Tuesday, 02 January 2024 12:17 GMT

Cornell University Reaches $60 Million Deal With Trump, Agrees To New Civil Rights Terms To Reinstate Funding


(MENAFN- Live Mint) Cornell University has struck a $60 million agreement with the Trump administration that will restore more than $250 million in frozen federal research funding and bring an end to months of government investigations into alleged civil rights violations at the Ivy League institution.

The deal, announced Friday, requires Cornell to formally adopt the administration's interpretation of civil rights law while paying both a direct financial penalty and investing in new agricultural research.

The agreement with Cornell is the fifth that the Trump administration has announced since early July in connection with its pressure campaign against top schools.

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The White House previously reached financial settlements with other Ivy League universities, including Columbia University and Brown University, though a recent agreement with the University of Virginia did not include a financial component.

Unlike Columbia and UVA's deals, Cornell will not be subject to an independent monitor ensuring compliance.

What does the Cornell-Trump agreement include?

Under the terms confirmed by university and government officials, Cornell will pay $30 million directly to the US government and allocate another $30 million toward research programmes supporting American farmers.

This investment aligns with the university's long-standing role as a land-grant institution with major agricultural research commitments.

The university has also agreed to provide the federal government with“anonymized undergraduate admissions data.” That data, the agreement says, will be“subjected to a comprehensive audit by the United States.”

Cornell will also conduct“annual surveys to evaluate the campus climate for Cornell students, including the climate for students with shared Jewish ancestry,” the agreement says, among other provisions.

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Cornell President Michael Kotlikoff framed the agreement as a restoration of academic stability while protecting institutional principles.

“This agreement revives that partnership, while affirming the university's commitment to the principles of academic freedom, independence, and institutional autonomy that, from our founding, have been integral to our excellence,” Kotlikoff said in a statement.

In return, the federal government is expected to immediately restore all terminated federal funding and close all pending civil rights and other investigations into the school.

Why was Cornell under investigation?

The US government escalated scrutiny of Cornell earlier this year following accusations of antisemitism, racial discrimination, and bias in admissions practices. In April, federal authorities froze planned research grants, issuing dozens of stop-work orders. The move jeopardised vital research projects and placed severe financial strain on the university.

Internal communications from Cornell leadership revealed growing alarm over budget pressures. Administrators warned that emergency internal funding measures were“not sustainable” and acknowledged the possibility of staff layoffs and programme cuts if external funding was not restored. The university had also been weighing the issuance of approximately $1 billion in bonds to stabilise operations.

How does this affect research and staffing at Cornell?

The reinstatement of federal funding is expected to relieve immediate fiscal pressures. More than $250 million in research projects at Cornell Universit -many tied to national science, climate, and agricultural initiatives-are now expected to resume.

However, university leaders have indicated that a“comprehensive review” of staffing and spending will continue, suggesting that structural cost adjustments are still under consideration.

What does this mean for civil rights enforcement at universities?

To secure the restoration of funds, Cornell agreed to adopt the Trump administration's legal interpretation of civil rights law, marking a notable shift in policy compliance for a major university. This interpretation places increased emphasis on how institutions monitor and respond to discrimination allegations.

The White House touted the agreement as a“major win.”

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“President Trump has once again delivered a major win for American students with this Cornell University deal,” White House spokesperson Liz Huston said.

Education Secretary Linda McMahon praised the deal for targeting diversity, equity and inclusion programs.“The Trump Administration has secured another transformative commitment from an Ivy League institution to end divisive DEI policies,” she said.

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