Skip to content

thenewsbit.com

Where every news count

Menu
  • Home
  • Entertainment & Gossips
  • Political Updates
  • Sports News
  • Jobs & Education
  • Medical News
  • Broadcast News
  • Communications News
Menu

A federal judge stopped nationwide cuts to US health financing

Posted on March 8, 2025 by Newsbit

A federal judge on Wednesday paused cuts to health funding nationwide in response to a lawsuit filed by Oregon and 21 other states against the Trump administration. Universities and Democratic-led states warned the cuts would lead to layoffs, lab closures and a curtailment of scientific and medical studies.

The injunction, ordered by US District Judge Angel Kelley, means the funding caps cannot be implemented while the lawsuit is ongoing. The caps would limit the reimbursement rate for indirect costs to 15%. According to the initial lawsuit, Oregon Health and Science University had an agreed upon reimbursement rate for those costs of 56%.

The cuts would save more than $4 billion per year, the National Institutes of Health said in a post on X. The post also said that of $35 billion in grants distributed by NIH last year, $9 billion went to indirect costs.

“This is a big win for science and public health,” Oregon Attorney General Dan Rayfield said. “The Trump administration’s cuts would have hurt research that’s vital to our future, and we’re glad the court stepped in to stop that. We will keep fighting to make sure that lifesaving and life-changing medical research and innovation aren’t held back by reckless decisions driven by politics.”

The policy was “a unilateral change over a weekend, without regard for on-going research and clinical trials,” Kelley said.

This created an “imminent risk of halting life-saving clinical trials, disrupting the development of innovative medical research and treatment, and shuttering of research facilities, without regard for current patient care,” she added.

A US Justice Department lawyer during a Feb. 21 court hearing described the NIH post as a “misunderstanding of what the guidance does,” saying the money would not be saved but redirected to funding new research grants, according to Reuters.

How much do Oregon universities get in federal medical research funding?
OHSU received $277 million in NIH funding last year, including indirect costs, a spokesperson said. Those indirect costs went toward things like utilities and facilities.

The University of Oregon received about $162 million in research funding from federal sources for fiscal year 2024. NIH funds made up about $56.7 million, or around 35%, of the federal funding.

“The bottom line is that university research is absolutely critical to our society and to the economy — not for any one group but for everyone,” said Anshuman “AR” Razdan, the University of Oregon’s vice president for research and innovation.

Oregon State University spokesperson Rob Odom said NIH is a valued research partner and any “across-the-board reduction in funding threatens research advances of the utmost importance to Oregon, the nation and the world.” Statesman Journal

Post Views: 15

Recent Posts

  • India now has over 1.2B telecom users: TRAI
  • Starlink gets a permit; tests & security criteria success remain awaited
  • New funding is secured by Brightspeed to support the fiber broadband use
  • Alibaba’s new AI data center expedites South Korea’s effort
  • Weeks after Musk’s xAI deal, EU says it looks at the firm’s setup

Recent Comments

No comments to show.

Archives

  • June 2025
  • May 2025
  • April 2025
  • March 2025
  • February 2025
  • January 2025
  • December 2024

Categories

  • Broadcast News
  • Communications News
  • Entertainment & Gossips
  • Jobs & Education
  • Medical News
  • Political Updates
  • Sports News
©2025 thenewsbit.com