Energy Department’s University Research Cost Cap Paused by Judge

May 16, 2025, 3:37 PM UTC

A federal judge blocked the Trump administration’s decision to cap indirect costs for US Department of Energy-funded research projects at universities.

The department failed to explain why administrative and overhead costs shouldn’t exceed 15% of a project’s total grant amount, according to an opinion filed Thursday in the US District Court for the District of Massachusetts.

“The Rate Cap Policy, even read generously, offers very little by way of explanation or justification for the decision to so suddenly and drastically limit reimbursement for indirect costs,” Judge Allison D. Burroughs said ...

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