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NIH Salary Cap

			Related Resources NIH Summary of Salary Cap History Also on Government Affairs Research Funding

The "Consolidated Appropriations Act, 2008" [P.L. 110-161] retains the cap on salaries on NIH, SAMHSA, and AHRQ extramural grants at the current Executive Level I rate ($191,300 in 2008). As in previous years, the Administration's FY 2009 budget proposes to reduce the cap, to Executive Level II ($172,200 in 2008).

AAMC Action

The AAMC supports the retention of the salary cap at Executive Level I.

Background

The FY 1990 Labor, Health and Human Services, Education, and Related Agencies Appropriations Act instituted a prohibition on the use of NIH or ADAMHA funds "to pay the salary of an individual, through a grant or other extramural mechanism, at a rate in excess of $120,000 per year." Similar language has been included in each subsequent Labor-HHS-Education appropriation with three modifications. The limit was increased in the FY 1992 appropriation to $125,000. The FY 1998 Omnibus Consolidated and Emergency Supplemental Appropriations Act [P.L. 105-277] linked the maximum salary to the Executive Level III salary rate. The final conference agreement on the FY 2000 Labor-HHS bill raised the NIH salary cap from Executive Level III to Executive Level II. The conference report (H. Rpt. 106-1033) accompanying the Consolidated Omnibus Appropriations Act for FY 2001 [H.R. 4577, P.L. 106-554] increased the NIH salary cap to Executive Level I.

Ironically, the NIH intramural community faced a similar situation nearly two decades ago. One of the solutions Congress developed to permit the NIH to recruit and retain high-quality scientific investigators was the Senior Biomedical Research Service (SBRS), which was established in November 1990 [P.L. 101-509; 42 U.S.C. 237]. Under the SBRS, the NIH can support up to 500 "individuals outstanding in the field of biomedical research or clinical research evaluation." [42 U.S.C. 237(b)] The salary for members of the service cannot exceed Executive Level I.

Administration Activity

The President's FY 2009 budget (Department of Health and Human Services, General Provisions, section 203), released on February 4, 2008, proposed to reduce the salary cap to Executive Level II ($172,200 in 2008).

Congressional Activity

The "Consolidated Appropriations Act, 2008" [P.L. 110-161] retains the cap on salaries on NIH, SAMHSA, and AHRQ extramural grants at the current Executive Level I rate ($191,300 in 2008).

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