Wisconsin Universities Share Dire Consequences of Illegal Funding Cuts for Lifesaving Research

WASHINGTON, D.C. – Today, U.S. Senator Tammy Baldwin (D-WI) is highlighting the dire consequences for lifesaving research at Wisconsin’s Universities after President Donald Trump and Elon Musk announced that the National Institutes of Health (NIH) will be making significant, illegal cuts to critical funding used to discover medical breakthroughs. The NIH announced that it is arbitrarily capping indirect cost rates at 15%, which will slash funding that helps research institutions, like the University of Wisconsin, conduct research, operate their facilities and labs, pay staff, and buy equipment needed for groundbreaking work to find cures for diseases and treatments for patients.

“Cutting funding for lifesaving cures for diseases like Alzheimer’s disease and cancer will hurt Wisconsin families. Period. These illegal cuts will not only mean fewer treatment options for Americans down the road, but it also will cost Wisconsinites their jobs across our state,” said Senator Baldwin. “Elon Musk and Donald Trump are stripping away investments that help Wisconsin families to make room for their tax cut for billionaires and the biggest corporations. I’m standing up for Wisconsin and doing everything I can to push back on this illegal funding cut that will cost American lives and livelihoods.”

“For decades, the federal government and research universities have had a deep and extremely successful partnership to produce important research for the good of the nation. UW–Madison has long been a research powerhouse, and this effort is central to our purpose. Federal funding has contributed to a wide variety of critical innovations and discoveries at UW–Madison, from weather satellites that save lives during natural disasters to the ‘UW Solution’ that advanced the practice of organ transplantation by extending the viability of human organs,” said the University of Wisconsin-Madison. “Today, campus researchers are leading a major national NIH grant to unlock the mysteries surrounding Alzheimer’s disease in a quest for better treatments, and ultimately, a cure. Work done here saves lives with innovations like cell therapies to treat cancer and heart attacks, improvements in medical imaging, and new treatments for diabetes. Our research enterprise is at the heart of the Wisconsin Idea, our commitment to innovating for the public good and doing work that makes a difference for Wisconsin and the world."

“As we continue to assess the situation and its potential impact on our university, we recognize the significant role of NIH-funded research at UW-Milwaukee, totaling $7.9 million from 2019 to 2027. These projects support critical research that enhance quality of life by improving physical and mental health interventions, disease prevention strategies and public health policies. Examples of these projects include studies on genetic mutations linked to birth defects in children, the neuroscience of aging and the effects of wheelchair use on shoulder pain,” said University of Wisconsin-Milwaukee Chancellor Mark Mone.

Indirect costs are necessary expenses for universities that support research, including paying key support staff, maintaining equipment, and operating labs, among other activities. Slashing this funding will shift billions of dollars in burdens to states and their taxpayers, who cannot afford to pay the difference. According to a lawsuit filed by 22 states including Wisconsin to block the Trump Administrative directive, this cut to NIH funding at UW-Madison would eliminate approximately $65 million in funding – which would mean layoffs and immediately halting research programs including potentially terminating clinical trials. UW-Madison could be forced to not only stop admitting new patients to some clinical trials, but to scale back ongoing clinical trials. This means slower and fewer treatments for adult and pediatric cancer, Alzheimer’s disease, diabetes, degenerative neurologic diseases, and more. A federal judge on Monday temporarily blocked the NIH funding cuts from going into effect, issuing a temporary restraining order, and setting a hearing for February 21.

Implementing the Trump Administration’s 15% cap on indirect costs would mean an immediate loss of billions of dollars that have already been committed at research institutions across the country to employ tens of thousands of researchers and other workers. It would mean an immediate halt of life-saving health research and cutting-edge biomedical innovations that produce vaccines and cures for diseases like cancer and addiction. It would have a ripple effect across the private sector as it disrupts partnerships with private institutions, causing some of them to go bankrupt. Business communities, mayors, governors, and Chambers of Commerce across the country have all expressed concerns about the devastating impact imposing this illegal, arbitrary policy would have on local and state economies.

Research institutions in Wisconsin, including the University of Wisconsin–Madison, Medical College of Wisconsin, Marquette University, University of Wisconsin–Milwaukee, and Marshfield Clinic Research Institute, among other University of Wisconsin System schools, will be impacted by these funding cuts.

As Ranking Member of the Appropriations Subcommittee on Labor, Health and Human Services, and Related Agencies, Senator Baldwin is responsible for writing the bill that funds the NIH, which explicitly prohibits NIH from taking this arbitrary action.  

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