Number of programs receiving awards.. Number of students enrolled in programs with payments to diploma schools.. Total number of students on which awards are based.. Increases in enrollment over 1962-64 average.. Federally sponsored students... 1 Not applicable until after Mar. 31, 1966. District of Columbia and Puerto Rico. Not available. 439 programs were not eligible to receive payment. Appropriation............. Fiscal year $4,000,000 2 39 569 4 229 190 26, 379 3, 123 2, 102 1, 021 Fiscal year 1966 (as of Feb. 15, 1966) $2,500,000 TABLE 3.-Traineeships Fiscal year Total amount of grants awarded... Short-term traineeships: Number of States.. $8,000,000 $8,000,000 Fiscal year 1966 (as of Feb. 15, 1966) $9,000,000 $8,334, 472 It is estimated that 5,140 trainees will participate in short-term traineeships by the end of 1966. District of Columbia and Puerto Rico. Construction grants under the health professions educational assistance pro- MEDICAL LIBRARIES PROGRAM Mr. FLOOD. Now you say you are going to create a national system of medical libraries. I have a medical library in my county that has been running for years, and a very good one, under the auspices of my county medical association. What do you do-forget about me again and set up a lot of new ones? What about the existing medical libraries set up by medical societies all through the country? Dr. STEWART. At the present time, Mr. Flood, the medical libraries, some of which are at medical schools and most of which are not but are located with medical societies or large hospitals or academies of medicine, do have ties in with the National Library of Medicine. Any doctor who walks in your library and wants something and that library does not have it, they can get it from the national library right away. Mr. FLOOD. Do they know that? Dr. STEWART. Yes, they do. We are now beginning to develop regional libraries, which will tie in, and be able to get our medlars tape world literature closer to the man if he wishes. SCREENING TEST FOR MUSCULAR DISTROPHY Mr. FLOOD. I have one more question. On page 14 you refer to: A genetic screening test now permits physicians to identify 75 percent of women who, though showing no symptoms themselves, are carriers of progressive muscular distrophy and transmit this disease to half of all of their sons. Dr. STEWART. That is right. Mr. FLOOD. Say something about that. What is this carrier? Dr. STEWART. A recessive gene. And this is a genetic pattern that would occur, and what we have got now is a way of genotyping the person, screening the women, to find out if they are carrying this recessive gene. If they are, you can figure it transmits the disease to half of all of their sons. This is the standard genetic pattern. The new thing is they know how to do this genetic screening test. Mr. FLOOD. You have done it, and you now have identified a carrier. What do you do about it? Dr. STEWART. I can't go beyond what is said there. This was just developed with the last year or so. Mr. FLOOD. It sounds of great importance if you have the next step. Of course, even this step impresses me very much. Dr. STEWART. I am sure Dr. Masland can tell you more in detail. Mr. FLOOD. The nature of muscular dystrophy, being what it is, being identified is quite something. Dr. STEWART. Yes. Mr. FLOOD. What you do next is something else. COST SHARING BY RESEARCH GRANT RECIPIENTS Mr. FOGARTY. Before we adjourned at noontime I had one more question. What are your current regulations regarding cost sharing by research grant recipients? You can put the regulations in the record. (The information supplied follows:) DEPARTMENT OF HEALTH, EDUCATION, and Welfare, PUBLIC HEALTH SERVICE, Washington, D.C., February 11, 1966. To: The heads of institutions conducting research with Public Health Service research grants. From: Chief, Division of Research Grants. In appropriating funds for the Department of Health, Education, and Welfare for fiscal year 1966, the Congress removed the previous limitation of 20 percent for indirect cost and inserted in its stead a provision that “none of the funds provided herein shall be used to pay any recipient of a grant for the conduct of a research project an amount equal to as much as the entire cost of the project." The attached Bureau of the Budget Circular A–74 establishes policies and guidelines for the Federal Government to use in connection with cost sharing for research grants. The provisions of Circular A-74 will be applied to Public Health Service new and renewal (competing) research grants for which the Notice of Research Grant Awarded carries a date of March 1, 1966, or later as the "date issued.” At the same time, full indirect cost may be allowed on these grants provided an indirect cost rate has been satisfactorily negotiated in accordance with Bureau of the Budget Circular A-21. In the absence of a negotiated rate, only direct costs will be awarded. The provisions of Circular A-74 will not be applied to continuation grants (noncompeting) nor to supplements to grants awarded prior to the effective date of this policy. For the remainedr of fiscal year 1966 and throughout fiscal year 1967, the PHS interim policy on cost sharing will continue to be applied to continuation or supplemental awards for ongoing projects. The interim policy requires that the Public Health Service limit the indirect cost allowance to 90 percent of actual indirect cost or 20 percent of the total direct costs listed on the Notice of Grant Awarded, whichever is the lesser. It should be noted that the provisions of Circular A-74 are not intended to reduce the current level of cost participation by the grantee institution except as a result of increased indirect cost allowances. The circular does provide that where there has been no requirement for cost participation in the past, the grantee institution must now share in the research costs on more than a token basis. Where the applicatnt proposes a "lower" contribution as described in section 4.c. of the circular, explanation and justification must be provided with the cost-sharing data. There are four additional provisions in connection with cost sharing which should be called to your attention at this time: (1) each grantee institution will be required to maintain records to demonstrate the total actual contribution by the grantee; (2) time or effort reports will be required for personnel whose salaries, in whole or in part, are charged to the PHS grant or claimed as the grantee contribution to the research supported by the grant; (3) the amount of grantee contribution will be subject to audit; and (4) the requirements previously governing expenditure of Public Health Service funds, including prior approval for certain uses, will now apply to the total costs of the project which will include both PHS funds and the grantee contribution. The PHS has on hand many new and renewal applications which are being reviewed. In addition, many more will be received within the next few months before application forms and instructions can be developed to provide information on proposed cost sharing. Institution officials responsible for administering specific grants will receive instructions from PHS awarding Institutes or Divisions concerning additional information that will be needed for each pending application before an award can be made. The cost-sharing policy applies only to research project grants. It does not apply, for example, to general research support grants, training grants, health services grants, construction grants, conference grants, grants to Federal agencies, of foreign grants where the indirect cost is provided by the grantee institution. EUGENE A. CONFREY, Ph. D. EXECUTIVE OFFICE OF THE PRESIDENT, BUREAU OF THE BUDGET, Washington, D.C., December 13, 1965. CIRCULAR No. A-74 To: The heads of executive departments and establishments. Subject: Participation in the costs of research supported by Federal grants. 1. Purpose. This circular provides guidelines for Federal agencies concerning participation by colleges and universities and other institutions in the cost of research supported through Federal grants. These guidelines take into account provisions in the appropriation acts for the fiscal year 1966 for the Department of Defense (Public Law 89-213), the Departments of Labor and Health, Education, and Welfare (Public Law 89–156), and the Independent Offices (Public Law 89-128), that prohibit Federal agencies from paying any recipient of a grant for the conduct of a research project an amount equal to as much as the entire cost of such a project. These guidelines also take into account the removal of statutory limitations on the payment of the indirect costs of research financed by Federal grants. This circular does not affect existing policies and practices of Federal agencies concerning cost participation in research financed through contracts. 2. Effective date.—The guidelines set forth in this circular should be applied as soon as practicable to all research grants awarded subsequent to the issuance of this circular and not later than March 1, 1966. 3. Background of cost participation.—The conduct of research is a significant function and important responsibility of institutions of higher education. In addition to contributing to the advancement of knowledge, academic research is an essential element in the advanced training of scientists and engineers. At the same time, the Federal Government relies heavily upon research conducted in non-Federal institutions, and particularly in colleges and universities, to assist in the accomplishment of the missions of Federal agencies. Thus, Federal research grants generally serve the objectives both of the institutions and of the Federal Government. Cost participation reflects this mutuality of interest. In the past, cost participation by the grantee institution has been accomplished through: (a) cost participation as a consequence of legal limitations on the proportion of indirect costs payable by the Federal agencies under research grants; (b) cost participation through continued payment by grantee institutions of part or all the salaries of faculty members or professional personnel participating in sponsored research, and (c) payment by grantee institutions of a portion of other costs such as equipment. 4. Guidelines for Federal agencies.— (a) Agencies should generally continue their present policies and practices concerning the extent of cost participation by grantee institutions: (1) Except for increased indirect cost allowances which may be paid as a result of the removal of statutory limitations on payment of such allowances; (2) Except that in cases where Federal agencies would otherwise pay all research costs, the applicant institution must share in such research costs on more than a token basis. (b) The costs which may be charged to a research grant include direct costs and their associated indirect costs, as determined in accordance with Bureau of the Budget Circular No. A-21 (revised), dated March 3, 1965. (c) The extent of cost participation by grantees may vary in accordance with a number of factors relating to both the granting agency and the grantee institution, e.g.: (1) A higher degree of cost participation should ordinarily exist when the cost of the research consists primarily of the efforts of senior faculty during the academic year, or when the grantee institution's long range interests are best served by substantial cost participation; (2) Cost participation should generally be lower when a major portion of the research cost consists of equipment, when the grant provides for a large component of services to be made available on a regional or national basis, or when in the view of a Federal agency an area of research requires special stimulus in the national interest. |