Charles R. Goulding and Preeti Sulibhavi discover how Rice University’s bold transparency in research funding sets a powerful new standard for efficiency, sustainability, and 3D printing innovation.
As federal research grants come under increased scrutiny in Washington, the higher education sector is being asked difficult questions: How are billions in taxpayer dollars spent? Are institutions doing enough to maximize impact and minimize waste? In a rare and timely move, Rice University has stepped forward with answers—and a message that should resonate across the 3D printing world.
In the Spring 2025 issue of Rice Magazine, the university published a feature titled “Where Our Research Dollars Go,” which offers a clear breakdown of how federally funded university research really works. For those in additive manufacturing, this article goes beyond financial transparency. It outlines a model of efficiency and optimization that could transform the way universities support 3D printing research and development.
The Two Pillars of Research Funding
Rice University identifies two categories of research expenses: direct costs and indirect costs.
Direct costs cover the essentials—researcher salaries, lab materials, travel, and summer interns. Rice emphasizes that funded projects must provide “common-sense benefits”—real-world, impactful applications that go beyond academic theory. For example, direct costs in a materials science lab might support a graduate student testing a new resin for biomedical 3D printing. If that resin ends up reducing surgical prep time or implant rejection rates, the societal return is clear.
A key insight from Rice: AI-powered data analysis is increasingly used to optimize these lab expenses. Through predictive modeling, research teams can reduce material waste, better manage inventory, and streamline experiment cycles. This type of AI efficiency is especially valuable for additive manufacturing, where build failures, miscalibrations, and wasted powder can turn into high-dollar losses.
Indirect costs include all the infrastructure needed to make research possible: utilities, facilities, library systems, IT infrastructure, compliance staff, and administration. These costs are harder to trace back to individual experiments but are just as critical.
The Energy Factor—and the Role of the Inflation Reduction Act
Universities are notorious for having sprawling, energy-hungry campuses, many with central utility plants and outdated building systems. But thanks to recent changes in federal law, particularly the Inflation Reduction Act, schools now have an incentive to upgrade.
Under IRC Section 179D, institutions can receive large tax incentives for making buildings more energy-efficient. Additionally, they can claim direct cash payments for qualifying alternative energy investments—think solar panels, geothermal, heat recovery systems, or high-efficiency HVAC retrofits.
Some labs consume massive amounts of electricity and climate control resources. Retrofitting these facilities to meet 179D standards not only slashes overhead—it frees up capital that can be reinvested into new machines, materials research, and student training programs.
Architects, engineers, and energy service companies (ESCOs) with university experience are already helping institutions navigate this opportunity. Our Energy Tax Savers division has helped over 100 universities qualify for these tax incentives.
Libraries, Labs, and Modular Design
Rice also highlights an underappreciated angle: how the physical design of university spaces can contribute to research efficiency.
Traditional libraries are evolving into interdisciplinary innovation hubs—collaborative spaces that combine digital resources with rapid prototyping labs and additive manufacturing centers. Modular, flexible architecture means one room can host a software workshop in the morning and a resin curing station in the afternoon.
Smart facility design reduces indirect costs by consolidating resources and eliminating redundancy. For instance, shared 3D printing spaces serving both engineering and design departments can achieve higher machine utilization rates and lower per-project energy consumption. It also fosters collaboration, enabling breakthroughs that siloed departments might never achieve on their own.
For the 3D printing industry, this is more than just a real estate issue—it’s about democratizing access to fabrication tools and creating a campus-wide culture of design thinking.
Why Additive Manufacturing Must Be Efficient
Perhaps the most important takeaway for the 3D printing world is this: inefficient research stifles innovation. Materials are wasted, experiments are delayed, and students lose valuable hands-on experience. The reverse is also true: when universities streamline their research operations, they conduct more experiments, publish more findings, and develop more technologies that reach the commercial market.
3D printing is now integral to research in robotics, energy, healthcare, aerospace, and beyond. As such, it must be held to a high standard. Rice’s transparency sets a new benchmark: additive manufacturing should be measured not only by its novelty but by its cost-efficiency, environmental impact, and interdisciplinary utility.
That efficiency is now more achievable than ever. With AI tools for lab management, energy incentives under the Inflation Reduction Act, and design-forward research spaces, universities have both the tools and the financial rationale to raise their game.
The Research & Development Tax Credit
The now permanent Research and Development (R&D) Tax Credit is available for companies developing new or improved products, processes and/or software.
3D printing can help boost a company’s R&D Tax Credits. Wages for technical employees creating, testing and revising 3D printed prototypes are typically eligible expenses toward the R&D Tax Credit. Similarly, when used as a method of improving a process, time spent integrating 3D printing hardware and software can also be an eligible R&D expense. Lastly, when used for modeling and preproduction, the costs of filaments consumed during the development process may also be recovered.
Whether it is used for creating and testing prototypes or for final production, 3D printing is a great indicator that R&D Credit-eligible activities are taking place. Companies implementing this technology at any point should consider taking advantage of R&D Tax Credits.
A Blueprint for the Future of Research
The Rice article should be required reading for academic leaders and lab directors. But it also holds relevance for industry stakeholders, from 3D printer manufacturers to materials startups.
By encouraging universities to adopt smarter, more sustainable research practices, the industry can help accelerate the adoption of additive manufacturing not just as a production tool, but as a cornerstone of modern scientific discovery.
In a time when federal budgets are tight and accountability is high, Rice’s message is simple but powerful: better research management means better science. And for 3D printing, it means a future where innovation is not only more impactful—but more accessible, more collaborative, and more cost-effective.
