Cornell University has reached a high-stakes settlement with the Trump administration, securing the return of roughly $250 million in frozen federal grants after months of political and financial turmoil.
Under the agreement, the Ivy League school will pay $30 million to the government and commit another $30 million toward agricultural research over the next three years. The deal also requires Cornell to share detailed undergraduate admissions data—including information on race and test performance—through 2028.
In return, the administration has dropped its investigations into alleged antisemitism and discrimination at the university.
Cornell President Michael Kotlikoff emphasized that the school was never found guilty of any civil rights violations. He said the funding freeze had derailed vital research and endangered careers, calling the resolution a “critical step toward restoring stability” while safeguarding Cornell’s right to set its own hiring and admissions standards “without intrusive government oversight.”
Education Secretary Linda McMahon, a vocal critic of diversity, equity, and inclusion (DEI) initiatives, hailed the deal as another victory against what she called “divisive DEI policies.”
The agreement marks the fifth such settlement between the Trump administration and major U.S. universities amid an escalating campaign targeting DEI programs and campus protests tied to the Israel-Palestine conflict.
Earlier this year, Harvard University entered a tense standoff with federal officials over similar allegations and funding freezes, while Columbia University agreed to pay over $200 million in its own settlement.
Still, higher education observers say the administration’s influence may be waning. Jon Fansmith of the American Council on Education noted that recent deals have become narrower in scope, signaling that “the government’s leverage is slipping.”
The Cornell agreement explicitly limits federal control, stating that nothing in the deal allows the United States to “dictate the content of academic speech or curricula.”
Despite its confrontational posture, the administration has struggled to enforce broader policy compliance. Courts recently ordered it to release more than $500 million in withheld grants to UCLA, and a proposal offering favorable funding to universities that adopt new DEI restrictions has been largely rejected by academic leaders.
For Cornell, the conclusion of this long standoff ends months of uncertainty—but also places the university squarely at the center of a national clash between academic independence and political power.
