The stem cell research prospects in New Jersey has experienced a setback when the people of the same state voted against a referendum to boost the stem cell research funding by $450 million. The new legislation, introduced last month by State Assemblyman Neil Cohen, would establish a pool of research money from Wall Street investment firms that the state could allocate to research institutions in the form of loans. Investors would receive equivalent tax credits for any loans not repaid by the research institutions.

It has been a serious blow to the stem cell research facility in the state. Ihor Lemischka of the Black Family Stem Cell Institute at Mt Sinai School of Medicine in New York, said that without proper funding, the prospects for research are dim. He says,

“Yes, it was nice to get small to medium sized grants but this is not the kind of initiative that will sustain already-existing [stem cell] research, and certainly not the kind of effort that will encourage people to relocate to the state.”

However, the Assemblyman Neil Cohen is hopeful of the prospect of the state as the future state of stem cell research. He has been in negotiations with two investment firms. In an interview to The Scientist he said that one is ready to commit $500 million to fund stem cell research in New Jersey. For now, that money would be restricted to adult stem cell research, in order to move the bill swiftly through the legislative process. He hopes to announce the name of the firm that plans to invest in the scheme in a matter of weeks, and have the legislation passed by the end of summer.

On the other hand, Lemischka thinks that the steps taken by the govt. is too little and too late. Even had the November referendum been passed, he added, the money wouldn’t have been enough to bolster the dearth of stem cell research in the state. Speaking to the Scientist, he says,

“Yes, it was nice to get small to medium sized grants but this is not the kind of initiative that will sustain already-existing [stem cell] research, and certainly not the kind of effort that will encourage people to relocate to the state.”

Lemischka also added that he opines the New Jersey has never had the right system in place to promote stem cell research. The state never approached researchers and asked them for advice on allocating funds or how to go about funding stem cell research.

Source: The Scientist