Spending by US universities on science and engineering (S&E) R&D grew 5.8% to $54,935 million in fiscal 2009 (ended September 30, 2009), according to a survey of 711 institutions by the National Science Foundation (NSF). Such spending accelerated last year, compared with fiscal 2008, when it grew 4.9%. Adjusted for inflation, fiscal 2009 expenditures rose 4.2%.

As the pie chart on page 4 shows, the federal government accounted for 59% of S&E R&D expenditures at universities and colleges last fiscal year. Since 2004, when the government represented 64% of such expenditures, this percentage has decreased by one point each year. Nonetheless, federal government expenditures for university S&E R&D increased in fiscal 2009, growing 4.2% to $32,588 million, up from 2.8% growth in fiscal 2008.

Industry was the source of the fastest-growing increase in S&E R&D expenditures at US universities in fiscal 2009. Industry expenditures increased 11.6% to $3,197 million. Industry spending grew faster compared with fiscal 2008, when it increased 7.8%. As a result, industry now accounts for 10% of university S&E R&D expenditures.

Three other sources contributed to the remainder of fiscal 2009 university S&E R&D expenditures. Institutional expenditures increased 7.6% to $11,198 million, expenditures by state and local governments rose 5.7% to $3,647 million, and expenditures by other sources increased 9.6% to $4,305 million. Compared with fiscal 2008, institutional spending was the only source of these three to show a faster rate of growth in fiscal 2009. Adjusted for inflation, the four nonfederal sources accounted for 41% of S&E R&D university expenditures last fiscal year.

The double-digit increase in funding from industry may have also contributed to the rapid growth in S&E applied R&D spending by US universities in fiscal 2009. In fiscal 2009, such expenditures grew 11.6% to $13,980 million. However, spending on basic research remained dominant, accounting for 75% of total S&E R&D expenditures at US universities, and increasing 3.9% to $40,955 million. S&E applied R&D at universities continued to grow in fiscal 2009, increasing from 6.4% in fiscal 2008. However, the growth rate for S&E basic research slowed, declining from 4.5% growth in fiscal 2008. As a result, the share of university S&E R&D devoted to applied R&D increased from 24% to 25%, and basic research’s share declined from 76% to 75%.

Sixty percent of university S&E R&D expenditures, $32,791 million was in the life sciences field last fiscal year, for a 5.1% increase. Among the four life science categories in the NSF survey, medical sciences received the largest share of life science expenditures at 56%. The biological sciences received 31% and the agricultural sciences received 9%. The remainder went to the category of other life sciences, for which expenditures grew the fastest, rising 13.6%. The next fastest growth rate for university S&E R&D expenditures among the life sciences was medical sciences, for which they grew 5.7%. Expenditures for the biological sciences increased 3.9% and expenditures for the agricultural sciences grew 2.1%.

Among federal agencies, the Department of Health and Human Services (HHS) was the primary source of university S&E R&D expenditures in fiscal 2009, accounting for 55% of all such spending, or $18,054 million. The life sciences received 89% of HHS fiscal 2009 expenditures for university S&E R&D, or $16,075 million. Of this amount, the medical sciences received 63%, the biological sciences received 33% and the agricultural sciences received 4%.

Although the physical sciences accounted for only 8% of total S&E R&D expenditures at universities last fiscal year, such expenditures increased 9.0% to $4,294 million. Among the four subfields of the physical sciences, physics not only received the largest share of university S&E R&D expenditures at 44%, but also experienced the largest increase, growing 16.4%. Chemistry accounted for 37% of physical sciences S&E R&D expenditures at universities, with spending up 6.6%. Astronomy and other physical sciences represented 14% and 6% of physical science S&E R&D expenditures by universities, respectively. The physical sciences was also the largest recipient of Department of Energy expenditures for university S&E R&D in fiscal 2009, which totaled $1,236 million, receiving 35% of such spending. The physical sciences also received the largest share of NSF funds for university S&E R&D at 23%.

The NSF was also a major funding source for S&E R&D in the environmental science and life science fields at universities. Environmental science and life science represented 16% and 15% of total NSF expenditures for S&E R&D at universities. Within the life sciences, the biomedical sciences received 75% of NSF funding. Total fiscal 2009 NSF expenditures for university S&E R&D was $3,948 million.

Fiscal 2009 S&E R&D expenditures for the environmental sciences at universities increased 4.8% to make up 5% of total S&E R&D expenditures at universities, or $2,940 million. Oceanography and earth sciences accounted for 37% and 35% of such expenditures, respectively. Atmospheric sciences and other environmental sciences each represented 14%. University S&E R&D expenditures for other environmental sciences grew the fastest, rising 9.9%. For earth sciences and oceanography, such expenditures increased 7.8% and 3.1%, respectively. However, for atmospheric sciences, fiscal 2009 university S&E R&D expenditures declined 2.1%.

Public universities accounted for 68% of all S&E R&D expenditures by US universities in fiscal 2009, or $37,522 million. The federal government was responsible for 54% of S&E R&D expenditures at public universities. For private universities, the federal government was responsible for 71% of S&E R&D expenditures. Fifteen of the top 20 largest S&E R&D universities were public universities.

The top 20 universities represented 30% of total fiscal 2009 S&E R&D spending by universities, which is consistent with the prior fiscal year. S&E R&D expenditures at the top 20 increased 7.7% last fiscal year to $16,424 million. S&E R&D expenditures at all other universities increased 5.0% to $38,511 million.

Among the top 20, five universities recorded double-digit growth in fiscal 2009 S&E R&D expenditures: the University of North Carolina at Chapel Hill (22.8%), the University of Colorado (all campuses) (20.9%), the University of Michigan (15.0%), MIT (11.5%), Johns Hopkins University (10.4%) and the University of California at Berkeley (10.1%). None of the universities in the top 20 showed a decline in S&E R&D expenditures. In fiscal 2009, the University of Colorado and the University of North Carolina at Chapel Hill entered the top 20, bumping down the University of Pittsburgh and the University of Florida.

Pie Chart: S&E R&D Expenditures at US Universities, FY09

Source of funds

Federal Govt. 59%

State and Local Govt. 7%

Industry 6%

Institutional Funds 20%

Other 8%

Pie Chart: S&E R&D Expenditures at US Universities by Federal Agency, FY09

DOD DOE HHS NASA NSF USDA Othera

11% 4% 56% 4% 13% 3% 9%

Pie Chart: Total S&E R&D at US Universities by Field, FY09

Environmental Sciences 5%

Life Sciences 60%

Physical Sciences 8%

Other 27%

S&E R&D Expenditures at Universities by Source, FY09 (bar graph)

Total Expenditures Federal Govt. Expenditures

Agricultural Sci. $3,057 $866

Other Life Sci. $1,341 $779

Medical Sci. $18,240 $11,058

Envtl. Sci. $2,940 $1,899

Biological Sci. $10,153 $6,622

Physical Sci. $4,294 $2,964

Universities Reporting the Largest S&E

R&D Expenditures in FY09

Institution FY09 ($M) % Chg.

Johns Hopkins University $1,856 10.4%

Univ. of Michigan, all campuses $1,007 15.0%

Univ. of Wisconsin, Madison $ 952 7.9%

Univ. of California, San Francisco $ 948 7.1%

Univ. of California, Los Angeles $890 2.2%

Univ. of California, San Diego $879 4.4%

Duke University $805 5.0%

Univ. of Washington $778 1.7%

Pennsylvania State Univ., all campuses $753 7.4%

Univ. of Minnesota, all campuses $683 8.5%