The 2022 report includes an analysis of 82 universities, an indirect cost rate received from federal grants, and an indirect cost rate received from private funders such as the Sloan Foundation, the Gates Foundation, and the Chanzuckerberg Initiative. Included. Ten schools in Heritage Foundation Analysis did not check the indirect cost rates of private funders, leaving 72 full entries in the analysis of the report.
Of these 72 universities, the report argued that 67 accepted private research grants with the same analysis and discovery as the NIH notification, with zero indirect research costs.
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The Heritage Foundation report concluded that only three schools in the sample refused to accept indirect cost rates from private foundations at lower rates than facilities negotiated with the federal government. These schools are the University of Alabama at Birmingham, Massachusetts Institute of Technology, and the University of Michigan.
NIH Notification refers to the same three schools without identifying the Heritage Foundation as the source of analysis. Harvard University says it required a minimum 15% indirect costs range from private funders, and California Tech needed 20% indirect costs compensation. These examples are also featured in the Heritage Foundation report.
Jay Greene, a senior researcher at the Heritage Foundation, one of the authors of the report, was not involved in drafting the NIH notification, but one paragraph of the NIH notification “seems to be a reference to the 2022 report.” He says he admitted. NIH did not respond to Wired's request for comment.
The plan to reduce the indirect cost rate of federal grants is also featured in Project 2025, the nearly 1,000-page Heritage Foundation policy blueprint for the second President Trump. “This market-based reform will help reduce federal taxpayer grants on the left agenda,” the report said. During the presidential election, Trump consistently denied links to the Heritage Foundation and Project 2025.
On Monday, a coalition of 22 states filed a lawsuit challenging the legality of NIH's attempts to reduce indirect costs.
The university says Caps interfere with their ability to conduct important research. “The discovery of new treatments will be slower, opportunities to train the next generation of scientific leaders will be reduced, and our country's science and engineering skills will be awfully compromised,” says Harvard President Alan Gerber. written in a post on the university's website.
Some universities are expected to lose more than $100 million in federal funds if new grants are maintained. According to Stat, Weill Cornell Medicine brought in an indirect cost of $107 million in 2022. This is a figure that would drop to $23 million if the fee was 15%.
