This article over at First Things is tendentious and controversial. And it's dead right. Do take half an hour and read it carefully. Thanks to CrimsonLine for reminding me why I like First Things so much.
My own opinion: Embryonic stem cell research is an egregious waste of scarce resources and an unconscionable privileging of the desires of the haves to the detriment of the have nots. For that reason alone the research should not receive a single penny of taxpayer dollars; it is completely disingenuous to paint this solely as a religious/pro-life battle.
(Although it certainly is that.)