Audit calls for transparency on state biomedical spending

[Source: Ken Alltucker, The Arizona Republic] - The state commission that funds more than $10 million in biomedical research awards each year needs to do a better job of reporting how scientists and research organizations parlay those state funds into tangible benefits such as jobs, patents and federal grants.

A state audit of the Arizona Biomedical Research Commission released Tuesday concludes that state-funded research appears to benefit Arizonans, but the biomedical commission does not always collect and report pivotal details that would measure those benefits for taxpayers.

The state's auditor general recommends that the biomedical commission revamp the way it collects and reports data about projects it funds for groups such as the Translational Genomics Research Institute (TGen), the state's universities and others.

The audit and sunset review will be forwarded to a joint legislative committee that will recommend whether the biomedical commission's funding should continue. It is set to expire Oct. 1, 2009.

The legislative review, expected this fall, will be closely watched by bioscience groups that turn to the biomedical commission as a critical funding source for early-stage research. The commission is a key part of Arizona's push to invest millions in biotech research to create jobs and medical discoveries.

"The findings, at least as I have read through them, don't appear to point out anything glaring that would make people not want to fund (the biomedical commission)," said Rep. John Nelson, chairman of the joint legislative audit committee.

Jim Matthews, deputy director of the biomedical commission, said his group "agrees wholeheartedly" with the audit's recommendations and will make the requested changes.

The biomedical commission is funded by Arizona's tobacco fund and lottery collections, so the amount available for grant awards varies each year. In fiscal 2008, the biomedical commission awarded $6.6 million in competitive grants to scientists at the University of Arizona, Arizona State University, Sun Health Research Institute, St. Joseph's Hospital and Medical Center, Northern Arizona University, TGen and others.

In addition to the competitive grants, the commission awards TGen $5.5 million each year, making the Phoenix-based genomics group the biomedical commission's largest funding recipient.

Overall, the audit found that the biomedical commission's reporting was a mixed bag. It did not always report detailed information on projects that may be of interest to Arizona residents such as the seed funding that helped a team of Arizona research groups secure a $2.8 million grant from the Michael J. Fox Foundation for Parkinson's disease research. The biomedical commission also did not require state-funded scientists to report presentations made to other scientists.

The report also noted that the biomedical commission either did not collect or did not report key information provided from TGen under terms of its contract. The audit found that the biomedical commission did not report complete information about TGen's patent activities, the number or types of jobs created and research of interest to Arizona residents.

TGen considers the funding as a critical source of money to fund operating expenses such as personnel, equipment, supplies, travel, infrastructure and administrative expenses. The money allows TGen to pursue federal grants as it works to ramp up its research prowess.

TGen representatives said the funding is important because it typically can't spend federal grant dollars or some philanthropic gifts on operating costs.

"If we didn't have that $5.5 million, it would be a radically different looking TGen,"

One biomedical commission member sits on TGen's board, and the Phoenix research institute has opened its doors for periodic tours. Burleson added that TGen officials met with state auditors and members of the biomedical commission and agreed to include any requested information in the format the state wanted.

"Our goal is to make sure we are good partners in everything we do," Burleson said.

The audit recommends the biomedical commission:

• Revise its annual progress report to reflect more detailed information such as whether the state funding helped researchers secure patents or receive additional funding from other sources. The audit also suggests the biomedical commission report the progress of research projects relevant to Arizonans such as valley-fever or skin-cancer research.

• Post the annual report on its Web site.
• Ensure that TGen reports details about job creation, presentations, research projects relevant to Arizonans and collaborations with other scientists. It also recommended that the commission's annual report include the same information contained in TGen's annual report.

TGen and ADHS receive ABRC grant to study Valley Fever genome

[Source: TGen] - The Translational Genomics Research Institute (TGen) and the Arizona Department of Health Services have been awarded a highly competitive Arizona Biomedical Research Commission (ABRC) grant to study the genome of the fungus that causes Valley Fever, a respiratory illness caused by the inhalation of fungal spores that live in the soils of the desert southwest. This research will result in new analytical tools that will help determine where Valley Fever comes from, how transmission occurs, and a way to link cases to sites of exposure. This information may lead to important public health interventions to potentially limit the spread of disease.

Valley Fever, also known as Coccidioides, is estimated to result in over 100,000 infections every year, mostly in Arizona. Over the last two years, Arizona has experienced a dramatic surge in the number of cases. According to the Arizona Department of Health Services, the number of reported Valley Fever cases hit a record high last year, with 5,535 cases in Arizona - up 57 percent from 2005. The cause for this surge is not well understood, but may be related to a combination of increased construction in virgin desert, an increase in new residents from other places in the country that don't have Valley Fever, and changing climate patterns. "Valley Fever may be the most important infectious disease in Arizona, in terms of sheer numbers of infections," said David Engelthaler, the Director of Programs for TGen North, and the former State Epidemiologist for Arizona. "This grant will allow for our researchers to explore the Valley Fever genome in a way that has never been done before."

TGen North, the Pathogen Genomics Division of TGen, is located in Flagstaff, Arizona. Under the direction of Dr. Paul Keim, a national expert on pathogen genomics, the TGen North team is working to develop new clinical diagnostic tools to rapidly identify Valley Fever cases. "This important Valley Fever grant is a step in the right direction," said Dr. Keim. "However, the need for research on this disease far outweighs the funding available. Because Valley Fever is mostly contained to the southwest, it does not show up on the federal radar screen. This is an Arizona problem and it will take and Arizona solution. The ABRC is to be commended for helping to take this issue head on." The total funding from ABRC will be $300,000 over the next two years. TGen and the Arizona Department of Health Services will collaborate on both the Coccidioides genome exploration project and new diagnostic development.

"This is an important step in combating Arizona's epidemic," said Susan Gerard, Director of the Arizona Department of Health Services. "Today's announcement shows Arizona is serious about addressing this health problem. Much more work is ahead of us, but this is a great start."

The Valley Fever Center for Excellence (VFCE) in Tucson, Arizona, has also promised its support for these studies. The VFCE is the site of ongoing studies for new drugs and vaccines for Valley Fever.

New leads for cancer drugs

Tumor cells don't play by the rules that other cells have to follow. They grow and multiply unchecked because the mechanisms that regulate cell growth and program cell death have been turned off, making the renegade cells immortal. Cancer researchers are focusing on the role of particular enzymes involved in this biochemical malfunction to find new ways to halt or kill malignant tumors. Generally, enzymes play a key role in the signaling pathways of individual plant and animal cells.

Scientists at the University of Arizona have identified a new series of compounds that can halt the action of a specific enzyme called protein kinase B, also known as Akt, in cancer tumor cells. Their findings have been patented and will soon reach the clinical testing phase for the treatment of patients afflicted with cancer. The research is funded by the National Institute of Health and the Arizona Biomedical Research Commission.

[Note: Contact Emmanuelle Meuillet at emeuillet@azcc.arizona.edu. To learn more, visit http://cals.arizona.edu/pubs/general/resrpt2006/article8_2006.pdf.]