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Saturday, September 05, 2026

NSF, spending, and the end of the fiscal year

We are less than one month away from the end of the federal fiscal year, and traditionally there are internal deadlines for agencies to allocate their final spending by around September 9. Right now, the NSF is on track to issue about 4000 fewer (!!) awards in FY26 than it did annually back in FY21-FY24, and 2000 fewer than it did in the incredibly tumultuous FY25 (with its government shutdowns and mass cutbacks in agency personnel). This is dire, if like me you are a supporter of the agency and its vital role in the US research ecosystem.  

Perhaps even more distressing, the NSF is on track to underspend its FY26 budget appropriation (congressionally approved, presidentially signed) by between $1.25-1.5B, or 15-18%. This is essentially unprecedented - in the past, the NSF has always spent ~ 99% of its appropriation in a given fiscal year. Some large portion of this is from the mid-FY clawbacks that were reported in Science and Nature, supposedly squirreled away to support an as-yet unannounced OSTP "grand challenges" program.  

While technically the funds don't go away at the end of September, this kind of underspending raises the possibility of a pocket rescission. OMB and the executive branch have been pushing for massive cuts to the agency; Congress has disagreed. It sure looks like all the "see, don't worry, Congress didn't allow big cuts to the NSF" palliative statements don't hold up very well to scrutiny, if the majority party is content to just give up Article I power to the executive branch. 

In this period of complete flood-the-zone craziness, the mainstream news media seemingly doesn't have the bandwidth or interest to report on this; they seem to have judged that it's too obscure, it doesn't play in Peoria, the public doesn't really care. This kind of disruption will have ripple effects that last for many years and affect US scientific and economic competitiveness, and it's happening without much notice.

This week's news about an agreement between NIH and DOD to funnel NIH funds for infectious disease to DOD (or, in the official statement, to work together on projects of mutual interest), is at least getting some public attention.  Agencies agreeing to pass around at minimum hundreds of millions of dollars outside congressional oversight or what the appropriations acts say is another example of an Article I crisis, when the majority party basically hands over what are supposed to be congressional powers to executive branch.

(An additional sciencey blog post coming soon!)


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