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US judge blocks Defense Department from slashing federal research funding

  • U.S. District Judge Brian Murphy temporarily blocked the Defense Department's 15% cap on indirect research cost reimbursements on June 16 in Boston.
  • The cap resulted from an administration effort to reduce funding overhead after similar limits were proposed by NIH, DOE, and NSF and faced legal challenges.
  • Universities including MIT, Johns Hopkins, and groups like the Association of American Universities sued, arguing the cap violates federal laws and disrupts negotiated rates often above 50%.
  • Defense Secretary Pete Hegseth stated that the policy could reduce costs by $900 million per year and emphasized that the redirected funds would support applied innovation, operational capability, and strategic deterrence.
  • The restraining order halts the policy pending a July 2 hearing, reflecting ongoing judicial resistance that has blocked similar agency caps and left the policy's future uncertain.
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The US government wants to cut its space agency massively, international projects are also threatened. Nasa interim female Janet Petro promotes cooperation and at the same time defends austerity.

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Reuters broke the news in United Kingdom on Monday, June 16, 2025.
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