OFFICIAL TITLE AND SUMMARY
Prepared by the Attorney General

Proposition 71

Stem Cell Research. Funding. Bonds.
Initiative Constitutional Amendment and Statute.

• Establishes "California Institute for Regenerative Medicine" to regulate stem cell research and provide funding, through grants and loans, for such research and research facilities.
• Establishes constitutional right to conduct stem cell research; prohibits Institute's funding of human reproductive cloning research.
• Establishes oversight committee to govern Institute.
• Provides General Fund loan up to $3 million for Institute's initial administration/implementation costs.
• Authorizes issuance of general obligation bonds to finance Institute activities up to $3 billion subject to annual limit of $350 million.
• Appropriates monies from General Fund to pay for bonds.

Summary of Legislative Analyst's Estimate of Net State and Local Government Fiscal Impact:

• State cost of about $6 billion over 30 years to pay off both the principal ($3 billion) and interest ($3 billion) on the bonds. Payments averaging about $200 million per year.
• Unknown potential state and local revenue gains and cost savings to the extent that the research projects funded by this measure result in additional economic activity and reduced public health care costs.