UW Research

February 11, 2025

Federal Administration Updates

Office of Research Communications:

Update Regarding NIH Indirect Cost Policy and TRO

Sent via MRAM 2/11/2025

Greetings,

NIH NOT-OD-25-068 imposes an indirect cost rate cap of 15% on NIH grants (new and existing).

A lawsuit was filed early February 10th, in which Washington State is a party. In response, a federal court issued a temporary restraining order barring NIH from enforcing this rate change policy.

Please proceed with preparing your NIH proposals with the UW’s federally negotiated rates until further notice.

Thank you,
The Office of Research, the Office of Sponsored Programs, and the Office of Sponsored Programs Finance

NIH Indirect Cost Rate Update

Sent via researcher list 2/10/2025

Dear Colleagues,

On Friday, NIH announced that they are implementing a new 15% indirect cost rate on grants, effective today for “go forward expenses” and new grant awards. This change will have serious negative implications for the UW research enterprise, where NIH supports research in many schools and colleges.

Because of the crippling effect that this cut would have on universities across the nation, several states, including the State of Washington, jointly filed a lawsuit early this morning. We have recently heard that a temporary restraining order has been granted, pending a hearing on February 21, 2025. For that reason, we are delaying implementation of the rate change in Workday, and new proposals should continue to be submitted using the existing negotiated rates. We will communicate any changes as soon as we become aware of them, and you can check for updates on the Office of Research administrative policy guidance page and the Provost federal policy updates page. Please be aware that the University will need to act swiftly to implement any changes required for compliance if and when a clear determination is communicated.

I would like all researchers to understand that indirect costs (also referred to as Facilities and Administration or F&A costs) cover essential infrastructure that supports research, including the operation and maintenance of our research buildings, our libraries, both central and departmental administrative support and resources needed for compliance with federal regulations. The rates are based on federally audited cost studies. The audits show, time and again, that the total cost to the university is actually higher than the negotiated rate — the university is already subsidizing federal grants and contracts on the administrative side. The university cannot sustain its current research efforts with new limits on indirect cost rate reimbursement.

For more information, a collective of groups have posted this simple overview of F&A and its importance to research, and AAU has a good video.

Sincerely,

Mari Ostendorf
Vice Provost for Research

Temporary Restraining Order (TRO) Guidance for PIs

Sent via researcher list 2/03/2025

Colleagues,

On Friday, January 31, 2025, a Federal Court issued a Temporary Restraining Order (TRO) directing Federal grant-making agencies to “…not pause, freeze, impede, block, cancel, or terminate… awards and obligations on the basis of the President’s recently issued Executive Orders.” We are starting to see communications from agencies related to the TRO.

Based on this TRO, you (and any subrecipients) can proceed with your work on all federal grants and cooperative agreements awarded directly to UW. OSP has already notified subrecipients that were issued pause notifications that they can resume work. For federal contracts and pass-through funding, we need formal notification to resume work. More details on steps to take if you receive a reversal notice are included in a separate notice sent to SAGE users and research administrators.

We are aware that some Principal Investigators are having conversations with their program managers about restrictions on specific grant and contract activities associated with the EOs. If you have such a conversation, please document it.

Note that this order is temporary — litigation in the case is ongoing. Changes can be implemented at any time. Updates will be provided as impacts are known. We are actively tracking developments related to federal research funding and are regularly updating the Office of Research web page providing Guidance on New Administration Policy for Federal Research. In addition, OSP and GCA are working with research administrators through the tri-campus MRAM group in efforts to keep people informed. Please maintain good communication lines with your research administration staff.

We appreciate the good work that you are doing in your research.

Mari Ostendorf
Vice Provost for Research

Temporary Restraining Order (TRO) Guidance

Sent via MRAM and SAGE listserve 2/03/2025

Greetings Colleagues,

On Friday, January 31, 2025, a Federal Court issued a Temporary Restraining Order (TRO) directing Federal grant-making agencies to “…not pause, freeze, impede, block, cancel, or terminate… awards and obligations  on the basis of the President’s recently issued Executive Orders. This TRO also prohibits agencies from implementing or giving effect to OMB Memo M-25-13 (rescinded).

This order is temporary as litigation in the case is ongoing.  Updates will be provided as they become known. Changes can be implemented at any time, and it is imperative that expenditures be processed in a timely manner accurately.

What does this TRO mean for current federal assistance awards?  

Please continue working on federal assistance awards (grants, cooperative agreements).

For federal acquisition funding (federal contract), while we expect a contract amendment, please note we need the specific contract amendment before we can process a resumption of work Award Modification.

For federal assistance pass-through funding (i.e. UW is the subrecipient) while we expect a resumption letter from the pass-through entity, note we need this specific resumption letter before work resumes.

What if I received an earlier suspension notice?  In light of the TRO, we are receiving updated notifications from sponsors.  If OSP and GCA processed an earlier stop-work order on prime federal assistance funding, an Award Modification will be created to allow resumption of the work based on general notifications received from sponsors.  You do not need to do anything to initiate the Award Modification.

 If you directly receive a specific resumption notice for your award, please submit it as an OSP & GCA Award Modification in SAGE, choosing “Other” as the Category, and “Other Change” as the subcategory.  Be sure to attach the specific award notice to the MOD.  Please let osp@uw.edu know the MOD#.

A subrecipient received a suspension letter from the UW.  Will they be able to resume work? 

Resumption letters have been sent, effective February 1st.

Do we expect any future interruption in payments to the University? 

During the timeframe the order is in effect, agencies are ordered not to interrupt obligations. 

Can I ask UW to do an advance draw on my award? 

No, UW cannot draw funds in advance.

Federal Administration Updates: Proposals and Awards

Sent via MRAM listserve and researcher list 1/28/2025

Greetings Colleagues,

The Trump Administration has quickly begun implementing its policy priorities, issuing Executive Orders (EOs) and initiating internal reviews across several agencies. As is often the case for a new administration, there are temporary pauses on funding, external communications and operational reviews. Many decisions will be delayed until new agency leadership is in place, allowing them to interpret Congressional authorizations, streamline operations and align with the new Administration’s priorities. While we understand that these priorities represent a shift from the current state, we still need additional guidance to fully understand their impact.

Yesterday, a memorandum published by OMB (M-25-13) provided guidance directing federal agencies to temporarily pause activities associated with federal grant, loan or federal financial assistance programs. Additional information was released today in a memo clarifying that the pause does not apply across the board, just to activities implicated by the President’s Executive Orders that were specifically listed in the M-25-13 guidance. Legal challenges have been brought forth across the nation, and court decisions actively are unfolding in real time.

Many details remain unclear, but our understanding is that most researchers will be able to continue their work without a pause, and proposal submission systems continue to operate. However, we are starting to see agency requests to PIs for scope revisions and suspend work orders for obligated funds. It is important that you monitor your email for these requests and respond in a timely manner should you receive one. If you receive agency communications related to suspend or stop work orders associated with a specific award, please send it to osp@uw.edu and your dean’s office.

For more general guidance and steps to take in responding to a request to stop or suspend work, see Guidance on New Administration Policy for Federal Research. Please bookmark this web page; it will be updated as we learn more.

With support from UW’s Federal Relations team, the UW Office of Research, Office of Sponsored Programs, and UW Finance, Planning and Budgeting are closely watching developments impacting research, including Executive Orders, sponsor policies and other changes under the new administration. If you are aware of broad agency memos that are relevant to UW’s research enterprise, please share these with us by emailing federal-updates@uw.edu.

Thank you,

The Office of Research, the Office of Sponsored Programs, and the Office of Sponsored Programs Finance

Federal Administration Updates

Sent via MRAM listserve 1/23/2025

Greetings,

I’m writing to provide broad communication in response to the questions that many of you and your faculty have been bringing to the Office of Research related to recent Executive Orders.

An evaluation of agency’s policy and priorities is expected with every new administration. This process has happened across the federal government with every new administration and president. Absolutely, we are concerned that there are significant disruptions and uncertainty to all efforts on federal grants and contracts. We are actively monitoring the situation and how each agency works on the transition. Where there are impacts on current awards, such as travel freezes, we will provide updates. While there may be pauses on study section review, proposal and submission continues based on published sponsor due dates.

Researchers can send description of any impacts to them to research@uw.edu.

Mari Ostendorf
Vice Provost for Research
Endowed Professor of System Design Methodologies
Electrical & Computer Engineering Department
University of Washington