Trump Administration Moves to Cancel All Federal Contracts with Harvard

The Trump administration has initiated a sweeping effort to sever federal financial ties with Harvard University, directing agencies to cancel all remaining government contracts with the institution—a move that could impact approximately $100 million in funding. The decision, announced on May 27, 2025, comes amid escalating tensions between the White House and the Ivy League university over issues ranging from admissions policies to campus climate.

A letter from the U.S. General Services Administration (GSA) to federal agencies instructs them to identify and terminate contracts with Harvard, citing allegations that the university continues to engage in discriminatory practices in its admissions process and campus life. The GSA emphasized the government’s responsibility to ensure taxpayer funds are allocated to institutions that comply with federal nondiscrimination laws and uphold national interests.

This action follows a series of punitive measures against Harvard, including the suspension of more than $2 billion in research grants and a recent attempt to bar the university from enrolling international students. A federal judge has temporarily blocked the student ban, with a hearing scheduled to determine whether the injunction will remain in place.

President Trump has publicly advocated for redirecting frozen Harvard funds to trade schools, arguing that elite universities have failed to meet their obligations to the nation and taxpayers. In addition, the administration has threatened to revoke Harvard’s tax-exempt status and impose new taxes on its $53 billion endowment.

Harvard President Alan Garber has condemned the administration’s actions, warning that cutting off federal funds would jeopardize the futures of thousands of students and researchers and undermine critical research benefiting the nation.The university has filed lawsuits challenging the funding freezes and restrictions on international students, asserting that the government’s actions are retaliatory and infringe on constitutional rights.

As the standoff continues, the fate of Harvard’s federal funding remains uncertain, with broader implications for the relationship between the federal government and higher education institutions nationwide.