BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 836
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          Date of Hearing:  June 17, 2014

                            ASSEMBLY COMMITTEE ON HEALTH
                                 Richard Pan, Chair
                     SB 836 (Corbett) - As Amended:  May 27, 2014

           SENATE VOTE  :  37-0
           
          SUBJECT  :  Brain research: Cal-BRAIN program.

           SUMMARY  :  Requests the University of California (UC) to  
          establish the California Blueprint for Research to Advance  
          Innovations in Neuroscience Act of 2014 (Cal-BRAIN) program to  
          leverage California's research assets and the federal Brain  
          Research through Advancing Innovative Neurotechnologies  
          Initiative (BRAIN Initiative) funding opportunities to  
          accelerate the development of brain mapping techniques.   
          Specifically,  this bill  :  

          1)Identifies specific goals for the Cal-BRAIN program, including  
            maintaining California's leadership role in neuroscience  
            innovation; developing dynamic map of the human brain that  
            provides researchers, physicians, and engineers with the  
            knowledge necessary to develop new treatments and technologies  
            that will improve lives and reduce costs of providing health  
            care; supporting the state economy through the expansion of  
            California's high technology and biotechnology sectors; and  
            training the next generation of scientists for the  
            neuroscience and engineering jobs of the future.

          2)Requests the UC convene stakeholders from public and private  
            research institutions, national laboratories, biotechnology  
            and high technology companies, and venture capital firms to  
            develop a governing structure for the Cal-BRAIN program.   
            Requires governing structure to: 
             a)   Adopt a research plant to identify milestones and goals;
             b)   Establish competitive merit-based funding for research  
               institutions and laboratories;
             c)   Adjust the Cal-BRAIN program's priorities and focus  
               based upon knowledge gained from scientific discoveries;
             d)   Establish a technology transfer program to identify and  
               accelerate the commercial application of discoveries and  
               technologies from the Cal-BRAIN program into the  
               marketplace; and,
             e)   Solicit contributions to the Cal-BRAIN program with a  








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               goal of achieving a nonstate funding match that meets or  
               exceeds the financial investment by the state.

          3)Requests the UC to provide information about the Cal-BRAIN  
            program through an Internet Website, including a brief  
            description of funded projects and activities. 

          4)Makes various findings and declarations to support its cause. 

           EXISTING LAW  :  

          1)Establishes the UC, a public trust to be administered by the  
            Regents of the UC and grants the Regents full powers of  
            organization and government, subject only to such legislative  
            control as may be necessary to insure security of its funds,  
            compliance with the terms of its endowments, statutory  
            requirements around competitive bidding and contracts, sales  
            of property, and the purchase of materials, goods and  
            services.  
          2)Provides that statutes related to UC (mostly aspects of the  
            governance and operation of UC) are applicable only to the  
            extent that the Regents of UC make such provisions applicable.

           FISCAL EFFECT  :  According to the Senate Appropriations  
          Committee, if UC chooses to implement, approximately $200  
          million from the General Fund over four years for the UC to  
          establish the Cal-BRAIN program.  Substantial ongoing state  
          costs, potentially offset to an unknown degree by federal and  
          private funds. 

           COMMENTS  :

           1)PURPOSE OF THIS BILL  .  According to the Author, the Cal-BRAIN  
            program is designed to leverage California's assets and  
            capacity for collaboration, entrepreneurship and innovation,  
            combined with federal BRAIN Initiative funding, to help  
            California harness the economic potential of brain mapping  
            techniques and technologies to create jobs and industries of  
            the future, while improving lives. 

            The author further states that this bill is needed to give  
            legislative direction to the UC Regents about how the program  
            should be run, who should be eligible to participate, and what  
            it should accomplish.  The author argues that the UC should  
            use the expertise of our world-renowned public and private  








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            research institutions and private sector partners to advance  
            cutting-edge brain mapping research that can reveal the causes  
            and lead to treatments for brain injuries and disorders, such  
            as Alzheimer's, autism, multiple sclerosis, ALS, and mental  
            illness.  It can also lead to advancements in artificial  
            intelligence, robotics, and information technologies, such as  
            computers and cellphones.

           2)BACKGROUND  .  In 2013, the Obama Administration unveiled the  
            BRAIN Initiative, which is a collaborative project that will  
            map the activity of the human brain with a proposed investment  
            of up to $3 billion over 10 years. For federal fiscal year  
            2014, approximately $100 million is being identified for  
            allocation toward this endeavor with the National Institutes  
            of Health (NIH), the National Science Foundation (NSF), and  
            the Defense Advanced Research Projects Agency (DARPA) working  
            in close collaboration.

           3)PREVIOUS MAJOR SCIENTIFIC INITIATIVES  .  The U.S. government  
            has initiated and successfully funded major scientific  
            challenges in the past, such as the development of the Polio  
            vaccine or sequencing the human genome.  During the 13 years  
            of the Human Genome Project (HGP), an international  
            public-private partnership, scientists were able to sequence  
            the entirety of the human genome.  This required advanced  
            technology development and the assembly of an  
            interdisciplinary team of biologists, physicists, chemists,  
            computer scientists, mathematicians and engineers.  This  
            initiative was profoundly influential in our understanding of  
            human biology, but was also a driver of research in renewable  
            energy development, industrial biotechnology, agricultural  
            biosciences, environmental science, and other disciplines.  An  
            economic impact report published in 2011 by the Battelle  
            Memorial Institute found that between 1988-2010, a $3.8  
            million dollar investment in the HGP by the Federal government  
            yielded $796 billion in US economic output, $244 billion in  
            personal income for Americans, and 3.8 million job-years of  
            employment. 

           4)SUPPORT  .  BayBio and Biocom write that, like the HGP, which  
            mapped the entire human genome and sparked massive investment  
            into genomic-based diagnostics and therapeutics, the BRAIN  
            initiative has the potential to open its own new frontiers of  
            scientific inquiry.  The San Diego Brain Injury Foundation  
            asserts that the financial benefits to the state in the form  








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            of stimulated economic activity would be a tremendous benefit  
            to the economy and more than enough to justify the use of  
            public funds for such an effort. 

           5)PREVIOUS LEGISLATION  .  AB 714 (Wieckowski) of 2013 would have  
            appropriated $1 million from the General Fund to the Spinal  
            Cord Injury Research Fund authorized pursuant to the Roman  
            Reed Spinal Cord Injury Research Act of 1999 (Roman Reed Act).  
             AB 714 was vetoed by Governor Brown vetoed the bill, stating:  


               "Research is a core mission of the University of  
               California. As such, it is entirely within the  
               university system's discretion to fund the Spinal Cord  
               Research Program, or any other project it deems of  
               value. For that reason, I have consistently chosen not  
               to support special earmarks in the University of  
               California's budget and leave it to the university -  
               as deeply steeped in innovation and research as it is  
               - to make funding decisions like this."

          6)DOUBLE REFERRAL  .  This bill is double referred.  Upon passage  
            in this Committee, it will be referred to the Assembly  
            Committee on Higher Education.  
           
           7)POLICY COMMENT:  Given that California has an extraordinarily  
            high concentration of the world's best scientists, several of  
            whom were architects of the original proposal that gave rise  
            to the national BRAIN Initiative, and the state is poised to  
            play a leading role in the national effort.  California's  
            research institutions and businesses are sure to be recipients  
            of significant federal and private grant money involved in the  
            BRAIN initiative, with or without the development of the  
            Cal-BRAIN program.  Should the UC choose to ignore this bill,  
            California is likely to receive significant federal funding.   
            Conversely, should the UC choose to implement this bill, there  
            could be great benefit in having a statewide network to  
            coordinate research efforts, make the most out of funding, and  
            enhance collaboration between researchers, institutions, and  
            businesses. 

           REGISTERED SUPPORT / OPPOSITION  :

           Support  
          Association of Regional Center Agencies








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          ALS Association, Golden West Chapter
          Alzheimer's Association
          BayBio
          Biocom
          California Public Defenders Association
          National Women's Political Caucus of California
          Neurotechnology Industry Organization
          San Diego Brain Injury Foundation
          University of California Student Association

           Opposition  
          None on file.

           Analysis Prepared by  :    Dharia McGrew / HEALTH / (916) 319-2097