“I think we reached a deal with Harvard today,” Trump told reporters on September 30 during a signing ceremony and press conference in the Oval Office.
Turning to Education Secretary Linda McMahon, he added: “All that’s left is the paperwork, right? That’s wonderful.”
When pressed for details, Trump spoke cautiously, saying the agreement was “very close” to being finalized. “Secretary Linda is finishing the final details. They will pay about $500 million. They will run several vocational schools, focusing on artificial intelligence (AI) and other fields such as engineering. After that, their mistakes will be forgiven,” he said.
Harvard has not commented on Trump’s announcement. The U.S. government is currently investigating dozens of universities over allegations of antisemitism and discrimination linked to diversity, equity, and inclusion (DEI) policies.
Federal working groups have demanded that universities reform admissions and hiring practices, adjust curricula, and allow immigration officers to conduct campus inspections. The White House has leveraged federal funding and contracts to pressure compliance.
The $500 million settlement figure had been rumored since July, though Harvard leadership has not confirmed it. Earlier in September, a federal judge in Boston ruled the administration lacked legal grounds to freeze over $2 billion in research funding for Harvard. Despite this, the White House has continued to exert pressure on the nation’s oldest university.
On September 29, the Department of Health and Human Services (HHS) announced a civil rights review into Harvard under the Civil Rights Act of 1964, which could ban the school from receiving any federal funds. Harvard has 20 days to respond and request a hearing.
Other Ivy League schools have already struck deals with the Trump administration in recent months. Brown University agreed to pay $50 million over 10 years to support workforce development in Rhode Island, while Columbia University accepted a $200 million settlement over three years.