A federal judge has issued a nationwide temporary restraining order blocking the U.S. Department of Defense from capping indirect cost reimbursement rates at 15% for new or existing federal research awards. The cap would have replaced currently authorized federally negotiated rates with universities and research institutions across the country.
The ruling follows a lawsuit filed by 12 universities, along with the Association of American Universities, Association of Public and Land-grant Universities and the American Council on Education.
Indirect costs help fund the infrastructure that supports university research, including facilities and personnel. The proposed DoD policy was announced in May.
According to the order issued by U.S. District Court Judge Brian Murphy, the DoD may not enforce the cap on any new awards issued on or after June 12. A hearing is scheduled for July 2 to determine whether to issue a longer-term injunction.
In a separate case, a federal judge has ruled that hundreds of National Institutes of Health research grant terminations tied to diversity and equity-related programs must be restored.
The decision came in response to two lawsuits filed against the administration.
In that ruling, Judge William G. Young of the Federal District Court for the District of Massachusetts declared the planned cuts to be “void and illegal.” The administration has the option to appeal the ruling.