The University of North Texas Health Science Center at Fort Worth could lose millions in federal funding for medical research under a new Trump administration proposal.

The National Institutes of Health, the primary source of federal funding for medical research in the U.S., announced Feb. 7 plans to drastically cut “indirect costs.” However, a federal judge has temporarily blocked the move. The Health Science Center is unsure of how its research will be affected.

“The situation is evolving, and we are working with our federal partners to best understand any potential implications. At this time, we do not have any projections to share regarding potential impacts,” a UNT Health Science Center spokesperson said in a statement.

In 2022, the Health Science Center received a $150 million grant for up to five years from the National Institute on Aging, part of the National Institutes of Health. The study would see a funding cut of about $3.4 million annually if the policy is rolled out, according to the Texas Tribune.

The grant was the biggest the University of North Texas System has received and funds one of the largest studies of Alzheimer’s disease ever conducted. The study is comprehensively assessing the disease among white, Black and Mexican American residents and seeks to understand how Alzheimer’s differs among these populations.

UNT Health Science Center investigators have enrolled thousands of people into the study to undergo interviews, memory screens, lab tests and brain scans twice every five years. Sid O’Bryant, a professor and Alzheimer’s expert at the University of North Texas Health Science Center, told the Report in 2022 that the research could help broaden the framework for treating and preventing the disease.

“This study will change the world,” O’Bryant said at the time.

The new policy limits indirect funding costs to 15%. The average indirect cost rate is between 27% and 28%. Some institutions have charged over 50%.

NIH said in a statement that indirect costs are difficult to oversee.

“NIH is obligated to carefully steward grant awards to ensure taxpayer dollars are used in ways that benefit the American people and improve their quality of life,” the statement said.

NIH funds research for research centers and universities through two methods:

• Direct costs, which are solely for research.
• Indirect — or overhead — costs, which are as “facility” and “administration” costs. 

In 2023, $9 billion was allocated to overhead expenses, including laboratory equipment, maintenance, utilities and cleaning costs.

The federal judge granted a temporary restraining order pausing the research funding limit following a lawsuit from 22 state attorneys general. Texas did not join the suit.

“This agency action will result in layoffs, suspension of clinical trials, disruption of ongoing research programs and laboratory closures,” the lawsuit reads.

If the policy is put in place, medical institutions working toward finding cures for diseases will “grind to a halt,” according to the lawsuit.

“Indirect costs are vital to conducting research that advances American stature in international technological advancement, medical research, and life-saving technologies,” the lawsuit reads.

A federal court hearing is scheduled for Feb. 21.

Kathryn Miller is a reporting fellow at the Fort Worth Report. You can contact her at kathryn.miller@fortworthreport.org. At the Fort Worth Report, news decisions are made independently of our board members and financial supporters. Read more about our editorial independence policy here.

This article first appeared on Fort Worth Report and is republished here under a Creative Commons license.