Government Investment in Research

ARCS Foundation Statement on Announced Reduction in Federal Funding for Research

On Feb. 12, 2025, ARCS Foundation, Inc., issues a statement that reads in part:
We believe reduction of reimbursement of key costs may put the important research of our PhD scholars at risk. More broadly, we are deeply concerned that these cuts will impact critical US scientific progress, drastically reduce the scientific competitiveness of the United States, and harm a long-standing partnership between academic institutions and the federal government. Read the complete statement

"We are concerned for our scholars at this unsettling time," ARCS Foundation President Beth Wainwright stressed. "We urge scholars who face difficulties due to Federal executive orders or funding reductions to contact their sponsoring chapters or email national@arcsfoundation.org." In response to inquiries from members wishing to express opinions, she recommends that they share their concerns as individuals with their Senators and Representatives.

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Understanding Research Overhead

Facilities and administrative (F&A) costs include a range of indirect expenses not directly covered by research grants—from janitorial and support staff, to utilities and computing, to workplace safety compliance and service contracts for high-end research equipment.

costs of research slide from video

Watch the video or read a factsheet describing what F&A reimbursements (also known as indirect costs or overhead) are, how they are determined, and why they are important.

COGR logo"Investing in science is investing in our future—it’s good for people’s health, for our quality of life, and for the economy," states the Council on Government Relations. Reducing F&A reimbursements would have a disasterous impact on research institutions' ability to foster technologial innovation, advance medical discoveries, sustain a dynamic American economy, and protect our national security, COGR warns. It maintains that the reimbursement process is efficient, based on acutal research costs, and already partially borne by universities. In fiscal 2023 universities paid $28 billion from their own institutional funds to support research, including $6.8 billion for the federal share of F&A costs that wasn't reimbursed.

An association of research universities (including 42 ARCS partner institutions), affiliated medical centers, and independent research institutes, COGR is the national authority on federal policies and regulations affecting U.S. research institutions. 

Comments from Leading Organizations

Council on Competitiveness

Council on Competitiveness logoProposed reduction to National Institutes of Health funding "will negatively impact ongoing, critical life sciences and medical research at a time when competitors, especially China, are looking for any advantage to seize the lead in the global innovation race, and to dominate critical exponential technologies from AI to the biosciences." Read the complete statement

ARCS Foundation is a member of the council, which unites leaders from academia, business, labor, and the national labs, in a nonpartisan effort to lead the global economy, strengthen the innovation infrastructure, and raise the standard of living for all Americans.

American Association of Universities

Association of American Universities logo"A cut to F&A reimbursements for NIH grants is quite simply a cut to the life-saving medical research that helps countless American families.” Read AAU President Barbara Snyder's complete statement

27 ARCS partner universities are members of AAU.

Association of Public Land Grant Universities

Association of Public and Land-Grant Universities logo"This action will slow advances for millions of patients who desperately need critical breakthroughs and imperil the U.S. position as the world leader in biomedical innovation." Read APLU President Mark Becker's complee statement

27 ARCS partner universities are members of APLU.

NOTE: AAU and APLU joined with the American Council on Education in legal action contesting NIH cuts to F&A. Read more

American Association for the Advancement of Science

American Association for the Advancement of Science logo“Science, engineering and medicine are searches for truth, facts and objectivity. We live in a time when that seems under threat,” observed AAAS Chief Executive Officer Sudip Parikh at the 2025 AAAS Annual Meeting in Boston. "Decisions made by all three branches of the U.S. government in the weeks ahead will affect our enterprise for years to come," added Board Chair Joseph Francisco.  Read more

DOWNLOAD AAAS PDFs providing talking points for expressing support for science and instructions for visiting Congressional representatives.

In February AAAS and the Royal Society released Science Diplomacy in an Era of Disruption, a science diplomacy framework addressing challenges including increased economic competition, rapid technological advancements like artificial intelligence, and the rise of non-state actors including “tech titans.” 

FROM ARCS PARTNER UNIVERSITIES

Stanford University

"Every study … has found that a dollar put into university research and science has a payoff of multiple dollars over time in social benefits,” says economist and Stanford University President Jonathan Levin. Read more

UW Impact!

The University of Wshington Alumni Association’s legislative advocacy program offers alerts on key issues and ways to advocate "for the funding and policies that keep the UW at the forefront of discovery." Learn more

Green University of Hawaii seal

University of Hawai‘i

President Wendy Hensel discussed "one of the most existential threats facing higher education in our lifetimes"  during a two-hour live-streamed forum attended by more than 1,200 people March 13. Learn more. Visit UH's New Federal Policies and Updates page and learn about the Graduate Student Success Fund established to assist adversely affected students.

Washington State University

"We're talking about an absolutely massive budgetary challenge," Provost T. Riley-Tillman advised the WSU Board of Regents in a Feb. 17 report on the impact of federal executive orders and proposed NIH funding cuts. Watch the video

Johns Hopkins University Research Save Lives mark

Johns Hopkins University

"We are watching America cede its supremacy in biomedical science, and we may never regain our position," writes Professor Jordan Green in the university's Research Saves Lives projecct voices. Read additional messages

University of California System

The Federal Updates webpage includes a video message from UC President Micheal V. Drake and a link to an Executive Order tracker.