Indirect Cost Cap
This page catalogs executive orders, federal agency directives, litigation updates and other guidance and information pertaining to the National Institutes of Health (NIH) indirect cost rate cap of 15%.
Latest News
- March 4, 2025 – Preliminary Injunction Ordered. NIH enjoined from enforcing rate change notice. Purdue Post Award will continue to monitor proposal and award activity on a case-by-case basis and review status with Principal Investigators as needed.
Litigation Summary
Commonwealth of Massachusetts v. National Institutes of Health
- February 10, 2025 – Complaint alleging that 15% rate cap violates APA and seeking TRO.
- February 10, 2025 – Order granting TRO applicable to plaintiff states.
- Court combined this suit with AAU and AAMC suits listed below for argument. Hearing was held February 21, 2025, and court extended TRO until it makes decision re. grant of a preliminary injunction.
Association of American Universities v. Department of Health & Human Services
- February 10, 2025, Complaint alleging that 15% cap violates APA. [NOTE: Court did not grant TRO in this case because one was in place in AAMC case listed below. Court combined AAU, AAMC and Commonwealth of Mass. cases for argument on February 21, 2025].
- Hearing was held February 21, 2025, and court extended TRO until it makes decision re. grant of a preliminary injunction.
Association of American Medical Colleges v. National Institutes of Health
- February 10, 2025, Complaint alleging 15% cap violates APA, exceeds NIH statutory authority, violates due process and statutory and constitutional prohibitions on retroactivity.
- February 10, 2025, Order granting nationwide TRO.
- Court combined this suit with Commonwealth of Mass. and AAU suits listed above for argument. Hearing was held February 21, 2025, and court extended TRO until it makes decision re. grant of a preliminary injunction.