Universities and sponsored research: Indirect cost recovery and the law of diminishing return

• Type of Material: Article
• Authors: Frank Anania, Emory University
• Language: English
• Date: 2015-06-01
• Publisher: Wiley: 12 months
• Publication Version: Author Accepted Manuscript (After Peer Review)
• Copyright Statement: VC 2015 by the American Association for the Study of Liver Diseases
• Final Published Version (URL): http://dx.doi.org/10.1002/hep.27776
• Title of Journal or Parent Work: Hepatology
• ISSN: 0270-9139
• Volume: 61
• Issue: 6
• Start Page: 1776
• End Page: 1778
• Grant/Funding Information: Supported in part by DK062092 and BX001746.
• Keywords: Gastroenterology & Hepatology; Science & Technology; Life Sciences & Biomedicine
• Research Categories: Health Sciences, Medicine and Surgery

Abstract

Two recent reports, one from the Government Accountability Office (GAO) of the US government1 and an editorial in the Proceedings of the National Academy of Sciences by Ronald J. Daniels, president of Johns Hopkins University,2 underscore another major issue facing research universities. This issue concerns the recovery of indirect costs (IDC), or facilities and administration (F&A) costs, which sustain biomedical research in major research institutions. Because schools of medicine (SOM)—and other health science–related schools—are pivotal players in garnering research funds, SOM are caught between respective parent universities’ priorities, faculty who invariably will have lapses in (direct cost) research funding in this environment, and a “new normal” among federal agencies which traditionally could be counted on for IDC support.