Updates on Federal Executive Orders and Research Activities

This webpage is dynamic and updated frequently. Please check back often.

Last updated February 12, 2025

Temporary restraining order issued against NIH notice on indirect funding cap

On Monday, February 10, the State of Oregon joined 21 other states in filing a lawsuit against the guide notice issued February 7 by the National Institutes of Health (NIH). The guide notice purported to cap the indirect costs (also known as facilities and administrations costs, or F&A) of NIH grants at 15%. 

Yesterday, a federal judge issued a temporary restraining order halting the controversial policy within the 22 states whose attorneys general are party to the lawsuit brought in the US District Court. Because the temporary restraining order halts the policy from being applied to existing NIH grants until otherwise ordered by the court, principal investigators (PIs) and departmental grant administrators are advised to use the UO’s existing applicable F&A rate for proposal submissions.

Two similar lawsuits have also been filed, including one by the Association for Public and Land-grant Universities (APLU), Association of American Universities (AAU) and the American Council on Education (ACE), which represent member universities in all 50 states and six territories. A suit filed by the American Association of Medical Colleges (AAMC) has also been granted a restraining order, which is applicable nationwide. A hearing has been set for February 21.

NIH temporarily turned off institutions' (including the UO) ability to request automatic no-cost extensions (NCEs). This functionally was restored Wednesday, February 12, but it creates uncertainty about all federal agencies' acceptance of NCE requests. Keeping this in mind, we advise PIs to manage their grant expenditures accordingly.

As a reminder, the UO research community has been invited to a virtual meeting to address federal research funding-related concerns Thursday, February 13 from 3:00–4:00 p.m. 

Resources for Researchers

At this time, the Council on Government Relations (COGR) is providing the most complete guidance on how the executive orders could affect operations. COGR's mission is to empower an unparalleled US academic research ecosystem by advancing sound federal policies and regulations that are vital to US science and innovation leadership and our nation’s health, security, and prosperity. Request access to the COGR membership portal.

Please note this page is dynamic and information could be incomplete.

Email Updates

The following message was sent to tenure track and research faculty, department grant administrators, OVPRI centers and institutes, core facility staff, Government and Community Relations, Office of General Counsel and OVPRI staff on Sunday, February 9.

Addressing NIH notice on
indirect funding cap

On Friday, February 7, the National Institutes of Health (NIH) sent a guide notice that it intends to cap the rate for “indirect funding” from grants—reimbursements that cover a portion of universities’ facilities and administrative costs (F&A)—effective Monday, February 10. 

It’s important to note that there have been legal challenges to the Trump Administration’s executive actions, and we anticipate significant advocacy by medical schools, hospitals, and research institutions across the country. It’s likely the guide notice will be subject to challenge in the courts in the coming days. For example, in 2017, the Trump Administration proposed a reduction of the NIH F&A rate to 10% but lawmakers blocked the change.As the situation remains dynamic, principal investigators are advised to continue to work as normal.

This new 15% cap on F&A expenditures, in lieu of a separately negotiated rate for indirect costs in every grant, poses a significant challenge for the UO given the size of our annual NIH expenditures.F&A costs are research support costs that are not directly related to a specific sponsored project, which allow institutions to cover the essential costs of conducting research. Examples of F&A costs include utilities, compliance with federal research integrity standards and regulations around human and animal research, personnel to manage shared research core facilities, building maintenance and operations, security, general purpose supplies and equipment, insurance, and essential administrative staff expenses to prepare, submit, and manage grants (e.g., Sponsored Projects Services and Department Grant Administrators). The Association of Public and Land-Grant Universities (APLU) has provided helpful resources explaining the essential functions of F&A costs.

The APLU, Association of American Universities (AAU), and Association of American Medical Colleges (AAMC) are taking a significant leading role in crafting responses to the guide notice. The UO is working closely with these organizations, as well as the Council on Governmental Relations (COGR), to monitor and respond to the situation. Currently, other federal funding agencies have not instituted a similar cap.

As a reminder, the UO research community has been invited to a virtual meeting to address federal research funding-related concerns Thursday, February 13 from 3:00–4:00 p.m. 

Guidelines for the Research Community

On Wednesday, January 29, the White House's Office of Management and Budget (OMB) issued Memorandum M-25-14 to rescind OMB Memorandum M-25-13, which had ordered a pause on all federal funding assistance including billions of dollars in grants and loans to colleges and universities.

The Office of the Vice President for Research and Innovation (OVPRI) continues to monitor the 2025 presidential administration transition. Below are some helpful guidelines.

  • Closely monitor obligated budget balances to avoid deficits while awaiting future obligations. Anticipated future funding remains subject to availability of funds and should not be considered guaranteed.
  • If you are waiting to hear back from a program officer, please be aware they may not be able to respond during the agency communications pause.
  • Reports and deliverables. Prioritize the submission of any technical reports or deliverables that may be past due.
  • Monitor policy updates: Keep an eye on announcements from the federal agency overseeing your grant for any updates on funding or compliance requirements.
  • Datasets. Principal investigators are encouraged to ensure that they have access to and control over datasets.
  • Continue to submit proposals. Closely monitor the funding announcement to see if the proposal criteria changes.
  • OVPRI and the Office of General Counsel ask that you forward any communications from granting agencies relating to stop work orders or modifications to existing grants.