NIH Funding Cuts Threaten $27 Million Loss for Nebraska, Michigan Research

A federal judge has temporarily blocked cuts to National Institutes of Health (NIH) funding that would have imposed a 15% cap on indirect costs for research grants, following a lawsuit from a coalition of 22 states. The proposed cuts would have had significant financial implications for universities, including Michigan State University and the University of Nebraska, potentially resulting in losses of $27 million and $22 million, respectively. University officials expressed concerns that the cuts would drastically impact research capabilities, hinder scientific progress, and delay the development of treatments for various diseases. The NIH argued that the new policy aligns federal funding practices more closely with private grant standards, which often provide lower indirect costs. However, university leaders emphasized that such reductions would shift funding burdens onto taxpayers and compromise essential research infrastructure. As the legal proceedings continue, institutions are anxiously awaiting further developments on the funding situation.