Dear Carolina research community,
A hearing was held today to hear arguments on whether to extend a temporary restraining order on the National Institutes of Health (NIH) notice entitled “Supplemental Guidance to the 2024 NIH Grants Policy Statement: Indirect Costs,” which would cap all indirect costs at a rate of 15%. The judge overseeing the case made no decision, but extended the temporary restraining order on the cost cap until a ruling is reached.
We will provide further updates on this situation as they become available. Meanwhile, we continue to follow all developments from the new administration and to provide information to our congressional delegation and other critical partners.
If enacted, this change to the NIH’s indirect costs (or F&A costs) rate would have a significant and negative impact on our University’s ability to support critical research infrastructure, with a ripple effect throughout campus. We have been working to provide internal and external partners with information on F&A, how it is used, and how essential it is to support the research infrastructure here and at institutions across the country. That information is outlined in Vice Chancellor Penny Gordon-Larsen’s blog post “True Costs of Conducting Research.”
While we await further guidance, Principal Investigators (PIs) do not need to take any action on their projects. The Office of Sponsored Programs will adjust F&A rates if it ultimately becomes necessary. If you have project-specific questions, you can send them to vcr@unc.edu, and someone from OVCR will respond as quickly as they can.
We will also be hosting another OVCR Office Hours session on Wednesday, Feb. 26th from 3-4:00 p.m. to address the evolving situation and answer broader questions regarding current research impact. The OVCR leadership will try to answer as many questions as possible during the session, but questions can also be directed to OVCROfficeHours@unc.edu in advance.
Thank you for your continued dedication to Carolina’s research enterprise. We will follow up with more information as it becomes available.
Penny Gordon-Larsen
Vice Chancellor for Research
Andy Johns
Senior Associate Vice Chancellor for Research
Kelly Dockham
Director, Office of Federal Affairs