NICHD FY 2007 Funding Guidelines

The NICHD distributes its resources among many diverse programs and mechanisms. The institute is committed to funding the largest number of meritorious projects possible, while allowing the flexibility needed to support selected program priorities and respond to emerging scientific opportunities.

When the President signs the NIH Appropriation, the funds for new and competing renewal research grant applications are allocated for the fiscal year. The Institute establishes general guidelines for funding based on the allocation, allowing for necessary adjustments throughout the year to reflect directives from Congress and the NIH, as well as emerging program priorities.

For FY 2007, the following guidance applies to research project grant funds, reflecting modifications to the original guidance for FY 2007 under a Continuing Resolution:

Adjustments to Requested Budget Levels

The NICHD does not make “across-the-board” budget cuts to grants it intends to fund. However, in the interests of awarding as many grants as possible, adjustments are necessary, in part due to the following factors:

• A significant increase in the number of applications submitted
• A significant increase in the size of budget requests
• A large and growing commitment base for ongoing grants
• Insufficient growth in the NICHD budget to accommodate the first three factors.

New and Competing (Type 1) Research Project (R01) Grants

For all R01 awards up to $250,000 in direct costs, consideration is given to adjusting the level by an amount up to approximately 15% of the direct costs recommended; for awards over $250,000, consideration is given to adjusting the level by an amount up to approximately 20% of the direct costs recommended. Additional reductions may be negotiated with the Principal Investigator, based on factors such as research scope, other support, and program priorities.

Program Project (P01) Grants

For program project grants, the NICHD sets a baseline for new competing applications (Type 1) at approximately 20% below the recommended level of support. This baseline serves as a benchmark for negotiations regarding the level of support. Competing continuation (Type 2) applications are funded at a level not to exceed 10% above the last non-competing (Type 5) award.

Non-competing Continuation Grants (Type 5)

The non-competing FY 2007 level of support is reflected on the FY 2006 award notice and generally reflects a 3% yearly increase. The NICHD may adjust the level whenever it is necessary and appropriate. For example, a reduction would be made when duplicative support is identified. Pending receipt of a FY 2007 budget, NICHD followed the NIH guidelines: Type 5 awards for Research Project Grants (R01, R03, R15, R21, R34, R37, P01, U01, and U19) were issued at a level up to 80% of the commitment indicated in the previous Notice of Award. Adjustments now are being made up to the original FY 2007 commitment. A 2.9% reduction (or no escalation) is being applied to our non-competing grants with the exception of grants involving AIDS and the T, F, and K awards, in accordance with Notice NOT-OD-07-030 (http://grants.nih.gov/grants/guide/notice-files/NOT-OD-07-030.html).

Other NICHD Funding Considerations

• The legislated salary limitation for grants applies to both competing and non-competing grants. No additional NICHD funds are provided for the increase. Grantees may re-budget within the funds awarded to accommodate the new salary cap.
• Future year commitments on FY 2007 new and competing renewal awards that are over $250,000 will reflect a 3% escalation factor. Modular grants do not receive a 3% escalation factor in future years. Additional information on modular applications and awards is posted at: http://grants.nih.gov/grants/funding/modular/modular.htm.

Non-competing (Type 5) Fellowship (F), Training (T), and Career Development (K) awards will be awarded at the full 2007 commitment levels.

New Investigators

Applications submitted by new investigators are given special funding consideration. The funding range for R01s submitted by new investigators is five percentiles beyond that for other investigators. Special consideration also may include full funding of small grants or partial funding of larger grants to allow preparation and submission of revised applications for review. In addition, special funding consideration will be given to research project grant applications submitted by new investigators supported by NICHD Career Development Awards (Ks).