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Dear Principal Investigators,

I hope this message finds you well. I am writing to provide important updates on recent federal and legal developments that may significantly impact research activities on our campus. These changes could affect grant funding, administrative processes, and policy compliance, requiring immediate attention.

A series of rapid changes—including Executive Orders (EOs), Office of Management and Budget (OMB) memos, federal agency notices, Temporary Restraining Orders (TROs) issued by courts, and a newly filed lawsuit by 22 states against the NIH regarding Indirect Cost (IDC) rates and the subsequent TRO today—have created substantial uncertainty for federally funded research. Of particular concern is the NIH's Notice of NIH Policy Change (NOT-OD-25-068), which imposes a flat 15% indirect cost (IDC) rate. If the TRO is lifted and this policy is enforced, it will significantly reduce funding for many projects, affecting administrative support, research infrastructure, and faculty reassigned time.

While these developments make it challenging to provide a definitive course of action, we will update you as soon as new information becomes available. In light of these changes, we ask for your attention to the following:

1. Please submit all grant-related expenses on time. For faculty release or reassigned time (IRT) in Spring 2025, the post-award team is working closely with your college's DFO. Since compensation for reassigned time must be paid in arrears and with faculty's after-the-fact certification, TUC and the colleges have created a process to submit monthly partial IRT requests. We encourage you to talk with your DFO to make sure your reassigned time requests and payments are submitted and approved quickly.
2. If your grant includes DEI/DEIA-related activities, please proceed with caution before incurring significant expenditures. Please consult with Dr. Charlene Manzueta at charlene.manzueta@csun.edu for specific guidance.
3. Given the ongoing uncertainties, it’s important to be judicious when submitting expenditure requests, including, but not limited to, using P-cards, check requests, and, especially, submitting purchase orders or travel authorizations. Some expenditures may not be reimbursed by the granting agency in a timely manner, or at all, which could require PIs to identify alternative non-sponsored project funding sources to reimburse the expenditures.
4. Pause all DEI/DEIA Activities associated with NASA and Department of Energy (DOE) Grants (per sponsor notices) until further clarification is provided by your program officer. 
5. The NIH’s IDC rate reduction will considerably impact the administration of large grant programs. We are currently assessing how this change affects reassigned time for this semester, but please be assured that reassigned time for this semester will be honored. Further guidance will be provided as we determine how this change may affect future semesters.

We recognize the challenges these developments pose and remain committed to supporting you during this uncertain time. If you have questions or believe your funding may be affected, please contact our office at research@csun.edu or reach out to Dr. Charlene Manzueta directly.

Thank you for your understanding and cooperation. The RSP team will continue to provide timely updates and guidance as the situation evolves.

Sincerely,

Mariappan "Jawa" Jawaharlal, Ph.D.
Associate Vice President, Research and Sponsored Programs (RSP)

Charlene Rosenda Manzueta, EdD, MA, CRA
Managing Director, RSP, AOR |IO

Rick Evans
Executive Director, The University Corporation

Grace Slavik
Associate Executive Director, Financial Services, The University Corporation