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United States Government Accountability Office: 
GAO: 

Report to Congressional Requesters: 

November 2011: 

National Institutes of Health: 

Employment and Other Impacts Reported by NIH Recovery Act Grantees: 

GAO-12-32: 

GAO Highlights: 

Highlights of [hyperlink, http://www.gao.gov/products/GAO-12-32], a 
report to congressional requesters. 

Why GAO Did This Study: 

The American Recovery and Reinvestment Act of 2009 (Recovery Act) 
included $8.2 billion in funding for the National Institutes of Health 
(NIH) to be used to support additional scientific research–including 
extramural grants at universities and other research institutions. In 
2009, the Acting Director of NIH testified that each extramural grant 
awarded with Recovery Act funding had the potential of supporting 
employment—full-or part-time scientific jobs—in addition to other 
impacts, such as contributing to advances in improving public health. 

GAO was asked to examine the use of Recovery Act funds by NIH grantees. 
Specifically, GAO addresses the information available from NIH and its 
grantees about the extent to which NIH Recovery Act funding (1) 
supported jobs, and (2) had other impacts. To obtain information on job 
impacts, GAO reviewed a database containing information NIH Recovery 
Act grantees reported to the national data collection system and 
interviewed NIH officials. To obtain more specific jobs information 
about individual grants, GAO administered a Web-based data collection 
instrument to 50 selected principal investigators who direct research 
at grantee institutions—10 principal investigators at each of five 
selected grantee institutions. The selected principal investigators had 
generally received awards of $500,000 or more. To obtain information on 
other Recovery Act impacts, GAO used information from the data 
collection instrument and interviewed NIH officials. 

What GAO Found: 

Data reported by all of NIH’s Recovery Act grantee institutions to the 
national data collection system at [hyperlink, 
http://www.federalreporting.gov] and available to NIH indicate that the 
number of full-time equivalent (FTEs) jobs supported by NIH Recovery 
Act funds increased from December 2009 through September 2010, and then 
remained steady from December 2010 through June 2011—the most recent 
quarter for which data are available. The number of FTEs supported by 
NIH Recovery Act funds increased from about 12,000 in the reporting 
quarter ending December 2009 to about 21,000 in the quarter ending in 
June 2011. The 50 selected principal investigators who direct research 
at the grantee institutions in GAO’s review provided additional 
information explaining how the Recovery Act funding supported FTEs. 
Nearly one-third of the selected principal investigators reported that 
the NIH Recovery Act funding they received supported new positions, and 
about half of the principal investigators reported that the funding 
they received allowed them to avoid reductions in jobs or avoid a 
reduction in the number of hours worked by current employees. The 
selected principal investigators also reported that the Recovery Act 
funding they received primarily supported scientists and other faculty. 

NIH officials we interviewed reported that they receive some 
information from principal investigators about the other impacts of NIH-
funded research, such as preliminary research results included in 
annual progress reports. NIH is also participating in the Star Metrics 
program—a multiagency venture to monitor the scientific, social, and 
economic impacts of federally funded science—which NIH officials expect 
could provide more information about these impacts. While Star Metrics 
is currently developing an approach to capture information about the 
other impacts of NIH grant funding, there is no expected completion 
date for reporting this information. In response to GAO’s data 
collection instrument, selected principal investigators who direct 
research at the grantee institutions in GAO’s review reported that the 
use of Recovery Act funds resulted in purchases of research supplies, 
equipment, laboratory testing services, and scientific training of 
health care professionals. The majority of the 50 selected principal 
investigators in GAO’s review also reported preliminary results from 
their Recovery Act-funded research that could contribute to future 
scientific developments in prevention and early detection of disease, 
improvements in medical therapies, and improved research capabilities. 
The principal investigators in GAO’s review and NIH officials GAO 
interviewed reported that they track the scientific impact of NIH 
research—including the impact of research funded through the Recovery 
Act—primarily through peer-reviewed publications, but also through 
other metrics such as the filing and approval of patent applications. 
According to NIH officials, when a sufficiently large body of research 
results has accumulated, NIH plans to prepare reports—similar to its 
existing publicly available Investment Reports—that will highlight the 
impact of its Recovery Act-funded research. 

The Department of Health and Human Services provided technical comments 
on a draft of this report, which GAO incorporated as appropriate. 

View [hyperlink, http://www.gao.gov/products/GAO-12-32] or key 
components. For more information, contact Linda T. Kohn at (202) 512-
7114 or kohnl@gao.gov. 

[End of section] 

Contents: 

Letter: 

Background: 

NIH and Its Grantees Reported That Recovery Act Funding Generally 
Increased FTEs at Grantee Institutions and Primarily Supported 
Scientists and Other Faculty: 

NIH and Its Grantees Reported Other Impacts of NIH Recovery Act 
Funding: 

Agency Comments: 

Appendix I: Scope and Methods: 

Appendix II: Analysis of Information Reported by Selected Principal 
Investigators on Jobs Supported by Recovery Act Funding: 

Appendix III: Analysis of Information Reported by Selected Principal 
Investigators on Other Impacts of Recovery Act Funding: 

Appendix IV: GAO Contacts and Staff Acknowledgments: 

Tables: 

Table 1: Characteristics of Five NIH Recovery Act Grantee Institutions 
Selected for Review: 

Table 2: Range of 50 Selected Grant Award Amounts at Five NIH Recovery 
Act Grantee Institutions, Fiscal Years 2009 and 2010: 

Table 3: Percent of NIH Recovery Act-Supported Jobs That Did Not Exist 
Prior to Receiving NIH Recovery Act Funding, as Reported by Selected 
Principal Investigators, through March 2011: 

Table 4: Number of Selected Principal Investigators Reporting a Loss of 
Funding from Sources Other than NIH, during Fiscal Years 2009 and 2010: 

Table 5: Percent of Selected Principal Investigators Who Reported 
Avoiding Certain Actions as a Result of Receiving NIH Recovery Act 
funds, during Fiscal Years 2009 and 2010: 

Table 6: Mean Number of Hours Funded by the Recovery Act Each Week by 
Job Category, as Reported by Selected Principal Investigators through 
March 2011: 

Table 7: Number of Selected Principal Investigators That Reported Other 
Impacts (Not Including Scientific Impacts), during Fiscal Years 2009 
and 2010: 

Table 8: Health Issues Addressed by Selected NIH Recovery Act Grants, 
during Fiscal Years 2009 and 2010: 

Table 9: Number of Selected Principal Investigators Who Reported Using 
Various Metrics for Tracking and Measuring Scientific Research: 

Table 10: Number of Selected Principal Investigators Who Reported Peer-
Reviewed Publications and Patent Applications Resulting from Their 
Scientific Research, during Fiscal Years 2009 and 2010: 

Figures: 

Figure 1: Quarterly Number of FTEs Supported by Recovery Act Grants 
Awarded by NIH, for Quarters Ending December 2009 through June 2011: 

Figure 2: Quarterly Number of FTEs Reported by Five Selected Grantee 
Institutions, for Quarters Ending December 2009 through June 2011: 

Figure 3: Types of Jobs Supported by Recovery Act Funds, as Reported by 
50 Selected Principal Investigators during Fiscal Years 2009 and 2010: 

Abbreviations: 

CER: comparative effectiveness research: 

DCI: data collection instrument: 

FTE: full-time equivalent: 

GO: Grand Opportunity: 

HHS: Department of Health and Human Services: 

IC: Institutes and Centers: 

NIH: National Institutes of Health: 

OMB: Office of Management and Budget: 

Recovery Act: American Recovery and Reinvestment Act of 2009: 

Recovery Board: Recovery Accountability and Transparency Board: 

[End of section] 

November 10, 2011: 

The Honorable Fred Upton: 
Chairman: 
Committee on Energy and Commerce: 
House of Representatives: 

The Honorable Joe Barton: 
House of Representatives: 

The American Recovery and Reinvestment Act of 2009 (Recovery 
Act)[Footnote 1] was enacted to, among other things, support job 
creation and preservation, infrastructure investment, energy 
efficiency, and scientific research. The act included $8.2 billion in 
funding for the National Institutes of Health (NIH) to be used to 
support additional scientific research, including extramural grants at 
universities, medical schools, and other research 
institutions.[Footnote 2] The act required that Recovery Act funds be 
obligated by NIH in fiscal years 2009 and 2010. 

In March 2009, the Acting Director of NIH testified on the potential 
employment, economic, as well as scientific benefits of the Recovery 
Act funding NIH received.[Footnote 3] Specifically the Acting Director 
testified that each research grant awarded with Recovery Act funding 
has the potential of supporting several full-or part-time scientific 
jobs. During testimony, the Acting Director also pointed out that the 
extramural grants made with Recovery Act funding could have other 
impacts, such as contributing to advances in improving public health. 

Universities or other research institutions that receive grant funding 
from NIH could directly support employment in a number of ways, 
including increasing the number of hours worked by existing part-time 
employees or hiring new full-or part-time employees who may work on 
research projects supported by one or more NIH grant awards. Recovery 
Act funding--including NIH Recovery Act funding--could also indirectly 
support jobs, such as if vendors that supply research equipment and 
services increased their employees due to increased business from 
research institutions. Any direct or indirect support of jobs could 
also lead to induced effects on other jobs, such as when employees make 
purchases at local businesses. However, past GAO reports have found 
that it is difficult to measure the indirect and induced impacts of 
Recovery Act funding, in part because the information needed to measure 
these impacts is often not available.[Footnote 4] Recipients of 
Recovery Act funding are only required to report on jobs directly 
supported by Recovery Act funds. These reports do not include the 
employment impact on materials suppliers (indirect jobs) or on the 
local community (induced jobs). 

To measure direct support of jobs, the Office of Management and Budget 
(OMB) requires recipients of Recovery Act funds--including NIH Recovery 
Act grantees--to report on the number of jobs supported using these 
funds to a nationwide data collection system at 
www.federalreporting.gov.[Footnote 5] Guidance provided by OMB provides 
more detail on this requirement, including that recipients report on 
the number of full-time-equivalent (FTE) jobs that were directly funded 
by the Recovery Act during each quarter.[Footnote 6] OMB's guidance 
also directs recipients of Recovery Act funding to report on the 
results of funded projects as well as provide narrative descriptions of 
the types of jobs funded by the Recovery Act, which provide information 
that the number of FTEs does not capture.[Footnote 7] Federal agencies, 
such as NIH, and recipients, such as NIH Recovery Act grantees, may 
also have additional information on the other impacts of Recovery Act 
funding--that may include scientific impacts, impacts in the local 
community, and impacts on NIH Recovery Act grantees. Grant awards for 
scientific research supported by NIH Recovery Act funds were generally 
made to grantee institutions, such as universities, for research 
activities that are directed by a principal investigator[Footnote 8] 
employed by the grantee institution. When we use the term "grantee" in 
this report, we are referring to the grantee institution, including the 
principal investigator who is designated by the grantee institution to 
direct the NIH Recovery Act-funded research. 

You requested that we examine the use of Recovery Act funds by NIH and 
its grantees. In August 2010, we reported on the process and criteria 
NIH used to award grants with funding made available by the Recovery 
Act, the characteristics of the grants, and information NIH has made 
publicly available about the grants.[Footnote 9] This report addresses 
the information available from NIH and its grantees about the extent to 
which (1) NIH Recovery Act funding supported jobs, and (2) NIH Recovery 
Act funding had other impacts. 

To obtain the information NIH and selected NIH Recovery Act grantees 
have on the jobs supported with NIH Recovery Act funding, we 
interviewed NIH officials about the information they have on the FTEs 
supported by the Recovery Act, and reviewed (1) NIH data containing 
information reported to the nationwide data collection system on the 
FTEs supported by NIH Recovery Act funding, (2) annual progress 
reports[Footnote 10] for fiscal year 2010 that NIH Recovery Act 
grantees are required to submit to NIH, and (3) other jobs information 
that NIH gathers from other sources. In addition, we selected five 
grantee institutions,[Footnote 11] which are universities that employ 
principal investigators who received NIH Recovery Act funding. We 
obtained from NIH, information on the FTEs supported by NIH Recovery 
Act funding at each of these five grantee institutions as reported to 
the nationwide data collection system at [hyperlink, 
http://www.federalreporting.gov]. 

To gather more specific information about individual grants, we 
disseminated a Web-based data collection instrument (DCI) to 50 
selected principal investigators--10 principal investigators at each of 
the same five grantee institutions.[Footnote 12] (See app. I for the 
selection criteria for grantee institutions and principal 
investigators). The Web-based DCI contained questions about the types 
and number of jobs supported by the Recovery Act funding received from 
NIH.[Footnote 13] The selected principal investigators and their 
grantee institutions are not representative of all grantee institutions 
and principal investigators who received NIH Recovery Act funding. 

The information on the number of FTEs supported by NIH Recovery Act 
funding reported to the nationwide data collection system by recipients 
of Recovery Act funding has certain limitations. First, OMB guidance 
requires FTE numbers to be reported quarterly, and FTEs should not be 
added across quarters to obtain a cumulative number of FTEs. In 
addition, the calculation of FTEs may reflect full-time and/or multiple 
part-time jobs, therefore FTEs cannot be used to determine the total 
number of individual jobs. Moreover, because of a change in OMB's 
reporting requirements FTE data for the first reporting quarter may not 
be comparable to the data reported for subsequent reporting quarters. 
Finally, the number of FTEs represents only the jobs directly supported 
by the Recovery Act but does not capture other jobs, such as those 
indirectly supported by the act, or other impacts of the spending. 

To obtain information NIH and selected NIH grantees have on the other 
impacts--such as impacts in the local community, scientific impacts, 
and impacts on grantee institutions and principal investigators of the 
NIH Recovery Act funding, we disseminated the Web-based DCI to the 50 
principal investigators at the five selected grantee institutions and 
interviewed NIH officials. We also asked NIH and NIH grantees to 
identify the metrics they use to measure and track other impacts such 
as impacts on science, the local community, and on the grantee 
institutions and principal investigators. Finally, we reviewed relevant 
NIH Recovery Act grant guidance as well as OMB's Recovery Act guidance 
to identify Recovery Act grantee requirements for reporting information 
on FTEs and on the impacts of the Recovery Act grants to the nationwide 
data collection system. See appendix I for more details about our scope 
and methodology. 

To assess the reliability of the data provided by NIH, we obtained 
information from agency officials knowledgeable about (1) NIH grant 
award data, (2) NIH Recovery Act grantee recipient reports,[Footnote 
14] and (3) job information that NIH gathers from other sources. We 
obtained information from administrators at the selected grantee 
institutions about the quality of their recipient reports[Footnote 15] 
and performed data quality checks to assess the reliability of the 
Recovery Act grants data file received from NIH. These data quality 
checks involved an assessment to identify incorrect and erroneous 
entries or outliers. Based on the information we obtained and analyses 
we conducted, we determined that the data were sufficiently reliable 
for the purposes of this report. 

We conducted this performance audit from October 2010 to November 2011, 
in accordance with generally accepted government auditing standards. 
Those standards require that we plan and perform the audit to obtain 
sufficient, appropriate evidence to provide a reasonable basis for our 
findings and conclusions based on our audit objectives. We believe that 
the evidence obtained provides a reasonable basis for our findings and 
conclusions based on our audit objectives. 

Background: 

As of September 30, 2010--the end of the 2 fiscal years during which 
Recovery Act awards were made--NIH made more than 21,500 grant awards 
using Recovery Act funds. In August 2010, we reported that NIH used 
standard review processes--peer review or administrative review--and 
standard criteria to award extramural scientific research grants with 
Recovery Act funding.[Footnote 16] These NIH Recovery Act grant awards 
were made to three grant categories.[Footnote 17] The grants varied in 
award size, geographic distribution, award duration, and research 
methods, consistent with scientific research grants funded with annual 
appropriations. The act required that these funds be obligated by NIH 
within a 2-year window--specifically, in fiscal years 2009 and 2010, 
though the activities funded by the grant may occur after fiscal year 
2010. 

Recovery Act Reporting Requirements: 

OMB guidance requires recipients of Recovery Act funding--including NIH 
Recovery Act grantees--to report on the number of jobs supported by the 
Recovery Act on a quarterly basis to the nationwide data collection 
system. OMB developed recipient reporting guidance and deployed a 
nationwide data collection system at [hyperlink, 
http://www.federalreporting.gov]. According to OMB guidance, a 
grantee's estimate of the number of jobs supported by the Recovery Act 
each quarter must be expressed in terms of FTEs, which are calculated 
as the total number of hours worked and funded by the Recovery Act 
within a reporting quarter divided by the quarterly hours in a full-
time schedule, as defined by the recipient.[Footnote 18] 

According to the OMB guidance, federal agencies that award Recovery Act 
funds should establish internal controls to ensure data quality, 
completeness, accuracy, and timely reports to the [hyperlink, 
http://www.federalreporting.gov] Web site. In reviewing a selection of 
the reports submitted to [hyperlink, http://www.federalreporting.gov] 
by grantees of agencies across the Department of Health and Human 
Services (HHS), the HHS Office of Inspector General found that HHS had 
processes in place for reporting the use of Recovery Act funds. NIH 
officials also reported that HHS assesses the quality of reports filed 
by NIH Recovery Act grantees. For example, using data assessments 
performed by NIH, HHS assesses the quality of the data reported by 
Recovery Act grantees. 

Sources of Information on Jobs and Other Impacts of Recovery Act 
Grants: 

NIH and NIH Recovery Act grantees collect information about the FTEs 
supported by NIH Recovery Act funding as well as information on the 
other impacts of this funding from a variety of sources. Specifically, 
NIH collects information about FTEs supported by the Recovery Act from 
the [hyperlink, http://www.federalreporting.gov] Web site.[Footnote 19] 
NIH grantees, including NIH Recovery Act grantees, also submit annual 
progress reports to NIH that include information such as the goals and 
progress of their research. NIH is also participating in the 
development of a multiagency collaboration (called Star 
Metrics)[Footnote 20] to track the employment, scientific, and economic 
impacts of its funded research projects--including Recovery Act grants. 
In addition, NIH gathers information from principal investigators 
working on priority research areas and prepares publicly available 
reports (known as Investment Reports) about the potential scientific 
impacts of NIH-funded research. NIH Institutes and Centers (IC) select 
the topics featured in these reports based on (1) the importance of the 
topic area within the body of research funded by the IC, (2) the level 
of funding provided by the IC to the topic area, and (3) the level of 
public interest in the topic area. NIH grantees also collect 
information about the jobs as well as other impacts of NIH grants, 
including those funded by the Recovery Act, using payroll records, and 
effort reporting systems--such as time cards, other internal accounting 
records, and publications. 

NIH and Its Grantees Reported That Recovery Act Funding Generally 
Increased FTEs at Grantee Institutions and Primarily Supported 
Scientists and Other Faculty: 

Data reported by all NIH Recovery Act grantee institutions to the 
nationwide data collection system and available to NIH indicate that 
the number of FTEs supported by NIH Recovery Act funds generally 
increased from December 2009 through September 2010, then generally 
remained steady from December 2010 through June 2011--the most recent 
quarters for which data are available. As shown in figure 1, the number 
of FTEs supported by NIH Recovery Act funding ranged from about 12,000 
in the reporting quarter ending December 2009 to about 21,000 in the 
quarter ending in June 2011. 

Figure 1: Quarterly Number of FTEs Supported by Recovery Act Grants 
Awarded by NIH, for Quarters Ending December 2009 through June 2011: 

[Refer to PDF for image: vertical bar graph] 

Reporting quarter end date: December 2009; 
Total FTEs: 11,925. 

Reporting quarter end date: March 2010; 
Total FTEs: 16,908. 

Reporting quarter end date: June 2010; 
Total FTEs: 20,485. 

Reporting quarter end date: September 2010; 
Total FTEs: 22,878. 

Reporting quarter end date: December 2010; 
Total FTEs: 21,704. 

Reporting quarter end date: March 2011; 
Total FTEs: 21,712. 

Reporting quarter end date: June 2011; 
Total FTEs: 20,797. 

Source: GAO analysis of data extracted by NIH from [hyperlink, 
http://www.federalreporting.gov]. 

Notes: Recovery Act recipients report the number of FTEs supported by 
the Recovery Act quarterly, and therefore these FTE numbers are 
reported out by quarter. FTEs supported by awards under $25,000 may not 
be included in the figure because these awards are exempt from 
reporting requirements. About 6 percent of all NIH Recovery Act awards 
were for less than $25,000. We did not include data from the first 
reporting quarter in 2009 due to concerns about comparability. 

[End of figure] 

According to NIH officials, Recovery Act funds could eventually support 
a total of approximately 54,000 FTEs. This figure represents NIH's 
estimated total of FTEs that could be supported throughout the Recovery 
Act.[Footnote 21] According to NIH officials, this estimate is 
projected based on the quarterly expenditure of funds reported by 
grantee institutions and the projected number of FTEs that NIH expects 
that these funds could support over the life of the Recovery Act. NIH 
expects that the Star Metrics program will provide additional 
information about the number and types of jobs funded by the Recovery 
Act. NIH officials reported that the Star Metrics program is an ongoing 
initiative and that the program is expected to release preliminary 
results regarding jobs in 2012. 

Like other NIH Recovery Act grantee institutions, data reported by our 
five grantee institutions also showed a general increase in FTEs. 
Specifically, the five institutions combined reported almost 1,000 FTEs 
in the quarter ending in December 2009, increasing to almost 2,000 
supported FTEs in the most recent quarter for which data are available 
that ended in June 2011. (See figure 2).[Footnote 22] 

Figure 2: Quarterly Number of FTEs Reported by Five Selected Grantee 
Institutions, for Quarters Ending December 2009 through June 2011: 

[Refer to PDF for image: vertical bar graph] 

Reporting quarter end date: December 2009; 
Total FTEs: 946. 

Reporting quarter end date: March 2010; 
Total FTEs: 1,593. 	

Reporting quarter end date: June 2010; 
Total FTEs: 1,988. 	

Reporting quarter end date: September 2010; 
Total FTEs: 2,365. 	

Reporting quarter end date: December 2010; 
Total FTEs: 2,280. 	

Reporting quarter end date: March 2011; 
Total FTEs: 2,181. 	

Reporting quarter end date: June 2011; 
Total FTEs: 1,950. 

Source: GAO analysis of data extracted by NIH from [hyperlink, 
http://www.federalreporting.gov]. 

Note: Recovery Act recipients report the number of FTEs supported by 
the Recovery Act quarterly, and therefore these FTE numbers are 
reported out by quarter. FTEs supported by awards under $25,000 may not 
be included in the figure because these awards are exempt from 
reporting requirements. About 6 percent of all NIH Recovery Act awards 
were for less than $25,000. We did not include data from the first 
reporting quarter in 2009 due to concerns about comparability. 

[End of figure] 

Through responses to our data collection instrument 50 selected 
principal investigators at five grantee institutions provided 
additional information explaining how the Recovery Act funding 
supported FTEs. Nearly 30 percent of the 50 selected principal 
investigators reported that the NIH funding they received supported new 
positions, and about half of the principal investigators reported that 
the funding they received allowed them to avoid reductions in the 
number of employees at their institution or avoid a reduction in the 
number of hours worked by current employees. For example, according to 
the selected principal investigators, 29 percent of the jobs supported 
by NIH Recovery Act funding at the five grantee institutions were new 
employees hired by the institution using Recovery Act funding, and 54 
percent were current employees.[Footnote 23] One principal investigator 
reported using NIH Recovery Act funding to hire more than 10 employees, 
many of whom had recently been laid off or had been out of work for 
several months. According to selected principal investigators, a 
majority (54 percent) of the job positions supported by NIH Recovery 
Act funds were parttime[Footnote 24] and the mean number of hours 
worked per week for all supported positions was about 20, including for 
example, a mean of 9 hours per week for professors and 35 hours per 
week for students pursuing postgraduate degrees. (See app. II for more 
descriptive information about the FTEs supported by NIH Recovery Act 
funding.) 

The 50 selected principal investigators also reported that the Recovery 
Act funding they received primarily supported research scientists, 
other faculty, and information technology jobs.[Footnote 25] (See figure 
3 for a summary of the information the selected principal investigators 
reported to us on the types of jobs supported by NIH Recovery Act 
funding.) 

Figure 3: Types of Jobs Supported by Recovery Act Funds, as Reported by 
50 Selected Principal Investigators during Fiscal Years 2009 and 2010: 

[Refer to PDF for image: pie graph] 

Research scientist and other faculty: 58%; 
IT/data information: 10%; 
Pre- and postdoctoral/student: 8%; 
Temporary/part-time worker: 9%; 
Other: 15%. 

Source: GAO analysis of information reported by selected principal 
investigators. 

[End of figure] 

NIH and Its Grantees Reported Other Impacts of NIH Recovery Act 
Funding: 

NIH officials currently receive some information reported by NIH 
grantees about other impacts of NIH's Recovery Act funding, and NIH is 
participating in a program that NIH officials expect could help track 
these other impacts. In response to our data collection instrument, two-
thirds of our 50 selected principal investigators--who direct research 
at the grantee institutions--reported that the Recovery Act funding 
received in fiscal years 2009 and 2010 was used to purchase research 
supplies and equipment and lab testing services. In addition, the 
majority of our 50 selected principal investigators and NIH also 
reported preliminary results from research projects funded by the 
Recovery Act. 

NIH Is Participating in a Program to Track Other Impacts, and Selected 
NIH Grantees Reported Other Impacts such as Purchases of Supplies and 
Equipment: 

NIH officials we interviewed said that principal investigators--who 
direct research at the grantee institutions--including those which 
received Recovery Act funding--currently report some information to NIH 
about the other impacts of NIH-funded research. This information 
generally includes purchases made by the principal investigators, as 
well as preliminary research results submitted to NIH in their annual 
progress reports.[Footnote 26] NIH is participating in the Star Metrics 
program--a multiagency collaboration currently involving about 77 
grantee institutions--to track, among other things, the scientific and 
nonscientific impacts of its funded research grants, including social 
and workforce outcomes and economic growth. NIH officials expect that 
the Star Metrics program could provide more information about these 
other impacts. Officials told us that Star Metrics is currently 
developing an approach to capture this information, and that they 
expect to pilot the approach in 2012. However, at this time there is no 
expected completion date for reporting this information. 

In their responses to our data collection instrument, many of our 50 
selected principal investigators reported that they used the Recovery 
Act funding they received from fiscal years 2009 through 2010 to 
purchase supplies, equipment, and testing services used in research. 
Some of the principal investigators also reported that in the course of 
conducting some of their Recovery Act-funded research, they were able 
to provide scientific training to health care professionals. The 
selected principal investigators provided anecdotal information about 
the other impacts of the selected grants. Recipients of Recovery Act 
funding, such as grantee institutions, do not systematically track 
these other impacts; however, they are not required by the Recovery Act 
to do so. In previous work on the Recovery Act, GAO identified 
difficulties in assessing other impacts, particularly in instances when 
data on the other impacts are not readily available.[Footnote 27] (See 
app. III for more details of the other impacts of NIH Recovery Act 
funding as reported by selected principal investigators.) 

Purchasing Supplies and Equipment. In their responses to our data 
collection instrument, two-thirds of our 50 selected principal 
investigators reported that they used the Recovery Act funding they 
received from NIH to purchase or lease laboratory equipment and 
supplies needed to conduct research. These transactions, which we 
corroborated by conducting a selected review of NIH Annual Progress 
Reports and Recovery Act recipient reports, could translate into 
additional sales and revenues for the vendors. According to the 
principal investigators, their transactions included biomedical 
equipment and supplies, office supplies, computer equipment, and 
software licenses. For example, one principal investigator reported 
purchasing highly specialized imaging equipment[Footnote 28] for 
$27,000, as well as other medical, laboratory, and office supplies. 

Purchasing Specialized Services. Over a quarter of our 50 selected 
principal investigators reported that they used NIH's Recovery Act 
funding to purchase certain laboratory testing services--such as 
genetic sequencing--from other research facilities that were better 
equipped to perform the testing and analyses. For example, one 
principal investigator reported contracting with a small local research 
company to perform specialized DNA analysis needed to determine the 
causes of immune deficiency disorders. In addition, a couple of 
principal investigators reported that they used NIH's Recovery Act 
funding to contract for consultations services, such as statistical 
analyses and the design of models needed for their research. Some 
principal investigators also purchased ancillary services that they 
said were needed to support clinical trials, such as services providing 
patient transportation, recruitment, and care. 

Scientific Training for Health Care Professionals. Nine of our 50 
selected principal investigators also reported in our data collection 
instrument that in the course of conducting their Recovery Act-funded 
research they were able to provide scientific training to health care 
professionals. Some of these principal investigators cited the 
importance of exposing current and future physicians to research-based 
approaches for diagnosing and treating patients. For example, one 
principal investigator reported that while researching how to select 
treatments for cancer patients, new oncology researchers--fellows and 
junior faculty--were trained about the effects of human genetics on 
care delivery for cancer patients. According to this principal 
investigator, understanding the effects of genetics on cancer allows 
physicians to personalize the treatment options they offer to patients. 
The principal investigator also noted that the next generation of 
physicians needs to be knowledgeable about genomic approaches to cancer 
care, while developing the foundation for their research careers. 
According to another principal investigator, as part of research to 
determine why certain genes contribute to Alzheimer's disease, health 
care professionals were trained to analyze complex genetic datasets and 
to develop software packages needed to efficiently perform the 
analysis. 

Most NIH Grantees and NIH Reported Preliminary Research Illustrating 
Potential Scientific Impacts from Projects Funded by the Recovery Act: 

In responses to our data collection instrument, a majority of our 50 
selected principal investigators who direct research at the grantee 
institutions reported on the preliminary results from their research 
projects supported with Recovery Act funds. According to the majority 
of our selected principal investigators these preliminary results could 
contribute to future scientific developments in preventive medicine, 
the early detection of diseases, and medical therapies. Additionally, 
one principal investigator reported that some of the results of their 
research could lead to the development of research capabilities to be 
used by other researchers. A few principal investigators, however, 
stated that it was premature to report any preliminary results from 
their NIH Recovery Act-funded research, because they were still 
conducting clinical trials and analyzing data. In general, scientific 
research--including NIH-funded projects--can be lengthy and complex, 
and take years to obtain results. 

Grantee institutions and principal investigators in our review and NIH 
officials we interviewed reported that they track the scientific impact 
of NIH research--including preliminary results from research funded 
through the Recovery Act--primarily through peer-reviewed publications. 
NIH officials also reported that they track certain priority research 
areas and communicate potential scientific impacts through its 
Investment Reports.[Footnote 29] According to NIH, when a sufficiently 
large body of research results have accumulated the agency plans to 
prepare reports (similar to its Investment Reports) that highlight the 
impact of its Recovery Act-funded research. Other metrics used to track 
scientific impacts--including for Recovery Act-funded research--as 
reported by principal investigators in our review include the filing 
and approval of patent applications, the ability to secure future grant 
funding, presentations at professional meetings, utilization of 
products produced from their research, and changes to health care 
policies and clinical practices implemented as a result of their 
research. 

As noted earlier, the majority of our selected principal investigators 
provided preliminary results from their research projects supported 
with Recovery Act funds. The following are examples of these 
preliminary results: 

* Prevention of Diseases. One principal investigator reported that 
their Recovery Act-supported research on coronary heart disease 
indicated that high levels of calcified and noncalcified plaque, which 
can clog arteries and contribute to heart disease, is present in young 
healthy people who have a family history of premature coronary disease. 
According to this principal investigator, the results of this research 
could be used to identify persons who would benefit from heart imaging 
tests and preventative therapy for coronary heart disease. 

* Early Detection of Diseases. One principal investigator reported that 
their Recovery Act-supported research resulted in the identification of 
several hundred proteins that are associated with chronic pancreatitis. 
According to this principal investigator, this research could 
contribute towards creating new blood tests for detecting chronic 
pancreatitis. Another principal investigator reported identifying the 
symptoms that are the most important and efficient for making a 
diagnosis of autism in young children. 

* Improvements in Medical Therapies. One principal investigator 
reported that data collected for their Recovery Act grant has yielded 
results in developing personalized therapeutic approaches for patients 
with idiopathic pulmonary fibrosis, a fatal disorder.[Footnote 30] This 
principal investigator noted that these results could help to simplify 
decision making regarding therapeutic interventions, such as for 
patients undergoing an organ transplant. Another principal investigator 
cited progress toward overcoming the resistance of colon cancer to 
existing treatment therapies, and another assessed two alternative 
therapies for coronary heart disease. A principal investigator also 
reported that their Recovery Act-supported research contributed to the 
development of a kidney dialysis monitoring device that could be less 
invasive and more cost-effective than the current surgically implanted 
monitoring systems. 

* Improved Research Capabilities. One principal investigator reported 
that their Recovery Act-supported research contributed to the 
development of a new approach that is being utilized by other 
researchers studying the connections between different genes and 
traits, such as those that may lead to heart disease. 

Agency Comments: 

A draft of this report was provided to HHS for review and comment. HHS 
provided technical comments that were incorporated as appropriate. 

As arranged with your offices, unless you publicly announce its 
contents earlier, we plan no further distribution of this report until 
30 days after its issue date. At that time, we will send copies of this 
report to other interested congressional committees, the Secretary of 
Health and Human Services, and the Director of the National Institutes 
of Health. This report will also be available on the GAO Web site at 
[hyperlink, http://www.gao.gov]. 

If you or your staff have any questions regarding this report, please 
contact Linda T. Kohn at (202) 512-7114 or kohnl@gao.gov. Contact 
points for our Offices of Congressional Relations and Public Affairs 
may be found on the last page of this report. Key contributors to this 
report are listed in appendix IV. 

Signed by: 

Linda T. Kohn Director, Health Care: 

[End of section] 

Appendix I: Scope and Methods: 

To obtain the information National Institutes of Health (NIH) and 
selected NIH Recovery Act grantees[Footnote 31] have on the jobs 
supported with NIH Recovery Act funding, we interviewed NIH officials 
about the information they have on the full-time-equivalents (FTE) 
supported by the Recovery Act, and reviewed (1) NIH data containing 
information reported by grantee institutions to a nationwide data 
collection system at [hyperlink, http://www.federalreporting.gov] on 
the FTEs supported by NIH Recovery Act funding, (2) annual progress 
reports[Footnote 32] for fiscal year 2010 that NIH Recovery Act 
grantees are required to submit to NIH, and (3) other jobs information 
that NIH gathers from other sources. 

To assess the reliability of the data provided by NIH, we obtained 
information from agency officials knowledgeable about (1) NIH grant 
award data, (2) NIH Recovery Act grantee recipient reports, and (3) the 
jobs information that NIH gathers from other sources. We also performed 
data quality checks to assess the reliability of the Recovery Act 
grants data file received from NIH. These data quality checks involved 
an assessment to identify incorrect and erroneous entries or outliers. 
Based on the information we obtained and analyses we conducted, we 
determined that the data were sufficiently reliable for the purposes of 
this report. 

In addition, we selected five grantee institutions, which were 
universities that employ principal investigators who received NIH 
Recovery Act funding. The five selected grantee institutions met the 
following criteria: (1) received the largest portion of Recovery Act 
funds from NIH, (2) received the largest number of grants, and (3) 
reported the highest number of FTEs supported by NIH Recovery Act 
funds. The selected institutions were Johns Hopkins University, 
University of Michigan, University of Washington, University of 
Pennsylvania, and Duke University. The selected grantee institutions 
are not representative of all institutions that received Recovery Act 
funding. (See table 1 for more information about the five selected 
grantee institutions.) 

Table 1: Characteristics of Five NIH Recovery Act Grantee Institutions 
Selected for Review: 

Duke University; 
Number of NIH Recovery Act grants received[A]: 339; 
Amount of NIH Recovery Act funds received[A] (in millions): $169; 
Number of full-time-equivalents reported for the quarter ending 
September 2010: 413. 

Johns Hopkins University; 
Number of NIH Recovery Act grants received[A]: 435; 
Amount of NIH Recovery Act funds received[A] (in millions): $163; 
Number of full-time-equivalents reported for the quarter ending 
September 2010: 401. 

University of Michigan; 
Number of NIH Recovery Act grants received[A]: 462; 
Amount of NIH Recovery Act funds received[A] (in millions): $194; 
Number of full-time-equivalents reported for the quarter ending 
September 2010: 544. 

University of Pennsylvania; 
Number of NIH Recovery Act grants received[A]: 428; 
Amount of NIH Recovery Act funds received[A] (in millions): $189; 
Number of full-time-equivalents reported for the quarter ending 
September 2010: 543. 

University of Washington; 
Number of NIH Recovery Act grants received[A]: 414; 
Amount of NIH Recovery Act funds received[A] (in millions): $196; 
Number of full-time-equivalents reported for the quarter ending 
September 2010: 464. 

Total; 
Number of NIH Recovery Act grants received[A]: 2,078; 
Amount of NIH Recovery Act funds received[A] (in millions): $911; 
Number of full-time-equivalents reported for the quarter ending 
September 2010: 2,365. 

Source: GAO analysis of NIH Grant Award data and NIH Recovery Act 
Recipient Reports. 

[A] The numbers of grants and funding received were as of September 30, 
2010. 

[End of table] 

To gather more specific information about individual grants, we created 
a Web-based data collection instrument (DCI) and disseminated it to 50 
selected principal investigators--10 principal investigators at each of 
the same five grantee institutions.[Footnote 33] The Web-based DCI 
contained questions about the types and number of jobs supported by the 
Recovery Act funding received from NIH. The selected principal 
investigators received grant awards that met the following criteria: 
(1) the grant was a new grant award and not a supplement to an existing 
grant, (2) the grant award was for $500,000 or greater (see table 2 for 
more details), and (3) the grant award was made on or before December 
1, 2009. We reviewed the abstracts for all the grants that met the 
above criteria and made a judgmental selection of the final 50 grants-
-making sure to include a variety of grant types such as Challenge 
grants and Grand Opportunity (GO) grants that were developed for the 
Recovery Act.[Footnote 34] The 50 selected grant awards ranged in size 
from $500,000 to about $11,000,000. The principal investigators for 
these selected grants are not representative of all principal 
investigators who received NIH Recovery Act funding. To gather 
information about the grants from an institutional perspective, we also 
created a second Web-based DCI and disseminated it to an official 
involved in coordinating Recovery Act reporting at each of the five 
selected grantee institutions. 

Table 2: Range of 50 Selected Grant Award Amounts at Five NIH Recovery 
Act Grantee Institutions, Fiscal Years 2009 and 2010: 

Grantee institutions (Universities): Duke University; 
Range of individual grant award amounts (in millions): $0.5-$5.6. 

Grantee institutions (Universities): Johns Hopkins University; 
Range of individual grant award amounts (in millions): $0.5-$3.3. 

Grantee institutions (Universities): University of Michigan; 
Range of individual grant award amounts (in millions): $0.5-$9.0. 

Grantee institutions (Universities): University of Pennsylvania; 
Range of individual grant award amounts (in millions): $0.5-$5.1. 

Grantee institutions (Universities): University of Washington; 
Range of individual grant award amounts (in millions): $0.8-$11. 

Grantee institutions (Universities): Range for five selected grantee 
institutions; 
Range of individual grant award amounts (in millions): $0.5-$11. 

Source: GAO analysis of NIH grant award data. 

[End of table] 

We performed follow-up information gathering from selected principal 
investigators and administrators at grantee institutions that completed 
the DCI to supplement the information provided in the DCI. We also 
obtained and reviewed information reported by grantee institutions to 
the nationwide data collection system at [hyperlink, 
http://www.federalreporting.gov] about the number of jobs supported by 
the Recovery Act. 

The information on the number of FTEs supported by NIH Recovery Act 
funding reported to the nationwide data collection system by recipients 
of Recovery Act funding has certain limitations. First, the Office of 
Management and Budget (OMB) guidance requires FTE numbers to be 
reported quarterly and FTEs should not be added across quarters to 
obtain a cumulative number of FTEs. In addition, the calculation of 
FTEs may reflect full-time and/or multiple part-time jobs, therefore 
FTEs cannot be used to determine the total number of individual jobs. 
Moreover, because of a change in OMB's reporting guidelines, FTE data 
for the first reporting quarter may not be comparable to the data 
reported for subsequent reporting quarters. The number of FTEs 
represents only the jobs directly supported by the Recovery Act but 
does not capture the jobs indirectly supported by the act or other 
impacts of the spending. 

To identify the information NIH and selected grantee institutions and 
principal investigators have on the other impacts of the NIH Recovery 
Act funding they received, we utilized the Web-based DCI disseminated 
to the same 50 principal investigators--10 principal investigators at 
each of the five selected grantee institutions--noted earlier, and 
interviewed NIH officials. We asked the grantee institution and 
principal investigators to identify other impacts such as scientific 
impacts, impacts in the local community, and impacts on the grantee 
institution and principal investigators. We also asked NIH and 
principal investigators to identify the metrics they use to measure and 
track these other impacts. We contacted the State Recovery Act 
representative in two of the states in which our selected universities 
are located (North Carolina and Pennsylvania) to identify information 
on the other impacts of NIH Recovery Act funding in their 
jurisdictions. Finally, we reviewed relevant NIH Recovery Act grant 
guidance as well as OMB's Recovery Act guidance to identify Recovery 
Act grantee requirements for reporting information on FTEs and on the 
impacts of the Recovery Act grants to NIH and the nationwide data 
collection system at [hyperlink, http://www.federalreporting.gov]. 

[End of section] 

Appendix II: Analysis of Information Reported by Selected Principal 
Investigators on Jobs Supported by Recovery Act Funding: 

We disseminated a Web-based data collection instrument (DCI) to a total 
of 50 selected principal investigators (10 principal investigators at 
each of five selected grantee institutions).[Footnote 35] The data 
collection instrument included questions about the jobs supported by 
NIH Recovery Act funding. Detailed results from selected questions in 
our data collection instrument related to the jobs supported by 
Recovery Act funding cited in this report are listed below in tables 3-
6. For example, information about (1) the number of supported positions 
that existed before the Recovery Act and (2) the average number of 
hours worked by each supported job category. Not all totals add to 100 
percent because respondents were given multiple answers and asked to 
check all that apply. 

Table 3: Percent of NIH Recovery Act-Supported Jobs That Did Not Exist 
Prior to Receiving NIH Recovery Act Funding, as Reported by Selected 
Principal Investigators, through March 2011: 

Principal investigator's response: Supported jobs that did not exist 
prior to receiving NIH funding; 
Percent: 29. 

Principal investigator's response: Supported jobs that existed prior to 
receiving NIH funding; 
Percent: 54. 

Principal investigator's response: No answer; 
Percent: 17. 

Principal investigator's response: Total; 
Percent: 100. 

Source: GAO review of 50 selected principal investigators. 

Note: These data are based on all of the jobs reported in our DCI by 
our selected principal investigators. 

[End of table] 

Table 4: Number of Selected Principal Investigators Reporting a Loss of 
Funding from Sources Other than NIH, during Fiscal Years 2009 and 2010: 

The number of selected principal investigators who reported a decline 
in grant funding from other granting sources; 
Fiscal year 2009: Yes: 9; 
Fiscal year 2009: No: 40; 
Fiscal year 2009: No response: 1; 
Fiscal year 2009: Total: 50; 
Fiscal year 2010: Yes: 18; 
Fiscal year 2010: No: 32; 
Fiscal year 2010: No response: 0; 
Fiscal year 2010: Total: 50. 

The number of selected principal investigators who reported the NIH 
Recovery Act funds made up for the loss of funding from other granting 
sources; 
Fiscal year 2009: Yes: 7; 
Fiscal year 2009: No: 1; 
Fiscal year 2009: No response: 1; 
Fiscal year 2009: Total: 9; 
Fiscal year 2010: Yes: 15; 
Fiscal year 2010: No: 3; 
Fiscal year 2010: No response: 0; 
Fiscal year 2010: Total: 18. 

Average percent of lost funding replaced by NIH Recovery Act funding, 
as reported by our selected principal investigators; 
Fiscal year 2009: Yes: 36 %; 
Fiscal year 2010: Yes: 41 %. 

Source: GAO review of 50 selected principal investigators. 

[End of table] 

Table 5: Percent of Selected Principal Investigators Who Reported 
Avoiding Certain Actions as a Result of Receiving NIH Recovery Act 
funds, during Fiscal Years 2009 and 2010: 

Actions avoided: Avoided reducing employee hours; 
Percent of principal investigators: 46. 

Actions avoided: Avoided reducing the number of employees; 
Percent of principal investigators: 50. 

Actions avoided: Avoided seeking alternative grant funding sources; 
Percent of principal investigators: 24. 

Actions avoided: Avoided other cost-saving measures; 
Percent of principal investigators: 22. 

Actions avoided: No actions avoided beyond budgeting processes; 
Percent of principal investigators: 32. 

Source: GAO review of 50 selected principal investigators. 

Note: The total does not add to 100 percent because respondents were 
given multiple answers and asked to check all that apply. 

[End of table] 

Table 6: Mean Number of Hours Funded by the Recovery Act Each Week by 
Job Category, as Reported by Selected Principal Investigators through 
March 2011: 

Job category: Research scientist and other faculty; 
Mean number of hours/job category: 21. 

Job category: IT/Data Information; 
Mean number of hours/job category: 9. 

Job category: Pre-Postdoctoral/Student; 
Mean number of hours/job category: 35. 

Job category: Temporary/Part-time Employee; 
Mean number of hours/job category: 17. 

Job category: Administration/Management/Executive; 
Mean number of hours/job category: 29. 

Job category: Medical Specialist; 
Mean number of hours/job category: 15. 

Job category: Sub-Contract/Sub-Awards; 
Mean number of hours/job category: 10. 

Job category: Other; 
Mean number of hours/job category: 5. 

Job category: Mean number of hours for all job categories; 
Mean number of hours/job category: 20. 

Source: GAO review of 50 selected principal investigators. 

[End of table] 

[End of section] 

Appendix III: Analysis of Information Reported by Selected Principal 
Investigators on Other Impacts of Recovery Act Funding: 

We disseminated a Web-based data collection instrument to a total of 50 
selected principal investigators (10 principal investigators at each of 
five selected grantee institutions).[Footnote 36] The data collection 
instrument included questions about the other impacts of NIH Recovery 
Act funding. Detailed results from selected questions in our data 
collection instrument related to the other impacts of Recovery Act 
funding cited in this report are listed in tables 7-10. For example, 
information about (1) the types of nonscientific impacts reported by 
selected principal investigators, and (2) the metrics used to track and 
measure scientific impacts. 

Table 7: Number of Selected Principal Investigators That Reported Other 
Impacts (Not Including Scientific Impacts), during Fiscal Years 2009 
and 2010: 

Other impacts: Purchases of equipment and supplies from vendors; 
Number of principal investigators: 33. 

Other impacts: Purchases of services from vendors; 
Number of principal investigators: 14. 

Other impacts: Support scientific training for health care 
professionals; 
Number of principal investigators: 9. 

Source: GAO review of 50 selected principal investigators. 

Note: Respondents could report more than one other impact. 

[End of table] 

Table 8: Health Issues Addressed by Selected NIH Recovery Act Grants, 
during Fiscal Years 2009 and 2010: 

Health area/conditions: Cardiovascular disorders; 
Percent: 22. 

Health area/conditions: Cancer; 
Percent: 18. 

Health area/conditions: Mental/Behavioral health; 
Percent: 18. 

Health area/conditions: Neurological disorders; 
Percent: 16. 

Health area/conditions: Other; 
Percent: 16. 

Health area/conditions: Lung disease and/or injury; 
Percent: 8. 

Health area/conditions: Autism; 
Percent: 6. 

Health area/conditions: Diabetes; 
Percent: 6. 

Health area/conditions: General public health; 
Percent: 6. 

Health area/conditions: Kidney disease; 
Percent: 4. 

Health area/conditions: Smoking; 
Percent: 4. 

Health area/conditions: Obesity; 
Percent: 4. 

Health area/conditions: Genetic disorders; 
Percent: 2. 

Source: GAO review of 50 selected principal investigators. 

Note: The total exceeds 100 percent because some NIH Recovery Act 
grants addressed more than one health issue. 

[End of table] 

Table 9: Number of Selected Principal Investigators Who Reported Using 
Various Metrics for Tracking and Measuring Scientific Research: 

Metric: Peer-reviewed publications; 
Number of principal investigators: 49. 

Metric: Patent filings; 
Number of principal investigators: 9. 

Metric: Presentations at professional meetings/conferences; 
Number of principal investigators: 45. 

Metric: Other metrics[A]; 
Number of principal investigators: 17. 

Source: GAO review of 50 selected principal investigators. 

[A] Other metrics reported by selected principal investigators 
included: the ability to secure future grant funding, and changes to 
health care policies and practices. 

[End of table] 

Table 10: Number of Selected Principal Investigators Who Reported Peer-
Reviewed Publications and Patent Applications Resulting from Their 
Scientific Research, during Fiscal Years 2009 and 2010: 

Metric: Peer-reviewed publication submitted; 
Number of principal investigators: 24. 

Metric: Peer-reviewed publication approved; 
Number of principal investigators: 17. 

Metric: Patent application filed; 
Number of principal investigators: 1. 

Metric: Patent application approved; 
Number of principal investigators: 0. 

Source: GAO review of 50 selected principal investigators. 

[End of table] 

[End of section] 

Appendix IV: GAO Contacts and Staff Acknowledgments: 

GAO Contacts: 

Linda T. Kohn, (202) 512-7114 or kohnl@gao.gov: 

Acknowledgments: 

In addition to the contact named above, Will Simerl, Assistant 
Director; N. Rotimi Adebonojo; Leonard Brown; Carolyn Garvey; Krister 
Friday; Daniel S. Ries; and Monica Perez-Nelson made key contributions 
to this report. 

[End of section] 

Footnotes: 

[1] Pub. L. 111-5, 123 Stat. 115 (Feb. 17, 2009). 

[2] The Recovery Act also provided an additional $2.2 billion in 
Recovery Act funding to NIH to support comparative effectiveness 
research, repairs, improvements, and construction, as well as 
extramural scientific equipment. 

[3] See testimony by Dr. Raynard Kington, Acting Director of NIH before 
the House Subcommittee on Labor-HHS-Education Appropriations regarding 
the implementation of the Recovery Act, March 26, 2009. Dr. Kington 
also cited a study suggesting that NIH spending in local communities 
generates an average economic impact of three times the original 
amount. 

[4] See for example, GAO, Recovery Act: Recipient Reported Jobs Data 
Provide Some Insights into Use of Recovery Act Funding, but Data 
Quality and Reporting Issues Need Attention, [hyperlink, 
http://www.gao.gov/products/GAO-10-223] (Washington, D.C.: Nov. 19, 
2009). Among other things, this report discusses the methodological 
challenges in measuring the indirect and induced impacts of Recovery 
Act funding. 

[5] The information reported by Recovery Act recipients is available to 
the public for viewing and downloading on [hyperlink, 
http://www.recovery.gov] (Recovery.gov). 

[6] See Office of Management and Budget (OMB) Memoranda M-10-08: 
Updated Guidance on the American Recovery and Reinvestment Act -Data 
Quality, Non-Reporting Recipients, and Reporting of Job Estimates, 
(Washington, D.C.: Dec. 18, 2009). FTEs are calculated as the total 
number of hours worked and funded by the Recovery Act in a reporting 
quarter divided by the quarterly hours in a full-time schedule, as 
defined by the recipient. For instance, if a full-time schedule is 
2,080 hours/year, the number of hours in a full-time schedule for a 
quarter is 520 (2,080 hours/4 quarters = 520). 

[7] See OMB Memoranda M-09-21. 

[8] NIH defines a principal investigator as the individual designated 
by the grantee institution (or applicant organization) to have the 
level of authority and responsibility to direct the project or program 
to be supported by the grant award. We use the term "grantee 
institution" to refer to the institution that employs the principal 
investigators. 

[9] See GAO, National Institutes of Health: Awarding Process, Awarding 
Criteria, and Characteristics of Extramural Grants Made with Recovery 
Act Funding, [hyperlink, http://www.gao.gov/products/GAO-10-848] 
(Washington, D.C.: August 2010). 

[10] These annual progress reports are used by NIH to assess the 
progress of funded projects, and include information such as the 
research goals, updates on the progress of the research, publications 
resulting from research findings, and personnel changes to the project 
team. 

[11] The five selected grantee institutions received the largest 
amounts of NIH Recovery Act funding and reported the largest number of 
supported FTEs. 

[12] The principal investigators at these five grantee institutions 
were selected based on the size and award date of the grants. 

[13] To gather information about the grants from an institutional 
perspective, we also disseminated a second Web-based DCI to an 
administrator at each of the five selected grantee institutions. 

[14] NIH officials said they conduct data quality reviews on the 
numbers of FTEs reported by grantee institutions. The officials also 
noted that at the end of each reporting period, they typically flag 
less than 1 percent of all grantee reports as having potential errors. 

[15] The administrators stated that they use OMB guidance to calculate 
and report the number of FTEs supported by their Recovery Act grants 
and to perform data quality reviews. They also noted that they have 
centralized in-house processes for ensuring the quality of the reported 
FTE data. 

[16] The standard criteria were scientific merit, availability of 
funding, and relevance to scientific priorities, and the three 
additional criteria were geographic distribution, potential for job 
creation, and the potential for making scientific progress. 

[17] The award categories included: awards for applications that had 
previously been reviewed but had not received funding, awards for new 
grant applications, and awards for administrative supplements and 
competitive revisions to current active grants. 

[18] FTE data provide insight into the use and impact of the Recovery 
Act funds, but recipient reports cover only direct jobs reported by 
recipients of Recovery Act funds. These reports do not include the 
employment impact on suppliers (indirect jobs) or on the local 
community (induced jobs). Both data reported by recipients and other 
macroeconomic data and methods are necessary to understand the overall 
employment effects of the Recovery Act. 

[19] See [hyperlink, 
http://www.recovery.gov/Transparency/RecipientReportedData]. 
Pages/Recipient Landing.aspx. 

[20] The Science and Technology for America's Reinvestment: Measuring 
the Effect of Research on Innovation, Competitiveness and Science (the 
Star Metrics Program) is a multiagency venture to monitor the impact of 
federal science investments on employment, knowledge generation, and 
social outcomes. The White House Office of Science and Technology 
Policy leads this venture. Participating agencies include: NIH, the 
National Science Foundation, the Environmental Protection Agency, and 
the Department of Energy. 

[21] This figure is a separate and more recent estimate (provided by 
NIH officials in September 2011) than the information provided by the 
Acting Director of NIH to the House Subcommittee on Labor-HHS-Education 
Appropriations in March 2009, in which he noted that on average, each 
research grant awarded with Recovery Act funding had the potential of 
supporting six to seven full-or part-time scientific jobs. 

[22] See scope and methodology for details on the selection criteria 
for these grantee institutions. 

[23] Seventeen percent of selected principal investigators did not 
indicate whether the supported employees were new or existing 
employees. 

[24] Nine percent of selected principal investigators did not provide 
information on whether the jobs supported by NIH Recovery Act funds 
were part time or full time. 

[25] Scientists are typically university faculty members supported by 
NIH Recovery Act funds, and "other faculty" include professors and 
instructors. 

[26] NIH grantees, including NIH Recovery Act grantees, are required to 
report annually on the progress of their funded research, as well as 
provide other information that may vary depending on the specifications 
of the grant. 

[27] See [hyperlink, [hyperlink, http://www.gao.gov/products/GAO-11-
610T] and [hyperlink, [hyperlink, http://www.gao.gov/products/GAO-11-
379]. 

[28] This principal investigator purchased a dual-energy x-ray 
absorptiometry scanner that is typically used for measuring bone 
density. 

[29] NIH Investment Reports are released periodically and typically 
include a description of the potential scientific impacts of NIH-funded 
research in relation to specific public health issues. See [hyperlink, 
http://report.nih.gov/recovery/investmentreports]. for examples of 
recent NIH Investment Reports. 

[30] Idiopathic pulmonary fibrosis is a disorder that results in 
scarring of the lungs and breathing difficulty. 

[31] When we use the term "grantee" in this report, we are referring to 
the grantee institution, including the principal investigator who is 
designated by the grantee institution to direct the NIH Recovery Act-
funded research. 

[32] These annual progress reports are used by NIH to assess the 
progress of funded projects, and include information such as the 
research goals, updates on the progress of the research, publications 
resulting from research findings, and personnel changes to the project 
team. 

[33] NIH defines a principal investigator as the individual designated 
by the grantee institution (or applicant organization) to have the 
appropriate level of authority and responsibility to direct the project 
or program to be supported by the grant award. For this report all five 
selected grantee institutions were universities. 

[34] The Challenge Grant program focuses on health and science problems 
such as cancer and autism. The GO grant program supports high-impact 
ideas that require significant resources for a discrete period to lay 
the foundation for new fields of investigation. 

[35] The selected grantee institutions were Johns Hopkins University, 
University of Michigan, University of Washington, University of 
Pennsylvania, and Duke University. These grantee institutions received 
the largest amounts of Recovery Act funding and reported the largest 
number of supported full-time-equivalents (FTE). The 50 principal 
investigators were selected based on the size and award date of the 
grants. 

[36] The selected grantee institutions were Johns Hopkins University, 
University of Michigan, University of Washington, University of 
Pennsylvania, and Duke University. These grantee institutions received 
the largest amounts of Recovery Act funding and reported the largest 
number of supported FTEs. The 50 principal investigators were selected 
based on the size and award date of the grants. 

[End of section] 

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