trade. However, there is a lower chance that these counterfeiters will get caught, and if they do, the penalties are less punitive. RxNorth: Profits before Patients Another case involves the Internet pharmacy RxNorth. A company whistleblower told a Canadian Television (CTV) news program that customers had received expired drugs, and that the expiry dates had been covered up on packages. In addition, the drugs were not Canadian. In fact, RxNorth was filling prescriptions for US citizens with counterfeit versions of Lipitor, Celebrex and other products. The CTV news program reported that many of the drugs RxNorth sold came from sources in the UK or Australia and were shipped to a dispensing facility in Freeport, the Bahamas, where Internet orders were filled and shipped to US customers. Counterfeiters often use a convoluted shipping path to evade the authorities and trick customers. For example, on May 22, 2006, UK Customs intercepted a four-pallet shipment of pharmaceuticals, which had come to the UK from the United Arab Emirates (UAE). The shipment consisted of eight products manufactured by five major pharmaceutical companies: Pfizer, AstraZeneca, Novartis, Merck, and Proctor & Gamble. The shipper was the Oyster Corporation, of Sharjah, UAE. The intended recipient was Missouri-Bain Thomson, of the Personal Touch Pharmacy, in Freeport, the Bahamas. Investigation by the authorities determined that Personal Touch Pharmacy computers were connected to Rx North's servers. This is commonplace: according to a 2005 FDA study, fewer than two percent of the thousands of Web sites advertising cheap Canadian drugs are actually based in Canada. Our infrared spectral analysis of the seized Lipitor tablets showed that the Lipitor was counterfeit, and contained about 82 percent-86 percent of the claimed concentration of active pharmaceutical ingredient (API). The lot number printed on the packaging of the counterfeit Lipitor' was legitimate for a product produced for the Middle East market, and the counterfeit packaging was elegant. Pfizer analysts examined the packaging and determined that the ``i'' in the word ``atorvastatin'' on the blister foil was placed differently, indicating a difference in font size; and the breakage-line between the single cavities showed that the authentic blister has a tighter punching line than the sample. The counterfeit packaging also contained a patient information leaflet, although it was smaller than a genuine leaflet, and missing a page. The fact that the counterfeiters are using legitimate lot numbers is concerning, since it demonstrates a level of sophistication in their deception that makes the counterfeits that much harder to detect. On June 1, 2006, Pfizer investigators notified the Bahamian authorities of the facts in this case, and on June 9th the Bahamian authorities raided the Personal Touch Pharmacy in Freeport. There they seized $3.7 million worth of products, spanning numerous different brands from 13 different manufacturers. The total amount of product seized amounted to 3.025 million dosage units of products. The Bahamian investigation determined that approximately $8 million worth of business was conducted at Personal Touch Pharmacy on a yearly basis. The investigation is ongoing. We remain concerned that there are thousands of similar situations that remain undetected, and that consumers like Ms. Bergeron will be victims to this fraud and greed. As Congress develops drug safety legislation, it is essential that you carefully consider this very dangerous situation that has yet to be adequately addressed. The facts are irrefutable. The importation of counterfeit, infringing, misbranded, and unapproved pharmaceutical products into the United States is increasing exponentially, and those products, by definition, pose a risk to public health and safety. The response by regulatory and law enforcement agencies to this growing crisis must be reviewed, analyzed, and modified at all levels. The public health and safety depend upon the FDA's vigilance. The FDA and Customs must receive the additional resources necessary to fulfill their current mandate. Regulations currently in existence must be fully funded and fully enforced. The notion that somehow importation can be done safely by implementing so-called anti-counterfeit technology is to ignore everything we know about counterfeiting and counterfeiters. Similarly, the notion that importation on any scale will be as safe as the current system is to ignore all of the available evidence. Again, any time a medicine changes hands presents a new opportunity for the introduction of counterfeits into distribution. Instead of discussing ways to ``de-regulate'' the current safety system, we ought to be discussing ways in which the current system can be improved to mitigate these threats to patients. Mr. Chairman, Ranking Member Deal, and distinguished members of the subcommittee, thank you for this opportunity to express our concerns about this critical issue. I would be happy to answer your questions. ---------- Mr. Pallone. Thank you. I recognize Dr. Levine. STATEMENT OF SHARON LEVINE, M.D., ASSOCIATE EXECUTIVE DIRECTOR, PERMANENTE MEDICAL GROUP, SPEAKING ON BEHALF OF THE KAISER PERMANENTE MEDICAL CARE PROGRAM Dr. Levine. Mr. Chairman, distinguished committee members, I am a physician with Kaiser Permanente in northern California, and I oversee the Permanente Medical Groups' efforts on drug use management in partnership with my Kaiser pharmacist colleagues. Our shared goal is the delivery of high-quality, safe and effective drug therapy and pharmaceutical services to our members. In order to do this, our physicians and pharmacists need the best available information on the safety and effectiveness of the drugs we prescribe and dispense. The importance of this issue is increasing every year. New, more powerful drugs are being approved and released to the market, and prescription drug therapy is playing an ever-increasing role in therapy. An important benefit of our efforts to fully integrate pharmacy services with health care delivery is that we are able to capture detailed and very complete information about the drugs we prescribe and dispense since almost 98 percent of prescriptions written for Kaiser members are filled in our pharmacies at our facilities, and we are able to match that information with robust clinical and demographic data that is captured in our delivery system and our health plan. Because of our large and stable population, we have the ability to generate enormous statistical power in research studies that we do. We have begun in earnest to utilize these data to learn more about the safety and effectiveness of specific prescription drugs and to answer questions which, when applied clinical practice, will protect consumers from drugs that pose an unacceptable risk compared to the benefits the drugs provide. We believe strongly that there is a need for an intentional, careful, and systematic data collection and review of a drug's use, which begins with its introduction into the market. This will enable faster identification of safety problems that result from the use of the drug outside the carefully controlled circumstances of phase one through three trials--ideally before rapid uptake of the drugs in the market exposes more people than necessary to unanticipated risks. Our researchers have access to and analyze data from multiple sources; membership records, hospital discharge records, outpatient and inpatient prescription data, outpatient clinic data, and laboratory and x-ray results. My written testimony provides detailed information on these data sources and how they are used. And I want to share with you today two examples. The Vioxx story is obviously very well known to this committee. Almost everyone has mentioned it, and it has become the poster child for the call to protect the public from unacceptable risk. A relatively limited population of Kaiser Permanente members were exposed to this drug. We had in place a Web-based tool to enable physicians to identify the small subset of patients who actually stood to benefit from the theoretical advantage that the drug provided, that of avoiding serious gastrointestinal side effects Yet millions and millions of patients in the general population received this drug. Almost 107 million prescriptions for Vioxx were filled before the drug was pulled from the market. In collaboration with the FDA, Kaiser Permanente researchers and clinicians were able to confirm that Vioxx increased significantly the risk of coronary events, 5 years after introduction of the drug into the market and 5 years after the VIGOR trial which first raised the issue of vascular events. Equally important, the same prescription drug and clinical data can be used to erase safety concerns that are raised by spontaneous reports of adverse events. In March 2005, the FDA issued an advisory to physicians urging caution in prescribing topical tachrolinus and pimecrolimus, two topical agents used to treat eczema and other skin conditions, because of concerns raised by animal studies and isolated case reports in a small number of patients. Matching up our pharmacy database with our cancer registry, we were able to identify those patients who had received those two drugs and were also diagnosed with cancer. Our researchers actually found no increase in the overall cancer rates but did find an increase in cutaneous T- cell lymphoma, a skin malignancy, among the drug users. By examining the medical records of these patients, and excluding those that the physicians suspected of having cancer prior to the drugs, our researchers were able to find no increased risk either of cancer in general or of cutaneous T- cell lymphoma. These are just two examples of what is possible using existing data, and my written testimony contains many more examples. In systems like Kaiser Permanente and the Veterans Administration today, the rapidly approaching future of complete clinical data capture with electronic medical record systems will significantly enhance the ability of researchers to identify and quantify problems and assess associated risk, which will inform better risk/benefit analysis. I want to thank the committee for taking these issues under consideration and for your interest in this, and I look forward to answering your questions. [The prepared statement of Dr. Levine follows:] [GRAPHIC] [TIFF OMITTED] T1026.093 [GRAPHIC] [TIFF OMITTED] T1026.094 [GRAPHIC] [TIFF OMITTED] T1026.095 [GRAPHIC] [TIFF OMITTED] T1026.096 [GRAPHIC] [TIFF OMITTED] T1026.097 [GRAPHIC] [TIFF OMITTED] T1026.098 [GRAPHIC] [TIFF OMITTED] T1026.099 [GRAPHIC] [TIFF OMITTED] T1026.100 [GRAPHIC] [TIFF OMITTED] T1026.101 [GRAPHIC] [TIFF OMITTED] T1026.102 [GRAPHIC] [TIFF OMITTED] T1026.103 Mr. Pallone. Thank you, Doctor. Dr. Powers. STATEMENT OF JOHN POWERS, M.D. ASSISTANT PROFESSOR OF MEDICINE, THE GEORGE WASHINGTON UNIVERSITY SCHOOL OF MEDICINE, AND UNIVERSITY OF MARYLAND SCHOOL OF MEDICINE Dr. Powers. Thank you, Mr. Chairman and members of the committee. My name is John Powers, and I am a physician scientist who worked at the Food and Drug Administration for the last 8 years. My background is that of a practicing clinician and academic investigator and researcher, a scientist in the field of drug development, a consultant for several drug sponsors, and most importantly, I have been a patient myself. I would like to thank you for the opportunity to discuss with you today my perspective on the issues of evaluating the risks and benefits of medical intervention. The Institute of Medicine report on drug safety points out that the current reauthorization of the Prescription Drug User Fee Act is a golden opportunity to address long overdue improvements needed in our system of evaluating drug safety. The GAO report points out that there have been at least five separate reports since 1971 related to these issues. Therefore PDUFA should not be reauthorized without simultaneously addressing the important public health issues related to drug safety that have persisted for some time. Previous drug legislation addressed the issues of pre- approval safety in 1938 and pre-approval effectiveness in 1962. But it is now clear that we need more focus on continuously evaluating drugs even after approval. For instance, the example of the inevitable emergence of antibiotic resistance points out how the assessment of both safety and effectiveness of drugs can change over time. The standard we should use to judge proposed changes in drug safety should be would these changes prevent another safety episode like Vioxx of Ketek? Tying pre-approval review that brings medical interventions to patients and appropriate post-approval evaluations of those same interventions are not mutually exclusive goals, and we can do both. I would like to divide the issues related to addressing drug safety into three categories. First, inputs of resources in authority into FDA. Second, internal use of science resources and processes inside FDA. And third, outputs of decisions and communications with the public from FDA. In terms of inputs into FDA, Congress should authorize adequate funding for general appropriations, and any PDUFA fees should have no strings attached, and their use should not be negotiated with regulatory industry. FDA needs the authority to require post-approval studies, to mandate labeling changes, and to assess simple monetary penalties for not fulfilling risk management activities. The legislation proposed by Mr. Markey and Mr. Waxman is a start in this direction by providing more meaningful penalties. FDA needs access to modern databases and active surveillance to more efficiently gather information on drug use and potential adverse events. Any organization is only as strong as the people who work there, so FDA needs to hire adequately trained staff and ensure the staff remain engaged as a part of the scientific community. This leads to issues involving science and process inside of FDA. FDA scientists should be free to participate as members of the scientific community by having the right to publish and share their information and participate in scientific meetings. There needs to be a culture of professionalism at FDA. And if, on rare occasions, after attempting to reach internal agreement, FDA staffers need to seek help outside of FDA in order to protect the public's health, there needs to be enhanced whistle-blower protections, such as those outlined in Mr. Markey's Swift Approval Full Evaluation Act. There also needs to be accountability for FDA staff who attempt to retaliate against their colleagues or who do not uphold the laws and regulations. For instance, in cases where drugs have been knowingly approved without substantial evidence of effectiveness. Any system should have checks and balances, and the Office of New Drugs and the Office of Surveillance and Epidemiology should have joint decision-making authority regarding post- approval decisions. FDA needs to define what they mean by best use of science and define the criteria used for making risk/ benefit decisions in general. In terms of outputs from the FDA, we need transparency of decision making in the form of summary bases of approval published on the FDA Web site in a timely fashion, which explain the scientific rationale for regulatory decisions. This would be helpful for both regulated industry and for patients. All clinical trials and their results should be included in a registry. It is FDA's job to communicate with the public, and FDA needs the resources to evaluate the effectiveness of all of the methodologies used to try to accomplish this goal, as it is well known that changes in labeling alone have little effect on prescribing behavior. The IOM report reinforces that now is the time to address sorely needed improvements in evaluating drug safety. Congress should include provisions for strengthening drug safety in any reauthorization of PDUFA. We can address issues in evaluating drug safety in an efficient way without hindering access to important medical advances for patients. Making these changes today will help us to avoid another Vioxx or Ketek tomorrow. Congress can help FDA start down the road of being the foremost authority on pharmacoepidemiology, to help them work closely with the scientific community, and to develop scientifically-based approaches to evaluating the balance of risk and benefits for drugs. This will help FDA achieve its stated mission of protecting and advancing the public health. Most FDA staffers are incredibly hard workers and courageous public health servants. Please give them the tools they need to do their jobs for all of us. Thank you. [The prepared statement of Dr. Powers follows:] Statement of John H. Powers, M.D. Good morning Mr. Chairman and members of the committee. My name is John Powers. I am a physician-scientist who worked at the Food and Drug Administration for the last 8 years. My background is that of a clinician in internal medicine and infectious diseases, an investigator and researcher in clinical trials, a scientist in the field of drug development, and a consultant for several drug sponsors. Perhaps most importantly, I have been a patient myself. I would like thank you for the opportunity to discuss with you today my perspective on the issues of evaluating the risks and benefits of medical interventions. As the Institute of Medicine report on drug safety points out, the current reauthorization of the Prescription Drug User Fee Act is a golden opportunity to address long-overdue improvements with drug safety in order to adequately protect the public's health. PDUFA should not be reauthorized without simultaneously addressing the important public health issues related to drug safety. The standard we should use to judge proposed changes to the evaluation of drug safety should be: Would these changes prevent another drug safety episode like Vioxx or Ketek? Bringing medical interventions to patients in a timely way and appropriate post-approval evaluations of those same interventions are not mutually exclusive goals, and addressing post-approval drug safety need not slow bringing new medications to patients. Indeed, the FDA Critical Path initiative points out that better tools for pre-approval evaluation of potential safety issues may allow more efficient drug development, earlier cessation of drug development programs of drugs with toxicities before spending precious resources, and more focused evaluation of drug toxicities post- approval. The passage of the Food, Drug and Cosmetic Act (FD&C) in 1938 shifted the burden of the evaluation of pre-approval safety of drugs from the government to drug sponsors. From that time forward there was no assumption that a drug was safe, and sponsors had to provide evidence of the potential adverse events associated with drug use. This reflected a notion that is clear today; no drug is completely safe in that all drugs are associated with some adverse events. In 1962, Congress amended the FD&C Act to require substantial evidence of effectiveness based on adequate and well-controlled trials, codifying the logic that there must be evidence of benefit in order to justify any risks of drugs, no matter how rare. Both these provisions focused on the pre-approval evaluation of medical interventions, which was appropriate for that time. However, it is now clear that we need to focus on the entire life-cycle of medicines with a greater focus on post-approval evaluations. This is eminently sensible as we cannot learn all we need to know about medical interventions given the limited number and types of patients and the short time span in which drugs are studied pre-approval. The vast majority the life-cycle of a drug is spent post-approval, and it follows we can learn much about a drug during this time. FDA must play a crucial role in continuing to evaluate drugs once they are approved. The need for regulation is two fold: first, regulation is needed when market forces tend to guide businesses in a way that may be contrary to public interest, and second, regulation provides a uniform standard for public health and consistency and fairness for the regulated industry. In regards to the first point, there is little incentive for drug sponsors to rigorously evaluate potential safety issues with a drug once it is approved since from a business perspective this evaluation has the potential to decrease sales. This is in contrast to providing evidence of drug effectiveness prior to approval which is necessary both for FDA approval for marketing and to convince clinicians to use the drug. Many drug sponsors certainly do include protecting the public's health in their decision making. But as James Madison stated in the Federalist #51 in 1788, if all men were angels no government would be necessary. Even one sponsor who decides that profits trump public health is one too many and it is the FDA's job to ensure all sponsors are held to the same standard. This relates to the second point, which is that FDA is supposed to ensure a scientifically based and consistent standard of public health both for the sake of the public health, and out of fairness to drug sponsors so that every sponsor is subject to the same rules. This allows less uncertainty in drug development, and allows sponsors to plan their studies accordingly. The only way to ensure both protecting and advancing the public health and fairness to drug sponsors is to base laws and regulation upon the best science. Since science changes over time as we learn new things, regulations need to adapt as well. The prior focus on pre-approval evaluations is still needed, but we now need to focus our attention of post-approval evaluations as well. One can view the issues related to addressing drug safety as divided into three categories: inputs of resources and authority into FDA, internal use of resources, science and functioning inside FDA, and outputs of decisions and communications with the public from FDA. I. Inputs into FDA FDA staff need the resources in terms of funding, manpower, knowledge, data and authority to do its job properly. Congress should authorize adequate funding for FDA from general appropriations and PDUFA fees should have ``no strings attached'' and not be negotiated with regulated industry: FDA has been severely under-funded for some time, even to do the job it already has to do. Indeed, the original intent of PDUFA in 1992 was to bring greater funding to FDA to provide it the resources it needed at that time. To address the larger issues of post-approval evaluations of drugs it will need greater funding. It seems logical that regulated industry should pay for a fee for licensing of drugs to defray the costs to the government, similar to how drivers pay a fee for their drivers' license of doctors pay a fee to State medical boards for a license to practice medicine. However, drivers and doctors do not negotiate the uses to which those fees are put with Division of Motor Vehicles or the State Medical Board. In addition to the obvious appearance of conflict of interest of allowing the regulated to help decide where the regulator appropriates funds, the long time frame between PDUFA negotiations--done only once every 5 years--does not allow FDA to adapt and shift resources to where they are most needed. Again, there is a need for regulation when there is no incentive for the regulated to address issues of public health, and previous negotiations of PDUFA in which FDA was barred from applying fees to post-approval safety evaluations are evidence of a desire by some to avoid performing these evaluations. FDA needs adequate authority to ensure the public health including ability to assess sufficiently stringent civil monetary penalties for non-adherence and sufficient authority to ensure device effectiveness--FDA needs the authority to require post-approval studies and ensure sponsors complete those studies. As noted previously, there is an obvious incentive for drug sponsors to submit data in support of drug effectiveness. Since there is less incentive to perform post- approval studies, FDA needs the ability to require studies and impose meaningful penalties on drug sponsors who do not fulfill their stated commitments. The Enhancing Drug Safety and Innovation Act (H.R. 1561) is a start in this direction by providing for more meaningful penalties beyond those that sponsors could just write off as the cost of doing business. Penalties need to be appropriate in order to provide an incentive to comply. In addition, the current legally mandated standards for effectiveness of devices are quite different for those from drugs. It is not clear from a scientific point of view why this should be so, as patients who receive devices should receive the same protection under the law as those who receive drugs. Recent approvals of some devices have left outstanding questions regarding their effectiveness, such as the vagal nerve stimulator for depression. This seems to contradict the basic principle that there needs to be substantial evidence of effectiveness in order to justify the risks of any intervention. Congress should address this by changing the law to hold devices to the same standard of substantial evidence of effectiveness from adequate and well controlled trials as for drugs. FDA needs adequate data upon which to base decisions--The use of modern databases to more efficiently gather information on drug use and potential adverse events is desperately needed. FDA cannot rely on the good graces of busy clinicians for spontaneous reports of adverse events. Many medical schools do not teach their trainees about the need to report adverse events, so there is a need for education as well. FDA always needs to stay in touch with practicing clinicians, but they cannot be the only source of information in evaluating medical interventions post-approval. In addition, for reasons discussed previously drug sponsors cannot be the sole source of information. There is little incentive for them to report adverse events and there are recent unfortunate examples in which important information was withheld from FDA. If FDA had independent sources of information this would be less of a concern. FDA needs to hire adequately trained staff--It is important that FDA hire, train and keep staff who have a background and training in drug development and evaluation. It is sad to say that many in academic medicine view a career at FDA for their trainees as ``a waste of time'' and ``unscientific''. FDA needs to be on the same scientific par as the National Institutes of Health and the Centers for Disease Control and Prevention in terms of scientific reputation and in terms of appropriately applying science. The only way to accomplish this goal is if the scientific community has positive interactions with FDA staff, instead of the current ``black box'' that clinicians see as the current FDA. FDA needs close contact with the scientific community--FDA has to have a symbiotic relationship with clinicians and scientists. As science is ever-changing, FDA staff need to keep abreast of the latest scientific developments. In addition, FDA staff have much to teach the scientific community about clinical trials and the pharmacoepidemiology, and much of the view that FDA is ``unscientific'' comes from a lack of understanding of the scientific principles upon which appropriate drug evaluation is based. This means that FDA staff need to be able to interact with scientist in their fields, an issue I will address in terms of outputs from FDA as well. II. Science and Process Inside FDA FDA has become too focused on ``process'' to the exclusion of the reason for why process is needed. The process as FDA should serve good science which in turn protects and advances the public health. Science should not serve process. Appropriate processes are needed in order to drug sponsors to submit data and for FDA staff to review this data in an orderly way. However, on the Center for Drug Evaluation and Research guidance page there are 53 guidances under the heading of ``process'' and 3 under the heading of ``drug safety''. Clearly this balance seems tilted in the wrong direction. FDA managers needs to treat the scientists and review staff with professionalism and the basis for decision making needs to be good scientific principles FDA managers need to treat staff with professionalism-- Science is based on the scientific method, and as such, any one who uses this method, from the medical student to the senior attending, can make equally valid analyses and draw equally valid conclusions. As with school teachers, if most of their class fails the examination, they must take part of the blame. If FDA managers believe their staff is not using appropriate scientific analyses, then it is incumbent on these managers to train staff in these same principles and provide mentoring for them and career development paths. It is inappropriate and unprofessional to characterize scientists who raise scientific issues as ``disgruntled'' or to characterize a scientist work as ``junk science''. FDA managers need to realize that there are substantial issues with the relationships between managers are staff at FDA that need to be addressed. A Union of Concerned Scientists poll of FDA staff showed that 44 percent of FDA scientists did not respect their managers' integrity. A substantial shift in culture at FDA is needed, and this can be accomplished by making FDA place where people who follow the scientific method and who treat their peers with respect want to work and those who choose not to behave professionally don't want to work Joint authority of Office of New Drug and Office of Surveillance and Epidemiology regarding post-approval decision making. It is part of the scientific method that data, analysis and conclusions undergo peer review and re-analysis by others to confirm the conclusions of a given set of scientists. Also, it is only human nature that when one makes an important decision that may affect the lives of thousands or million of persons it is very disheartening to learn that decision may have resulted in people being harmed. However, it is also part of science that we learn more as more evidence accumulates. Lastly, systems function best when there are checks and balances and no one person or group of persons exerts absolute authority. The framers of the Constitution set up a bicameral legislature and three branches of government for exactly this purpose. For all these reasons there needs to be joint decision making authority between the Office that approves new drugs (the Office of New Drugs) and the Office responsible for evaluating drugs after approval (the Office of Surveillance and Epidemiology). The Enhancing Drug Safety and Innovation act could be strengthened by including provisions for this joint authority. Accountability for decision making and behavior at FDA and increase ``whistleblower'' protections -There needs to be accountability for FDA managers who treat staff unprofessionally, both from within FDA by senior managers and from oversight from Congress to ensure that accountability takes place. Increased transparency of the operations at FDA would discourage some from inappropriate behavior, and all of FDA would benefit from changing the perception held by many clinicians, academics and those in industry that FDA is a ``black box'' in which operations, decision making and the scientific reasoning behind decision making seem unclear. There is no blind acceptance of data in science, and statements that ``FDA cannot be second-guessed'' do not take into account that ``second-guessing'' (also called peer review and confirmation of evidence) is part of science. One of the basic premises of the scientific method is we can never be sure we are correct, but we can always be proven wrong, so one needs to keep an open mind at all times. No one questions that FDA managers have the authority to render decisions, but with the authority comes responsibility. There is no such thing as the FDA, as FDA is made of up individuals. It would be best if no staff person at FDA ever has to ``blow a whistle'' on inappropriate use of science or failure to protect the public's health, but should this be necessary, FDA staff need to know they will not be risking their livelihood to protect patients. Therefore there needs to be increased whistle-blower protections such as those in the legislation proposed in the Swift Approval Full Evaluation act. Best Use of Science and Consistency of Decision Making within FDA and publication of guidance on risk-benefit analysis--One of the major complaints of drugs sponsors is that they receive inconsistent advice from FDA. While in some cases advice can and should change as science advances during the course of drug development program, some sponsors feel that they do not receive consistent scientifically-based advice from Division to Division within FDA across similar drug development plans in different therapeutic areas. This would seem at odds with using appropriate scientific methods to make decisions. FDA needs to train staff on the scientific and legal bases for drug evaluation, especially in that there are legally mandated standards for drug effectiveness that must be followed in order to justify the potential adverse events of drugs. FDA needs to formulate guidance which explains the scientific decision making process of balancing risks and benefits. While there needs to be some flexibility to accommodate individual cases, there are some basic principles which would apply to all situations, such as evaluating the frequency, severity and seriousness of adverse events weighed against the nature and magnitude of the benefits of a medical intervention. FDA reviews need to explain the scientific as well as legal basis for decision making and conclusions so that sponsors, clinicians and the public can understand the scientifically reasoning behind a decision. FDA reviews include a tremendous amount of data and analysis but is it not always clear how this data is synthesized into an overall decision. III. Outputs from FDA FDA serves the public and therefore needs to communicate with the scientific community, clinicians and patients as well as drug sponsors. Transparency of decision making and reviews at FDA--The Belmont Report in 1979 on the protection of subjects in human research pointed out that research is the pursuit of generalizable knowledge. For research to be ethical the knowledge obtained must be generalizable in order to justify exposing subjects to the risk of the research. If research is not generalized, that is, shared with others in the scientific community then it is inherently unethical. Therefore it is incumbent upon FDA and drug sponsors to share the information from all clinical trials. A registry that includes a listing of all clinical trials including the results of these trials would allow knowledge to be generalized. The Enhancing Drug Safety and Innovation Act includes such a provision. It is important that data from earlier phase trials be included in such registries and databases as these earlier phase trials often form the basis for evaluation of further adverse events post- approval. In addition the results of these trials, not merely that fact that they are ongoing or completed, need to be included in any database in order for the results to be generalizable. FDA reviews should be published on the FDA website within a reasonable period of time (no longer than a few weeks) in order for the scientific community to evaluate the basis for FDA decision making. This form of peer review is part of the scientific process. FDA staff should have a right to publish and participate in scientific meetings--As noted previously, FDA reviewers need to keep current with the science in their field. This means FDA staffers need to share their knowledge with those outside FDA as well as gaining knowledge themselves from scientists outside FDA. FDA reviewers need to be able to share their analyses with the scientific community and the need to FDA managers to ``make one decision'' should not bar a scientific discussion among the scientific community. The Supreme Court ``make one decision'' and yet members of the Court still publish a minority as well as a majority explanation of their findings. Therefore, FDA should publish a Summary Basis of Approval (SBA) for each medical intervention which would include a discussion of any and all scientific differences during the review process and an explanation and scientific reasoning for the final conclusions. The IOM report tells us that now is the time to address the important issues in evaluating drug safety that have needed to be addressed for some time. In order to address this urgent public health issue, we need to act now. Congress should include provisions for strengthening the evaluation of drug safety in any reauthorization of PDUFA. A recent Harris poll showed that the public is losing confidence in FDA, and the only way to restore that confidence is by action, not merely by words or reshuffling of the structure of FDA and without new resources and authority. We can address the important issues in evaluating drug safety in an efficient way without slowing bringing important medical advances to patients. Safety and efficiency and not mutually exclusive goals and more focus on post-approval activities need not slow pre-approval evaluations. However, we need to learn from recent events and take action today to avoid another Vioxx or Ketek tomorrow. Congress can help FDA start down the road to being the foremost authorities on pharmacoepidemiology, to work closely with the scientific community to gather data and to develop new methods and analyses, to come up with cogent scientifically based approaches to evaluating the balance of risks and benefits of drugs, and help FDA achieve its stated mission of protecting and advancing the public health. Most FDA staffers are courageous public health servants. Please give them the tools they need to do their jobs for all of us. ---------- Mr. Pallone. Thank you. And we will take questions of the panel now. Thank all of you again for being here. I am just going to recognize myself for 5 minutes for some questions, and I wanted to ask a couple questions of Ms. Thompson. First of all, let me thank you for all the good work you do with the Elizabeth Glaser Pediatric AIDS Foundation. I am familiar with it, and I really know that you do a great job. But I found your testimony interesting because you suggest that the goals of a strong and robust drug safety system and at the same time, innovative medicines are not necessarily mutually exclusive, that you could possibly do both. And I am wondering if you could elaborate more on why you think that doesn't have to be an either/or scenario? In other words, if we were to pass drug safety legislation that built upon what is already included in the PDUFA IV proposal, that included stronger monitoring and enforcement provisions--in other words, like if we did what Mr. Waxman and Mr. Markey have included--do you think that would kill innovation? Or would we still be able to be innovative, so to speak? Ms. Thompson. Well, I think we strongly believe that it won't, in fact, kill innovation. What the IOM has proposed and what, I think, has been picked up both in the Waxman-Markey bill and the Kennedy-Enzi bill is to address this new paradigm of looking at safety concerns throughout the life cycle of the drug. So it is really taking the FDA back, in some senses, to its roots under the original 1938 statute, which was all about safety. Of course, efficacy wasn't added until 1962. So by providing FDA the resources that it needs to maintain its scientific excellence, the resources that it needs to integrate more fully safety concerns both into the drug review process and into the post-market surveillance process, I think you have got the perfect recipe for enabling innovation to continue and, in fact, supporting it because one of the areas that has suffered under PDUFA is the FDA science base. And FDA, in order to support the innovation that is coming out from industry, needs to be the leader in terms of regulatory science and in terms of advancing the tools and techniques that are going to support regulatory discovery and how that discovery gets translated into new therapies. Mr. Pallone. Thank you. In your testimony, you call for giving FDA authority to require testing for off-label uses of drugs. But if Congress granted FDA such authority, how would that match up with the Pediatric Incentive Program? How exactly would those two programs work together? Would granting such authority obviate the need for the incentive program? If you would explain. Ms. Thompson. Well, the answer is no, it would not obviate the need, but we begin with the position that three-quarters of the prescriptions that are written for children are written off label. And the Pediatric Incentive Program, the program you referred to, BPCA, Best Pharmaceuticals for Children Act, provides a voluntary mechanism where FDA can go out and, if the drug is still on patent, it can recommend to a manufacturer that the manufacturer conduct certain studies to determine effectiveness and/or safety in children. But that only applies on a voluntary basis. Obviously under the stick part of that equation, the pharmaceutical research side, that legislation for the most part applies only to new drugs. And there is a very high standard that FDA has to meet to require studies now, very high safety finding or danger finding that the FDA has to make. So providing new authorities in combination with the existing carrot-and-stick approach under pediatrics is really essential if the FDA is going to be able to identify safety and effectiveness for children. Mr. Pallone. Thank you. I am just going to try to get in a couple questions here to Ms. Van Syckel. Thanks again for being here. But in your testimony, you don't specifically call for the repeal of the user fee system. In fact, you suggest that it should be expanded, but you call for it to be decoupled from obligations made to the industry. Would you just comment further on that? And then I am going to ask you also a second question. You have been very vocal about improving communications about medications to patients and providers, and you have focused on the availability of the distribution of med guides. Is there something that you think Congress could do to improve communications about medication risks through changes to the med guide system? So second, the med guides, and third this whole idea of decoupling the user fee system. Ms. Van Syckel. OK, let us start with the med guides first. Mr. Pallone. OK. Ms. Syckel. First we have a bill, S. 2364, in New Jersey that is sponsored by Senator Codey and Senator Lance. We have got two good guys there. And what we are trying to do is these medication guides, we don't want to find them, if we get them, in the bottom of a pharmacy bag. So what we would like is to have parental informed consent. Look at the med guide with the doctor, go over the med guide, don't just put it in the bottom. I took this off the Internet. It is that simple. Doctors can do that. And I asked Assemblyman Conaway, because we had discussed this issued. And I said Doctor, have you seen the med guide? And he said yes, and I guess he assumed he had. And I said well, could you please tell me what to look for? And he couldn't tell me, and this is a doctor within New Jersey on the assembly. And I think it is important because everybody is so concerned about the thoughts of suicide. There is a lot more of side effects than just the thoughts of suicide, and those are newer, worse irritability, acting aggressive, being angry or violent, and acting on dangerous impulses. And I will give you an example from New Jersey. There was a young teenager who was an honor roll student, participated in peer groups. He was over-medicated, and he brought a cache of weapons to school, loaded guns, to even the point that the father, the parents didn't even know where he got the guns. So violence issue with the anti-depressants has become very--is something that we should all be concerned about, and I was so concerned that I attended a White House conference on school violence and school safety. And I did have an opportunity to speak to Attorney General Alberto Gonzales concerning this issue, and I have even spoken to Mr. Ferguson because I saw how my daughter attacked three police officers, assaulted her brother. I see how violent the children become. And the Attorney General asked Secretary Leavitt, sent him a letter back in October to look at the violence issue concerning the antidepressants. So if parents don't have this med guide, and I think it is very insulting for the FDA to say that there are some outsiders who should determine what parents need to know. This is what we need to know so if we make a decision to give them an antidepressant, we can monitor them. The doctor can't do it. The school district can't do it. It is up to the parents, and we need this vital information. I guess I was kind of being diplomatic with PDUFA. If it were up to me in the great world, I would like to have it repealed. But it is not the perfect world, and I believe we need to focus more on an independent office of drug safety. I am trying to be diplomatic but I sometimes can't. I truly believe we need an independent office of drug safety. I agree with Senator Grassley and Senator Dodd on this issue. They have been at this issue for 4 years. They are knowledgeable. Mr. Pallone. OK, thank you so much. Mr. Deal. Mr. Deal. Mr. Theriault, I share your concern for counterfeit drugs. In a previous hearing that we had where the issue came up about adverse events, a questions was asked as to whether or not there was any way, with our current information, to distinguish adverse events that might have been caused by counterfeit drugs as opposed to brand-name drugs. And the general answer was no, there was not. Is there anything that we should to do to try to deal with that particular issue? And are there things that we might do that would--might have adverse consequences, thinking we were doing the right thing? Mr. Theriault. The adverse event reporting issue is something that I think is difficult, and I am not sure how you can differentiate between adverse events that are caused by counterfeits as opposed to legitimate medicine. From our point of view, the safety issue is addressable on a number of fronts. I think that stopping these personal use amounts of prescription medicines that come into the country, via the mail services and that sort of thing, is almost a no-brainer. We conducted a study about 2 years ago, and at the New York City mail facility alone, there were over 40,000 packages a day coming into that one mail facility that were identified as unapproved pharmaceuticals. Tightening the supply chain, requiring pedigrees, enforcing the pedigree aspect of PPNA. I think you can't regulate the Internet, but I think you can regulate the flow of products that are ordered on the Internet. Mr. Deal. Could you give us some idea what proportion you think are coming in from outside of the country versus counterfeiters who are operating within our own country? Mr. Theriault. In the last 10 years that I have been at Pfizer, we have had probably the most aggressive anti- counterfeiting program in the industry. And I can't recall one counterfeiting manufacturing operation that we found in the United States. I would say the very, very high percentage of counterfeits in the 1990s comes from outside the United States. And that is why, when we address importation and issues like that, I think that unless we deal with the drugs coming in from outside the United States we are going to have a problem. Mr. Deal. Your written testimony indicates one particular, I think it was an Internet pharmacies supposedly in Canada. How big a problem is Internet pharmacy in this overall problem of counterfeiting? Mr. Theriault. Well, I think it is a huge problem. And to your earlier point, the woman who died in Canada, I think, was a U.S. citizen residing in British Columbia. As I understand the facts, the medicine she received came in an unmarked vial. There was no label, no safety information. There was very little possibility to determine where she bought those, and the Internet pharmacy that sell those things are up and down in a matter of days. So I think if you buy prescription drugs on the Internet, you are taking about a 50 percent chance of getting either counterfeit or unapproved generic medicines. Mr. Deal. And I suppose you would support increasing the penalties for the counterfeiting of drugs, would you not? Mr. Theriault. Yes, sir, I would. I think Congressman Rogers' bill is an excellent step in that direction. Mr. Deal. OK, I would like to briefly explore the procedures that are embodied at FDA now. I believe we refer to them as the critical path. Dr. Powers, since you have worked there, would you briefly comment on that initiative and whether you think it is appropriate? Dr. Powers. Sure, the critical path was initiated in March 2004, which is an attempt for FDA to partner with folks outside the FDA, both academics and people in practice, to try to develop tools that would more efficiently help drug development, both in terms of measuring safety and effectiveness. It is a great idea, but it is one in which FDA is left in the position of having to suggest things to people outside the agency and really doesn't have funding at this point to be able to accomplish those things. So they published several, including one last week on generic drugs, saying here are some great things we would like to know the answers to, but are left without the resources to be able to do that in a lot of cases. For instance, let us take the issue of biomarkers. The way for us to explore whether those biomarkers are helpful in selecting which patients may benefit or which patients are at risk would mean looking at studies to see whether those biomarkers make any sense or not. And right now, FDA is left in the position of suggesting saying wouldn't this be a good idea. Mr. Deal. Money would help. Dr. Powers. It sure would. Mr. Deal. Thank you. Mr. Pallone. Mr. Ferguson. Mr. Ferguson. Thank you, Mr. Chairman. Thanks to all of our witnesses on our second panel. As most or some of you know, I spent my time in the first panel talking about medication guides. It is something I have spent a great deal of time on, and Lisa and I have actually worked on the issue a lot together. Lisa, we have heard your testimony today. Of course, I am very familiar with your own family's story. It is important that you continue to share that with folks, including in this setting, so people can just understand one family's situation and ordeal. And you had said before you represent kind of families in New Jersey, but you are not an official organization or group. Ms. Van Syckel. No, I am a mom. Mr. Ferguson. You are a mom. You are a parent like I am and so many of us are, trying to make sure you are taking care of your child and having information to take care of Michelle---- Ms. Van Syckel. And Chris who is down in Florida. Mr. Ferguson. Yes. Now, with regard to the medication guides, you know that in 2004, we had our Oversight and Investigation Subcommittee hearings and investigations into this particular issue. And subsequent to that, these medications, SSRIs, who are prescribed for kids now are accompanied by or supposed to be accompanied by medication guides. That was after your family situation. Ms. Van Syckel. That is right. Mr. Ferguson. If you can hypothesize, I guess, or---- Ms. Van Syckel. Finding out that the med guides weren't being distributed? Mr. Ferguson. Well, actually how would that have affected your own family situation? If you had been presented with a med guide when you filled that prescription for your daughter--I mean it is tough in hindsight to be able to go back and figure out what you would have done but---- Ms. Van Syckel. And I don't believe I, at that time, would have known what to do because Michelle really didn't have depression or anorexia. It turned out she had Lyme disease, so we were desperate to help her. So would I have done this? I don't know. I may have, but armed with this information at least, I could have prevented the self-mutilation, the scars that are on her body today. We have a young girl who came to your office, and no one is immune to the side effects of the antidepressants, and this young girl, both of her parents work for the pharmaceutical industry. And if you look at her arms, do those look like little scratches to you? Cutting the word ``die'' onto the inside of your arm? Is that an acceptable side effect? I don't think so. Mr. Ferguson. Now, you---- Ms. Van Syckel. But it is not here. Mr. Ferguson. You obviously are in touch with and work with other families who have had similar situations that we have met with. Ms. Van Syckel. They call me desperately seeking answers because they said my doctor told me it was safe and not to listen to the stories in the media, that they are parents that are--they are actually labeling parents like me. Mr. Ferguson. What do they say? And I have heard some of them talk. But what is the general sense among some of the families and parents that you know about the specific information that they could have with medication guides if they were being gotten into their hands properly? And we have obviously had a breakdown in the system, and it is normal and natural for parents or anybody who is concerned, who has a conscience, to want to try and figure out who is to blame and where to lay blame about this whole problem. But as we have found, there is a big breakdown in communication and responsibility and jurisdiction. And that is what we are trying to get to the bottom of. But at the end of the day, what we are finding is that there aren't assurances in the system as we would like them to be today, that every parent who has an SSRI prescribed for their child is getting this information. Ms. Van Syckel. Right, actually the parents in New Jersey are angry with the doctors because they said the doctors should know when they say it has a black box warning, I heard about increased risk of suicide, and the doctor downplays the side effect. But both parents, one who is a pediatric emergency room nurse at a large hospital in New Jersey, who lost her niece Brittany to a Prozac-induced cardiac arrest and then, of course, with the other teenager, they said had they been provided this information, the horror and the tragedy they endured never would have happened. And it has weakened the parents who have to make the decisions with their children. It is not the FDA's job. It is not the pharmaceutical companies' job. Parents, we don't want to harm our children. We want the best medical care for them, but I find it insulting that they believe that we don't know how to handle this type of information. Give me the worst scenario, and I will always pray for the best scenario. Mr. Ferguson. Mr. Chairman, I know I am out of time, but I think one of the reasons we work so hard on this issue is because at the end of the day, parents are ultimately responsible for the health care of their children. And that is why they go to doctors. That is why they perhaps take medications. That is why you consult with the widest variety and try and gather as much information as you possibly can to make the right decision for your own child. But you are handicapped from making that decision if you don't have all the information. That is why I think this med guide issue is so important. Ms. Van Syckel. Or if they choose to try the medication at least they have the information to monitor their child. Mr. Ferguson. That is right. Ms. Van Syckel. Because that is really important because we are with our children, 24/7. It is that important, and I have to say this because I believe it is very important. But back during the 2004 oversight and investigation, it was determined by the FDA and by Congress that antidepressants was a causal role in suicide. They used the word causal, but FDA negotiated the label. And now it is increased risk, and then we have the JAMA study that just came out where they say there is no increase and that the benefits outweigh the risks. But what that JAMA study failed and what the FDA failed to do was when the child stops taking the medication abruptly, cold turkey, that is when we see our suicide attempts. That is when we see our violent behavior. And FDA, during the adult hearings in this past December, they stopped with their method analysis, their investigation, day 1 of withdrawal. Now if they went for the next 30 days or 4 to 6 weeks, you would have seen some violent behavior, and you would have seen suicide. And we also have 150 percent increase of prescribing antipsychotics and Strattera to our kids. They also carry suicide labels, and I mean it is pretty sad when I look at the Medechi record in New Jersey and our new doctors, a psychiatrist, is giving it to newborn babies. Risperdal and Effexor, two deadly drugs, how were they administering that to a baby? We need to look into Zyprexa and Risperdal and why they feel the need that they have to medicate our toddlers. Mr. Pallone. Thank you so much. Mr. Waxman. Mr. Waxman. Thank you, Mr. Chairman. Dr. Ellenberg, I want to ask you what are the provisions in the administration's PDUFA proposal that allow user fee dollars to be put toward increasing FDA's access to outside population-based epidemiological databases. Information from these databases would obviously be useful for FDA in its efforts to detect safety signals earlier. This is an extremely positive development, and I am encouraged to see that it was included in the negotiated package. But I think we need to go further in terms of providing FDA with additional tools and authorities. One of IOM's recommendations to Congress was to provide FDA with the authority to require post-market studies. Can you tell us about the benefits and limitations of data mining? Can you also explain why, even if it has the enhanced ability to conduct this so-called data mining, FDA still needs to have the ability to require post-market studies? Ms. Ellenberg. Yes. Well, there are a number of different facets to understanding of risks of drugs post-marketing. Data mining is a tool that people have been trying to implement with the passive surveillance system, the reports that people send in. And that can be a useful tool. With several hundred thousand reports coming in every year, you can appreciate there has got to be some kind of automated way to pull out patterns that might need further investigation. And that is what data mining is. So that is one piece of post-marketing surveillance. And that might be the fastest way to actually identify a very, very strange, unusual, very rare adverse event because it could be reported from anywhere. That is not a good way to identify an increase in a fairly common background rate. So, for example, increased rates of heart attacks with a widely-used drug, you will not find that from a passive reporting system with data mining. Access to health care databases where you have information on thousands or hundreds of thousands of people and their ability to follow them over time, taking drugs, you might be able to get some information there. So I don't think it is one or the other. And sometimes---- Mr. Waxman. You think both are very---- Ms. Ellenberg. You need both, and you need the ability to sometimes carry out perspective studies that might even need to go beyond existing databases. Mr. Waxman. IOM also concluded that Congress needs to provide FDA with other authorities the agency currently lacks. For example, one, the authority to place a moratorium on DTC advertising and to require the specific warnings be incorporated into DC ads. Two, the ability to require that labels of new drugs carry a special symbol to indicate their newly approved status. Three, the ability to require that companies make label changes instead of just asking them to do so. Additionally, the IOM has said Congress should enhance FDA's enforcement tools to include things like civil monetary penalties, so that the FDA had other choices besides using its bully-pulpit to threaten using its only real enforcement tool, the nuclear option of removing the drug from the market. Obviously the administration's PDUFA legislation proposal does not incorporate these recommendations. In your view, if Congress were to act this year only on the drug safety-related provisions included in the administration's PDUFA proposal, would the very serious drug safety oversight problems that the IOM describes in its report be resolved? Ms. Ellenberg. Well, as a member of the IOM committee that put the report together, we all felt strongly that the whole package really ought to be adopted, and it was not something to pick and choose, use this one, use that one. So I do believe that these authorities would be helpful. It is very hard for me or probably anybody to assess really what will happen with this aspect, without this aspect. It would be very hard to predict, but it seems to me that those additional tools could be used by the FDA. Most of the things that you mentioned relate to adequate communication of risk to the public and the issues of what is in the label, ability to regulate DTC advertising. Those are all how do we get information on risks out to the public. Mr. Waxman. Well, along those lines, IOM recommended Congress pass legislation that would require companies to register and report the results from their clinical trials and public available database. Can you tell us what lead to this recommendation and why the IOM felt it was necessary to create a mandatory system? Ms. Ellenberg. Well, the concern is that studies may be done that suggest that there may be an increased risk or suggest something that is not favorable about a drug and that if nobody knows that study was done, if that is hidden under regulations, and then other studies are done that maybe don't show that, well it would be hard to know if you have a whole picture, whether this is something we should worry about or not. If we don't see the studies that suggest that there might be a problem, they don't know that there might be a problem. So there certainly has been a move toward making these public. I think there was a provision---- Mr. Waxman. But do you think it ought to be mandatory? Because it could be voluntarily be made public. Ms. Ellenberg. I think that many companies are voluntarily making these public. I don't know the extent to which they are doing that now so---- Mr. Waxman. Mr. Chairman, if you permit, I have one last question, and I would like to pursue it. We heard from Dr. Galson on the first panel about FDA's system for handling the steadily increasing number of AERs the agency receives, and you describe this trend in your testimony also. He told us they got a half million AERs, and I understand that approximately 200,000 were for serious and unexpected conditions. He said that the staff available to review those reports has been limited by resources. In fact I understand that there are only 20 epidemiologists who review all of those reports. Dr. Galson also described the upgrades to the agency's IT system that would help to review these reports that FDA would make with an increase of PDUFA dollars for that purpose. But he said it would be only $4 million. I am concerned that that may not be enough. Can you describe in more detail the situation with respect to the agency's review of AERs and comment on whether you think $4 million would be enough to complete what would be a massive overhaul of FDA's IT infrastructure? Ms. Ellenberg. No, I don't think $4 million would be enough at all. I think you need probably more than that just to do a reasonable overhaul, a reasonable redo of the adverse event reporting system to incorporate the data mining, making that routine, training reviewers, having enough reviewers to look at it. But as I said before, that is just a single piece, a single component of the needed system. The Centers for Disease Control has a series of databases that they use from the Kaiser Permanente system, and I think they spend something like $10 or $15 million a year to maintain that system so that if there are vaccine adverse events that people are concerned about, vaccine safety issues, they can really go right to that system and try and get answers very, very quickly. And it is that kind of a linkage of databases that FDA needs to have access to investigate drug safety problems as well. Mr. Waxman. OK, thank you. Thank you, Mr. Chairman. Mr. Pallone. Thank you. Dr. Burgess. Mr. Burgess. Thank you, Mr. Chairman. Dr. Levine, let me just ask you since this question just came up and you were referenced, do you have a concept of what the dollar expenditure was to develop the data operation that you have at Permanente? Dr. Levine. To develop the data operation? Mr. Burgess. Right, the continual data observation that you have. Dr. Levine. I know that the development of our fully automated medical record system, including the inpatient and outpatient pharmacies, is in the billions of dollars. The piece in terms of vaccine safety, which was developed with our Vaccine Center and the CDC, I don't know the cost of the implementation. That was a stand-alone system. We are currently involved in trying to roll all of our legacy and stand-alone systems into a single fully-automated medical record, which will actually enable projects like the one we did with the FDA and the ones we are doing with the CDC to be done much less expensively because the maintenance of those legacy systems is extraordinarily expensive. And I share the concern about what you can do with $4 million, just based on what it costs us to do anything in IT. Mr. Burgess. Let me ask you a question just to put it in context. How many covered lives are there in Permanente? Dr. Levine. In the present Kaiser Permanente Medical Care Program, there are 8.7 million covered lives. In northern California, it is about 3.35 million. Mr. Burgess. But that system which you described that cost X million dollars, that covers---- Dr. Levine. All 8.7. Mr. Burgess. How long did it take to develop that? Dr. Levine. We are midway through the implementation, and development is going hand and hand. We are using software from the Epic Systems, which is one of the largest medical record systems based in Madison, Wisconsin. It was developed for outpatient systems, and we are working with Epic to adapt their product to our very large population. Mr. Burgess. And that is probably a topic for another hearing, Mr. Chairman, but it does show the size and the scope of the problem. Dr. Loew, let me ask you, you referenced a figure of 3 percent of medications that were taken off the market. Is that the correct way to phrase that? Ms. Loew. That is correct. In the past 20 years, the withdrawal rate has been consistently around 3 percent. Mr. Burgess. The withdrawal rate. That is the term you used. Now, of that, can you just give us an idea of what the number of products were that were withdrawn, say, in the last 5 years? Ms. Loew. Actually, I don't have that figure, but we can get that data. Mr. Burgess. Can you get that for us? Ms. Loew. Absolutely. Mr. Burgess. And would you have an idea as to how many of those were voluntarily withdrawn by the manufacturer, what problems came to light, and how many of those were enforcement actions by the FDA? Ms. Loew. I believe that in many situations, it is a voluntary withdrawal on the part of the manufacturer. A safety issue comes to light. They discuss it with the FDA and decide to withdraw the product from the market, but we will get you the exact data on that. Mr. Burgess. OK, I was just thinking back, and I can't recall an instance where there was an actual FDA recall. But I am sure it must have happened, but most of---- Ms. Loew. The majority of the situations, if I recall, were all situations where the manufacturer had voluntarily taken it from off the market. But I can't verify that. Mr. Burgess. Great. If you could get that for us, that would be wonderful. We heard testimony from another witness on the panel that the drug manufacturers, in fact, they don't even pay attention to safety issues after the product has been approved because they have no incentive to do so. Is that an accurate statement? Ms. Loew. I would argue that the opposite is completely true. Pharmaceutical manufacturers take the safety of our products extremely seriously. There are, in fact, some extensive requirements for manufacturers to monitor their products in the marketplace, and there are a number of different tools. There are, of course, the adverse effects reporting systems that we have heard about today. If there is a serious adverse event that is detected that is an event that hasn't been previously seen, manufacturers have an obligation to report that to the FDA within 15 days and then to follow up 15 days later with a full report. An additional report quarterly in the first 3 years of production on the marketplace, to quarterly submit reports to FDA on the adverse events that have been detected around the product. In addition to that, there is an annual report requirement where companies submit all new information that has become available on the product. The manufacturing rate of information, new clinical data, observational data, and so on. They are required to report that, so they take the obligations of monitoring the product in the marketplace extremely seriously. And it is, of course, in their best interest to ensure that is the case and, of course, the best interest of the patients. Mr. Burgess. Thank you. Mr. Theriault, let me just ask you, you talked about a number of things that are being done. A company that I became familiar with several years used a labeled isotope in like the parts per billion range to ensure that products were what they said they were, and I think they were talking about rap CDs at the point that they could put this isotope in ink that was on the label and that way, detect whether or not the counterfeit product had found its way into the supply chain. And I asked the question at that time could this apply to pharmaceutical agents as well because we are talking about a molecule that again would be in the parts per billion range. And the question obviously came up, well, how would the FDA look upon that? Have you had any experience with investigating those types of technologies? Mr. Theriault. We haven't looked at that technology. I think the FDA's preference right now is for RFID tracking, and we have got a pilot project around that right now. But I think one of the issues there is where does the authentication occur? Is it the patient who authenticates the product, the pharmacist, or somebody else in the supply chain? But to answer your question directly, I think that technology probably could apply. Mr. Burgess. There was a news story probably 4 or 5 years ago now from New Orleans where they did an analysis of not so much the active ingredient of the medication, but just the inert part of the pill, the vehicle that the medicine was contained in and found significantly high--for medicines purchased over the Internet--and found significantly high quantities of heavy metals, cadmium, liquid chromium. To your knowledge, is that still an ongoing problem? Mr. Theriault. It is. We have seen a number of cases involving heavy metals recently, and I think that the woman who died in British Columbia, I think the coroner said her death could possibly be related to heavy metals that probably she was taking. Mr. Burgess. Thank you, Mr. Chairman. Mr. Pallone. Let me thank our entire panel for being here this afternoon. I felt this was a good opportunity to hear from you and ask some questions that were really pertinent, and we appreciate it. A number of people asked if they could submit things for the record, both members and panelists. And, of course, we will do that. We will include those things in the record. And you may get additional written questions from some of us in the next 10 days, which we would like you to answer as well in writing. And again thank you all, and I thought it was very good today. We appreciate your help. And with that, the subcommittee meeting is adjourned. 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