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Dear Research & Innovation community members,

On the evening of Friday, Feb. 7, the National Institutes of Health (NIH) that it would reduce the Facilities & Administrative (F&A), or indirect, cost rate for new and existing grants to 15%, effective Feb. 10, 2025.��

This abrupt change would significantly impact medical research funding across the country. CU Boulder received $77.9 million in NIH research awards in fiscal year ‘24 and a rate reduction corresponds to a loss of $11.7 million annually. Reduced F&A funding will damage universities’ ability to maintain research facilities and critical instrumentation, manage and secure data, and ensure ongoing operation of infrastructure critical to conducting research that benefits the public and drives American innovation. Universities such as ours pay these expenses as they conduct federally sponsored research, and the government then partially reimburses a portion of these necessary research expenses. Please explore this and to learn more about F&A costs.

The annual spending bill that funds NIH includes language from Congress prohibiting the Administration from making changes to F&A cost rates. CU leadership is committed to preserving research support and mitigating the impact of this announcement—we are already engaging with the Colorado congressional delegation, as well as national higher education and biomedical research associations. We anticipate legal action will be forthcoming.��

Please continue to monitor key campus websites, which are updated regularly:

• CU System:
• Resources for CU Boulder campus: Federal Transition website
• Research & innovation resources: Research and Federal Funding website
• Detailed guidance for the research community: “What to do”
• Questions about specific funded projects: Your Office of Contracts and Grants officer
• All questions, resources and information: Buff Info

Thank you for remaining steadfast in your commitment to your work and our shared mission during this challenging time.

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Massimo Ruzzene
Senior Vice Chancellor for Research & Innovation and Dean of the Institutes
Slade Professor of Mechanical Engineering
Research & Innovation Office
University of Colorado Boulde