The NICHD distributes its resources among programs and mechanisms. The institute is committed to funding the largest number of meritorious projects possible, while allowing flexibility to support selected program and agency priorities, achieve alignment with the NIH Unified Funding Strategy, and respond to emerging scientific opportunities.
When the President signed the NIH Appropriation (H.R. 7148), funds for new and competing renewal research grant applications were allocated for this fiscal year. The Institute established general guidelines for funding based on this allocation, allowing for necessary adjustments throughout the year to reflect directives from Congress and the NIH, as well as emerging program priorities.
The following information represents the NICHD guidelines and operating procedures for FY2026.
Next Generation Researchers
NICHD is committed to the goal of supporting Early Stage Investigators (ESIs) on grant awards as described in the NIH Policy Supporting the Next Generation Researchers Initiative, NOT-OD-17-101 and NOT-OD-18-214. Therefore, NICHD will include ESI investigator status as one of the program priorities when considering funding of eligible applicants.
Adjustments to Requested Budget Levels
In the interests of awarding as many grants as possible, adjustments to the requested budget may be necessary for some grant mechanisms, in part due to the following factors:
- A significant increase in the size of budget requests
- A large and growing commitment base for ongoing grants
- Limited growth in the NICHD budget to accommodate the first two factors.
Competing Grant Applications
Research Project (R01) Grants:
For all new competing R01 applications selected for funding, the NICHD will reduce applications (Type 1) on average by 14 percent below the peer review recommended level of support. The final reductions may vary depending on factors such as research scope, comments in the summary statement, availability of other support, and program and agency priorities.
In keeping with recent policy changes, NICHD no longer requires prior approval for submission of grant applications that exceed $500,00 in direct costs. When calculating the award budget for a grant, NICHD will continue to consider the strategic priority of the proposed project, the nature of the science being conducted, the other support of the proposing investigator(s), the Institute’s budget, and other factors. Large budgets exceeding $500,000 direct costs will be provided only in highly compelling cases to ensure that the NICHD funds a broad group of investigators and provides funding across its mission areas.
There is no fixed payline for R01 applications. NICHD will consider scientific merit, program priorities, portfolio balance, and availability of funds in making funding decisions.
Small Grants (R03) and Exploratory/Developmental Grants (R21), AREA (R15), Career Development Awards (K01, K08, K23, K25, K99), Conference/Workshop (R13/U13), Individual Fellowships (F30, F31, and F32), Institutional Training (T32), and Other Mechanism (R24, R25):
There is no fixed payline for these applications. NICHD will consider scientific merit, program priorities, portfolio balance, and availability of funds in making funding decisions.
STTR and SBIR (R41, R42, R43, and R44):
SBIR/STTR grant funding is on hold pending reauthorization of the Small Business programs.
Other NICHD Funding Considerations
- The legislated salary limitation for grants applies to both competing and non-competing grants. The limitations currently in effect were published in January 2026 (NOT-OD-26-034).
- Future Year Commitments on FY2026 New and Competing Renewal Awards:
- As in recent fiscal years (see NOT-OD-13-064) inflationary increases for future year commitments are no longer provided for all competing and non-competing research grant awards issued by the NICHD. However, adjustments for special needs (such as equipment and added personnel) continue to be accommodated whenever possible.
- In line with agency guidance, NICHD may provide full funding for a portion of new competing awards. This determination will be made by the Institute and NICHD may request renegotiation of the award term to ensure awardees can successfully expend all awarded funds.
- Modular grants do not receive escalation in future years. Additional information on modular applications and awards is posted at http://grants.nih.gov/grants/funding/modular/modular.htm.
Non-competing Continuation Grants (Type 5)
The non-competing FY 2026 level of support is presented on the FY 2025 award notice and generally reflects no cost of living/inflationary adjustments. NICHD will support FY 2026 awards at 100% of the FY 2026 committed level.
Non-competing (Type 5) Fellowship (F) and Training (T) grants will reflect current FY stipend levels. Stipend levels may be adjusted as appropriate.
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