P.L. 106-113; SIGNED NOVEMBER 29, 1999

Release Date:  January 6, 2000

NOTICE:  OD-00-010

National Institutes of Health 
The purpose of this Notice is to provide information on the following 
statutory provisions that limit the use of funds on National Institutes of 
Health (NIH) grant, cooperative agreement, and contract awards:

(1) Acknowledgement of Federal Funding (Section 507)
(2) Anti-Lobbying (Section 503)
(3) Continued Salary Limitation (Section 204)
(4) Ban on Funding of Human Embryo Research (Section 510)
(5) Purchase of American-Made Equipment and Products (Section 506)
(6) Limitation on Use of Funds for Promotion of Legalization of                                                          
Controlled Substances (Section 511)
(7) Restriction on Distribution of Sterile Needles (Section 505)
(8) Delayed Obligations (Section 216 - new section)  


When issuing statements, press releases, requests for proposals, bid 
solicitations and other documents describing projects or programs funded in 
whole or in part with Federal money, all grantees receiving Federal funds 
included in this Act, including but not limited to State and local 
governments and recipients of Federal research grants, shall clearly state: 
(1) the percentage of the total costs of the program or project which will be 
financed with Federal money; (2) the dollar amount of Federal funds for the 
project or program; and (3) percentage and dollar amount of the total costs 
of the project or program that will be financed by non-governmental sources.

(2) ANTI-LOBBYING (Section 503)

No part of any appropriation contained in this Act shall be used, other than 
for normal and recognized executive-legislative relationships, for publicity 
or propaganda purposes, for the preparation, distribution, or use of any kit, 
pamphlet, booklet, publication, radio, television, or video presentation 
designed to support or defeat legislation pending before the Congress or any 
State legislature, except in presentation to the Congress or any State 
legislature itself.  In addition, no part of any appropriation contained in 
this Act shall be used to pay the salary or expenses of any grant or contract 
recipient, or agent acting for such recipient, related to any activity 
designed to influence legislation or appropriations pending before the 
Congress or any State legislature.	


None of the funds appropriated in this Act for the National Institutes of 
Health and the Substance Abuse and Mental Health Services Administration 
shall be used to pay the salary of an individual, through a grant or other 
extramural mechanism, at a rate in 
excess of Executive Level II of the Federal Executive Pay Scale.  The level 
effective October 1, 1999 through December 31, 1999 is $136,700.  Effective 
January 1, 2000, this amount increases to $141,300.  Please refer to related 
information in this issue of the NIH Guide. Applications and proposals with 
categorical direct cost budgets reflecting direct salaries for individuals in 
excess of Executive Level II per year will be adjusted in accordance with the 
legislative salary limitation.


This section continues the current ban that prohibits NIH from using 
appropriated funds to support human embryo research.  Grant, cooperative 
agreement and contract funds may not be used for  (1) the creation of a human 
embryo or embryos for research purposes; or  (2) research in which a human 
embryo or embryos are destroyed, discarded, or knowingly subjected to risk of 
injury or death greater than that allowed for research on fetuses in utero 
under 45 CFR 46.208(a)(2) and section 498(b) of the Public Health Service Act 
(42 U.S.C. 289g(b)).  For purposes of this section, the term ``human embryo 
or embryos'' includes any organism, not protected as a human subject under 45 
CFR 46 as of the date of the enactment of this Act, that is derived by 
fertilization, parthenogenesis, cloning, or any other means from one or more 
human gametes or human diploid cells.

The NIH published DRAFT guidelines on stem cell research that relates to this 
topic.  The URL is
and comments are welcomed until January 31, 2000.


It is the sense of the Congress that, to the greatest extent practicable, all 
equipment and products purchased with funds made available in this Act should 
be American-made.  In providing financial assistance to, or entering into any 
contract with, any entity using  funds made available in this Act, the head 
of each Federal agency, to the greatest extent practicable, shall provide to 
such entity a notice describing this requirement.  If it has been finally 
determined by a court or Federal agency that any person intentionally affixed 
a label bearing a ``Made in America'' inscription, or any inscription with 
the same meaning, to any product sold in or shipped to the United States that 
is not made in the United States, the person shall be ineligible to receive 
any contract or subcontract made with funds made available in this Act, 
pursuant to the debarment, suspension, and ineligibility procedures described 
in sections 9.400 through 9.409 of title 48, Code of Federal Regulations.

SUBSTANCES (Section 511)
None of the funds made available in this Act may be used for any activity 
that promotes the legalization of any drug or other substance included in 
schedule I of the schedules of controlled substances established by section 
202 of the Controlled Substances Act (21 U.S.C. 812).  The limitation above 
shall not apply when there is significant medical evidence of a therapeutic 
advantage to the use of such drug or other substance or that federally 
sponsored clinical trials are being conducted to determine therapeutic 

Notwithstanding any other provision of this Act, no funds appropriated under 
this Act shall be used to carry out any program of distributing sterile 
needles or syringes for the hypodermic injection of any illegal drug.

(8) DELAYED OBLIGATIONS (Section 216 - new section)

Of the funds appropriated for the National Institutes of Health for fiscal 
year 2000, $3,000,000,000 shall not be available for obligation until 
September 29, 2000.  Such funds delayed by this section shall be available 
for obligation until October 15, 2000.  Additional guidance on this provision 
will be issued in a future notice.


For more information concerning policies relating to grants, please visit  For information on contract 
policy, please visit  If 
additional questions remain, please contact your awarding grants or contracts 
management office in the NIH Institutes and Centers.

Weekly TOC for this Announcement
NIH Funding Opportunities and Notices

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Research (OER)
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