"Progress is built on failure as evolution is built on death."
Actually, evolution is built on the survivors. The dead are collateral damage.
Evolution works be throwing enough variants against the wall to see what sticks. To do that there needs to be a lot of variants. Will ARPA-H be able to afford enough?
Also it's worth remembering evolution is quite capable of producing sub-optimal solutions. What evolution produces depends on the survivable options that it took to get to wherever it is now. There are a lot of advantages to walking upright but anyone suffering a bad back should be able to tell the Intelligent Design believers they've got it wrong. Don't follow the evolution model too closely.
And why isn't it HARPA rather then ARPA-H?