TO:

Assemblymember Mark Leno, Chair
Assemblymember Mimi Walters, Vice Chair
Assemblymember Anna M. Caballero
Assemblymember Mike Davis
Assemblymember Mark DeSaulnier
Assemblymember Bill Emmerson
Assemblymember Warren T. Furutani
Assemblymember Jared Huffman
Assemblymember Betty Karnette
Assemblymember Paul Krekorian
Assemblymember Doug La Malfa
Assemblymember Ted W. Lieu
Assemblymember Fiona Ma
Assemblymember Alan Nakanishi
Assemblymember Pedro Nava
Assemblymember Sharon Runner
Assemblymember Jose Solorio

Dear Assemblymembers:

The Center for Genetics and Society is a nonprofit information and public affairs organization encouraging responsible uses and effective societal governance of human genetic and reproductive technologies. While we support embryonic stem cell research, we have been concerned about certain shortcomings in Proposition 71 and, since its passage, some actions of the leadership of the California Institute for Regenerative Medicine (CIRM).

We support SB 1565, an act to add amend the Health and Safety Code, and encourage you to vote for its passage.

First, the bill provides a minimum standard for intellectual property agreements governing discoveries made with public funds. This will help ensure that Californians, particularly low income residents, can access products developed with their tax dollars. Although the CIRM has access policies in place, such a statutory floor is needed because the CIRM’s policies can be changed. Moreover, the leadership of CIRM resisted adopting these policies, which were approved only after intense public and legislative pressure.

Second, it reduces from a two-thirds supermajority to a simple majority the margin needed in the CIRM's grants review working group to approve biomedical research other than embryonic stem cell research. In reality, the working group operates on consensus, and the CIRM is already generously funding non-embryonic stem cell research. Potential alternatives to embryo-based research have recently been developed, and the federal government will likely soon end its funding restrictions. While this component of the bill is in some ways symbolic, it will allow the CIRM to better adapt to changing circumstances. Furthermore, embryonic stem cell research is a means, not an end. The goal is to develop therapies, and all potential methods of doing so should compete on a level playing field.

Third, the bill asks the Milton Marks "Little Hoover" Commission on California State Government Organization and Economy to review the governance structure of the CIRM. Presently, the CIRM is governed by a board that solely consists of constituencies with a stake in stem cell research, and is dominated by representatives of the actual grant recipients. These built-in conflicts of interest are not only been intensified by the individual interests of the current board members, but have also been the source of several controversies. Furthermore, the governing board is effectively autonomous, and need not report to any elected officials. A report by the Commission would be a good first step to much-needed reform.

Finally, the bill should be considered in the context of Proposition 71, which established the CIRM, and the recent actions of its leadership. Although the agency spends taxpayer dollars, Proposition 71 contains no mechanisms of accountability for the CIRM to the voters or their representatives. Moreover, the leadership of the CIRM has engaged in heavy-handed opposition, often through its affiliated lobbying organization, to any proposed involvement by the Legislature.

Again, I encourage you to vote for SB 1565.

Sincerely,

Jesse Reynolds
Policy Analyst
Director, Project on Biotechnology in the Public Interest
Center for Genetics and Society