Funds lagging for new stem cell centre

A skeleton administrative staff is at work on the $43.5 million National Stem Cell Centre even though Federal government has yet to sign a deed of agreement for the controversial research institute.

Without the deed, no public funding can flow to the projected centre.

Interim expenses are being met by bridging finance in the form of a loan account provided by Monash University.

Centre chairman Bob Moses said completing the deed of agreement was his first priority.

"Several issues need to be resolved and then in my view it will be ready for execution."

He declined to elaborate on which issues remain as sticking points.

The future of the centre is not formally tied to the passage of legislation governing embryonic stem cell research which is now before Federal Parliament. But failure to pass the legislation would effectively "tie one arm behind the back of a national stem cell centre," Moses said.

The state of limbo in which the centre currently sits is causing concern to some researchers who will be attached to it.

One is leading adult stem cell specialist, Assoc Prof Paul Simmons of the Peter McCallum Cancer Research Centre, sits on the centre's executive research committee.

In an exchange with Senator Brian Harradine during a recent Senate committee hearing on embryonic stem cell research, Simmons conceded he was becoming "anxious" about the funding issue for the centre.

No money was available to purchase equipment, he told Harradine.

However, Moses said the centre's organisers "are simply moving forward on the expectation that a deed of agreement will be signed shortly and funding provided as planned."