Funding Update

Research on embryonic stem cells has the potential to elucidate treatments and cures for a variety of diseases. Although work in this area is at an early stage, researchers are beginning to understand more about how these cells work and are striving to push in new directions.

An important factor that will limit the rate at which researchers proceed is funding. Currently, federal funding is limited to work that involves cell lines derived before Aug. 9, 2001 (C&EN, July 19, 2004, page 16). This means that researchers wanting to work with cell lines derived since that time must find funding from sources outside the federal government.

One funding source that is increasing its efforts to fill the void left by the federal government is state legislatures. Most notable has been California, which included an initiative, called Proposition 71, in the ballot for the November 2004 elections. Proposition 71 got the thumbs-up from voters to provide $3 billion for embryonic stem cell research over 10 years through the sale of bonds. The measure also creates the California Institute for Regenerative Medicine and will begin funding research later this year.

With this action, California has set itself apart. It hopes to pull talented scientists interested in doing stem cell research away from other states and into its research institutions and facilities. The threat of losing talent has prompted other states to take action.

"Every research-intensive state is concerned about the competitiveness issue that they are going to face in the areas of stem cell research and, more broadly, biology-based research because of the investment California is going to make," says Lawrence Solar, vice president for government relations at the Juvenile Diabetes Research Center. JDRC is an active supporter of and a funding source for stem cell research.

Solar notes that at least 10 states are considering legislative initiatives akin to California's. For example, Illinois legislators are drafting a proposal to increase the state's support of stem cell research by providing $1 billion for grants over a 10-year period, subject to approval in a statewide referendum. Legislators from New York have also proposed a $1 billion stem cell initiative funded by bond sales.

Elsewhere, New Jersey Acting Gov. Richard J. Codey (D) has called for a $380 million investment in stem cell research, and Wisconsin Gov. James E. Doyle (D) has pledged $750 million in support. Other states, including Connecticut, Maryland, and Virginia, also have pledged money for stem cell research.

"The passage of the initiative in California has really changed the landscape quite a bit," Solar says, adding that the number of states passing measures to fund stem cell research will continue to grow. "I think there is no doubt about it."

That's good news for researchers who can't afford to put parts of their research on hold until the federal policy changes.