A lawsuit was filed by 22 state attorney generals on Monday. They opposed the Trump administration’s decision to cut research funding by restricting how universities and research institutions are reimbursed for “indirect costs.”
The lawsuit names both the National Institutes of Health and the Department of Health and Human Services as Defendants, stating that the impact of the changes in indirect rates announced on Friday would be “immediate and catastrophic.”
NIH revealed on Friday that it will cap indirect funding for research projects at 15% and significantly decrease the federal government’s funding for research institutions for equipment, maintenance, utilities, support staff, and more. Previously, these rates were negotiated with the agencies. The new policy took effect on Monday for all new and existing NIH grants.
The lawsuit, filed on Monday in U.S. District Court in Massachusetts and led by the attorney generals of Illinois and Michigan, alleges that the NIH violated the Administrative Procedure Act and disregarded the will of Congress, which aimed to prevent changes in indirect cost rates since 2018.
All Democratic state Attorneys General are part of this lawsuit.
The lawsuit demands a temporary restraining order and an injunction to prevent the NIH from implementing the new rules.
Scientists have warned that reducing indirect costs will negatively impact research efforts, hinder basic science research, and potentially impede disease research and new discoveries.
In response to the proposed changes, the University of California System stated that this will significantly reduce personnel and services, affecting education, training, patient care, basic research, and clinical trials.
Supporters of the NIH policy change argue that indirect costs are currently excessive and need to be controlled.
According to a Friday post by x, Katie Miller from the newly formed Government Efficiency Bureau, or Doge, stated: “This will reduce Harvard’s exorbitant costs by $150 million annually.”
Source: www.nbcnews.com