REPORT Major Changes Ahead for FDA

Jill Wechsler

fter months of speculation and delay, in Sep- Scott McClellan, is the current White House press tember the White House finally nominated spokesman. Mark McClellan earned a medical de- Aits lead health policy advisor, Mark McClel- gree from Harvard and a doctoral degree in eco- lan, as the next FDA commissioner. McClellan, nomics from MIT. He previously held a post in who is a physician and an economist, currently the Clinton administration and is not considered serves on the White House Council of Economic a political ideologue. In fact, he garners praise on Advisors as the key Bush administration spokesper- all sides for being open minded and conscien- son about health issues. As a medical doctor with tious—important traits for anyone overseeing an no direct ties to the pharma- agency that regulates a broad range of critical con- FDA is consolidating ceutical industry, he fits the sumer products. basic criteria set for confir- oversight for drugs and mation by the Democrat- Full plate at FDA controlled Senate. As FDA commissioner, McClellan will be expected biotech therapies, Speculation about Mc- to tackle several difficult administrative and pol- Clellan’s appointment to icy initiatives as well as manage a growing agency. overhauling GMPs, head FDA had been circu- In the absence of a permanent leader, FDA deputy lating around Washington commissioner Lester Crawford has overseen these expanding to counter for several months, but he tasks and has demonstrated strong leadership skills was too involved in negotia- and a willingness to address thorny issues. Mc- bioterrorism—plus tions concerning Medicare Clellan will do well to encourage Crawford to con- policy and prescription drug tinue as his right-hand advisor, a role that can gaining a new FDA coverage to change hats any compensate for the new commissioner’s lack of earlier. The 25 September administrative experience. commissioner to announcement generated In August, Crawford launched a major agency oversee all these expectations that the Senate reexamination of good manufacturing practices would approve the nomina- (GMPs) (see the sidebar, “Changes in the design initiatives. tion quickly enough to allow and implementation of GMPs” and Pharmaceu- McClellan to move into the tical Technology’s October 2002 “Washington Re- FDA post this year. port” column). This action is part of the agency’s The Senate confirmation broader shift to risk-based regulation, an approach process provided an opportunity for Sen. Edward that aims to focus FDA’s limited resources more Kennedy (D-MA), chairman of the Senate Health, sharply on high-risk products and activities. At Education, Labor, and Pensions Committee, and the same time, a boost in resources and person- his colleagues to probe McClellan’s opinions nel to support antibioterrorism activities has ex- about drug safety, agency reorganization efforts, panded the agency significantly. It has experienced and access to medical products, among many its biggest growth in the past 30 years, Crawford other topics of national concern. The new com- noted at the PDA/FDA Joint Regulatory Confer- missioner differs from his predecessors in that he ence in September. The agency has gained 800 Jill Wechsler has little direct experience with FDA regulation more employees in the past nine months to cre- is Pharmaceutical and policy and has been more involved with ate a staff of more than 10,500. Technology’s Washington health-payment and cost-effectiveness issues. Another important initiative is FDA’s reexami- editor, 7715 Rocton Ave., Chevy Chase, MD 20815, In addition to having prime credentials for the nation of its legal authority to regulate com- tel. 301.656.4634, job, McClellan also benefits from strong ties to mercial communication related to drugs and other [email protected]. Texas politics and to the White House. His mother regulated products. The agency published a request is the Texas state comptroller, and his brother, for comments about this topic several months ago

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as part of a broad review of its policies re- to contaminate the products we regulate,” garding prescription drug advertising, he commented. Half of the newly added FDA is focusing its product labeling, drug marketing to physi- FDA staff are working in the agency’s field limited resources on cians, and additional communications con- force, largely to monitor imports that troversies affecting public health. could threaten the nation’s food supply high-risk products Crawford described the past year as as well as waylay counterfeit medical “the most important legislative year in products at the country’s borders. FDA and activities. FDA’s history.” The Bioterrorism Pre- also is expanding its network of labora- paredness and Response Act turned FDA tories so that it can detect outbreaks of into a “bulwark against potential attempts food-borne and other diseases. Moreover, the public’s concern about health issues marshalled support for new initiatives to strengthen FDA oversight of pharmaceuticals under the Prescription Drug User Fee Act (PDUFA), which Con- gress reauthorized in June. A significant change in the act increased FDA surveil- lance of new drugs during their first years on the market.

Shift in biologics Probably the most challenging initiative on FDA’s plate is the proposed transfer of oversight for therapeutic biotech drugs from the Center for Biologics Evaluation and Research (CBER) to the Center for Drug Evaluation and Research (CDER), which was announced 6 September 2002 (see Pharmaceutical Technology’s Sep- tember 2002 “Washington Report” col- umn). Under the plan, CBER will retain authority over vaccines, blood and blood products, and a new office overseeing gene therapies, somatic cell products, tissue- based products, and other cutting-edge developments. The regulation of mono- clonal antibodies and proteins will move to CDER next year, along with the neces- sary staff, laboratories, and resources to support regulation of these products. FDA’s increasing responsibility for countering bioterrorism plays a role in this major organizational change, Crawford explained. The move will allow CBER to focus its expertise on vaccines and blood products, which are “critical for our home- land defense,”he commented at the PDA conference. In the face of growing criti- cism of the change, Crawford took pains to highlight CBER’s supporting role in the development of new therapies and vac- cines to combat emerging disease and pro- tect public health. He noted that CBER will retain responsibility for gene therapy and tissue transplantation, which he de- scribed as likely to be “the great vehicles for medical progress in this new century.” Circle/eINFO 17 20 Pharmaceutical Technology NOVEMBER 2002 www.pharmtech.com Washington Report Changes in the design and implementation of GMPs In a memo to FDA staff Since announcing its GMP initiative in August,FDA has continued FDA also may become a member of the Pharmaceutical announcing the change, to develop its road map for overhauling manufacturing standards Inspection Cooperation Scheme (PICS),which offers another Crawford explained that for drugs and biologics.At the PDA conference in September,FDA venue for US involvement in international efforts to harmonize he had examined many deputy commissioner Lester Crawford said that the agency plans GMPs and policies for inspecting pharmaceutical plants. options for improving re- to extend the initiative to foods,a move that will be facilitated by Although FDA compliance and regulatory officials have view processes of drugs the publication of long-awaited GMPs for dietary supplements. participated in PICS training sessions and other meetings,the and biologics during the One innovation arising from the GMP reevaluation will be the door was opened for US regulators to officially join those from past year and that shifting development of a team of field inspectors dedicated to Europe and other industrialized nations in this organization therapeutics to CDER inspecting pharmaceutical manufacturing facilities.This team when PICS was changed from a formal treaty to a discussion made more sense than will be similar to the Team Biologics approach adopted for GMP forum. completely combining the inspections of vaccines,blood products,and biotech therapies New GMP policies and risk-based strategies that alter the two centers. At the PDA and fits the planned consolidation of biotech drug regulation in timing of FDA plant inspections will require the industry to conference he emphasized CDER. change some of its attitudes,Crawford commented,but “change the importance of retain- Another FDA goal is to harmonize GMPs with those of other we must.”Responsibility for implementing new inspection ing five centers at FDA. He nations.Crawford noted at the PDA conference that he had met strategies now falls to John Taylor,who was recently named observed that a move in with regulatory authorities of the European Union in August to senior associate commissioner for regulatory affairs and head of the 1980s to combine the discuss FDA’s GMP revision plan.His aim is to fit US GMPs with FDA’s Office of Regulatory Affairs (ORA).Taylor replaces Dennis regulation of drugs and those of Europe,Japan,and other nations,a plan that may be Baker,who led ORA since 1999;after a transition period,Baker biologics into one center addressed by the International Conference on Harmonization will return to Texas to be in charge of FDA’s regional office in had failed and led to the (ICH).In the past,ICH participants have shied away from tackling Dallas.Taylor is the first lawyer to head ORA.He previously separation of the two GMP standards,which are considered much more complex and worked in FDA’s Office of the Chief Counsel (OCC) and in the units five years later. He variable than the recently adopted manufacturing standards for commissioner’s office,and he has headed ORA’s Office of said that five FDA center active pharmaceutical ingredients.However,chances are good Enforcement for the past two years.In that position he has been directors was the “right that the topic soon will be added to the ICH agenda. involved in implementing FDA’s new policy requiring OCC review number” for the agency of all warning letters before they are sent to manufacturers. and that he wanted to

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avoid any move that would under- facilitate manufacturer compliance and There is considerable mine the “great strengths of CBER.” new drug development. Several stream- These comments reflect contin- lining initiatives were codified in the FDA uncertainty about how ual FDA efforts to devise a workable Modernization Act of 1997, and a main plan for regulating drugs and bio- goal of PDUFA has been to establish com- the transfer of oversight logics. Although CBER and CDER mon standards and time frames for re- have been separate agencies since viewing market applications for drugs and will affect CBER’s 1987, they have made numerous ef- biologics. research-review model. forts to harmonize filing require- ments and regulatory procedures to A difficult undertaking Crawford acknowledges that consolidat- ing the review of drugs and biologics under one roof is a “very sensitive under- taking.” The high-level transition team headed by FDA senior associate commis- sioner Murray Lumpkin must first deter- mine which biotech products should be reviewed by CDER. The stated objective of the change is to consolidate FDA review of medical products that are similar in clinical development, clinical data analy- sis, and use in medical practice. However, it is not clear if authority over therapeu- tic protein vaccines or recombinant blood products should remain with CBER or be shifted to CDER. Decisions about which product categories will be apportioned to each agency will af- fect the individual assignment of CBER re- viewers to CDER new drug review offices. They also will determine which CBER com- pliance and advisory functions and which personnel responsible for quality control matters and postmarketing surveillance will shift to CDER. Although Crawford empha- sizes that the consolidation will not give rise to staff reductions, there is considerable un- certainty in the agency about how the change will affect CBER’s research-review model. Several observers predict a major brain drain from the agency as top scien- tists leave for academia, research institutes, and industry. Although manufacturers publicly sup- port the change, some privately acknowl- edge that their complaints about CBER’s drug development requirements and slow application reviews aimed to improve the center’s management and systems and never were intended to instigate such a major organizational change. During PDUFA negotiations earlier this year, in- dustry had argued for policy changes to prod CBER to approve more applications in the first review cycle and reach agree- ment with sponsors about product devel- opment programs. Circle/eINFO 21 24 Pharmaceutical Technology NOVEMBER 2002 www.pharmtech.com Washington Report

Shifting regulation of biotech therapies trickier task will be to transfer to CDER to CDER has raised concerns among scien- responsibility for reviewing and evaluat- Crawford described tists and other observers. At a CBER sym- ing chemistry, manufacturing, and con- the past year as “the posium held at the National Institutes of trols data regarding biotech products. Health in September to commemorate 100 Clinical testing of drugs and clinical test- most important years of federal regulation of biological ing of biotech therapies have become products, gene therapy researcher French more similar, but production methods for legislative year in Anderson, now director of the Gene Ther- biologics remain very different from those apy Laboratories at the University of for conventional drugs. Biotech manu- FDA’s history.” Southern California, termed the breakup facturing involves live substances and is of CBER “shortsighted” and “irrespon- not entirely standardized, notes one FDA sible.”He acknowledged that it often is dif- quality control expert. Moreover, new The dispute gained the spotlight dur- ficult to work with the agency but that a production methods continue to emerge. ing the congressional investigation into good deal of CBER demands for studies Manufacturers acknowledge their con- ImClone’s development of the colorectal and data are important. Jay Siegel, direc- cern about having to meet different stan- cancer therapy Erbitux. At a June hearing tor of CBER’s Office of Therapeutics Re- dards and follow new procedures at before the House Energy and Commerce search and Review (OTRR), maintained CDER, where reviewers may not have a Committee, members of Congress criti- that the time it takes his office to approve full understanding of biotech manufac- cized CBER officials for permitting Im- products compares favorably with the turing science. Clone to file a license application for what process for approving drugs and that no Biotech companies’ likeliest fear is that appeared to be an inadequate therapy- therapies approved by OTRR have been the shift to CDER will open the door to development program. The investigation recalled for safety reasons. generic biologics. Manufacturers welcomed by the House panel into the insider trad- Although it may be logical to merge the earlier assurances from Crawford that there ing scandal raised congressional inquiries medical and clinical review of biotech would be no change in statutes governing into significant differences between CBER therapies with the oversight of drugs for biologics, laws that now form a high bar- and CDER regulatory practices. similar diseases and conditions, a much rier to generic versions. However, under

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the new plan these products will be regu- lated by CDER officials who are very fa- miliar with generic drug policies and have indicated interest in exploring options for the development of therapeutically simi- lar biotech therapies. FDA officials expect to have a plan for implementing the new regulatory struc- ture for drugs and biologics before the end of the year as numerous working groups iron out the details. Deciding what pro- grams and personnel will go where is not an easy process. CBER and CDER’s differ- ing standards for electronic submissions are a problem, as are their differing field inspection programs. CBER funding will be a critical topic because the agency stands to lose about three-quarters of its user-fee revenues. Biotech companies planning to file new license applications in the next few months fear a slowdown in the approval process. The long-term expectation is that a more streamlined regulatory and review process could spur biotech R&D, but change is always disruptive and will pre- sent new challenges to regulators and to Circle/eINFO 25 industry. PT

FYI Global Health Forum The Biotechnology Industry Organization (BIO) and the Bill and Melinda Gates Foundation are sponsoring the Partnering for Global Health Forum,to be held 3–5 December 2002 in Washington,DC. The purpose of the event is to bring together leaders from biotechnology and pharmaceutical companies,various government-agency procure- ment officials,public and private investors,key international health experts,and leaders in academic institutions and nongovernmental organizations to exchange information and ideas that will benefit global health efforts.Scheduled plenary speakers include Elias Zerhouni,MD, director of the National Institutes of Health (Bethesda,MD) and Laurie Garrett,a science and health writer and recipient of the Pulitzer,Polk,and Peabody Prizes. For more information,contact BIO,1225 Eye St. NW,Suite 400,Washington,DC 20005,tel.202. 962.9200,www.bio.org.

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