,,ii  #aahth ,,congress  #b;d ,session  
,s4 #dbdg  ,,in ,,the ,,senate ,,of     
,,the ,,united ,,states  ,may #b1       
#bjbd,mr4 ,lee 7for himself1 ,mr4       
,marshall1 and ,mr4 ,hawley7 introduced 
the following bill2 which was read twice
 and referred to the ,committee on      
,health1 ,education1 ,labor1 and        
,pensions  ,a ,,bill  ,to establish     
,federal research award reimbursement   
limits for indirect costs for           
institutions of higher education1 and   
for other purposes4  #a4 ,short title   
,this ,act may be cited as the ,no      
,subsidies for ,wealthy ,universities   
,act4  #b4 ,definitions ,in this ,act3  
7#a7 ,agency ,the term agency has the   
meaning given the term in section #eea  
of title #e1 ,united ,states ,code4     
7#b7 ,direct cost ,the term direct cost 
has the meaning given the term in       
subpart ,e of part #bjj of title #b1    
,code of ,federal ,regulations 7or any  
successor regulation74  7#c7 ,endowment 
fund ,the term endowment fund has the   

meaning given the term in section       
#cab7;c7 of the ,higher ,education ,act 
of #aife 7#bj ,u4,s4,c4 #ajeh7;c774     
7#d7 ,federal research award ,the term  
,federal research award means support   
provided to an individual or entity by  
an agency to carry out research         
activities1 which may include support in
 the form of a grant1 contract1         
cooperative agreement1 or other         
transaction4  7#e7 ,indirect cost ,the  
term indirect cost has the meaning given
 the term in subpart ,e of part #bjj of 
title #b1 ,code of ,federal ,regulations
 7or any successor regulation74  7#f7   
,indirect cost rate ,the term indirect  
cost rate1 with respect to a project    
supported under a ,federal research     
award1 means the ratio1 expressed as a  
percentage1 of the indirect costs of the
 project to the direct costs of the     
project1 as determined in accordance    
with subpart ,e of part #bjj of title   
#b1 ,code of ,federal ,regulations 7or  
any successor regulation74  7#g7        

,institution of higher education ,the   
term institution of higher education has
 the meaning given such term in section 
#ajb of the ,higher ,education ,act of  
#aife 7#bj ,u4,s4,c4 #ajjb74  #c4       
,capping indirect costs allowable under 
,federal research awards  7a7 ,endowment
 calculations  7#a7 ,collection by      
,,nces ,not later than ,september #cj of
 each year1 the ,commissioner for       
,education ,statistics shall-- 7,a7     
collect information regarding the value 
of the endowment funds1 as of ,september
 #cj of the preceding fiscal year1 of   
each institution of higher education    
that has entered into a program         
participation agreement with the        
,secretary of ,education under section  
#dhg7;a7 of the ,higher ,education ,act 
of #aife 7#bj ,u4,s4,c4 #ajid7;a772     
7,b7 use the data described in          
subparagraph 7,a7 to identify-- 7i7 each
 such institution of higher education   
with endowment funds that1 in total1 are
 valued at more than #e1jjj1jjj1jjj1 as 

of ,september #cj of the preceding      
fiscal year2 and  7ii7 each such        
institution of higher education with    
endowments funds that1 in total1 are    
valued at more than #b1jjj1jjj1jjj but  
not more than #e1jjj1jjj1jjj1 as of     
,september #cj of the preceding fiscal  
year2 and  7,c7 make lists of the       
institutions identified under each of   
clauses 7i7 and 7ii7 of subparagraph    
7,b7 and submit such lists to the       
,director of the ,office of ,management 
and ,budget4  7#b7 ,distribution by     
,,omb ,not later than ,september #cj of 
each year1 the ,director of the ,office 
of ,management and ,budget shall make   
the lists described in paragraph        
7#a77;,c7 available to-- 7,a7 the head  
of each agency2  7,b7 ,congress2 and    
7,c7 the public4  7b7 ,limits on        
indirect cost reimbursements for        
institutions with significant endowment 
funds  7#a7 ,prohibition for            
institutions with highest endowment     
funds ,notwithstanding any other        

provision of law1 the head of an agency 
making a ,federal research award for a  
fiscal year to an institution of higher 
education identified under subsection   
7a77#a77;,b77i7 for the preceding fiscal
 year shall not allow any ,federal      
research award funds to be used for     
indirect costs4  7#b7 ,indirect cost    
rate limit for institutions with        
substantial endowment funds             
,notwithstanding any other provision of 
law1 the head of an agency making a     
,federal research award for a fiscal    
year to an institution of higher        
education identified under subsection   
7a77#a77;,b77ii7 for the preceding      
fiscal year shall establish an indirect 
cost rate for the ,federal research     
award that is not more than #h percent4 
7c7 ,limits on indirect cost            
reimbursements rates for other          
institutions ,notwithstanding any other 
provision of law1 the head of an agency 
making a ,federal research award for a  
fiscal year to an institution of higher 

education not identified under clause   
7i7 or 7ii7 of subsection 7a77#a77;,b7  
for the preceding fiscal year shall     
establish an indirect cost rate for the 
,federal research award that is not more
 than #ae percent4  7d7 ,program        
participation agreement requirement     
,section #dhg7;a7 of the ,higher        
,education ,act of #aife 7#bj ,u4,s4,c4 
#ajid7;a77 is amended by adding at the  
end the following3  7#cj7 ,the          
institution will annually provide the   
,commissioner for ,education ,statistics
 with the endowment fund information    
needed by the ,commissioner to carry out
 section #c7;a77#a7 of the ,no          
,subsidies for ,wealthy ,universities   
,act4  4  #d4 ,improving oversight of   
indirect cost reimbursement ,the        
,comptroller ,general of the ,united    
,states shall prepare and submit to     
,congress an annual report regarding the
 indirect costs reimbursed under        
,federal research awards made to        
institutions of higher education for the

 preceding fiscal year4 ,the report     
shall-- 7#a7 determine1 to the extent   
practicable1 for such fiscal year-- 7,a7
 the amount of reimbursed indirect costs
 for ,federal research awards that were 
used for administrative staff           
compensation at institutions of higher  
education2 and  7,b7 the amount of      
reimbursed indirect costs for ,federal  
research awards that were used for      
compensation for administrative staff   
members with responsibilities related to
 diversity1 equity1 and inclusion2  7#b7
 identify the research fields that      
receive the highest levels of funding   
from ,federal research awards made to   
institutions of higher education2 and   
7#c7 identify-- 7,a7 the agencies that  
awarded the highest amount of ,federal  
research award funds to institutions of 
higher education2 and  7,b7 the         
institutions of higher education that   
received ,federal research awards from  
such agencies4  #e4 ,effective date2    
applicability ,this ,act shall take     

effect on the date that is #a year after
 the date of enactment on this ,act and 
shall apply with respect to ,federal    
research awards made on or after such   
date4