Oregon Bioscience Association on NIH Guidance Reducing Funding for Medical, Life Science Research

The Oregon Bioscience Association, in collaboration with our Board of Directors, expresses deep concern regarding the recent NIH guidance to reduce funding for medical and life sciences research through indirect cost rate reductions. This significant shift threatens to undermine critical advancements in medical and life sciences research and will jeopardize Oregon’s ability to sustain local jobs, retain and attract top talent, and maintain its role as a vital contributor to the broader U.S. bioscience ecosystem. The guidance will impact our nation’s global competitiveness and, most critically, delay advancements in preventing, diagnosing, treating and curing disease.  

The Stakes for Oregon and the Nation
Oregon’s life sciences sector plays a critical role in advancing scientific discovery and contributing to the state’s economy. NIH funding supports groundbreaking research at institutions like Oregon Health and Science University (OHSU), the University of Oregon, Oregon State University, and Portland State University, which collectively received over $439.9 million in grant funding  in 2024 to support research on critical diseases such as cancer and neurodegenerative disorders, as well as advancements in data-driven medical research, testing innovations, and drug development. The reduction in indirect cost rates will destabilize research operations by limiting support for essential administrative and facilities functions, slowing or stopping critical research programs, pausing clinical studies, reducing technology transfer to the public sector, and most impactfully, leading to delays in research progress and detrimental impacts on patient care.

Bioscience and life science research in Oregon directly employs over 28,000 individuals in stable roles, generating a total economic impact of $21.2 billion and supporting 75,000 jobs across all industries. This ecosystem—spanning sectors like manufacturing, construction, transportation, and services—is an integral part of the state’s economic fabric. Cuts to indirect cost reimbursements would have ripple effects far beyond laboratories, impacting families, businesses, and communities statewide. Similar consequences would be felt nationwide, as research institutions across the U.S. depend on adequate funding to maintain operations.

The Human Impact
At the heart of this issue is the impact on patients. The reduction in indirect cost rates risks slowing the development of lifesaving treatments and therapies. Research delays or cancellations could have life-altering consequences for patients awaiting advancements in cancer treatment, neurodegenerative disorders, and rare diseases. Stable funding, both direct and indirect, squarely affects the pace at which breakthroughs reach those who need them most.

The Global Implications
The United States has long been a leader in medical and life sciences research, but maintaining that leadership requires consistent investment. If indirect cost rates are reduced, we will cede critical ground to other nations that prioritize biosciences and will weaken America's ability to compete globally and delay breakthroughs that save American lives. Once research is interrupted, it can be exceedingly difficult to rebuild the talent and product pipelines and regain momentum, leaving gaps in our capacity to address future health challenges.

A Call to Protect Innovation and Science
To ensure that Oregon and the United States remain leaders in medical and life sciences research, we urge policymakers to:

●      Reevaluate NIH guidance to sustain the financial stability of research institutions, enabling them to adapt to evolving funding structures without compromising progress.

●      Protect the innovation infrastructure that supports the U.S. bioscience sector, safeguarding jobs, fostering talent development, and retention and maintaining our competitive edge.

●      Recognize the long-term societal benefits of preserving the research and development pipeline, which drives economic growth and delivers lifesaving therapies to patients worldwide.

The Oregon Bioscience Association stands ready to collaborate with policymakers to ensure Oregon remains a leader in bioscience innovation, equipping researchers with the resources they need to drive groundbreaking advancements that benefit patients, families, and communities across the state.  Together, we can protect the future of American bioscience for the benefit of patients, researchers, and communities across the US and the world.