Attorney General Charity Clark, along with 21 other state attorneys general, has filed a lawsuit against the Trump Administration, the Department of Health and Human Services, and the National Institutes of Health (NIH). The legal action challenges recent funding cuts that impact medical and public health research at universities and research institutions nationwide.
The coalition opposes the administration's decision to reduce "indirect cost" reimbursements across all research institutions. These reimbursements are essential for covering expenses related to biomedical research, such as laboratory operations, faculty salaries, infrastructure maintenance, and utility costs. The attorneys general argue that without these funds, crucial medical research could be jeopardized.
Indirect cost reimbursements are determined based on each institution’s specific needs through negotiations with the federal government. These agreements are formalized in contracts. However, the Trump Administration plans to disregard these agreements, posing a threat to public health advancements. The coalition's lawsuit aims to halt this course of action.
"This attempt by the Trump administration to claw back federal funding already appropriated by Congress is yet another blatant example of his disregard for the separation of power and the limits of Presidential authority," stated Attorney General Clark. "Make no mistake: President Trump isn’t trying to save taxpayers’ money – he’s trying to expand his powers and make billionaires richer."
On February 7th, NIH announced an abrupt reduction in indirect cost rates to a uniform 15%, effective February 10th. This change left universities and institutions with insufficient time to adjust their budgets accordingly. The sudden cut threatens ongoing clinical trials and research programs while potentially leading to layoffs and lab closures.
The NIH is a primary source of federal funding for U.S. medical research. Its grants have facilitated numerous scientific breakthroughs including cancer treatments, DNA sequencing advancements, MRI development, and Nobel Prize-winning discoveries.
Most NIH-funded research takes place outside federal facilities at both public and private academic institutions. In Vermont alone, $310 million supports various projects at the University of Vermont in fields like biomedical sciences and engineering. A decrease in NIH funding could result in an annual economic loss of $120 million for Vermont.
Attorneys general from Arizona, California, Connecticut, Colorado, Delaware, Hawaii, Illinois, Maine Maryland Massachusetts Minnesota Michigan Nevada New Jersey New Mexico New York North Carolina Oregon Rhode Island Washington Wisconsin joined Attorney General Clark in filing this lawsuit today in U.S District Court for Massachusetts.