The Trump administration initiated investigations into approximately 60 universities following an executive order addressing antisemitism on campus, subsequently withholding billions of dollars in federal funds from several institutions. Northwestern University reached a $75 million settlement in late November to restore access to approximately $790 million in federal funding that had been frozen during a civil rights investigation. The agreement includes specific policy changes for the university, while other institutions have pursued various responses, including additional settlements and legal challenges, and some have initiated legal action against the administration.
Federal Initiative and Campus Investigations
On January 29, 2025, President Trump issued an executive order addressing antisemitism on university campuses. This order initiated investigations at five universities, which later expanded to include approximately 60 institutions. Following these investigations, federal agencies began withholding billions of dollars in contracts and grants from several high-profile universities.
White House spokesperson Liz Huston stated the administration's intent to "transform American higher education by restoring merit, enforcing civil rights, and eliminating waste, fraud, and abuse," and to hold more institutions accountable.
The investigations, led by the Education Department, focused on alleged failures to protect Jewish students on campus, particularly amid university protests concerning the conflict in Gaza. A consistent aspect across subsequent agreements was the administration's aim to influence university operational policies, including those concerning diversity, equity, and inclusion (DEI) programs.
Northwestern University's Agreement
In late November, Northwestern University reached a $75 million settlement with the Justice Department. This agreement resolved civil rights investigations and led to the restoration of approximately $790 million in federal funding that had been withheld since April.
Interim President Henry Bienen stated that the payment does not constitute an admission of guilt, with the university's explainer indicating the decision to settle was based on the perceived high cost and risks associated with potential litigation.
Under the terms of the agreement, Northwestern will disburse the $75 million by 2028. The university is also required to maintain clear policies and procedures regarding demonstrations, protests, displays, and other expressive activities. Additionally, it must implement mandatory antisemitism training for all students, faculty, and staff, according to the Justice Department. As part of policy changes, the university agreed to terminate the Deering Meadow Agreement, a prior pact with demonstrators. President Bienen affirmed the university's commitment to maintaining academic freedom and autonomy, stating Northwestern's leadership refused terms that would grant the federal government authority over hiring, curriculum, admissions, or study programs.
Attorney General Pam Bondi stated the settlement supported the administration's objectives to ensure institutions protect Jewish students and prioritize merit, asserting that institutions receiving federal funds are obligated to adhere to civil rights law.
Education Secretary Linda McMahon characterized the settlement as beneficial for higher education, stating it formalized policy changes aimed at protecting students and reinforcing commitment to merit-based hiring and admissions. McMahon suggested these reforms could serve as a model for other institutions.
Broader University Responses
Many other universities have also reached agreements with the administration:
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Cornell University: On November 7, Cornell agreed to pay $60 million over three years ($30 million to the government and $30 million for U.S. agriculture research) to prevent the loss of over $250 million in federal funds. Cornell also agreed to use a July 2025 Justice Department memo from Attorney General Pam Bondi, which associates DEI programs with discriminatory practices, as a training resource. Cornell stated its settlement did not compromise its values or independence.
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Columbia University: In late July, Columbia University and the White House announced a settlement totaling approximately $221 million. This included $200 million over three years for alleged discriminatory practices and $21 million for a workplace harassment investigation. Columbia agreed not to consider race in admissions, programming, or hiring, to provide demographic and academic data for applicants, and to review its international admissions process.
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University of Pennsylvania: The University of Pennsylvania settled in July.
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Brown University: On July 30, Brown University agreed to pay $50 million over 10 years to local workforce development organizations, following threats to freeze $510 million in federal funding. Brown also pledged to adopt definitions of "male" and "female" from a Trump executive order and not to consider race in admissions or programming.
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University of Virginia (UVA): On October 22, UVA's interim president, Paul Mahoney, signed a deal affirming the university's commitment to civil rights laws and adopting Bondi's guidance on discrimination. UVA was not required to pay a fine or establish an external monitor.
Legal Challenges and Concerns
Harvard University challenged the administration's actions in court. In September, a federal judge ruled in Harvard's favor, stating the government illegally froze over $2 billion in federal grants and contracts; this decision is currently under appeal.
Constitutional scholars and academic organizations have raised concerns regarding the administration's use of federal funds to compel policy changes.
Thomas Berry, director of constitutional studies at the Cato Institute, expressed concern that the federal government paused funding without proving its allegations. Berry also stated that the tactic represents an alleged violation of the First Amendment's unconstitutional conditions doctrine, which posits that the government cannot require individuals to forfeit a constitutional right, such as free speech, to receive a benefit.
Todd Wolfson, president of the American Association of University Professors (AAUP), echoed these concerns, referencing Supreme Court rulings indicating the federal government cannot use financial leverage to control speech. Wolfson characterized the settlements as "extortion" and asserted that the government's actions were unconstitutional, undermining academic freedoms and endangering research initiatives.
The AAUP has initiated legal action against the Trump administration regarding the withholding of funds.