From the NY Times: President Trump has backtracked on a major point in negotiations with Harvard, dropping his administration’s demand for a $200 million payment to the government in hopes of finally resolving the administration’s conflicts with the university, according to four people briefed on the matter. Harvard has been the top target in Mr. Trump’s sweeping campaign to exert more control over higher education. Hard-liners in his administration had wanted Harvard to write a check to the U.S. Treasury as part of a deal to address claims that university officials mishandled antisemitism, The New York Times previously reported. But Harvard, wary of backlash from liberal students and faculty, has rejected the idea.
Trump administration officials have indicated in recent days that the president no longer expects such a payment, according to the Harvard and Trump officials briefed on the matter, speaking on the condition of anonymity to describe private conversations. The White House’s concession comes amid sagging approval ratings for Mr. Trump, and as he faces outrage over immigration enforcement tactics and the shooting deaths of two Americans by federal agents in Minnesota. A deal with Harvard would hand the president a victory at a difficult time in his presidency. But those same factors could also torpedo a deal, as some Harvard leaders now consider the risk of backlash even higher if they are seen as having any hand in easing the pressure on Mr. Trump, according to one person familiar with their thinking.
Some connected to the university, however, think Harvard has no option but to eventually cut a deal. The administration has repeatedly attempted to cut off research grants, which would be an untenable crisis. Like many major research universities, Harvard relies on federal funding for its financial model. Harvard’s top governing board was scheduled to meet Monday [today] and was expected to discuss Mr. Trump’s concession on money, according to two people with direct knowledge of the matter. A Harvard spokesman declined to comment about the latest shift in the talks...
Full story at https://www.nytimes.com/2026/02/02/us/politics/trump-harvard-payment.html.
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Note: Dropping the money at Harvard could affect the situation with regard to UC - with the $1 billion+ demand currently on the table. Harvard had in the past reportedly been willing to spend $500 million for "workforce development," whatever that means, but not willing to pay money directly to the feds. UC/UCLA doesn't have a handy $500 million to divert to some non-UC use, even if its not paid to the feds. Still, it's likely that the news above has caught the attention of the UC Regents.
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