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Northwestern University Settles Federal Discrimination Probe for $75 Million

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NorthwesternNorthwestern University reached an agreement with the Trump administration Friday to restore at least $790 million in frozen federal funding, ending a seven-month standoff that resulted in massive layoffs and halted federally funded research across campus.

The settlement requires Northwestern to pay the federal government $75 million through 2028 and comply with federal anti-discrimination laws. In exchange, the government will close all pending investigations and restore the university's eligibility for federal grants, contracts and awards, the Department of Justice announced.

Northwestern expects to begin receiving federal funding within days, with full restoration within 30 days for all active, federally-funded grants impacted by the freeze, including overdue payments for non-terminated grants and contracts, according to a university statement.

The agreement follows months of federal scrutiny over allegations of unlawful discrimination, including race-based admissions and a hostile environment for Jewish students. The Department of Health and Human Services confirmed in April that the freeze was tied to federal antisemitism investigations into the university.

"Today's settlement marks another victory in the Trump Administration's fight to ensure that American educational institutions protect Jewish students and put merit first," Attorney General Pam Bondi said in a statement. Education Secretary Linda McMahon said the deal "recommits the school to merit-based hiring and admissions."

Under the settlement terms, Northwestern must establish clear policies for demonstrations, protests and expressive activities, and implement mandatory antisemitism training for students, faculty and staff. The agreement also terminates the university's 2024 Deering Meadow agreement, which had promised increased support for Muslim, Middle Eastern, North African and Palestinian students, along with greater transparency about university investments.

Additionally, the deal requires Northwestern to review its international student admissions process and create materials familiarizing those students with a campus "dedicated to inquiry and open debate." The university must meet Title IX obligations by providing safe opportunities for women "defined on the basis of sex," including single-sex housing and all-female sports facilities, locker rooms and showers.

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