AASCU Joins National Higher Education Organizations in Opposing Federal Research Reimbursement Cap
The American Association of State Colleges and Universities (AASCU) has joined 17 other national higher education organizations in filing an amicus brief challenging the federal government’s new cap on facilities and administrative (F&A) cost reimbursements for research grants. The brief, filed in mid-June, opposes the 15 percent reimbursement cap imposed by several federal agencies, including the National Institutes of Health (NIH), National Science Foundation (NSF), Department of Energy (DOE), and Department of Health and Human Services (HHS). The brief was led by the National Association of College and University Business Officers (NACUBO) and the Council on Governmental Relations (COGR), marking NACUBO’s first-ever amicus filing in its 63-year history. It was created in response to lawsuits, led by the American Council on Education (ACE) and supported by multiple states and institutions of higher education (IHEs), which argue that NIH’s unilateral decision is both unlawful and harmful to research capacity.
$5 billion
In FY24 alone, 207 RPUs received more than 10,000 NIH research awards totaling nearly $5 billion.
This joint filing reflects widespread concern across the higher education sectors, including among regional public universities (RPUs), which conduct mission-critical applied research, often operating with limited resources. By capping reimbursement rates, the federal government is shifting the burden of infrastructure and operational costs onto IHEs — jeopardizing their ability to support faculty, maintain facilities, and invest in innovation. In fiscal year 2024 (FY24) alone, 207 RPUs received more than 10,000 NIH research awards totaling nearly $5 billion. These institutions now collectively face the possibility of absorbing millions in unreimbursed costs, threatening both their financial stability and their contributions to public service, economic development, and scientific discovery.
In addition to opposing the cap through legal channels, AASCU and its fellow signatories are actively collaborating to develop a fairer and transparent framework for reimbursing F&A costs. The goal of the Joint Associations Group (JAG) is to create a sustainable funding model that reflects the real cost of conducting federally sponsored research, especially at institutions that serve broad student populations.
As lawsuits against NIH and other federal agencies proceed —brought forth by a coalition of states, associations, and IHEs— AASCU remains committed to advocating on behalf of its members and the sector. We will continue to monitor developments closely and keep members informed on the implications for RPUs and the broader research ecosystem.
