February 1, 2012

NIH Notice: Inflationary Increases for FY 2012 Grant Awards

On January 20, 2012, the National Institutes of Health (NIH) announced that inflationary increases for future-year commitments will be discontinued for all competing and non-competing research grant awards issued in FY 2012 (NOT-OD-12-036: NIH Fiscal Policy for Grant Awards – FY 2012).

As this policy pertains to awards issued in FY 2012 and thus implies a temporary limitation, MU OSPA advises continued inclusion of customary cost-of-living increases in proposal budgets, with the expectation that NIH may make adjustments at award. To demonstrate our attention to NIH policies as they roll out, please consider adding the following footnote to the Budget Justification:    

The budget includes annual increases for salaries and fringe benefits. However, we acknowledge that inflationary increases are discontinued for FY 2012 funding per NOT-OD-12-036. In the event of award, we expect NIH to make appropriate adjustments to the budget based on the policy in effect at that time.



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