Federal Oversight Intensifies: Nine Universities Face Grant Conditions

New Higher Education Agreement Ties Funding to Political Compliance

The White House has been reported to have approached nine US universities with an offer that describes a new framework of expectations for those involved in Higher Education. The universities were reportedly invited to sign an agreement called the "Compact for Academic Excellence in Higher Education," describing several conditions that are tied to College and University Funding and future participation with federal authorities.

The agreement, which takes nine pages, is reported to comprise actions like freezing tuition for five years, restricting the use of sex and gender in University Admissions Policies, and restricting international student numbers on campus. In particular, institutions would be required to keep foreign students at or below 15% of the undergraduates and no more than 5% from a single country. These measures, it was proposed, would be in the direction of prioritising College Education access for American students.

Furthermore, universities would also have to examine or disestablish campus units that are seen to challenge conservative perspectives. This provision has been criticised for its potential to conflict with University Campus Regulations and academic freedom. The institutions said to have been contacted are the University of Pennsylvania, University of Southern California, University of Texas, the University of Virginia, Vanderbilt University, Brown University, Dartmouth College, Massachusetts Institute of Technology, and the University of Arizona. These are both California Universities as well as Texas Universities, and this indicates a wide geographical range.

It was indicated by White House staff that signing the compact would not be required, although its signers would receive preference when being awarded federal grants and other benefits. The measure has been associated with broader debate regarding Federal Education Oversight and Government-Higher Education relations. The letter that accompanied the compact, countersigned by senior administration officials such as May Mailman, Linda McMahon, and Vince Haley, requested input from the universities no later than 20 October 2025. Institutions showing strong alignment with the principles of the compact can be invited to the White House to finalise the agreement towards the end of November.

Responses from the universities have been mixed. The University of Pennsylvania's faculty association was said to have characterised the proposal as threatening institutional autonomy and warned that compliance might jeopardise the university's very mission. Other institutions like Vanderbilt and the University of Southern California said they were considering the document and would give feedback in due course. This comes in the wake of previous efforts by the Trump administration to take on major universities regarding charges of antisemitism and policy on diversity. Columbia University reportedly paid $200 million to close out a federal investigation, and Harvard University saw a temporary denial of $2 billion in funding, though later reinstated by a federal judge. The pact has attracted controversy throughout the Higher Education industry, with commentators observing its likely influence on College Education policy, funding models, and the independence of US Universities.

Editor's Note

This White House's proposed compact is not merely an offer of funding; it's a political declaration masquerading as policy. By requesting US Universities to freeze tuition, restrict international enrollment, and abolish institutions that defy conservative ideologies, the administration is trying to reshape Higher Education through economic coercion as opposed to educational debate. The tone of the document is to imply that College Education must be for national purposes over intellectual freedom. Although certain actions, such as relief from tuition fees for science majors, sound beneficial, the overall message is disconcerting: play along or face elimination of federal funding. Universities should proceed with caution. Agreeing to these conditions may undermine their autonomy, particularly in policies such as University Admissions Policies and campus governance. The foreign student cap, for example, threatens to sabotage international collaboration and diversity, major assets of California Universities, Texas Universities, and those listed. It's not about money. It's about the direction of Government and Higher Education, and whether institutions will be able to determine their own values or be guided by politicised agendas. The next few weeks will challenge how strongly these universities believe in their missions.

Skoobuzz believes that universities must think carefully before accepting terms that could limit their freedom to teach, research, and make their own decisions. Higher education should be a place for open ideas, not a tool for political goals. The choices made now will shape the future of learning in America.

FAQs

1. Why is the White House investigating universities?

The White House wants universities to follow certain rules that match its political and education goals. It is checking if some universities are using federal money in ways that go against these goals, especially around free speech, diversity policies, and how they handle antisemitism. This is part of a wider push to change how Government and Higher Education work together.

2. What universities are involved in the grant access review?

Nine US Universities have been asked to review and possibly sign a new agreement. These include:

• University of Pennsylvania

• University of Southern California

• University of Texas

• University of Virginia

• Vanderbilt University

• Brown University

• Dartmouth College

• Massachusetts Institute of Technology (MIT)

• University of Arizona

These include both California Universities and Texas Universities.

3. How do US colleges receive federal grants?

Colleges and universities in the US apply for federal grants through government programmes. These grants help fund research, student support, and campus improvements. To receive funding, institutions must follow certain rules set by federal agencies. If they meet the requirements, they may get money for specific projects or general support.

4. Which universities are under government scrutiny?

Recently, Columbia University and Harvard University have faced direct action. Columbia agreed to pay a large settlement, and Harvard had its funding temporarily frozen. The nine universities listed above are now being reviewed for future grant access, based on whether they agree to the White House’s new compact.

5. What does this mean for international students in the US?

The new compact suggests strict limits on international student numbers. No more than 15% of undergraduates could be from outside the US, and only 5% from any one country. This could make it harder for international students to get places at top US Universities and may reduce diversity on campus. It also affects how College Education is shared globally.