Most medical research in the U.S. is funded by the National Institutes of Health.

The current administration is proposing an indirect rate cap for universities, medical centers, and public health research of 15% - this is down from the average of 28%, though some universities have rates as high as 70%.

The NIH states that the cut in indirect rates would save the federal government $4 billion a year.

Indirect costs, which are facilities and administrative costs, are what "keeps the lights on" so to speak. These are an institution's maintenance costs, electricity, water, heating, legal, and compliance costs etc. All of the things that keep a research lab functioning.

In 2023, the NIH stated $9 billion of the $35 billion allocated for biomedical research went to cover the indirect costs at the institutions where grants we ...