Frank Sietzen: Nonprofits at core of stem cell funding

Nonprofit organizations have moved to fill the financial void created by federal funding restrictions for embryonic stem cell research by bypassing the political deadlock and directly providing critically needed money.

While the raising of funds by universities and research institutions is nothing new, what has been unique is the ability of foundations and grantmakers to independently evaluate potential areas of stem cell work and make their own choices on whether to endow them — often without being solicited by the researchers. Grantmakers have also acted to stimulate scientists and researchers in other countries.

“Hadassah has been very active in promoting human embryonic stem cell research, both in scientific research at our institutions in Israel, and in pursing legislative remedies here at home,” said Marla Gilson, director Hadassah Washington Action Office. Last week, her organization was honored by the Genetics Policy Institute for its independent support for stem cell research.

Other organizations have been established to initiate stem cell research without federal funds.

“We are a state agency designed to fill the gap in embryonic stem cell research and other vital research opportunities left by the federal government,” said Nicole Pagano of the CaliforniaInstitute for Regenerative Medicine.

Eventually, Pagano said, the institute will fund stem cell research using general obligation bonds, but its efforts have been blocked thus far by lawsuits.

“In the interim, private individuals and foundations have filled the breach,” she said.

The institute issued $12.1 million in grants to 16 California nonprofits to fund the training of new stem cell scientists. That money came from the sale of $14 million in Bond Anticipation Notes, which were bought by six California-based charities.

The institute also announced this spring that it was processing another $32 million in commitments from foundations. The amount, said Robert Klein, chairman of the institute’s Independent Citizens Oversight Committee, would lift the organization beyond the reach of the current litigation.

On the other coast, Harvard University announced plans last week to create disease-specific embryonic stem cells derived from adult cells, a project of its stem cell institute. The institute receives all its funding from private and philanthropic sources, the university said.

Hadassah’s Gilson added that while foundation funding has been essential to starting new lines of research, the amounts are small when compared to the kind of funding that would be possible through federal grants. Furthermore, she said, a central clearinghouse is needed to vet the many social concerns raised by the research.

“Without the ethical, legal and social implications oversight of [National Institutes of Health] administrators and scientists, and their vast experience and expertise in human medical research, there is no one regulating this promising new science,” Gilson said.

Have information about area nonprofits? Contact Frank Sietzen at [email protected].

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