Dear colleagues,
On Friday, the National Institutes of Health (NIH) proposed changes to the reimbursement of indirect research costs (F&A). The proposed rate of 15% applies to new and existing grants.
More specifically, indirect research expenses paid for by the federal government include the costs for:
- maintaining state-of-the-art research laboratories
- facilitating high-speed data processing
- ensuring national security protections (e.g., export controls, cybersecurity, research data security)
- protecting patient safety protocols (e.g., human subjects protections)
- radiation safety measures and disposal of hazardous waste
- hiring personnel required to support essential research (e.g., technical, financial staff)
- ensuring we have maintenance staff to clean and supply labs and facilities
Simply put, the federal government provides reimbursement for real costs that are incurred in the process of safely and securely conducting high-impact research. This research has tangible benefits for the lives of Iowans.
We recognize the urgency of the situation and are working to assess potential impacts at the college, department, lab, and investigator level. We are working diligently to understand how best to support our mission-driven research and the talented people across our institution who forge new frontiers of discovery.
We are actively monitoring the rapidly changing federal landscape and engaging with our federal delegation to ensure that they understand the profound impact this change would have on research at the University of Iowa. We will continue to work closely with our partners, including AAU, AAMC and APLU, to monitor and interpret the latest updates.
At this time, we are taking the following actions:
- Proposal submissions: Until we have more clarity, we will pause the submission of new NIH grant applications. (Investigators who have an upcoming submission deadline should reach out to the Division of Sponsored Programs to discuss options.)
- Hiring: We also will pause the hiring of new Graduate Research Assistants unless they are already budgeted as a direct cost on a funded project. If investigators have non-federal sources of funding to hire Teaching Assistants, they may proceed. Faculty recruitment and hiring of personnel should be considered carefully in coordination with unit/collegiate leadership.
- General expenditures: Researchers and departments should exert extra caution and defer starting new activities until we have more clarity. For already existing federal projects, researchers may continue work unless they are instructed not to by a federal agency (e.g., a stop work order).
As we learn more, we will be in a better position to determine the next steps. If you have project-specific questions, or receive communication directly from a federal agency, please communicate with the Division of Sponsored Programs at dsp@uiowa.edu. We will continue to post updates of our Federal Transition webpage.
Working together, I am confident that our discoveries will continue to have a transformative impact on our state and in our local, national, and global communities. Thank you for your resilience and steadfast commitment to our public research mission as we navigate this period of uncertainty and change.
Lois Geist
Interim Vice President for Research
