Dear members of the Pitt community,
Amid a challenging time, we’re following up on our Feb. 9 message with some positive news. Earlier today, a federal judge granted an extension of a temporary restraining order (TRO) on the National Institutes of Health’s recent guidance that reduces the ceiling on indirect costs down to 15%. The TRO is extended until the court makes a final decision on whether to issue an injunction on the proposed change. Indirect costs, also known as F&A, support much of the educational and research work here at Pitt and at universities across the nation — from utility charges to office and lab space, to the infrastructure that helps us develop treatments and cures that elevate and save lives.
We recognize that much is at stake with this decision. A significant reduction of these funds would result in irreparable harm to University operations and to the important, lifesaving research that we do. Today’s decision allows us additional time to analyze the financial impact of any potential change in the rate of indirect cost recovery on federal awards, including levers available to mitigate the impact of revenue losses. In this endeavor, our focus will continue to be on how best to mitigate the impact on our core mission from any funding reductions by anchoring ourselves to Pitt’s north star: the values and pillars exemplified in our strategic plan, the Plan for Pitt 2028, that were established through a robust shared governance process. Today’s decision also allows us more time to work with you and to prioritize opportunities for your input, as well as to continue to advocate and engage with our elected officials in Washington, D.C., and Harrisburg, as well as with national associations where we are well represented, including the Association of American Universities (AAU), Association of Public and Land-grant Universities (APLU), American Association of Medical Colleges (AAMC), and American Council on Education (ACE), among others.
In addition to this news, we’re writing today to bring your attention to another important matter. Last Friday, Pitt and other institutions of higher education received a letter from the Department of Education’s Office for Civil Rights that addresses the use of race by schools and universities. This guidance advises that educational institutions review their policies and actions to ensure that they comply with existing civil rights law. The guidance also specifically prohibits the use of race in a broad range of university activities, including admissions, hiring, promotion, compensation, financial aid, scholarships, prizes, administrative support, discipline, housing, and graduation ceremonies, among others. University leadership is reviewing this guidance to understand the full impact and implications on our activities and functions. However, we want to be clear that the University of Pittsburgh is open to everyone, and we are committed to fulfilling our promise of successful outcomes academically or professionally. We hold ourselves accountable, and we provide the environment where success can and should happen. Recognizing that many of our community members are feeling great uncertainty at this time, please be assured that we will be in touch with additional information, as appropriate, including future guidance from the Department of Education.
Sincerely,
Joan Gabel
Chancellor
Joseph J. McCarthy
Provost and Senior Vice Chancellor
Dwayne Pinkney
Executive Senior Vice Chancellor for Administration and Finance
Chief Financial Officer
Rob A. Rutenbar
Senior Vice Chancellor for Research
Anantha Shekhar
Senior Vice Chancellor for the Health Sciences
John and Gertrude Petersen Dean, School of Medicine