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Federal Support for Research & Scholarship In FY 2001, federal agencies provided almost 69 percent of the funds spent by the University of Michigan on research and scholarship. These funds paid for salaries and fellowships of both undergraduate and graduate students involved in research as part of their education, as well as portions of research faculty salaries. Federal dollars also help purchase vital equipment, contribute to the renovation and improvement of laboratory facilities, and support important shared resources, such as the many campus libraries. UM Expenditures on Research, Scholarship & Creative Activity by Source of Funds, FY 2001 Source FY 2001 Expenditures % of Total Expenditures Federal Sponsors     National Institutes of Health 247,472,514 41.8 National Science Foundation 50,655,579 8.6 Department of Defense 35,023,728 5.9 Department of Energy 15,584,679 2.6 NASA 12,615,688 2.1 Department of Education 10,626,862 1.8 Department of Transportation 6,241,577 1.1 Environmental Protection Agency 5,516,980 .9 Department of Commerce 4,864,041 .8 Centers for Disease Control 6,413,767 1.1 Department of Justice 1,697,161 .3 Total Federal Government $405,646,407 68.6% Total Industry $34,190,733 5.8% Total Foundations, Charities, Local and State Governments, and Other $53,801,478 9.1% University of Michigan Funds $98,063,899 16.6% Total UM Research Expenditures $591,702,517