Blog of Bloodworks Northwest



What NIH funding cuts could mean for Bloodworks Research

On February 7, the National Institutes of Health (NIH), the largest public funder of medical research in the world, announced a significant change by capping its funding of the Facilities and Administration operating costs (so-called “indirect costs”) of federal research grants.

Scientists and health professionals around the world have warned about the ramifications these budget cuts will have on scientific advancement and, in turn, human health. Implementation of this policy is currently being challenged in US federal court, but the threat looms large over the scientific community, and it is not clear currently which orders and policies will prevail.  Bloodworks is not exempt: if enacted, the new policy would deeply impact the lifesaving blood research performed by Bloodworks.

“Bloodworks is rightly very proud of its contributions to research into blood and transfusion medicine, and we are eager to contribute significantly more in years to come,” said Bloodworks’ CEO, Curt Bailey. “Over the past five years, significant philanthropic and private investment have supported and expanded our research program. Even so, federal actions have introduced uncertainties that we must carefully consider.”

A tradition of cutting-edge research

When Bloodworks (then King County Central Blood Bank) was founded in 1944, modern blood banking was still in its infancy. Recognizing the need for greater understanding in this new arena, Bloodworks’ founders invested time, talent, and funds into the scientific study of safe blood collection, transfusion practices, and blood storage methods.

Today, thanks in part to the work of Bloodworks’ scientists, blood transfusion is the most common inpatient procedure at hospitals in the US: one in every four Americans will need a transfusion in their lifetime.

Bloodworks’ legacy of scientific exploration has made it possible to store platelets for transfusion, made bone marrow transplants possible for cancer patients, and given people with bleeding and blood disorders additional healthy years with their loved ones.

The odds are that we all know, or will know, someone saved because of the innovative thinking of Bloodworks scientists.

What began eight decades ago as a few small laboratories in downtown Seattle has grown into Bloodworks Research Institute, an internationally recognized center for excellence in blood biology and transfusion medicine.

A unique model, powered by research funding

Throughout our 80-year history, Bloodworks has been a frequent recipient of competitive research funding. In 1951, we received our first NIH grant for cold room equipment to conduct blood preservation research. In an average year, approximately 75% of our Research Institute’s funding comes from federal sources, including the NIH, while the other 25% comes from biopharmaceutical contracts, other grants, and philanthropic donations. Thanks to this funding, our researchers have been prolific, publishing over 1,000 scientific papers since 1950. These publications represent critical contributions to global knowledge and are made available to the scientific community at large.

The success of Bloodworks Research Institute is due in part to our unique operating model, a small team of experts in complementary fields collaborating to advance the understanding of a single topic: blood.

There is still so much to be learned from the study of blood.

Revolutionary approaches to treating disease, such as cell and gene therapies, rely on a thorough understanding of blood cells so that we can harness them to destroy cancers. To overcome conditions such as sickle cell disease, preeclampsia, stroke, and heart disease, a deeper understanding of blood is required. Bloodworks has active federal funding in each of these areas

It is no exaggeration to say that, for the sake of humanity, we need Bloodworks’ research to continue.

 “Indirect costs” are essential costs

Continuation of that research is in jeopardy today due to the NIH’s proposed cap on funding of facility and administrative costs, known as “indirect costs.”

High quality, rigorous science is inherently expensive. Laboratories must be clean, meticulously controlled environments to ensure accurate results. Equipment must be technologically advanced to visualize some of the smallest building blocks of life. Information systems must be robust to store and analyze the data generated. Waste must be properly disposed to protect scientists and the community.

These expenses and more are considered “indirect costs,” or what we would traditionally think of as necessary operating costs. There is nothing “indirect” about them; we simply can’t conduct quality science without these necessary tools and conditions. Bloodworks depends on NIH provision of those funds to operate our Research Institute, as do many, maybe all, research organizations across America.

We strive to operate with lean administrative costs. Our scientists share the managerial responsibilities of running the Research Institute, and equipment is shared to reduce cost. Further, operations are heavily supported by philanthropic grants from private foundations.

The NIH’s proposed slashing of indirect cost funding would reduce dollars for medical research at Bloodworks by approximately $3 million annually. This is a burden that our nonprofit organization cannot bear.

In response to the NIH policy announcement, Bloodworks’ Chief Scientific Officer, Dr. José Lòpez remarked, “We are planning for different scenarios, including the worst-case scenario. And if the worst case happens, it won’t be good.”

Dr. Lòpez pointed out other concerning changes happening within the NIH, including delays in the review of applications and the issuance of award notices.

“I’ve been at Bloodworks for 19 years,” Dr. Lòpez continued, “and in that time I’ve learned that building up this kind of place, with this kind of expertise, with this kind of collaboration – is super hard, and that’s why not everybody does it. I’ve also learned that it is easy to break.”

We will continue to explore ways to further reduce cost and to diversify revenue streams for research, but the reality is this: proposed cuts to the indirect rate NIH will fund could result in the dismantling of an 80-year program with a legacy of saving lives worldwide. As we know more, we will share more, consistent with our ongoing commitment to transparency and steadfast dedication to the communities we serve.

We believe Bloodworks’ legacy of contributions to research and our potential to continue that work is a profound and inestimable service to the public. Our mission is to save lives, and we do that by propelling blood research forward — every day — in partnership with our community. Our power comes from you and your support. Please make a financial donation in support of continuing this lifesaving work.

April 16, 2025 1:35PM

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