Universities Are Playing 'Let’s Make a Deal' With the Trump Administration — But the Rules Are Rigged

In March 2025 the Trump administration cut $400 million in federal research grants and contracts to Columbia University and warned it could withhold far larger sums from other campuses. By July, Columbia’s leaders agreed to pay $200 million to the U.S. Treasury and $21 million to an EEOC claims fund to resolve multiple federal investigations and restore funding. That settlement — which included sweeping changes to admissions, hiring, discipline, protests, academic programming and student supports under the supervision of an outside monitor — was widely expected to become a template for other universities.

Settlements Vary Widely, But the Pattern Is Distinct

Five additional university agreements reached since then differ considerably in dollar amounts, where money is directed, and the degree to which academic freedom and institutional autonomy are constrained. The variation appears linked to how much federal funding was at stake, the public visibility of campus protests, negotiation timing and tactics, and how aggressively the administration wanted to make an example of a particular school.

Pay-to-Play And Uneven Outcomes

Some settlements look like pay-to-play. Columbia’s $221 million total remains the largest known payment so far; Northwestern agreed to pay $75 million. Cornell and Brown paid smaller amounts, some earmarked for agricultural research and workforce programs. Harvard and UCLA reportedly faced demands of about $500 million and nearly $1.2 billion, respectively, which remain unresolved. The University of Pennsylvania and the University of Virginia reached settlements that required policy changes but did not include large payments.

Antidiscrimination Law Used As A Lever

Although the administration framed interventions as responses to antisemitic incidents, a consistent thread across agreements is a challenge to campus diversity, equity and inclusion (DEI) programs. Officials — echoing rhetoric from Vice President J.D. Vance that DEI can be "a deliberate program of discrimination primarily against white men" — have pushed interpretations of federal antidiscrimination rules that restrict consideration of race, gender and, in some cases, proxies such as socioeconomic status.

For example, Virginia agreed to implement the Justice Department’s "Guidance for Recipients of Federal Funding Regarding Unlawful Discrimination," which seeks to limit race- and gender-conscious policies in admissions, hiring and student affairs. Northwestern agreed not to maintain programs aimed at achieving race-based outcomes or to consider race in admissions or employment decisions.

Academic Freedom, Speech, And Campus Life Under Pressure

Several agreements include commitments that directly affect academic programming and campus life. Columbia pledged to appoint faculty to ensure Middle East offerings are "comprehensive and balanced," and Brown committed to bolster research and education about Israel and Jewish studies. Critics argue such directives can steer hiring and curricula and chill academic freedom.

Settlements also restrict protest activity and student conduct. Northwestern agreed to ban certain protest activities in academic spaces and to limit banners, chalking and installations outside designated areas. Columbia agreed to share, on request, records of disciplinary actions and arrests involving student visa-holders. Some schools accepted policies recognizing only two sexes for housing, athletics and gender-affirming care; the University of Pennsylvania was required to bar transgender athletes from women’s teams and to apologize to affected athletes in a past case.

Reporting, Oversight, And The Erosion Of Autonomy

Many agreements mandate detailed admissions reporting — disaggregating rejected and admitted applicants by race, color, GPA and standardized-test performance — and call for "merit-based" admission policies. Administrative oversight provisions include external resolution monitors, mandatory data sharing with federal agencies, prior approval requirements for policy changes, and, in Virginia’s case, a presidential certification under penalty of perjury that the institution is in "full compliance." Northwestern may not alter protest or harassment rules without the assistant attorney general’s consent; Brown must conduct annual campus climate surveys and seek Department of Education approval for new initiatives.

Why This Matters

These settlements collectively signal a new level of federal involvement in university governance and policy. They raise questions about the balance between preventing unlawful discrimination and preserving institutional autonomy, academic freedom and free expression on campus. The agreements also create precedents that other institutions are likely to follow or fear, echoing Voltaire’s remark about Admiral John Byng: they are designed "to encourage the others."

Glenn C. Altschuler is the Thomas and Dorothy Litwin Emeritus Professor of American Studies at Cornell University. David Wippman is emeritus president of Hamilton College.

Source: Adapted from reporting and commentary originally published by The Hill / Nexstar Media, Inc.