Prop. 38: The billion-dollar bond measure for immunology research

GET READY TO VOTE

• What’s at stake?
• Why now?
• <b>Here’s what supporters say</b>
• <b>Here’s what opponents say</b>
• Potential financial impact
• Follow the money

This measure allows California to borrow $8.4 billion in bonds to pay for the study of the human immune system and to develop treatments that help it fight diseases. It requires the state to enter into a partnership with — and allocate about half of the bond funds to — a University of California-affiliated institute that meets specific criteria. The other half of the funds would go toward competitive research grants. The measure would require at least half of the bond funds be used for immunology research on cancer, heart disease and Alzheimer’s disease.

What’s at stake?

Supporters of Prop. 38 say that uncertainty around federal funding for scientific research means that other funding sources are needed and that the research could lead to treatments that help tens of millions of patients living with Alzheimer’s disease, cancer or heart disease.

Opponents of Prop. 38 say it would seemingly steer $4.2 billion — half the bond funds — to one research group.

A CalMatters analysis of Prop. 38 found that only one organization would probably qualify for the partner research institute under the measure’s current language: the California Institute for Immunology and Immunotherapy. The cofounder of the California Institute for Immunology and Immunotherapy is the measure’s main backer, CalMatters reports. Opponents question why, with several viable immunology research institutes in the state, the measure would apparently single out just one recipient.

Backers of Prop. 38 contend that the specific criteria detailed in the measure do not solely apply to the California Institute for Immunology and Immunotherapy, according to the CalMatters analysis.

Why now?

Prop. 38’s backers also say the research funded by the measure could lead to treatments that help tens of millions of patients living with Alzheimer’s disease, cancer or heart disease at a time when federal funding for scientific research is precarious.

Here’s what supporters say

• The Yes on Prop. 38 website states that the $8.4 billion is “vitally needed funding to advance breakthrough immunology research” that could have a positive impact on the lives of millions of people living with Alzheimer’s disease, cancer or heart disease. 
  
• Notable supporters: Alzheimer’s Los Angeles, The Michael J. Fox Foundation for Parkinson’s Research, California Black Health Network

Here’s what opponents say

• The Yes on Prop. 38 website states that the measure could “unfairly” steer $4.2 billion to one research organization. 
  
• Notable opposition: League of Women Voters of California, Orange County Register Editorial Board

Potential financial impact

The measure would lead to an increased cost of $500-$600 million annually for about 20 years for the state, representing about 0.25% of the state’s total General Fund budget, according to the state’s Legislative Analyst’s Office.

The LAO reports that there could be opportunities for “significant” revenue from the measure, if the research it funds leads to viable treatments.

Follow the money

The LAist Voter Guide will include more campaign financing data as we get closer to Election Day.

Go deeper

• This CA proposition will send $4 billion to a single nonprofit. Who’s behind it?
• Guide to Prop. 38 (The Sacramento Bee)
• Guide to Prop. 38 (CalMatters)