Obama smallpox deal needs scrutiny

Last year, President Obama enthusiastically pursued a $433 million deal to purchase an experimental smallpox drug, despite the objections of critics.

WASHINGTON DC (Catholic Online) - The project has been given to the New York-based Siga Technologies Inc. whose largest shareholder happens to be Ronald Perelman, one of the world's richest men and longtime Democratic Party donor.

It isn't just Perelman's connection to Democratic Party that's raising eyebrows either. When the company complained to the administration that its financial requests were not being met, administration officials replaced the government's lead negotiator on the deal. And a year ago, when Siga was in danger of losing the deal, the administration blocked other firms from competing.

The lucrative contract calls for Siga to provide 1.7 million doses of experimental smallpox drug that hasn't even been tested. The price per dose is approximately $225, well above what government specialists have said would be reasonable.

Smallpox is a deadly disease with a 30 percent death rate, but was also one of the first diseases to be eradicated by a major international effort and was declared so in 1978. While the United States and Russia have small stockpiles of the smallpox virus kept in cold storage, they're the only two countries believed to have samples of the virus. There is some concern that other countries could have undisclosed stockpiles, but many experts say this is unlikely.

To combat that threat of the modern smallpox epidemic, the United States continues to maintain approximately $1 billion worth of smallpox vaccine which can be used to inoculate the entire US population on short notice. If the vaccine is administered to a victim within four days of exposure, it can save the person's life.

These facts coupled with some of the administration's previous business dealings (e.g. Soylndra) cast a dim light on President Obama and his administration. Many critics argue that an untested, expensive vaccine, with a shelf life of only a matter of months, is an example of waste -- at best. At worst, it is an example of corruption. In any case, the timing of the deal is poor particularly considering the difficult financial straits that the federal government presently finds itself in.

The Obama administration is defending the deal as being in the interest of national security. They are citing a 2004 report that was presented to then President George W. Bush that smallpox could still be a potential biological threat to the United States. Still, with the presumably effective vaccine that is both inexpensive and already on hand, it must be questioned whether a newer, potentially ineffective solution is needed for what appears to be a nonexistent problem.

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