NIH Budget Cuts to Affect Success Rate of Awards

June 30th, 2006

It was announced in January of this year that the budgets of all existing NIH grants will be cut by 2.35 percent going forward, after the final Fiscal Year 2006 National Institutes of Health budget decreased by 0.1 percent from FY 05. It was also projected that the success rates for new NIH awards will decrease from a nationwide average of 30 percent to an average of 20 percent.

It is anticipated that this will be an important source of downward pressure on NIH spending in FY 06 and FY 07. Since 82 percent of McLean's awarded research revenues derive from federal sources (74 percent from the NIH), we are carefully monitoring application success rates, although the impact of these budget cuts may not be as severe at McLean as in other institutions because of the caliber of our researchers and programs.

The Partners Research Activity Report for the Quarter Ending March, 2006, reported an application success rate of 43 percent (total dollars applied for versus awarded) and 38 percent (projects applied for versus awarded), the highest in the Partners system, which presently averages a 27 percent application success rate for both dollars awarded and projects awarded.

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