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Federal Judge Blocks NIH Funding Cuts to Research Institutions

The nationwide injunction halts the Trump administration's plan to cap indirect cost reimbursements at 15%, citing potential harm to scientific progress and legal violations.

The exterior of John Jospeh Moakley U.S. Courthouse, where Alec Burlakoff, former vice president of sales at Insys, appears in federal court after reaching a plea deal with prosecutors, in Boston, Massachusetts, U.S., November 28, 2018.
U.S. President Donald Trump holds a joint press conference with Japanese Prime Minister Shigeru Ishiba in the East Room at the White House in Washington, U.S., February 7, 2025.
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Overview

  • U.S. District Judge Angel Kelley issued a nationwide preliminary injunction, pausing the NIH's proposed 15% cap on indirect research cost reimbursements.
  • The plaintiffs, including 22 state attorneys general, universities, and medical associations, argued the cuts would harm research capacity, halt clinical trials, and lead to job losses.
  • Judge Kelley ruled the NIH policy violated federal law and administrative procedures, deeming it arbitrary, capricious, and not subjected to required public input processes.
  • The NIH's proposal aimed to save $4 billion annually by reducing indirect cost payments, reallocating funds to new research grants, but faced strong opposition from research institutions.
  • The case highlights broader concerns among researchers about the Trump administration's approach to science funding and its potential long-term impact on U.S. biomedical research.