Senators from both parties grilled Jay Bhattacharya, President Trump’s nominee to lead the National Institutes of Health (NIH), on Wednesday about his stance on the agency’s plan to reduce overhead payments that accompany NIH grants. The NIH recently announced that grants would now include a 15% add-on to cover indirect costs, a move that could potentially slash billions of dollars in funding to institutions.
Indirect costs are essential for universities and medical centers to cover administrative and facility support, as well as other expenses not directly related to a specific research project. Typically, indirect cost rates with the NIH range between 30% and 70%, so the 15% add-on would significantly impact the funding that institutions receive. Each university negotiates its own indirect cost rate with the federal government.
A federal judge has temporarily halted the Trump administration’s plan while she reviews a lawsuit filed by state attorneys general and research institutes. The proposal has sparked concerns that academic centers may have to scale back their research efforts and reduce support for scientists. Even some Republican lawmakers have criticized the move.
The controversy surrounding the NIH’s decision underscores the importance of funding for scientific research and the critical role that overhead payments play in supporting research institutions. The outcome of this debate could have far-reaching implications for the future of medical research and innovation.
As the discussion continues, it remains to be seen how Bhattacharya’s nomination to lead the NIH will impact the agency’s policies on grant funding and indirect costs. The scientific community and lawmakers will be closely monitoring the situation to ensure that research institutions have the resources they need to make groundbreaking discoveries and advancements in healthcare.
