Millions of dollars in funding for North Texas-based medical research currently hangs in the balance after President Donald Trump issued an executive order demanding it be slashed, though a federal judge issued a temporary pause on the order. Twenty-two states also filed lawsuits against the order, and hearings in both cases are scheduled for Feb. 21.
According to The New York Times, $71.5 million in funding for six North Texas institutions could be cut if Trump’s order, which caps the amount of grant funding issued by the National Institutes of Health (NIH) that can be put toward indirect costs, takes effect. Indirect costs are the overhead dollar amounts necessary to keep a lab running — everything from utility bills to hazardous waste disposal.
NIH data shows that around $9 billion of the $32 billion in grants issued in fiscal year 2024 went toward indirect costs, but Trump’s proposal would cap the amount of funding built into each grant for those items at 15%. Funding for indirect costs is “critical to the successful performance of research,” University of Texas at Dallas President Richard Benson said in an email sent to students and faculty shortly after Trump’s order was issued.
Benson warned that, if instated, the new grant funding structure proposed would have “the potential to significantly impact” UTD and research institutions like it.
The New York Times reviewed grants of at least $1 million issued in fiscal year 2024 and calculated how much money each research institution would be set to lose if Trump’s policy is adopted. In North Texas, six research institutions are at risk of losing funds.
The Observer reached out to all six institutions to ask which projects are expected to take a hit if Trump’s policy is enacted and to confirm the accuracy of The New York Times’ estimated dollar amounts.
North Texas Institutions and Projects That Could Lose Funding
UTD was the recipient of 68 NIH grants in fiscal year 2024, receiving $26 million in funding for medical research. The New York Times estimates $5 million of that amount would be slashed under the Trump policy.
A spokesperson for UTD was unable to say if an evaluation of which projects could be affected by the new funding policy has been conducted, but NIH grants are generally reserved for cutting edge advancements in medicine.
Just last month, the university’s Center for Advanced Pain Studies celebrated receiving a five-year, $3.1 million grant from the NIH to investigate a potential trigger for pain in patients with diabetes. The researchers’ goal is to relieve chronic pain in those with diabetes, a disease that afflicts 35 million Americans, by using non-opioid therapies, a news release states. The research is funded through the NIH’s National Institute of Diabetes and Digestive and Kidney Diseases.
“As we face potential changes to federal support for university research, UT Dallas remains committed to maintaining and growing a robust research enterprise and to supporting the faculty, staff and students who are the engine of that enterprise,” Benson said.
Dallas’ most affected research institution would be UT Southwestern Medical Center. Receiving 600 grants totaling $289 million in fiscal year 2024, it is estimated that the center stands to lose $63 million in funding.
But the Times has also warned that their estimates may be too conservative. UT Southwestern Medical Center President Dr. Daniel Podolsky believes the number could be closer to $100 million, a gobsmacking amount that would “significantly strain our institution.”
“It will also put pressure on our ability to maintain the infrastructure necessary for our research operations,” Podolsky said in an email sent to faculty and staff. “The most significant long-term impact of this policy will be on the patients who depend on the discoveries made in our institution and others, ultimately leading to better treatments and cures.”
The Times report notes the University of Texas at Arlington could lose at least $1 million of the $9 million allocated in the last fiscal year, while the University of North Texas’ $3 million in grants could be reduced by $362,000.
In 2023, UNT reported receiving grants for research on drug-resistant breast cancer treatment and the 3D bioprinting of human organs for drug treatment testing.
Southern Methodist University also received $3 million in grants in fiscal year 2024, $183,000 of which could be slashed under Trump’s policy. Like UTD, a university spokesperson was unable to elaborate on what the policy would mean for the school’s research endeavors.
“SMU remains committed to supporting our researchers and is evaluating the impact of the proposed NIH cap on indirect cost recovery,” a spokesperson told the Observer.
