Lawmaker decides against Drug Ind. lobby job

Tauzin Demurs on Lobbying Job
Lawmaker Fears Joining Drug Association Would Mar Career
By Jonathan Krim, Washington Post Staff Writer
Friday, February 27, 2004; Page A21

Rep. W.J. "Billy" Tauzin (R-La.) has broken off negotiations to become the pharmaceutical industry's chief lobbyist to ensure that his retirement after nearly 24 years in Congress is not marred by an ethical cloud, his spokesman said last night.

Tauzin's decision ends more than a month of controversy, during which he flirted with and backed away from two major lobbying jobs, resigned his powerful chairmanship of the House Energy and Commerce Committee, and announced he would be leaving Congress.

Spokesman Ken Johnson said Tauzin instructed his attorney not to consider any other offers until he has left Congress. Hospitalized five times in the past several months for bleeding ulcers, Tauzin, 60, has not decided when he will quit his seat, though he is expected to leave before his term expires at the end of the year.

In late January, Tauzin announced that after intensive talks he was turning down the job of heading the Motion Picture Association of America, the lobbying arm of Hollywood's major studios.

The House committee oversees the telecommunications, media and entertainment industries, and the MPAA has been searching for a heavy hitter to succeed Jack Valenti, one of Washington's most prominent veteran lobbyists.

Instead, Tauzin began negotiating with the Pharmaceutical Research and Manufacturers of America (PhRMA), which represents major drug companies such as Pfizer Inc. and Merck & Co. According to one source, Tauzin would have gotten the most lucrative compensation package ever offered to head a trade association.

But Tauzin, whose committee also shared jurisdiction with the House Ways and Means Committee over Medicare, had recently helped author and shepherd a controversial Medicare prescription drug bill that created drug benefits for the elderly under the program. Among other things, the law bars the federal government from directly bargaining on drug prices, a provision PhRMA had lobbied hard for.

Tauzin denied there were any dealings with industry in exchange for his work on the bill, but he stepped down from the chairmanship in early February, while negotiations over the PhRMA lobbying post continued.

Johnson repeated yesterday that Tauzin had done nothing wrong. He said Tauzin had a "clear-the-air" conversation with House Minority Leader Nancy Pelosi (D-Calif.), telling her that he was never approached about the pharmaceutical job during the debate on the Medicare bill.

Nonetheless, "he recognizes that some legitimate concerns were raised," Johnson said. "This had become a distraction, and he wanted to put it behind him. He doesn't intend to leave this place with a cloud."

Tauzin's move does not shut the door on his getting the pharmaceutical job, depending on whether the group decides to wait to fill the position until after he leaves his seat. Johnson said Tauzin will not participate in any health care issues while he remains on the committee.

Jeff Trewhitt, a PhRMA spokesman, declined to comment except to say that the search to replace outgoing chief executive Alan F. Holmer is ongoing.

The timing of Tauzin's departure will depend on his health and on election procedures in Louisiana to replace him, Johnson said.

Rep. Joe Barton (R-Tex.) formally took over as head of the commerce committee yesterday.