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Medical experts explain why Trump’s cap on NIH research funding is a good idea

The Trump administration’s decision to slash overhead costs linked to federally funded research has ignited a heated debate within the medical community. While some doctors are lauding the move as a step towards optimizing the use of taxpayer dollars in scientific research, others are concerned about the potential impact on critical public health research.

The new rule, which went into effect on Monday, caps facilities and administrative costs at 15% for federally funded research grants provided by the National Institutes of Health (NIH). This change is a significant departure from the historical indirect cost rates of around 27% to 28%, and in some cases, negotiated rates as high as 70 to 90%.

Dr. Vinay Prasad, a hematologist-oncologist and professor at the University of California, San Francisco, believes that cutting these overhead costs will ultimately result in more grants being awarded for scientific research. He argues that universities and research institutions have been taking advantage of negotiated rates to pocket funds that may not be directly necessary for the research projects at hand.

On the other hand, Dr. Erika Schwartz, the founder of Evolved Science in New York City, sees the potential for a more efficient cost management system that could redirect resources to direct research activities. She believes that this could lead to an increase in funded research projects and accelerate medical breakthroughs, ultimately benefiting patients more directly.

However, the Trump administration’s decision has faced backlash from 22 Democratic state attorneys general and a group of universities who have filed lawsuits challenging the new rule. They argue that the funding cuts will have a devastating impact on critical public health research, including efforts to develop cures and treatments for diseases like cancer, Alzheimer’s, and mental health disorders.

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In response to the lawsuits, a federal judge imposed a temporary restraining order preventing NIH agencies from implementing the new rule. The matter is set for an in-person hearing on February 21st to further evaluate the legality and impact of the administration’s decision.

The debate surrounding the Trump administration’s decision to slash overhead costs linked to federally funded research grants highlights the complex nature of balancing financial efficiency with the critical need for scientific research funding. As stakeholders continue to weigh in on the issue, the future of federally funded research remains uncertain.

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