Federal and State Policy Change Updates

Dear Faculty, Staff and Graduate Students,

As we head into a long weekend and observe Memorial Day with our friends and families, I hope you all have a safe and restful time. Also, I encourage each of us to take time to pause on Monday to honor those who have fallen while in service to our country; their sacrifice has enabled our freedoms. Our dedication to selfless service and honoring that of others is unwavering. Before we get to that long weekend, we have a few updates on the changing policy landscape.

U.S. District Court Enjoins Department of Education from Implementing Reduction-in-Force and Transfer of Management Duties

On May 22, a U.S. District Court in Massachusetts enjoined the U.S. Department of Education from implementing the March 11 reduction-in-force (RIF), carrying out the March 21 directive to transfer the management of federal loans and special education functions, and directs the administration to reinstate individuals affected by the RIF.

National Science Foundation Indirect Cost Rate Cap

On May 19, the National Science Foundation (NSF) announced that it is temporarily pausing the 15% cap on facilities and administrative rates, which was previously being implemented under the NSF Policy Notice: NSF 25-034. This pause is in effect through June 13, when a hearing is scheduled to occur in a United States District Court. New NSF awards issued during this pause will not implement NSF 25-034, but they will include a term that would implement NSF 25-034 for the entirety of the award, dependent on future court decisions.

Indirect Cost Research Framework Feedback

As I mentioned recently, a variety of organizations have formed a Joint Associations Group (JAG) and are working collaboratively to spur the development of a framework to create a more efficient and transparent model for how the federal government reimburses universities and other research institutions for the indirect costs associated with conducting research on behalf of the American people. Texas A&M, along with other universities, was asked to provide answers to several key questions. We provided this important feedback to the JAG, after considering the feedback from our Council of Principal Investigators Executive Committee, Faculty Senate, University Research Council Deans and the Council of Deans. We sincerely appreciate the time people spent providing feedback, and everyone’s input contributed to the thinking that represents the final product. Hopefully, this group’s work will result in productive discussions.

Terminations and Stop Work Orders

We are monitoring and supporting principal investigators (PI) who are impacted by terminations or stop work orders. We are also working with The Texas A&M University System, as many agency projects affect our faculty and graduate students. These impacts remain fluid, and we’re working with PIs on an individual basis as needed. If you have an affected project or are concerned about a project on which you’re currently working, please reach out to Sponsored Research Services at cstratta@tamu.edu.

State Legislative Updates

On the state legislative side of things, we’re in the last 10 days of the session and hitting several deadlines under House and Senate rules. Tomorrow is the last day for House Committees to report Senate Bills and Senate Joint Resolutions out of committee. That means that if a SB/SJR hasn’t been voted out of its House committee by tomorrow, it has died as a stand-alone bill. It may still find life as an amendment to other legislation, but time is short and there are thousands of moving pieces right now. Here are some updates on legislation you may be most interested in:

• Senate Bill 17, which creates prohibitions on landownership in Texas by certain entities and individuals, is still in conference committee. We will continue to monitor this closely.
• Senate Bill 37, which would change governance structures at universities related to curriculum decisions and faculty senates, passed out of the House Committee on Higher Education on May 19 and is scheduled to be heard on the House floor tomorrow, May 24. We are working closely with the System to fully understand the implementation of this bill for the university and will be sharing more with you all soon as the bill moves through the process.
• Senate Bill 530, which removes the statutory requirements for institutions of higher education to be accredited by the Southern Association of Colleges and Schools, was signed into law by Governor Abbott on May 20 and becomes effective on Sept. 1, 2025.
• Senate Bill 2615, related to remote work policies for employees of public institutions of higher education, has been voted out of the House Committee on Higher Education. This bill restricts teaching faculty from fully remote work unless they meet certain exceptions. There was recently a committee substitute that we are currently reviewing. The next step is for the bill to move on to the House floor for a vote.
• House Bill 5196, related to telework policies for state employees, was discussed at a public hearing before the Committee on Business and Commerce on May 22. It was left pending in committee.