Dear Colleagues,

As Duke’s Vice President for Research & Innovation Jenny Lodge wrote to our research community this weekend, the National Institutes of Health (NIH) announced on Friday that it would immediately cap reimbursement of facilities and administrative (F&A) costs on research grants at 15%, drastically reducing a critical source of support for biomedical research. This abrupt shift in policy would significantly slow or halt discovery in critical areas such as cancer, Alzheimer’s, infectious diseases, and pediatric health, eliminating roughly $194 million in annual research funding from NIH at Duke alone.

It is important to recognize that federal grants, despite supporting both direct and F&A costs, do not currently cover the full expense of the research they now fund. Like other universities, Duke provides essential infrastructure such as lab space, equipment maintenance, administrative support, and compliance systems required by federal funding agencies. These unreimbursed institutional investments, which exceeded $198 million in FY24, are critical to enabling groundbreaking discoveries. 

On Monday, a number of higher education associations, including the Association of American Universities (AAU) and the American Association of Medical Colleges, and state attorneys general filed three separate lawsuits challenging the NIH’s action. A judge entered a temporary restraining order pausing the cuts until a hearing later this month. 

Much is at stake. Our nation’s world-leading research enterprise has been enabled by—and will only be sustained by—partnership and co-investment from both the government and higher education. If these large funding reductions are allowed to stand, they will necessitate careful planning and difficult decisions, determined in collaboration with leadership across our schools and research units, as we seek to maintain the strength of our research enterprise. We will keep the community informed as we gain more clarity on the path forward. We will also continue to stay engaged with peer institutions and key higher-education organizations to assess the implications of this shift and advocate strenuously for sustainable funding.

We understand the uncertainty and concern across our research community caused by these recent events. If you are engaged in research, please continue your work in accordance with your grant agreements. We will keep apprising everyone of changes in policy. If you have questions about specific grants, please contact the Office of Research & Innovation at grantsupport@duke.edu. 

Every day, members of our Duke community work to advance research that will help solve the world’s greatest challenges and enhance human health and well-being. The excellence of our research mission requires significant resources, and we are tremendously proud of our decades-long partnership with federal agencies that support groundbreaking discoveries across academic disciplines and improve the lives of all Americans.

As we navigate these challenges, we remain deeply grateful for the critically important work you do at Duke, and we will continue to take all steps required to sustain the excellence of our research mission.

Vincent E. Price
President

Alec Gallimore
Provost

Mary Klotman
Executive Vice President for Health Affairs
Dean, Duke University School of Medicine

Craig Albanese
CEO, Duke University Health System