Drug Lobby Holds Sway in New Jersey's Legislature.

Byline: Lewis Krauskopf

Apr. 25--Facing a daunting budget deficit last year, Governor McGreevey proposed a plan to save on the state's prescription drug programs.

The "preferred drug list" would encourage pharmaceutical companies to lower prices to get their products on the roster.

New Jersey's pharmaceutical industry didn't like it, and the idea -- also opposed by some patient groups -- eventually was dropped in favor of alternatives the state said would realize the same savings.

The value of a preferred drug list for New Jersey is a matter of debate, as is how great the industry's role was in squashing it.

But no one doubts the enormous influence in Trenton of an industry that has world headquarters for some of its largest companies in New Jersey, employing 70,000 people.

Pharmaceutical houses spent more than $1.6 million on state lobbying and political contributions in 2003, according to a review by The Record of the annual account of lobbying activity produced by the state Election Law Enforcement Commission. Among the results are lobbying reports that include expenditures of more than a dozen companies as well as their trade group in the state.