Federal funding: July developments

Dear colleagues,

I hope you are enjoying some relaxation and rejuvenation during these summer months. I was able to take some time away in early July, after which I visited Washington, DC, to participate in opportunities—including visits with NASA and the Office of Science and Technology Policy—to again share CU Boulder perspectives about how research benefits the nation and how federal funding is critical to support our mission.

On July 4 President Trump signed the One Big Beautiful Bill Act (H.R. 1) into law. The bill advanced through Congress using budget reconciliation, allowing Senate Republicans to pass it with a simple 50-vote majority. The legislation includes tax cuts and extensions, increased funding for border and national security, and reductions to Medicaid, SNAP benefits, student aid programs, and clean energy tax credits, among other provisions. A summary of the bill can be found here.  

With this legislation now in place, Congress has turned its attention to FY26 appropriations. While the President’s Budget Request (PBR) proposed steep cuts to federal research funding, the PBR is a policy blueprint, not binding on Congress, which ultimately sets federal funding levels. Encouragingly, both House and Senate appropriations committees have signaled pushback on proposed reductions. The process is still in early stages, but there has been movement on the Commerce, Justice, Science (CJS) appropriations bill, which funds NSF, NASA, NOAA and NIST. The Senate committee supports maintaining current funding for NSF and for NASA, while the House proposal is more mixed, with a 23% reduction for NSF and level funding for NASA, though some cuts are proposed for NASA’s science programs and other key areas for CU Boulder. Visit Inside Higher Ed and the American Institute of Physics for additional information.

Additionally, I am providing an update on litigation challenging the actions of research agencies to cap facilities and administrative (F&A) indirect costs at 15%. On Friday evening, Judge Brian E. Murphy of the U.S. District Court for Massachusetts granted a preliminary injunction in the lawsuit APLU, AAU, ACE, and 12 higher education institutions brought forward challenging the U.S. Department of Defense’s policy. As in prior cases, CU Boulder contributed a declaration in support of the lawsuit. Injunctive relief is granted specifically to all plaintiffs and their members. The F&A webpage from APLU includes the major developments in all cases (NIH, DOE, NSF, and DOD).

We know how critical these federal investments are to advancing your research and scholarship, and we remain committed to advocating for strong support for federally funded research.

I again want to recognize you for your continued commitment to your work, which is at the heart of the university’s mission. Your dedication is making a difference and remains a source of inspiration for others as we adapt to the evolving landscape together.

Regards,

Massimo Ruzzene
Senior Vice Chancellor for Research & Innovation and Dean of the Institutes
Slade Professor of Mechanical Engineering
Research & Innovation Office
University of Colorado Boulder