
The State of California has filed a lawsuit against the National Institutes of Health (NIH) in response to recent reductions in indirect cost funding allocated to prominent research institutions, including the University of California (UC) system, California State University (CSU), the University of Southern California (USC), and Stanford University. The lawsuit contends that these cuts jeopardize essential research operations and violate established federal agreements.
Indirect costs, which encompass expenses such as facility maintenance, utilities, and administrative support, are critical for the infrastructure supporting federally funded research projects. The NIH’s decision to reduce these funds has raised concerns about the potential impact on ongoing and future research across these institutions.
California’s legal action seeks to prevent the NIH from implementing these funding reductions, arguing that they could hinder scientific progress and innovation within the state’s leading universities.
The funding for overhead costs has been criticized by the GOP in the past. Opposition to the funds is a major part of the Project 2025 blueprint for conservative policies, suggesting that N.I.H. research funding gives too much support to “leftist” universities.