Under a new cost-management plan at the National Institutes of Health, overhead rates charged on research grants, as part of the total project cost, could be a determining factor on "marginal" proposals. Some feel universities will learn to be more economical; others feel the policy penalizes one group of universities. (MSE)

In the largest settlement of its kind, New York University has agreed to pay the federal government $15.5 million to resolve charges that it submitted false information to obtain inflated reimbursements for costs associated with research grants. At least four universities are being investigated on similar grounds. The Clinton Administration issued…

The average rate for research overhead charges at major universities has declined nearly a point to 51% in the last three years, in the wake of stricter federal rules and intense political pressure. Largest reductions are at private institutions with the highest rates. (MSE)

Average institutional expenditure and revenue data include academic, academic support, support services, and financial aid expenditures and income from tuition and fees, appropriations, gifts, grants, and contracts for institutions with varying enrollment sizes. (MSE)