7/22/25 Update:
Updated Implementation Guidance of NIH Policy on Foreign Subawards for Active Projects (NEW)
On July 18, 2025, NIH released Updated Implementation Guidance of NIH Policy on Foreign Subawards for Active Projects, NOT-OD-25-130. The implementation guidance pertains to NIH’s policy, Updated NIH Policy on Foreign Subawards (NOT-OD-25-104), which establishes a new award structure that prohibits foreign subawards from being nested under the parent award to be implemented by September 30, 2025. The new structure will apply prospectively to all NIH grants and cooperative agreements involving foreign subawards, including new, renewal, and non-competing continuation awards (see COGR’s May 2025 Update for more information).
NIH Notice NOT-OD-25-130 applies to applications submitted before May 1, 2025, and projects active on or before May 1, 2025. Below are key aspects of the policy:
- Applies to existing grants and cooperative agreements involving human subjects research (e.g., clinical trials and clinical research).
- NIH Institutes, Centers, and Offices (ICOs) will have the option to renegotiate with recipients the award structure for foreign subawards to remove the award from the prime award and reissue/award it as an administrative supplement (i.e., Type 3)
- Each supplement will be for a single foreign entity.
- Streamlined non-competing award process (SNAP) and automatic carryover authority will be removed from both the primary award and the foreign supplement(s).
- The primary award and each foreign supplement will have its own distinct document number and will need to submit separately Federal Financial Reports (FFR, SF-425).
- Rebudgeting is not allowed between the primary award and the supplement within a budget period. However, the RPPR may be used to request reallocation for future year commitments.
NIH specified that the supplement option is meant to be a short-term solution and is not the new award structure. The supplement structure is an additional option to the other options outlined in NOT-OD-25-104 for foreign subawards:
- ICOs may renegotiate with the primary recipients to move activities to a domestic organization,
- Remove the scope of the foreign component from the overall project scope, or
- Bilaterally terminate the award.
Also of note, NIH has clarified in public forums that proposals submitted on or after May 1, 2025, involving foreign subawards will not be accepted until the new structure is implemented. Applicants have been advised to hold these submissions. NEW: NIH has clarified this in a blog post Short-Term Supplement Model for Human Subjects Research Supported by Foreign Subawards and FAQs issued on the Foreign Subaward Policy.
COGR continues to engage NIH on the issue and will keep the community informed on developments. We are interested in hearing from members navigating this issue and the impacts on research, specifically any terminations or funding delays. Individuals interested in providing feedback or sharing information are encouraged to contact Krystal Toups at ktoups@cogr.edu.
