Federal Grant F&A Costs Updates (updated 3/5/25)

On February 7, the NIH announced that it would cap facilities and administration costs (aka F&A or indirects) on new and existing NIH grants at 15%, well below current levels.

F&A costs are crucial for conducting top-tier research safely and efficiently, covering expenses that are not easily assigned to specific projects. These costs include maintaining advanced research labs, ensuring data security, complying with safety protocols, and supporting essential administrative and regulatory functions.

On February 10, a federal judge granted a temporary restraining order to pause the implementation of this new policy pending a Feb. 21 hearing. The ruling applies to the suits filed by the Attorneys General from 22 states and by the AAMC.

We expect additional developments around the NIH's decision and will post updates for our community on this page. If you are a researcher at Dartmouth and have any questions regarding the impact on specific grants, please reach out to the Office of Sponsored Projects (sponsored.projects@dartmouth.edu).

UPDATE: On February 21, a federal judge extended their order to pause implementation of the new NIH guidance capping indirect cost payments at 15%. The pause will remain in effect until the judge can issue a ruling on a broader injunction (read more: STATNEWS, Boston Globe).

UPDATE 3/5/25:  On Wednesday, March 5, U.S. District Judge Angel Kelley in Boston issued a nationwide injunction barring the NIH from implementing its planned 15% cap on F&A costs. (read more:  Reuters, New York Times).

Updates from Geisel:

 

Updates from Dartmouth and Partners:

 

Facts About Facilities & Administrative (F&A) Costs:

 

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