June 18, 2025

From Luis Cifuentes, Vice President for Research, Creativity and Economic Development:

The Joint Associations Group (JAG) seeks to identify and propose transparent, equitable, and efficient alternatives to the current federal indirect cost (IDC) reimbursement system. The overarching goal of the JAG initiative is to ensure fair reimbursement of actual costs incurred by research institutions, reduce administrative burden, and streamline federal funding processes across all federal agencies, per the attached report. The JAG comprises the following national organizations: 

• American Association of State Colleges and Universities (AASCU)
• American Council on Education (ACE)
• Association of American Medical Colleges (AAMC)
• Association of American Universities (AAU)
• Association of Independent Research Institutes (AIRI)
• Association of Public and Land-grant Universities (APLU)
• Council on Governmental Relations (COGR)
• National Association of College and University Business Officers (NACUBO)
• National Association of Independent Colleges and Universities (NAICU)
• Science Philanthropy Alliance (SPA)

 To facilitate detailed analysis and develop actionable solutions, JAG convened a Subject Matter Expert (SME) Team. And to address pressing challenges, the SME Team developed two preliminary models under the framework of Fiscal Accountability in Research (FAIR). These FAIR models were reviewed by a team at NMSU that included the Provost, Vice President for Research, Interim Vice President for Administration & Finance, Associate Vice President for Research Administration, and University Controller. As a result of these internal discussions, NMSU’s observations and input will be submitted to the JAG within the requested response window by the Interim Vice President for Administration & Finance. 

There are no immediate concerns or action items for the NMSU research community. Any changes impacting IDC made by the federal government will likely take some time to review, approve/disapprove, and implement before these changes materialize for institutions of higher education.    

June 2, 2025

From Luis Cifuentes, Vice President for Research, Creativity and Economic Development:

Actions on The Hill and APLU May Advocacy

• APLU and AAU sent a joint letter to appropriations leadership on congressional oversight of National Science Foundation (NSF) appropriations.
• APLU joined the Energy Science Coalition letter urging Congress to reject the Trump administration’s proposal to cut $1.148 billion from the Department of Energy Office of Science in FY26. 
• APLU and AAU responded to a request for information from the Office of Management and Budget on reducing federal regulations. The joint association letter calls for a more efficient U.S. research enterprise by eliminating agency inconsistencies, ending duplicative reporting, right-sizing research security, and preserving Bayh-Dole Act protections. APLU also joined a broader higher education community letter to OMB, focused more on student aid-related regulations.

ASAP Request for Information

Deadline: June 30, 2025 

As part of the American Science Acceleration Project (ASAP), Senators Heinrich and Rounds are inviting public input on how to rapidly advance U.S. scientific and technological innovation. Individuals and organizations are invited to respond to a range of questions on infrastructure, AI, collaboration, and research processes. If you have any comments or questions regarding this RFI, please reach out to Kevin Cooke. 

Federal Landscape Updates

Restoring Gold Standard Science Executive Order 
On May 23, President Trump signed an executive order titled “Restoring Gold Standard Science” with stated aims to restore trust in science through transparency and accountability. The EO defines Gold Standard Science using nine characteristics, which include, but are not limited to, communication of error, subject to unbiased peer review, and accepting of negative results as positive outcomes. OSTP will issue guidance to relevant agencies regarding this EO within 30 days. This Science article explores the executive order and its potential impact on the nation's scientific landscape. 

White House Proposes to Reclassify Federal Employees, Likely Impacting Employees in Charge of Grant-making
The Trump Administration’s Office of Personnel Management has proposed reclassifying federal employees involved in grant-making as political appointees. The proposed rule says that it will "allow agencies to quickly remove employees from critical positions who engage in misconduct, perform poorly, or undermine the democratic process by intentionally subverting Presidential directives”.OMB has extended the comment period to June 7th, 2025.

White House Unveils Detailed Proposal for 2026 Spending Cuts
On May 30, the Trump administration unveiled a comprehensive 1,200-page budget proposal for fiscal year 2026, calling for over $160 billion in cuts to nondefense discretionary spending. According to The New York Times, the proposal outlines deep funding cuts across numerous federal agencies and programs, such as an $18 billion cut to the National Institutes of Health (NIH), $6 billion from NASA, $12 billion from the Department of Education (ED), and $5 billion from the National Science Foundation (NSF).

Reduction in Force at Federal Agencies Update
On May 22nd, a preliminary injunction was issued blocking the Trump Administration from implementing workforce reductions and agency reorganizations across 22 federal agencies. The court ruled that such actions bypass congressional authority, reinforcing an earlier restraining order. The Trump Administration has appealed this decision. Read this FedScoop article for more details. 

Statement from Secretary of Commerce Howard Lutnick on the Tech Hubs Program
Secretary of Commerce Lutnick announced plans to suspend funding for the six previously selected Tech Hubs and to instead recompete the awards with a focus on proposals that "prioritize national security, project quality, benefit to the taxpayer, and a fair process." A new notice of funding opportunity will be shared this summer with the goal of announcing new selections in early 2026. The six Tech Hubs selected for awards under the Biden administration may recompete and will be given heightened consideration.

DOD Memo Announces Intention to Cap F&A at 15 Percent 
On May 14, the U.S. Department of Defense (DOD) released a memo indicating the Department’s intention to implement a 15 percent indirect cost rate cap on all new awards to universities and a renegotiation of existing awards. The memo states the policy will go into effect 21 days from the date of the memo, which would be June 4th. APLU and our partner organizations are monitoring the situation and evaluating options.

ED Secretary Testifies on FY26 Budget Cuts 
Secretary McMahon testified in the House Appropriations Committee on the FY26 budget request to cut $12 billion (15%) from the Department of Education (ED). She also emphasized shifting education oversight to states, expanding school choice, and cutting DEI programs. The video of the testimony and the written statement are now available, as well as APLU’s analysis of the FY26 skinny budget request. 

Judge Blocks Trump Administration from Dismantling Education Department
The New York Times reports that a federal judge has blocked the Trump administration's plan to dismantle the Education Department, ordering the reinstatement of 1,300 laid-off employees. The ruling, in response to lawsuits from school districts and state attorneys general, found the mass firings would cripple the department and harm students. The Trump administration, calling the move a reorganization for efficiency, vowed to appeal. 

APLU, AAU, & ACE Legal Challenge to Cuts to Critical Energy Research
On May 15, a nationwide preliminary injunction was issued halting the Department of Energy (DOE) from “implementing, instituting, maintaining, or giving effect to the Rate Cap Policy in any form with respect to the IHEs [institutions of higher education] nationwide until a further order is issued by this Court”. In issuing the injunction, Judge Burroughs considered the merits of the claims made in the lawsuit and the irreparable harm that would result without an injunction. This nationwide injunction replaces the temporary restraining order in place since April 16, 2025.

DOE Secretary Wright Announces New Policy for Increasing Accountability, Identifying Wasteful Spending of Taxpayer Dollars
The Department of Energy (DOE) Secretary Wright published a memo entitled, "Ensuring Responsibility for Financial Assistance” which announces plans to reevaluate $15 billion in existing financial awards to "identity waste of taxpayer dollars, protect America’s national security and advance President Trump’s commitment to unleash affordable, reliable and secure energy for the American people." 

Authors Guild Files Class Action Lawsuit to Reverse Unlawful NEH Grant Terminations
The Authors Guild and scholars have sued the National Endowment for the Humanities (NEH) and federal officials for unlawfully terminating millions in approved grants, citing unrelated executive orders. The cuts have disrupted over 1,000 projects and left grantees financially exposed. The suit argues the actions violate federal law and seeks to restore funding, raising major concerns for research funding stability and academic integrity.

NSF Lawsuit

The New York Times reports that sixteen states, led by New York Attorney General, are suing the Trump administration over $1.4 billion in cuts to NSF programs. The lawsuit argues the cuts, which target diversity efforts and indirect research costs, violate congressional mandates and threaten U.S. leadership in science and technology.

NSF Reorganization
In a report published by Science, staff from the NSF reported that the agency plans to abolish its 37 divisions across all eight directorates, and the “number of programs within those divisions will be drastically reduced.”

New York Times Finds NSF Awarding Funding at Lowest Level in Decades 
Reporters at The New York Times analyzed 35 years of NSF grant data and found that the agency awarded just $989 million in new research grants in 2025, a 51% drop from the previous 10-year average of $2 billion. Cuts span nearly every discipline, including math, physics, chemistry (-67%), engineering (-57%), biology (-52%), and STEM education (-80%). Over 1,600 existing grants have also been terminated, totaling $1.5B in canceled awards.

May 15, 2025

From Luis Cifuentes, Vice President for Research, Creativity and Economic Development:

Over the past month, federal agencies have increasingly paused or terminated research awards in response to Executive Orders (EOs) aimed at restricting Diversity, Equity, and Inclusion (DEI) efforts and tightening compliance with new federal directives. These actions have disproportionately affected social science, public health, and workforce development programs, including those involving minority-serving institutions. USDA, NIH, NEH, and NSF have each suspended or rescinded awards citing alignment with EO mandates. The pace of these disruptions has accelerated, with NMSU reaching $25 million in cancelled funding. Principal investigators needing assistance with Human Resources questions should first reach out to their department or center/institute research support staff and contact   Marshall Parks , interim AVP for HR.

Feb. 26, 2025

From Luis Cifuentes, Vice President for Research, Creativity and Economic Development:

Regarding the federal funding "pause" that has created so much uncertainty, NMSU is in receipt of only a few stop-work order notices from USAID, USDA, and NASA. A stop-work order requires NMSU to immediately comply with its terms and take all reasonable steps to minimize the incurrence of costs allocable to the work covered by the order during the period of work stoppage. Within an unspecified (or specified) period, the sponsor can cancel the stop-work order, and resume project activities, or terminate the work covered by the order.  

Per Sponsored Projects Accounting, if deans/department heads/directors decide to continue supporting a project with a stop-work order notice and allow spending, posting charges on the Banner Fund/Index will be allowed. However, Research Administration Services will not request sponsor consideration for any charges occurring after a stop-work notice is received, even if the notice is lifted at some future point; these expenditures are considered unallowable and will need to be transferred to an unrestricted funding source.    

For projects that are a part of a multi-year, continuation and where Banner Fund/Index waivers are routinely utilized to begin work on the next year, consult your college/unit leaders about initiating a waiver request. Waivers are inherently risky, and during this unprecedented period, they are even riskier. Researchers are also encouraged to discuss scheduled funding releases with sponsor program managers. If a waiver is needed, follow these recommendations:

• Maintain payroll for personnel
• Maintain mission critical activities
• Do not issue subawards, in most cases, until the formal award notice is received  

Other guidance for faculty and staff has not changed:

• Travel & major purchases: consult your college/unit leaders before proceeding
• Salaries & personnel: unless otherwise notified, salaries for personnel on sponsored projects and IDC are not impacted at this time

Feb. 10, 2025

From Luis Cifuentes, Vice President for Research, Creativity and Economic Development:

On Feb. 7, 2025, the NIH issued   Notice Number NOT-OD-25-068 , announcing a significant policy change: a   standard 15% indirect cost rate   will now apply to all NIH grants, replacing individually negotiated rates.

As with the   federal funding “pause,”   this is a fluid situation for both existing and new grants and contracts, and new developments are likely to arrive daily.

We understand this change raises concerns. NMSU leadership is actively developing both short-term responses and long-term strategies. Our government relations team has reached out to our new lobbying firm, and we are assessing impacts to overhead funded positions and functions.

Regarding the   federal funding “pause,”   we have yet to receive expected communications from agencies like NSF, NIH, and DOE. Legal challenges and advocacy efforts from Congress and organizations like APLU and ACE are ongoing.

Guidance for Faculty & Staff has not changed:  

• Travel & Major Purchases:   Consult your college/unit leaders before proceeding.
• Salaries & Personnel:   Unless otherwise notified, salaries for personnel on sponsored projects   and IDC   are not impacted   at this time.

Feb. 3, 2025

From Luis Cifuentes, Vice President for Research, Creativity and Economic Development:

As of Feb. 2, 2025, the federal government's pause on sponsored research remains uncertain. On Jan. 27, 2025, the Office of Management and Budget (OMB) issued a directive to temporarily halt federal grants and loans to review compliance with recent executive orders. This pause was set to begin on Jan. 28. However, a federal judge temporarily blocked the freeze on Jan. 28, just before it was to take effect. Subsequently, OMB rescinded its initial memo, but the administration indicated that efforts to implement the funding freeze would continue. On Jan. 31, another federal judge issued a temporary order blocking the implementation of the funding freeze in 22 states and the District of Columbia, citing potential constitutional and legal violations. Despite these legal interventions, the situation remains fluid, and the future of federal funding for sponsored research is still in question. We expect communications from federal sponsors (e.g., NSF, NIH, DOE, etc.) early this week.

We continue to recommend:

• Travel & Major Purchases: We encourage you to postpone non-essential travel and refrain from purchasing major equipment or supplies that are not immediately critical to your federally funded project without first consulting your college/unit leaders.
• Salaries & Personnel: Unless otherwise notified, there will be no stoppage of salaries for personnel on any sponsored funded projects.

In addition, if you are planning to make major purchases, travel, or plan other research activities with institutional and general funds, consult with your department head and associate dean for research or center/institute director first.

Finally, consult with the ISSS office if you have any upcoming international travel, before seeking counsel from your department head, associate dean for research or center/institute director.

The Chronicle of Higher Education offers a robust legislation tracker monitoring DEI-related changes to policy affecting higher education institutions, as well as a tracker of changes to higher education related to executive orders and federal policy changes.

NMSU is monitoring this situation closely and is working to establish a task force to examine how equity, inclusion and diversity practices and support will fit into the next phase of our strategic planning. More information on this will be shared as it emerges.

NMSU is monitoring information related to international students, employees and scholars. Questions about this topic should be directed to NMSU International Students and Scholar Services at isss@nmsu.edu or 575-646-2834.

Information on Immigration Law
(NOTE: These recommendations are based on current available information and are subject to change)

As per the NMDOJ and other local authorities’ communication, we are not responsible for removing members of our campus community. So, if federal agents belonging to different agencies (HSI, Border Patrol, ICE, etc.) show up on campus, we recommend the following:

a) Be courteous to those who identify themselves as members of these agencies (most times, they won’t be in uniform).

b) Ask them to identify themselves by presenting their badges and, if possible, ask for their business card and cellphone numbers.

c) Tell them you are happy to help and let them know that you cannot provide personal information about yourself or others until you have contacted University General Counsel at 575-646-2446 and/or Public Safety at 575-646-3311. We ask that you insert these two numbers in your cellphone or other device, so they are accessible immediately.

d) If the officers claim to have a warrant, ask to see it. Administrative warrants do not require compliance to enter private spaces in an educational facility (classrooms, labs and residence halls, among others). Court warrants (recognizable by the court that issues it at the top of the document) require compliance. Even then, advise the officers that you cannot share information and that you need to call UGC/Public Safety.

e) FERPA protects all our students, whether documented or undocumented, from sharing their information in the absence of a court order. International students on F-1 visas should also be excepted from additional search information. H1B and Green Card holders might have to produce more documentation. We recommend that, if in doubt, travel be delayed or restricted until further clarification is provided. Again, we are still trying to understand the ramifications of the different executive orders on these matters.

f) A disclaimer: Should officers come to campus with a legitimate request to inspect and find individuals who pose an immediate threat to our community, please call the NMSU Police Department at 575-646-3311. These officers do have access to spaces where they have reason to believe that danger is imminent, or an immediate threat is located.

This is our current, best understanding for how to handle these situations.