Cornell University Agrees to USD 60 Million Deal to Restore Federal Funding

Cornell University has reached a significant agreement with the Trump administration, committing to pay USD 60 million to restore crucial federal funding and conclude ongoing investigations into the institution. This deal was announced on November 7, 2023, by Cornell President Michael Kotlikoff, who emphasized that the agreement supports the university’s commitment to academic freedom while facilitating the restoration of over USD 250 million in research funding previously withheld due to inquiries into alleged civil rights violations.

Under the terms of the agreement, Cornell will pay USD 30 million directly to the US government and allocate an additional USD 30 million towards research initiatives aimed at supporting US farmers. Kotlikoff stated that the agreement renews the university’s partnership with the federal government while upholding the principles of academic freedom, independence, and institutional autonomy that have been pivotal to Cornell’s success since its founding.

Details of the Agreement and Compliance Requirements

The six-page agreement mirrors a recent deal signed by the University of Virginia and is notably shorter and less prescriptive than arrangements made by Columbia University and Brown University. A key stipulation requires Cornell to adhere to the Trump administration’s interpretation of civil rights laws, particularly concerning issues related to antisemitism, racial discrimination, and transgender rights.

As part of these compliance measures, a memorandum from the Justice Department will serve as a training resource for faculty and staff at Cornell. This memorandum instructs colleges to discontinue diversity, equity, and inclusion programs, as well as policies that promote transgender rights. Additionally, Cornell must provide extensive admissions data to ensure that race is not considered in admissions decisions, aligning with a 2023 Supreme Court ruling that ended affirmative action in college admissions.

Linda McMahon, the US Secretary of Education, labeled the agreement a “transformative commitment” that emphasizes “merit, rigor, and truth-seeking.” She expressed that the reforms represent a substantial victory in the effort to enhance the quality of American higher education, aiming to make universities the best globally.

Long-term Implications and Compliance Oversight

The agreement mandates that President Kotlikoff personally certify compliance with its terms every quarter. It will remain in effect until the end of 2028, representing a middle ground in the ongoing debate among colleges on how to navigate federal scrutiny.

While Columbia’s agreement involved a direct payment of USD 200 million to the government, Brown University agreed to pay USD 50 million to state workforce organizations, and the University of Virginia’s deal did not include any payment. This latest agreement signifies a substantial financial commitment from Cornell while also laying out clear expectations for compliance with federal guidelines on civil rights.

As universities continue to grapple with the implications of federal funding and civil rights interpretations, Cornell’s decision may set a precedent for other institutions facing similar challenges in their relationships with the federal government.