Its Not All About PhRMA: NIHs Role in R&D David B. Moore Senior Associate Vice President Office of Government Relations January 26, 2006

NIH Has Lost More Than 9% of Purchasing Power Since FY 2003

…Four out of 10 voters have never heard of the NIH 61% 46% 31% 70% 13% 27% 15% 20% 5% 17% 4% 8% 15% 6% 40% 2% Centers for Disease Control (CDC) Food and Drug Administration (FDA) National Institutes of Health (NIH) National Institutes of Health (NIH) % Favorable% Half and Half% Unfavorable% Never Heard Of NationalCongressional Source: 2004 AAMC Opinion Research Public Opinion Strategies

…Who is most responsible for gains in medical innovation? (June-August 2004) Voters Congressional Staff Medical Schools/Teaching Hospitals37%28% Medical laboratories funded by private companies 33%40% Federal government funding /NIH16%21% Now, all of these are, of course, important but who or what would you say is most responsible for gains in medical innovation... Source: 2004 AAMC Opinion Research Public Opinion Strategies

…Where does the most medical research take place? (June-August 2004) VotersStaffers Medical laboratories funded by private companies 47%35% Medical Schools/Teaching Hospitals33%18% The National Institutes of Health9%29% Source: 2004 AAMC Opinion Research Public Opinion Strategies

Plurality of congressional staffers do not know how NIH funds are used to support medical research 40% 19% 41% Do you think the NIH research budget is primarily used to fund medical research... Conducted at medical schools and teaching hospitals as well as the NIH's own laboratories Conducted at NIH's own laboratories Don't Know Source: 2004 AAMC Opinion Research Public Opinion Strategies

Keys to Successful NIH Advocacy Focus the message on health Work the budget process to increase spending caps Involve non-traditional advocates

Most Compelling Messages with Congressional Staff/DC Focus Groups Medical research discovers new knowledge and treatments that improve health and save lives. Medical research is the source of new and better treatments, and even cures, for disease. Medical research is transforming medical care.

Least Compelling Messages with Congressional Staff/DC Focus Groups Medical Research promotes economic growth and creates U.S. jobs. The road to discovery is long and takes years – often decades – to develop. Medical research sustains the nations global competitive edge. Medical research helps contain health care costs.

Budget Process February: President submits budget March - April: Congress considers budget resolution May: Appropriators set subcommittee allocations June - Oct: Appropriations subcommittee consider individual spending bills

Three Questions That Democrats Must Answer in 110 th Congress 1. How large is the pot of discretionary money? 2. How to divide this money among defense, homeland security, and domestic programs? 3. How to divide domestic money among programs (e.g., NIH versus education versus VA healthcare)?

FY 2007 Presidents Budget Total Discretionary Spending = $870.7 billion (+3.2%) 46% for Domestic Spending = $398.3 billion (-0.5%) 35% for Labor-HHS-Education = $137.8 billion (-2.8%) 18% for NIH = $24.8 billion (0%)

Non-Traditional Advocates Institutional boards of trustees Business and community leaders Local and regional newspaper editorial boards Service clubs (e.g., Rotary) Local and state Chambers of Commerce Governors/state legislatures