The governor's action, a day after President Bush vetoed expanded federal support for embryonic stem cell science, is expected to kick-start the state's long-delayed program to pay for cutting-edge research projects.

"We can no longer afford to wait to fund this important research," Schwarzenegger wrote in a letter that directed his finance director to make the loan. "I remain committed to advancing stem cell research in California, in the promise it holds for millions of our citizens who suffer from chronic diseases and injuries that could be helped as a result of stem cell research."

Schwarzenegger's decision, which drew praise from research advocates but was derided as a political stunt by opponents, comes with some financial risk for the state.

In 2004, 59% of voters passed Proposition 71 to authorize $3 billion in bonds to fund stem cell research. But litigation has paralyzed the bond process. A Superior Court judge issued a strongly worded ruling in May in favor of the state, calling the bonds valid. However, the plaintiffs -- taxpayer and religious groups -- have vowed an appeal. If Proposition 71 is deemed unconstitutional, the state loan would not be repaid.

Politics being politics, the LA Times wonders about how this move by Schwarzenegger will influence the Republican moderates in his re-election bid.