Drastic Indirect Cost Rates Imposed At NIH

Keith’s note: Heads Up NASA: it would not be at all surprising if other agencies such as NASA were directed to take similar unilateral action. Imagine how the external space science community will respond. Will external research organizations even be able to support future NASA research? What programs will simply stop? And how does this keep ‘America Great in Space Science’? Oh yes: JPL works as a contractor to NASA.

• The NIH’s drastic cut to indirect cost rates is a critical threat to U.S. research infrastructure, Stat: “The National Institutes of Health has made a landmark decision that could irreparably damage the backbone of American scientific innovation: a dramatic reduction in the indirect cost rate for research grants. This sweeping policy change sets the indirect rate to 15%, a stark contrast with the 60% or more that many institutions currently rely on for essential administrative and operational costs.”
• NOT-OD-25-068: Supplemental Guidance to the 2024 NIH Grants Policy Statement: Indirect Cost Rates, NIH: “Pursuant to this Supplemental Guidance, there will be a standard indirect rate of 15% across all NIH grants for indirect costs in lieu of a separately negotiated rate for indirect costs in every grant.”