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The NIH released a 14-page list of federal grants that have been terminated by the Trump Administration as of March 20. The Administration claims these grants were terminated under "Departmental Authority," but a majority of the awards were for research related to topics that President Trump has scrutinized in recent EOs, including health equity, minority health, LGBTQ+ health, sexual and reproductive health, vaccines, and COVID-19. According to HHS, the department is "taking action to terminate research that is not aligned with NIH and HHS priorities." Notably, many of these grants had been awarded to Columbia University, which had nearly $400 million in federal grants and contracts canceled by the Administration earlier this month because of alleged inaction over antisemitic events on campus.
These terminations follow NIH's decision in February to cap indirect cost rates for new and existing research grants at 15 percent. While a federal court issued a nationwide preliminary injunction blocking this rate change, if allowed to go forward, the ensuing cuts would have a chilling effect on biomedical research in the U.S.1 Funding delays have been reported by institutions receiving NIH grants, including delays of funds already awarded via Notices of Award, such as noncompeting grant renewals. Delays are also reported in NIH review of new grant applications under its two-step review process. Combined, these actions constitute a major financial hit to institutions across the country conducting sponsored research. Monthly cash flows are being interrupted, and NIH has offered minimal guidance on the reasons for delays. Institutions do not know if or when they can expect to receive grant funds that are overdue for payment and which institutions that have not received cancelation notices will receive funds.
Footnote
1. For more on the cuts, see the Manatt Health client alert.
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