Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Politics

Judge blocks Trump order limiting ‘indirect’ NIH research costs after public outcry

by February 11, 2025
February 11, 2025

A judge temporarily halted a directive by the Trump administration that imposed a cap on overhead costs that go to universities and other institutions that host federally funded research projects.

The directive, which went into effect Monday, sparked an outcry of criticism from research institutions that argued the new rule would have devastating consequences. It was immediately challenged in court by 22 Democratic state attorneys general, as well as by several leading research universities and related groups in a second lawsuit. 

U.S. District Court Judge Angel Kelley subsequently ruled in favor of the 22 state attorneys general, granting their request for a temporary restraining order that prohibits agencies from taking any steps to implement, apply or enforce the new rule that imposed a cap on facilities and administrative costs that are part of federally funded research grants.

The rule capped overhead costs associated with National Institutes of Health (NIH) funded research grants at 15%. 

When a grant is awarded to a scientist by the NIH, an additional percentage, on top of the allocated research funding, goes to the facility housing their work to cover these ‘indirect costs.’ According to an announcement about the new funding cap from the Trump administration, that percentage has historically been around 27% to 28% for each grant. But in some cases, negotiated rates can be even higher, such as at the University of Michigan where the negotiated rate for indirect costs is 56%.

The lawsuit from the attorneys general argued the move violated federal law governing the procedures federal agencies must follow when implementing new regulations. They also argued that the move usurped the will of Congress, which, in 2018, passed legislation prohibiting the NIH or the Health and Human Services Department from unilaterally making changes to current negotiated rates, or implementing a modified approach to the reimbursement of indirect costs.

Kelley’s temporary restraining order requires the Trump administration agencies that are impacted by the new rule to file reports within 24 hours to confirm the steps they are taking to comply with her order. Meanwhile, Kelley set an in-person hearing date on the matter for Feb. 21.

Fox News Digital reached out to the White House for comment on the restraining order, but did not hear back at press time. However, after the directive went into effect on Monday, White House spokesperson Kush Desai told Fox News Digital, ‘Contrary to the hysteria, redirecting billions of allocated NIH spending away from administrative bloat means there will be more money and resources available for legitimate scientific research, not less.’ 

Earlier on Monday, U.S. District Judge John J. McConnell said the Trump administration had violated his order halting a federal aid funding freeze that sought to pause ‘all activities related to obligation or disbursement of all Federal financial assistance,’ to ensure federal disbursements aligned with the president’s executive actions.

McConnell ordered the government to ‘immediately restore frozen funding,’ noting that plaintiffs had provided adequate evidence to show the Trump administration ‘in some cases [has] continued to improperly freeze federal funds and refused to resume disbursement of appropriated federal funds,’ despite his ‘clear and unambiguous’ order lifting the freeze.

This post appeared first on FOX NEWS
0
FacebookTwitterGoogle +Pinterest
previous post
‘Deregulatory flavor’: JD Vance lays out vision in Paris for the future of AI under Trump
next post
Israel slams Palestinian ‘deception scheme’ over claim it halted terror rewards program

You may also like

House GOP elections chair makes explosive prediction despite...

February 21, 2025

NASA prepares for International Space Station retirement

July 5, 2024

GOP anger at holdouts grows: Any vote against...

January 3, 2023

DOJ appeals to Supreme Court after court invalidates...

March 19, 2023

Melania Trump’s abortion views in new memoir spur...

October 3, 2024

Here We Go: Bill Gates and Samsung Develop...

September 26, 2022

The 40 Day Dilemma: Brazil’s Ongoing Crisis –...

December 11, 2022

Elbridge Colby clears hurdle, moves to final vote...

April 8, 2025

Census Bureau suggests ‘significant’ number of noncitizens missed...

May 9, 2023

Elon Musk Confirms Twitter’s Corrupted Censorship Program that...

November 23, 2022

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Blue state Republicans threaten rebellion if Senate changes key provision in Trump’s ‘big, beautiful bill’

      June 5, 2025
    • Ricketts, Fetterman team up for crackdown on China’s attempts to purchase US farmland

      June 5, 2025
    • Hamas working to ‘sabotage’ Trump-backed aid group with ‘fake news’: Israeli official

      June 5, 2025
    • Longtime Trump loyalist flips on GOP’s ‘big, beautiful bill’

      June 5, 2025
    • Supreme Court rules Wisconsin unconstitutionally discriminated against Christian charity

      June 5, 2025
    • Trump touts ‘very positive’ breakthrough with Xi after slamming China for trade violation

      June 5, 2025

    Categories

    • Business (8,147)
    • Investing (2,008)
    • Politics (15,529)
    • Stocks (3,128)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved