The Proposed 15% NIH Indirect Cost Cap Threatens Our Future
A new proposal would cap indirect cost reimbursements for NIH grants at 15%. If enacted, this limit would undermine the United States’ global leadership in biomedical research, hamper advanced patient care, and weaken the economic benefits flowing from groundbreaking scientific discoveries.
Why Indirect Costs Matter
Academic Medical Centers (AMCs) Power Progress
- By negotiating indirect cost (F&A) rates—often 40–60%—AMCs fund the essential infrastructure for high-caliber research.
- These funds cover sophisticated lab equipment, regulatory compliance, data security, and more—crucial “behind-the-scenes” elements that keep research vibrant and groundbreaking.
Impact of a 15% Cap
- Forcing a flat 15% rate ignores local and regional realities, imposing crushing financial burdens on many under-resourced institutions.
- The result? Potential shutdowns of essential programs, reduced workforce, and fewer treatments for complex health conditions.
Safeguarding American Leadership
Driving Innovation & Global Competitiveness
- NIH-funded discoveries often lead to blockbuster drugs and life-saving therapies, fueling billions in revenue and maintaining U.S. leadership in biotech.
- Without adequate infrastructure support, top scientists seek opportunities elsewhere, causing a “brain drain” that benefits foreign competitors.
Strengthening Local Economies
- AMCs anchor regional biotech clusters, spawning startups and creating skilled jobs.
- A precipitous cut in F&A funding would stifle growth in these communities, hamper local businesses, and strain city and state budgets—especially in smaller towns dependent on AMCs for both healthcare and economic stability.
Ensuring Public Health & Preparedness
Responding to Emerging Threats
- From pandemic response to cancer research, America’s ability to innovate fast depends on well-resourced labs and trained personnel.
- Slashing indirect costs compromises our readiness to tackle future health emergencies, putting lives at risk and straining the healthcare system.
Protecting Vulnerable Populations
- Veterans, seniors, and patients with rare or complex conditions often rely on cutting-edge research and specialized care at AMCs.
- Reducing indirect cost support jeopardizes crucial programs, ultimately endangering the very patients who need the most advanced treatments.
Stand with Us: Reject the 15% Cap
By preserving negotiated indirect cost rates, we safeguard:
- World-Class Healthcare: Keeping labs open, technology updated, and talent engaged.
- Economic Growth: Supporting local job creation, innovation, and startup development.
- American Innovation: Ensuring our continued leadership in life-saving discoveries.
Your voice matters. Help protect the future of American biomedical research and our thriving healthcare system.
Sign the Petition Today
Together, we can ensure the United States continues to lead in groundbreaking scientific progress, provide top-tier patient care, and bolster our economy for generations to come.