Brown, MIT lead lawsuit against US government over sweeping science funding cuts

US universities fight back as NSF imposes 15% cap on research cost reimbursements (mit.edu)

Brown University and the Massachusetts Institute of Technology (MIT), along with 10 other institutions, have filed a lawsuit against the National Science Foundation (NSF), seeking to block newly announced limits on indirect cost reimbursements for federally funded research. The suit, filed in US District Court in Massachusetts, challenges the NSF’s decision to cap overhead reimbursements at 15 percent for all new college and university grants.The plaintiffs argue that the proposed funding changes would severely weaken the nation’s leadership in global research and innovation.According to the complaint, the cuts are unlawful and could “badly undermine scientific research at America’s universities,” as reported by the Boston Globe. In fiscal year 2024, MIT received $97 million in NSF funding for research under grants and cooperative agreements. Brown, in the same period, expended $34.4 million from the NSF to support nearly 250 scientific projects.Sweeping cuts and growing oppositionThe NSF’s policy shift, announced on Friday, mirrors previously attempted limits by the National Institutes of Health and the US Department of Energy. Those prior efforts were later blocked by federal courts. The new NSF rule applies to all indirect research costs and is part of a broader effort by the Trump administration to reduce what it considers excessive spending in elite academic institutions.Higher education leaders have responded with strong criticism. Matt Owens, president of the Council on Governmental Relations (COGR), said the move represents a significant threat to US scientific competitiveness. “The third time is not a charm; rather, it is disaster in the making for American science [and] technology and our nation’s continuing competitiveness,” he stated, as quoted by the Boston Globe.Billions in funding under threatIn 2024, the NSF allocated $7.2 billion for research and related academic activities, distributing funds to over 1,850 colleges and universities across the country. These grants often cover not only research activities but also vital administrative and operational costs. According to the plaintiffs, the 15 percent cap on indirect costs would force institutions to divert funds from other critical areas or reduce the scope of research entirely.Kara D. Freeman, president and CEO of the National Association of College and University Business Officers, called the cuts “short-sighted and ultimately against the nation’s interests,” as reported by the Boston Globe. She added, “The truth is that without a federal partner to share some of the costs of innovation, ground-breaking research, and other life-changing advances, these costs will fall directly and indirectly on current students or bring this vital work to a halt.”Brown faces additional federal scrutinyIn addition to the NSF cuts, Brown University is contending with a separate $510 million federal funding freeze. According to the Boston Globe, this action is part of the Trump administration’s initiative to hold universities accountable for alleged antisemitism on campuses. Brown spokesman Brian Clark noted that the university has yet to receive official notification but confirmed that about three dozen research grants—many tied to diversity, equity, and inclusion—have already been cut.Clark added that widespread cuts could lead to layoffs and halt high-impact research projects. Brown President Christina H. Paxson emphasized the national consequences, warning that reductions in NSF funding would cause the US to “lose its global competitive edge in areas such as quantum computing, machine learning, advanced novel engineering materials and biomechanics,” as quoted by the Boston Globe.A spokesperson for MIT did not respond to requests for comment, as reported by the Boston Globe.