Joint lawsuit challenging Department of Energy indirect cost cuts
Dear Cornell community,
Today, Cornell University joined the Association of American Universities, the Association of Public and Land-grant Universities, the American Council on Education, and other leading research universities in litigation challenging the Department of Energy’s (DOE) proposed immediate cuts to indirect costs for existing sponsored research grants.
This is the second time this semester that Cornell has taken the unprecedented step of seeking emergency judicial intervention after a federal agency abruptly breached the negotiated rate for indirect costs.
Government-sponsored research grants include both the direct cost of doing the work and the indirect cost of facilities, utilities, financial administration, and operations that accompany this highly technical research. Research sponsored by the Department of Energy entails significant indirect expenses such as large-scale computing, lab maintenance, and safety requirements for hazardous and radioactive materials.
Cornell has long engaged in research sponsored by federal agencies, which rely on universities to undertake basic and applied scientific studies that are critical to the American economy and national security.
The Department of Energy (DOE) chooses universities like Cornell to take on critically important scientific exploration that adds immeasurably to our economy and scientific understanding, including discoveries that support manufacturing and industrial efforts vital to national security, American manufacturing, economic competitiveness, and progress toward energy independence. Projects cover a wide range of disciplines and applications, including revolutionizing the fundamental understanding of electroanalytical chemistry, developing materials for energy independence, designing circuits for artificial intelligence, maintaining safety and security of nuclear weapons, developing biodegradable plastic, and creating materials for stealth technology.
Arbitrarily cutting indirect costs will cause irreparable harm to Cornell’s research enterprise, paralyze progress on projects of national importance, and threaten the training of the next generation of energy scientists.
Cornell remains committed to its ambitious research mission and appreciates every opportunity to harness scientific inquiry for the public good. We are eager to have a thoughtful conversation about how we could partner with the federal government to reduce research operating costs while preserving the partnership that underlies the many benefits of sponsored research for the American people, economy, and global competitiveness.
Sincerely,
Michael I. Kotlikoff
President
Kavita Bala
Provost