How America Lost the War on Drugs

The law, drug agents say, sparked two changes in the market for illegal meth. First, the supply of ephedrine simply moved overseas: The Mexican cartels, quick to recognize an emerging market, evaded the restrictions by importing powder from China, India and Europe and then smuggling it across the border to the biker groups that had traditionally distributed the drug. "We actually had meetings where we planned for a turf war between the Mexicans and the Hells Angels over methamphetamine," says retired DEA agent Mike Heald, who headed the San Francisco meth task force, "but it turned out they realized they'd make more money by working together." Second, responding to a dramatic uptick in demand from the illegal market, chemical-supply companies began moving huge amounts of ephedrine and pseudoephedrine out to the West Coast in the form of pills, which were then converted into meth. Rather than stemming the tide of meth before it started, the Reagan administration had unwittingly helped accelerate a new epidemic: Between 1992 and 1994, the number of meth addicts entering rehab facilities doubled, and the drug's purity on the street rose by twenty-seven percent.

Haislip resolved to have another go at Congress, but the issue ended up in a dispiriting cycle. The resistance, he says bitterly, "was always coming from the same lobbying group." In 1993, when he persuaded lawmakers to regulate the sale of ephedrine in tablet form, the pharmaceutical industry won an exception for pseudoephedrine. Drug agents began to intercept shipments of pseudoephedrine pills in barrels. Three years later, when lawmakers finally regulated tablets of pseudoephedrine, they created an exception for pills sold in blister packs. "Congress thought there was no way that meth freaks would buy this stuff and pop the pills out of blister packs, one by one," says Heald. "But we're not dealing with normal people — we're dealing with meth freaks. They'll stay up all night picking their toes."

By the time Haislip retired, in 1997, the methamphetamine problem was really two problems. There were the mom-and-pop cooks, who were punching pills out of blister packs and making small batches of drugs for themselves. Then there were the industrial-scale Mexican cartels, which were responsible for eighty percent of the meth in the United States. It took until 2005 for Congress to finally regulate over-the-counter blister packs, which caused the number of labs to plummet. But once again, the Mexican groups were a step ahead of the law. In October 2006, police in Guadalajara arrested an American chemist named Frederick Wells, who had moved to Mexico after losing his job at Idaho State University. An academic troublemaker who drove around campus with signs on the back of his pickup truck raging at the college administration, Wells had allegedly used his university lab to investigate new ways that Mexican traffickers could use completely legal reagents to engineer meth precursors from scratch. "Very complicated numerical modeling," says his academic colleague Jeff Rosentreter. By the time Wells was arrested, the State Department had only just succeeded at pressuring Mexico to restrict the flow of pseudoephedrine, even though Wells had apparently been hard at work for years creating alternatives to that chemical. The lobbying by the pharmaceutical industry, Haislip says, "cost us eight or nine years."

For some in the drug war, it was a lesson that even the most promising efforts to restrict the supply of drugs at the source — those that rely on legal methods to regulate legally produced drugs — remained nearly impossible, outflanked by both drug traffickers and industry lobbyists. The tragedy of the fight against methamphetamine is that it repeated the ways in which the government tried to fight the cocaine problem, and failed — racing from source to source, trying to eliminate a coca field or an ephedrine manufacturer and then racing to the next one. "We used to call it the Pillsbury Doughboy — stick your finger in one part of the problem, and the Doughboy's stomach just pops out somewhere else," says Rand Beers. "The lesson of U.S. drug policy is that this world runs on unintended consequences. No matter how noble your intentions, there's a good chance that in solving one problem, you'll screw something else up."

6. THE GENERAL & THE ADMAN

Within the Clinton White House, the reform effort spearheaded by Lee Brown had created a political dilemma. Republicans, having taken control of Congress in 1994, were attacking the administration for being soft on drugs, and the White House decided that it was time to look tougher. "A lot of people didn't think Brown was a strong leader," Panetta tells me. As senior figures within the administration cast about for a replacement, they started by thinking about who would be the opposite of Brown. "We wanted to get someone who was much stronger, much tougher, and could come across that way symbolically," Panetta says.

During the planning for a possible invasion of Haiti, Panetta and others had discovered a rising star at the Pentagon, a charismatic, bullying four-star general named Barry McCaffrey, who had annoyed many in the Pentagon's establishment. In 1996, halfway into his State of the Union address, Clinton looked up at McCaffrey, a lean, stern-seeming military man in the balcony, and informed the nation that the general would be his next drug czar. "To succeed, he needs a force far larger than he has ever commanded before," Clinton said. "He needs all of us. Every one of us has a role to play on this team." McCaffrey, the bars on his epaulets shimmering, saluted. It was one of the president's biggest applause lines of the night.

For the drug warriors in McCaffrey's office, "the General" was everything the languid, considered, academic Lee Brown had not been. "It was clear from the outset that here was a guy who would take advantage of the bully pulpit and who, unlike Brown, would probably be able to get things done," says Bergman, Brown's former liaison. "One thing that surprised us all was how thoughtful he was — he wasn't a knee-jerk, law-enforcement guy. He understood there needed to be money for treatment. He prided himself on being very sensitive to the racial issues, and he was sensitive to the impact of sentencing laws on African-American men." McCaffrey imported his own staff from the Southern Command — mostly men, all military. They lent the White House's drug operation — previously a slow place — the kinetic energy of a forward operating base. "We went to a twenty-four-hour clock, so we'd schedule meetings for 1500," one longtime staffer recalls. "His people sat down with senior staff and told us what size paper the General wanted his memos on, this kind of report would have green tabs, this would have blue tabs."

The General's genius was for publicity. "He was great at getting visibility," Carnevale says. McCaffrey held grandstanding events everywhere from Mexico to Maine, telling reporters that the decades-long narrative of impending doom around the drug war was out of date — and that if Congress would really dedicate itself to the mission, the country had a winnable fight on its hands. Drug-use numbers were edging downward; even cocaine seemed to be declining in popularity. "We are in an optimistic situation," McCaffrey declared.

For the first time ever, McCaffrey had the drug czar's office develop a strategy for an endgame to the drug war, a plan for finishing the whole thing. The federal government needed to reduce the amount of money it was spending on law enforcement and interdiction. But McCaffrey believed this was only possible once it could guarantee that drug use would continue to decline. "The data suggested very strongly that those who never tried any drugs before they were eighteen were very likely to remain abstinent for their whole lives, but that those who even smoked marijuana when they were teenagers had much worse outcomes," says McCaffrey's deputy Don Vereen. So the General decided to focus the government's attention on keeping kids from trying pot.

The "gateway theory," as it became known, had a natural appeal. Because most people who used hard drugs had also smoked marijuana, and because kids often tried marijuana several years before they started trying harder drugs, it seemed that keeping them off pot might prevent them from ever getting to cocaine and heroin. The only trouble is, the theory is wrong. When McCaffrey's office commissioned the Institute of Medicine to study the idea, researchers concluded that marijuana "does not appear to be a gateway drug." RAND, after examining a decade of data, also found that the gateway theory is "not the best explanation" of the link between marijuana use and hard drugs. But McCaffrey continued to devote more and more of the government's resources to going after kids. "We have already clearly committed ourselves," he declared, "to a number-one focus on youth."