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Overview of NIH Strategy for Distributing
American Recovery and Reinvestment Act (ARRA) Funding

Dr. Raynard Kington, NIH Acting Director
February 18, 2009

At a briefing before members of the health advocacy community, Dr. Raynard Kington presented a broad overview of NIH’s evolving strategy for use of ARRA supplemental funding. He emphasized that these are two-year funds; none of these resources will be added to the base. Because of the unique purpose of this funding to impact the economy, “this will not be business as usual.”

As Dr. Kington explained, ARRA provides NIH $10.4 billion to be obligated before September 2010, including:

  1. $8.2 billion for “research priorities,” provided to the Office of the Director. Of this amount, $7.4 billion will be distributed across the various institutes and centers (including the “Common Fund”) in an amount proportional to their individual budgets. The Office of the Director will retain $800 million to support scientific endeavors;
     

  2. $1 billion for extramural construction, renovations, and improvements, provided to the National Center for Research Resources (NCRR);
     

  3. $300 million for investments in capital equipment;
     

  4. $500 million for NIH campus buildings and facilities improvements;
     

  5. $400 million for comparative effectiveness research, transferred to NIH from the Agency for Healthcare Research and Quality (AHRQ).

NIH hopes to distribute as much of this funding as possible during 2009, though spending targets have not yet been determined.

Dr. Kington stressed that the ARRA funds will not be used to restore cuts in existing programs or projects; “this is not about recouping past cuts. We are looking to the future.” NIH will likely distribute funding according to three “buckets:”

  1. Funding new, but already peer-reviewed and approved, R01s to support highly meritorious research. As of the end of 2008, 14,000 approved research applications remain unfunded. NIH will be looking closely at these applications to determine if some of these four-year projects could be completed in two years. NIH will take advantage of the pool of approved applications to expedite the process, rather than issue a new RFA.
     

  2. Supplementing existing grants to expand research related to original goals. For example, supplemental funding could be provided to existing grants to add training slots for new researchers.
     

  3. Supporting the “Challenge Grant Program” by providing two-year funding (e.g., $500,000 per year for two years) for cross-cutting research collaboration across institutes. Funds would be distributed through a new, agency-wide, general solicitation with an expedited peer-review process. Dr. Kington suspects that at least $100-$200 million will be provided for this “bucket” and suspects the new RFA will be published before May 2009.

Dr. Kington emphasized that it would be “the height of embarrassment if grantees can’t spend the money in two years.” He urged the community, “if you don’t think you can do it, please don’t do it!”

NIH has yet to determine how much funding will be allocated to each bucket, or how many awards will be made. In making awards, NIH will take into consideration scientific merit and public health need, as well as the impact on the nation and geographic distribution. More information will be available “soon.”

Responses to Questions from the Community

• Construction: Extramural construction funding is available for new construction as well as improvements to existing facilities.

• Comparative Effectiveness Research: NIH is and will be collaborating with the Agency for Healthcare Research and Quality as well as the Office of the Secretary to determine how to distribute the $400 million in comparative effectiveness research funding; no determination has yet been made.

• Selection Criteria: The use of geographic variation as a selection criteria is not unprecedented, e.g., CTSAs. While geographic variation will be considered in awarding ARRA funding, a proposal’s scientific merit will always be the prevailing criterion.

• Restoring Cuts: ARRA funding will not be provided to recoup previous cuts to CTSAs or any other programs or projects.

• Renewals: Renewals are eligible for ARRA funds.
 

 
 
 

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