The University of Arkansas for Medical Sciences and Arkansas Children’s are preparing for the Trump administration’s cuts to the National Institutes of Health, a policy change that would upend grant-funded research at universities, medical schools and other scientific institutions in Arkansas and across the United States.

On Friday, the NIH announced that it would set a cap of 15% on payments for “indirect costs” related to research. Those costs include “general administration and general expenses such as the director’s office, accounting, personnel” and other expenditures. The change in indirect cost coverage applies to existing grants and for any new grants issued, NIH’s Office of Policy for Extramural Research Administration said Friday.

On Saturday, UAMS Chancellor Dr. Cam Patterson sent a memo to research faculty and staff, warning the NIH policy change “would have a significant effect on UAMS and other research institutions across our state and country.”

UAMS, AR Children’s brace for Trump administration cuts to medical research funding