If schools have become as much political institutions as educational institutions -- and there's little doubt about that -- why do they get public money at all? The real conflict of interest here is politicians spending your money for their political goals.
Funding for NIH comes primarily from annual Labor, HHS, and Education (LHHS) Appropriations Acts, with an additional smaller amount for the Superfund Research Program from the Interior/Environment Appropriations Act.6 Those two bills provide NIH discretionary budget authority.
The NIH then presumably has the US Federal Reserve electronically wire it a few billion $ from an internal account they electronically added a few zeros to beforehand.
> UF received about $602 million in research funding from the federal government, including a record $250 million from the National Institutes of Health, the university’s largest research funding source.