How Indirect-Cost Reform Will Affect University-Industry R&D Partnerships

Throughout and following World War II, public-private research and development (R&D) partnerships supported by federal investments powered America’s rise as a global leader in scientific and technological innovation over the twentieth century. These investments led to the meteoric rise of the American economy, making the United States the home to Silicon Valley, the birthplace of the internet, and the birthplace of everyday technologies over other nations.

Universities rely on federal research funding to drive technological innovation in partnerships with industry, but the world of “indirect costs”—often referred to as facilities and administrative (F&A) costs—is complex and poorly understood. Indirect costs include organizational expenses that are necessary for operation but are not tied to a specific research project or grant.

The Trump administration has proposed sweeping indirect cost caps at agencies spanning the U.S. National Science Foundation, the U.S. National Institutes of Health, and the Departments of Energy and Defense.

In response, a coalition of research policy organizations co-developed the Financial Accountability in Research (FAIR) model, a proposed approach to reform indirect cost governance and improve transparency, consistency, and fairness in calculating and covering expenses.

What is the concern about indirect costs? What is the FAIR model? And what impact would it have on university R&D partnerships with industry and their contribution to regional innovation ecosystems and tech-based economic growth? Join senior policy, industry, and philanthropy leaders for a public webinar hosted by New America’s Future of Work & the Innovation Economy initiative.

This event will feature audience Q&A. A recording will be sent to all event registrants.

Confirmed speakers:

• Kelvin Droegemeier, former Director of the White House Office of Science & Technology Policy; Past Oklahoma Secretary of Science and Technology
• France Cordova, President, Science Philanthropy Alliance; former Director, U.S. National Science Foundation
• Anthony Boccunfuso, President & CEO, UIDP
• Erin Schumaker, Reporter, POLITICO
• Elizabeth Bruce, Director & Strategy Lead for Innovation and Society, Microsoft
• Shalin Jyotishi, Founder & Managing Director of the Future of Work & Innovation Economy initiative at New America; Forbes Contributor on Science, Workforce, and Industrial Policy