California and Illinois release funds to accelerate stem cell research

California Governor Arnold Schwarzenegger this week authorised a $150 million loan to allow the California Institute for Regenerative Medicine (CIRM) to fund initial research grants while litigation proceeds on the disputed bond allocation. Proposition 71 was passed by Californian voters in November 2004 allowing stem cell research to proceed in the state, bypassing federal restrictions, and allowed for up to $3 billion to be provided by the sale of bonds to fund research. Litigation from pro-life groups has delayed the sale of bonds, although the institute has raised around $50 million in bond anticipation notes from philanthropists and private foundations. The loan will be paid from California's Department of Finance and will enable the Institute to begin funding stem cell research before the court challenges are resolved, expected to be later this year.

Zach Hall, President of the CIRM, responded to the loan by saying "this bold action by Governor Schwarzenegger gives a tremendous boost to stem cell research in California, allowing CIRM to move immediately into a major program of research in California for the benefit of patients worldwide. We will now be able to get to work in earnest on this exciting new frontier and join our colleagues in other states and countries to move the field forward'. A spokesman from the Department of Finance confirmed that the money would be available quickly: 'We anticipate a couple of months at most before the money would go out the door', he said. Schwarzenegger, who is hoping to be re-elected in November, is distancing himself from President Bush, also a Republican, by supporting stem cell research and by publicly responding in this way to Bush's federal funding veto.

In Illinois, State Governor Rod Blagojevich, a Democrat, has once again used his executive power to direct state funds into stem cell research. A year ago Blagojevich used an executive order to direct $10 million into the controversial research against the wishes of Illinois legislators. In a similar move this week, in response to Bush's use of the veto to block federal funding for the research, the Illinois Governor has announced the release of $5 million from money in the state budget that had been put aside to pay administrative expenses at the Department of Health Care and Family Services. The money will be used to award grants to researchers that have submitted proposals to the Illinois Regenerative Medicine Institute. The grants were reviewed by an outside panel of stem cell research experts and bio-ethicists.

State Representative Dan Beiser, also a Democrat, responded by saying 'I am disappointed in the way Governor Blagojevich chose to fund this research. The governor has discarded the input of voters by acting without the approval of legislators'. Earlier this year the state lawmakers blocked the Governor's proposal to direct $100 million in funding toward stem cell research over the next five years. Governor Blagojevich commented in a statement that 'it would be wrong to ask sick and injured people and their loved ones to wait for the tides in Springfield and Washington to change before research into potentially lifesaving cures can move forward. Investing in research that can save lives and prevent serious illnesses is more than a sound public health strategy, it's our moral obligation'. In April, Illinois Judge James Henry ruled that he wouldn't block the executive order, noting that whether Blagojevich was exceeding his constitutional authority was a matter for Illinois voters and the state legislature to decide.

In related news, Matt Blunt, the Republican Governor of Missouri, continues to support the 'Missouri Stem Cell Research and Cures Initiative' proposal but will not play a role in campaigning for the referendum expected to be held in the autumn. Spokesman Spence Jackson confirmed that 'the governor has his own set of priorities that he wants to devote his attention to'. Maintaining a low profile this autumn when the ballot initiative for a constitutional amendment to protect stem cell research is heard, should help Blunt keep the delicate balance between the Republican movement in Missouri, the Church (Blunt is a Southern Baptist, whilst the denomination has condemned stem cell research) and the Missouri Coalition for Lifesaving Cures. Earlier this week Blunt signed a bill allowing tax credits for donations to pregnancy crisis centers, largely set up by anti-abortion groups.