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These cuts to ‘overhead’ prices in analysis? They do actual harm
Opinion

These cuts to ‘overhead’ prices in analysis? They do actual harm

Scoopico
Last updated: June 24, 2025 10:07 am
Scoopico
Published: June 24, 2025
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InsightsConcepts expressed within the pieceTotally different views on the subject

As a professor at UC Santa Barbara, I analysis the results of and options to ocean air pollution, together with oil seeps, spills and offshore DDT. I started my profession by investigating the interplay of micro organism and hydrocarbon gases within the ocean, wanting on the uncommon propensity of microbes to eat gases that bubbled in from beneath the ocean ground. Wanted funding got here from the best fundamental scientific enterprise on the earth, the Nationwide Science Basis.

My analysis was esoteric, or so my in-laws (and everybody else) thought, till 2010, when the Deepwater Horizon offshore drilling rig exploded and an uncontrolled circulation of hydrocarbon liquid and fuel jetted into the deep ocean offshore from Louisiana. It was an unmitigated catastrophe within the Gulf, and all of the sudden my esoteric work was in demand. Further help from the Nationwide Science Basis allowed me to go offshore to assist work out what was occurring to that petroleum within the deep ocean. I used to be capable of assist clarify, contextualize and predict what would occur subsequent for anxious residents of the Gulf states — all made attainable by the foresight of Vannevar Bush, the unique architect of the Nationwide Science Basis.

Now the nice scientific enterprise that has enabled my analysis and a lot extra is getting ready to its personal catastrophe, because of actions and proposals from the Trump administration. Setting apart the focused cuts to facilities of discovery reminiscent of Harvard and Columbia, and rumors that California’s public universities are subsequent, the obvious threats to analysis are the draconian price range reductions proposed throughout nearly all areas of science and drugs, coupled with strikes to forestall overseas scientists from conducting research-based examine within the U.S. The president’s newest price range requires round a 55% reduce to the Nationwide Science Basis general, with a 75% discount to analysis help in my space. A discount so extreme and sudden will reverberate for years and decimate ocean discovery and examine, and far more.

However a extra delicate and equally dire reduce is already underway — to funding for the oblique prices that allow universities and different establishments to host analysis. It appears arduous to rally for oblique prices, that are generally known as “overhead” or “amenities and administration.” However at their core, these funds facilitate science.

For example, oblique prices don’t pay my wage, however they do pay for small-ticket objects like my lab coat and goggles and bigger-ticket objects like use of my laboratory house. They don’t pay for the chromatograph I exploit in my experiments, however they do pay for the electrical energy to run it. They don’t pay for the pattern tubes that feed into my chromatograph, however they do help the buying and receiving workers who helped me procure them. They don’t pay for the chemical reagents I put in these pattern tubes, however they do help the secure disposal of the used reagents in addition to the well being and security workers that facilitates my secure chemical use.

They don’t pay wage for my analysis assistants, however they do help the human sources unit via which I rent them. They don’t pay for worldwide journey to current my analysis overseas, however they do cowl a federally mandated compliance course of to ensure I’m not unduly influenced by a overseas entity.

In different phrases, oblique prices help the deep bench of supporting characters and providers that allow me, the scientist, to deal with discovery. With out these providers, my analysis enterprise crumbles, and new discoveries with it.

My oblique price fee is negotiated each few years between my establishment and the federal authorities. The negotiation is predicated on arduous information exhibiting the precise and acceptable research-related prices incurred by the establishment, together with price projections, usually tied to federal mandates. By means of this rigorous and iterative mechanism, the overhead fee at my establishment — as a share of direct analysis prices — was lately adjusted to 56.5%. I want it have been much less, however that’s the precise price of operating a analysis challenge.

The current mannequin for calculating oblique prices does have flaws and may very well be improved. However the discount to fifteen% — as required by the Trump administration — can be devastating for scientists and establishments. All of the capabilities I depend on to conduct science and prepare the longer term workforce will see staggering cuts. Three-quarters of my native analysis help infrastructure will crumble. The prices are oblique, however the results can be quick and direct.

Extra regarding is that we are going to all endure in the long run due to the discoveries, breakthroughs and life-changing advances that we fail to make.

The scientific greatness of the USA is fragile. Earlier than the inception of the Nationwide Science Basis, my grandfather was required to be taught German for his biochemistry PhD at Penn State as a result of Germany was then the world’s scientific chief. Ought to the president’s efforts to chop direct and oblique prices come to go, it could be China tomorrow. That’s why at the moment we have to remind our elected officers that the U.S. scientific enterprise pays distinctive dividends and that chaotic and punitive cuts threat irreparable hurt to it.

David L. Valentine is a professor of marine microbiology and geochemistry at UC Santa Barbara.

Insights

L.A. Occasions Insights delivers AI-generated evaluation on Voices content material to supply all factors of view. Insights doesn’t seem on any information articles.

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The next AI-generated content material is powered by Perplexity. The Los Angeles Occasions editorial workers doesn’t create or edit the content material.

Concepts expressed within the piece

  • The article contends that oblique prices (overhead) are important for analysis infrastructure, overlaying crucial bills like laboratory upkeep, gear operation, security compliance, administrative help, and regulatory processes, with out which scientific discovery can’t operate[1].
  • It argues that the Trump administration’s coverage capping oblique price reimbursement at 15% would inflict “staggering cuts” to analysis help methods, collapsing three-quarters of present infrastructure and crippling scientific progress[2][3].
  • The piece warns that broader proposed NSF price range cuts—57% agency-wide and 75% in ocean analysis—threaten to “decimate” U.S. scientific management, risking a shift in international innovation dominance to nations like China[3].
  • It emphasizes that these cuts ignore the precise negotiated prices of analysis (e.g., UC Santa Barbara’s 56.5% fee) and would undermine “discoveries, breakthroughs, and life-changing advances”[1].

Totally different views on the subject

  • The Trump administration frames oblique prices as extreme “overhead” unrelated to core analysis, justifying the 15% cap as a cost-saving measure to redirect funds towards prioritized fields like AI and biotechnology[1][2].
  • Officers assert that price range cuts focus sources on “nationwide priorities” reminiscent of quantum computing, nuclear vitality, and semiconductors, arguing that funding “all areas of science” is unsustainable underneath fiscal constraints[1][3].
  • The administration defends its stance in opposition to funding analysis on “misinformation” or “disinformation,” citing constitutional free speech protections and rejecting research that might “advance a most popular narrative” on public points[1].
  • Policymakers contend that reductions compel universities to streamline operations, although federal judges have blocked related caps at different businesses (e.g., NIH, Power Division) as “arbitrary and capricious”[2].
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