“Judge’s Ruling Stuns Administration Over Research Funding” by Nate Raymond
BOSTON (Reuters) – A U.S. judge in Boston dealt a significant blow to the Trump administration on Wednesday, halting its plans to drastically reduce federal grant funding for research. This decision, which came as a result of a lawsuit filed by 22 Democratic state attorneys general and various organizations representing medical schools and universities, was met with relief by those concerned about the potential negative impacts of the proposed cuts.
U.S. District Judge Angel Kelley, appointed by former Democratic President Joe Biden, issued a nationwide injunction in response to the arguments presented by the plaintiffs, who contended that the planned funding reductions by the National Institutes of Health (NIH) were illegal. The judge had previously issued a temporary restraining order on February 10, preventing the NIH from implementing the cuts until a full hearing could take place. Subsequently, she extended this order while deliberating on whether to impose a more long-term injunction.
The Trump administration’s decision to slash federal spending, reduce the size of the federal workforce, and dismantle aspects of the government has been met with criticism since the President’s return to office on January 20. The states and organizations involved in the lawsuit acted swiftly after the NIH announced on February 7 its intentions to significantly decrease the reimbursement rate for research institutions’ indirect costs associated with scientific projects.
These indirect costs, which cover expenses like laboratory space, faculty, equipment, and infrastructure, were set to be reimbursed at a capped rate of 15% by the Trump administration, down from the previous average of around 27% to 28%. According to a statement on the social media platform X by the NIH, this move was projected to save the government $4 billion annually.
In the fiscal year 2023, the NIH allocated more than $35 billion in grants to researchers across over 2,500 institutions, with approximately $9 billion earmarked for covering overhead and the indirect costs of these institutions. The ruling by Judge Kelley has temporarily halted these proposed cuts, pending further legal proceedings.
(Reporting by Nate Raymond in Boston; Editing by Richard Chang)
