Navigating Federal Policy Changes: Protecting Rutgers Health Research and Innovation

February 26, 2025

Dear Rutgers Health Community,

The cascade of recent federal executive orders, guidance, and policy changes has created significant uncertainty and concern across our university, particularly within our biomedical and health sciences community. I want to assure you that our leadership team is working tirelessly to address these challenges while upholding our core missions and values.

These shifting federal policies touch many areas central to our work: education, healthcare delivery, research funding, international collaboration, and our longstanding commitment to fostering a diverse and inclusive environment where excellence thrives. The impact on our research enterprise is particularly concerning and is the primary subject of this email.

The February 10 announcement from the National Institutes of Health (NIH) capped Facilities and Administrative (F&A) cost recovery rates on NIH grants at 15%, which is dramatically below our federally negotiated rate of 57%. These F&A costs, also known as indirect costs, are essential reimbursements for expenses that make research possible, including laboratory maintenance, utilities, administrative support, and regulatory compliance. While we are encouraged that a federal judge has issued a temporary restraining order halting implementation of this cap, and very recently extended those restraints pending his decision on a request for a preliminary injunction against it, the situation remains fluid, and we continue to closely monitor developments.

There have also been significant impacts on grant processing, with a functional hold placed on meetings of NIH study sections and NIH Advisory Councils—without which new awards cannot be made. Additionally, particular kinds of grant awards have been singled out for changes, especially those relating to DEI, and selected programs have been withdrawn entirely. While we’ve been advised that study sections will resume meeting soon (no word yet on Advisory Council meetings), the uncertainty creates challenges for research planning.  

Universities as the Engine of American Innovation

For decades, America's global leadership in health care, technology, and scientific discovery has been powered by our research universities. The partnership between federal agencies and academic institutions has created a uniquely American ecosystem of innovation that produces life-saving medical treatments, drives economic growth, and addresses our most pressing challenges. At Rutgers Health, our NIH-funded research has led to groundbreaking discoveries that have transformed patient care and positioned New Jersey as a biomedical innovation hub. Currently, NIH funds nearly 1,200 separate grants across Rutgers Health, supporting our critical research in heart disease, cancer, neuroscience, brain health, infectious disease, and many other areas vital to human health.

This model of discovery is now at risk at Rutgers and across the country. The proposed funding changes would severely hamper our ability to maintain the infrastructure that supports breakthrough research, potentially undermining America's competitive edge in biomedical innovation at a time when global competition has never been more intense.

Our Immediate Response and Protective Measures

In response to these challenges, we’re engaging proactively, grounded in the principle of thoughtful, informed action based on the evolving legal landscape, rather than precipitous changes that may prove unnecessary or counterproductive:

National Advocacy Coalitions: Rutgers has joined forces with leading academic centers, the Association of American Medical Colleges, the Association of Schools of Public Health, and important state partners to challenge these actions through both legal and legislative channels. This coordinated approach provides our strongest path to reversing policies that threaten the research enterprise, and, at least so far, has been successful.

Strategic Financial Assessment: University leadership is assessing the potential impacts across our research portfolio. We're working closely with deans, department chairs, and center directors to identify priorities and develop strategies that protect our most vital programs.

Pre-Award and Post-Award Support: The Rutgers Office for Research’s Pre-Award and Post-Award teams continue to work diligently to assess all stop work orders, attestations, and other requests received by principal investigators and provide guidance in collaboration with the Office of General Counsel.

Our Unwavering Principles

During periods of uncertainty, it's essential to reaffirm what remains constant—the core principles that guide our work:

• Excellence in health care, research, and education: Our commitment to providing exceptional patient care, conducting transformative research, and training tomorrow's healthcare leaders remains unwavering as we ensure that university policies and practices continue to be consistent with the law and our institutional values.
• Academic and scientific integrity: The pursuit of knowledge through rigorous, evidence-based inquiry defines who we are. This dedication to scientific integrity is non-negotiable.
• Innovation through diversity: We know that diverse perspectives drive innovation and enhance our ability to address health disparities. This commitment to inclusive excellence strengthens our capacity to serve patients and advance medical knowledge for all communities.

What This Means for You

I recognize the profound impact these changes may have on your work and professional lives.

For researchers and research staff: Continue pursuing grant funding opportunities. This is more important now than ever.  Keep doing your work. The Rutgers University Office for Research is here to support you through any transitions in federal requirements. If you receive any communications from federal sponsors about existing grants, please forward them immediately to federal-tracking@rutgers.edu. For the most updated information on federal changes impacting research, check the Office for Research’s FAQ page.

For clinicians and healthcare providers: We are working to ensure that disruptions to healthcare policy do not compromise our clinical operations. Your focus on delivering exceptional care remains our priority.

For faculty, staff, and learners across all areas: Your contributions to our missions are valued now more than ever. We are committed to transparent communication as we navigate these challenges together.

What I Ask of You

As we face these challenges together, I ask four things of our Rutgers Health community:

1. Stay focused on our missions: Your dedicated work in patient care, research, and education changes lives every day. That work must continue despite the obstacles we face.
2. Support one another: The strength of our community has always been our greatest asset. Check in with colleagues who may be particularly affected by these changes.
3. Communicate your concerns: Your insights help us understand the full impact of these policy shifts. Please direct questions about specific grants to your assigned grant specialist, and remember that researchers should not sign any documents related to sponsored awards without proper review through established university processes.
4. Utilize available resources: Bookmark our comprehensive website, Navigating New Federal Government Actions and Requirements, which provides regularly updated information and guidance. In addition, support services are available for faculty, staff, and students experiencing stress or uncertainty.

Moving Forward Together

While the landscape before us presents significant challenges, I remain confident in our collective ability to navigate these difficulties. Throughout its history, Rutgers has demonstrated remarkable resilience in the face of changing political and economic environments.

The discoveries made in our laboratories, the care provided in our clinics to our communities, and the professionals educated in our programs are too important to be derailed. America's global leadership in healthcare innovation depends on institutions like ours continuing our essential work.

I am profoundly grateful for your continued dedication to our shared mission and to the communities we serve. Please know that your work matters, and your contributions to Rutgers Health and American innovation are deeply valued.

Sincerely,

Brian L. Strom, MD, MPH
Chancellor, Rutgers Health
Executive Vice President for Health Affairs, Rutgers University