Virginia Tech talks of potential NIH research budget cuts; possibly $13 million impact
BLACKSBURG, Va. (WFXR) – Since President Trump returned to the White House, federal budget cuts have been discussed nearly every day, and now, there's a possibility those cuts could affect research at Virginia Tech University. President Tim Sands sent a message out to the community last week talking about the potential impacts the university could face.
The National Institute of Health (NIH) announced guidance for its 2024 grants, in regards to what are known as 'indirect cost rates'. The NIH says it awards grants for research purposes, and moving forward all indirect costs will be capped at 15%. The NIH says they recognize organizations use these funds to cover overhead costs but says:
'The 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. Indirect costs are, by their very nature, 'not readily assignable to the cost objectives specifically benefited,' and are therefore difficult for NIH to oversee.'
Virginia Tech says indirect costs they face include safeguarding human test subjects, plus the costs to build, maintain, and operate research tools and facilities.
Virginia lawmakers pass new state budget deal
'That is used to support the kind of research that is done here in Roanoke and in Blacksburg to cure cancer, to look at how covid is transmitted, for example. That was research many years ago that really helped a nation and a world address covid in really meaningful and impactful ways. So we're looking potentially at a $13 million impact,' said Mark Owczarski, Interim Vice President of Communications and Marketing.
At this years State of the University address, President Tim Sands pointed out potential impact of these cuts:
'We'd like to acknowledge the challenges that many of you are facing as we interpret and respond to a flurry of executive orders that impact higher education,' said Tim Sands, President of Virginia Tech, 'We will follow the law, but we will do so once we fully understand the directives and the applications to Virginia tech. We do not yet have many of those answers, but we are collecting information and providing guidance where we can.'
As of now, Owczarski says there will be no changes to graduate admissions due to these cuts.He says that due to the fluidity and newness of these cuts, it's hard to pinpoint exactly what research will be affected.
Sands says as the university learns more, it will announce multiple town halls for community members to share their opinions on how the university can move forward. The university will continue to update the community on its website.
Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
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