Trump Says Harvard High-Stakes Agreement “Very Close”

(MENAFN) President Donald Trump on Tuesday said a high-stakes agreement with Harvard University aimed at ending a dispute that has jeopardized billions in federal research funding is nearly finalized.

"We're in the process of getting very close, and Linda's finishing up the final details, and they'd be paying about $500 million and they'll be operating trade schools. They're going to be teaching people how to do AI and lots of other things, engines, lots of things," Trump stated, referring to Education Secretary Linda McMahon.

Describing the proposed initiative as “a giant trade school, series of trade schools,” Trump emphasized the educational pivot would be managed by Harvard. “Now, this is something that we're close to finalizing. We haven't done it yet,” he added.

The deal, once completed, could mark a dramatic shift in the university’s tense relationship with the Trump administration, which has repeatedly accused Harvard of discriminatory policies and failing to confront antisemitism on campus—charges the school firmly denies.

Signaling a potential reset, Trump added, "their sins are forgiven," if the agreement is sealed.

The comments follow a major move by the Department of Health and Human Services (HHS), which on Monday escalated the standoff by referring Harvard to its internal Suspension and Debarment Program, a powerful mechanism that could block the university from receiving federal contracts and grants. If upheld, the sanctions would cut off hundreds of millions in annual federal research funding.

The HHS action stems from a civil rights complaint alleging that Harvard failed to adequately respond to antisemitic incidents and harassment targeting Jewish and Israeli students. The HHS Office for Civil Rights (OCR) had already issued a violation notice in June, accusing Harvard of being “deliberately indifferent” to those concerns.

Earlier this month, a federal court ruled that the administration had acted unlawfully when it previously froze billions in multiyear funding to Harvard, and ordered a halt to any further freezes while litigation continues.

OCR’s latest referral now initiates a formal review that could determine whether the university faces temporary or long-term exclusion from federal funding programs. Harvard has 20 days to notify OCR if it intends to seek a hearing on the matter.

“OCR's referral of Harvard for formal administrative proceedings reflects OCR's commitment to safeguard both taxpayer investments and the broader public interest,” OCR Director Paula M. Stannard said Monday.

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