Fall 2025 - Innovation

NIH Changes Terms and Conditions Governing Federal Grants

The National Institutes of Health (NIH) announced a significant change to the terms and conditions governing federal funding applicable to all NIH grants, cooperative agreements and other awards, including future awards.

The new terms require awardees to certify that they do not operate or promote diversity, equity and inclusion (DEI) or diversity, equity, inclusion and accessibility (DEIA) programs in violation of federal anti-discrimination laws. Awardees also must refrain from participating in any “discriminatory prohibited boycott,” defined as refusal to do business with Israeli companies or companies doing business in or with Israel. Additionally, they may not engage in conduct prohibited by Section 2(b) of Executive Order (EO) 14190 of Jan. 29, 2025, regarding “radical indoctrination” in public education (referred to as “discriminatory equity ideology”).

Specifically, by accepting federal funding under this change, recipients certify that:

1) They do not and will not during the term of the financial assistance award operate any programs that advance or promote DEI, DEIA or discriminatory equity ideology in violation of federal antidiscrimination laws;

2) They do not engage in and will not during the term of this award engage in a discriminatory prohibited boycott.

This changes the existing civil rights terms listed in Section 4.1.2 of the federal Grants Policy Statement (GPS) that reference the Civil Rights Act of 1964, prohibiting discrimination on the basis of race, color or national origin; Title IX of the Educational Amendments of 1972, prohibiting discrimination on the basis of sex; Section 504 of the Rehabilitation Act of 1973, prohibiting discrimination based on physical or mental disabilities; the Age Discrimination Act of 1975, prohibiting discrimination on the basis of age; and EO 13166 of Aug. 11, 2000, prohibiting discrimination against people with limited English proficiency.

The new requirement “supersedes” Section 4.1.2 of the GPS, while Section 4.1.2 “will be updated to incorporate this standard term and condition of award.” In addition, at least portions of Section 4.1 will remain as “civil rights requirements do not apply to foreign and international organizations.”

References

  1. Bourque, D, Hartsfield, SB, Martin, SH, Merrill, RJ, and Werner, MJ. NIH Announces Significant Changes to Federal Grant Terms, Conditions on Civil Rights. Holland & Knight Healthcare Blog, April 24, 2025. Accessed at www.hklaw.com/en/insights/publications/2025/04/nih-announcessignificant-changes-to-federal-grant-terms.
BSTQ Staff
BioSupply Trends Quarterly [BSTQ] is the definitive source for industry trends, news and information for the biopharmaceuticals marketplace. With timely and critical information, each themed issue covers topics ranging from product breakthroughs, industry insights and innovations, up-to-the-minute news on the latest clinical trials, accessibility, and service and safety concerns.