Guidance On Salary Limitation For Grants And Cooperative Agreements Fy 2025

Current Notice

NOT-OD-25-085 provides clarification of HHS/NIH implementation of the FY 2025 salary limitation for Executive Level II.  

HHS/NIH has not received an FY 2025 appropriation and is operating under a Continuing Resolution, the “Full-Year Continuing Appropriations and Extensions Act, 2025 (Public Law 119-4)”, that applies the terms and conditions of the Consolidated Appropriations Act, 2024. 

The Consolidated Appropriations Act, 2024 restricts the amount of salary to Executive Level II of the Federal Executive pay scale. The Office of Personnel Management recently released new salary levels for the Executive Pay Scale. Effective January 1, 2025, the salary limitation for Executive Level II is $225,700. See the NIH Salary Summary (1990 – Current). 

Active awards, including awards issued in FY 2025 (continuation and new), that were restricted to Executive Level II, if adequate funds are available, and if the salary cap increase is consistent with the institutional base salary, recipients may rebudget funds to accommodate the current Executive Level II salary level. Recipients may not draw down funds (direct or indirect costs) to pay salaries above the salary rate limitation, and recipients must have established policies and procedures that are consistently applied regardless of the source of funds. 

Contracts and Grants Accounting will release UCSF implementation of the FY 2025 salary limitation for Executive Level II. 

Please see the Notice for details and where to direct inquiries.