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May 2026 Federal and Legislative Updates

by UNC Research

Senate Commerce Committee Advances Quantum Reauthorization

The Senate Commerce Committee advanced bipartisan legislation in mid-April to reauthorize the National Quantum Initiative (NQI) through 2034. Originally enacted in 2018, NQI coordinates federal quantum research and development activities.

The reauthorization would continue support for research, education, and workforce development across agencies, including National Institute of Standards and Technology and the National Science Foundation, and proposes new quantum research centers at both agencies. The bill also authorizes NASA participation in quantum R&D for the first time, aiming to strengthen the pipeline from foundational research to applied technologies.

NIH Indirect Cost Ruling Becomes Final

A legal challenge brought by Association of American Universities, Association of Public and Land-Grant Universities, and American Council on Education regarding proposed changes to NIH indirect cost rates has concluded. The Trump administration did not appeal a January 2026 appellate ruling before the April 6 deadline, allowing the decision to stand.

As a result, the court’s ruling permanently blocks implementation of the proposed reductions to NIH indirect cost funding.

NSF Expands Graduate Research Fellowship Awards

The National Science Foundation announced it will award 2,500 Graduate Research Fellowships in 2026, up from 1,500 awards the previous year.

The increase reflects a return to broader disciplinary distribution after last year’s concentration in AI and quantum information science. NSF also updated program requirements, including requiring applicants to be enrolled in a graduate program and narrowing eligible fields, as part of ongoing program refinements.

FDA Leadership Change

FDA Commissioner Marty Makary resigned in mid-May after just over a year in the role. Reports indicate his departure followed pressure related to agency decisions on flavored e-cigarettes and the abortion medication mifepristone.

Deputy Commissioner for Food Kyle Diamantas is serving as acting commissioner. This transition comes amid broader leadership vacancies across HHS, including at the CDC, where NIH Director Jay Bhattacharya continues to serve in an acting capacity.

House Advances FY27 Commerce-Justice-Science Appropriations Bill

The House Appropriations Committee advanced the FY27 Commerce-Justice-Science bill on May 13 by a vote of 32–28. The bill provides $77.3 billion in discretionary funding, a decrease of less than 1% from FY26.

Key provisions include:

  • $38.6B for DOJ (+4.2%)
  • $31.4B for science programs (–$1.75B)
  • $24.4B for NASA (flat)
  • $7B for NSF (–$1.8B, ~20% decrease)
  • $580M for NOAA (–$319.8M, ~1.5% decrease)
  • $7.965M for OSTP (flat)

The bill now moves to the House floor for consideration.