This is how the federal government works. Every agency of the different cabinet departments gets a spending budget. In this case HHS earmarks a certain budget for NIH. At the time the budget is done, it specifies how much money is available for what kind of project. President Bush could have told Secretary Thompson, that he will not allocate any money for embryonic stem-cell research if the cells come from aborted tissues. Under this fictitous law, a President cannot cut off funding, but it does not say that a President must fund. If this kind of funding has been going on for years, then there is no point of this Sunday front page article. Obviously, this is something new, which the President could have avoided during the budget process.
If the President was really serious about this issue, he could have gone to the local circuit court and ask for an injunction. He didn't, and that proves that he is indifferent in this matter.
That's an interesting take on it. I wonder what would have happened if the President decided to force the issue.
The funding for this does not come from the presidents discretionary HHS budget.