SAN FRANCISCO - California Treasurer Phil Angelides and Controller Steve Westly today convened the first of what promises to a series of controversial meetings of the Independent Citizens Oversight Committee, the 27-member panel that will oversee the new California Institute for Regenerative Medicine.

Proposition 71, passed by California voters Nov. 2, authorizes the sale of up to $3 billion in general obligation bonds over the next decade to fund grants and facilities for life-saving stem cell research in California.  The initiative calls for the Institute, overseen by the ICOC, to direct the stem cell research funding.

The makeup and accountability of the ICOC has come under fire from citizen and taxpayer groups who expressed concern about the perceived “coronation” of Prop 71 campaign chairman Robert Klein II to head up the panel. Klein was the only nominee for the chairmanship of the 27-member panel and was duely handed the post at the meeting held in San Francisco.

Three individuals were nominated for the position of vice chair which went to Gov. Schwarzenegger’s appointee, Ed Penhoet.

Organizers of the meeting had planned to conduct additional business but were derailed when at least one watchdog group pointed out that the group may be violating the state’s open meeting laws. Consequently, the ICOC went through the formality of selecting its leadership and accepted some public comment that mostly focused on what some attendees felt is a “lack of transparency” inherent in the panel. Speakers also took issue with the power embued to the chairman’s role. 

In addition, concerns have emerged regarding special interests - such as pharmaceutical companies - and the ties of board members to some of those firms. Defenders have responded to this criticism by pointing out that, given the specialized niche of biomedical research, it would be very difficult- if not ill advised - to find an expert not connected with the pharma industry in some way.

Joining officials at a news conference just before the meeting were three individuals facing diseases that scientists believe may be treated or cured through stem cell research.  Joan Samuelson, an ICOC member and Angelides’ nominee to be the committee’s vice-chair, is the founder and president of Parkinson’s Action Network, an education and advocacy group for Parkinson’s patients.  David Serrano Sewell, also an ICOC member, is a deputy city attorney in San Francisco who was diagnosed with Multiple Sclerosis three years ago and has channeled his experience in community activism into advocacy for MS patients.  Janet Paroo was diagnosed with bone marrow cancer, and went into remission following a stem cell transplant.

The ICOC includes representatives of the five University of California campuses with medical schools and members appointed by the governor, lt. governor, treasurer, controller, Senate president pro tempore and speaker of the Assembly. Those appointees include four representatives of California universities, four representatives of non-profit research institutions, four representatives of commercial life sciences entities, and 10 representatives of disease advocacy groups.