USC

Trump administration offers broadsweeping policy agreement to USC and eight other colleges in exchange for federal funding

None of the universities have announced their plan for the White House’s proposed deal.

Student walking under international flags on the USC campus.
Student walking under international flags on the USC campus. (Photo by Ling Luo)

Universities across the United States could change their policies on international students, diversity and ideological values in exchange for federal funding, according to a recent proposal sent by the Trump administration.

The White House sent letters to nine major universities on Wednesday, which included a nearly ten-page “Compact for Academic Excellence in Higher Education.” If signed, the schools would secure their federal funding.

Other key requirements in the compact include freezing tuition for five years, adopting stricter definitions of gender and changing university policies that allegedly punish conservative ideologies.

USC is currently “reviewing the Administration’s letter,” and has provided no further comment about their plans for the compact, according to a university statement.

California Governor Gavin Newsom released a statement on Thursday in response to the compact, vowing to withhold state funding from schools that agree to its terms.

“If any California University signs this radical agreement, they’ll lose billions in state funding — including Cal Grants — instantly … California will not bankroll schools that sell out their students, professors, researchers, and surrender academic freedom,” Newsom said.

In addition to USC, the universities include: the University of Arizona, Brown University, Dartmouth College, Massachusetts Institute of Technology (MIT), the University of Pennsylvania (UPenn), the University of Texas at Austin (UT Austin), Vanderbilt University and the University of Virginia.

May Mailman, the White House’s senior adviser for special projects, said the presidential administration chose these schools because it believed the nine universities are, or have the potential to be, “good actors,” according to the Wall Street Journal. However, reasons behind the universities’ shared designation have not been disclosed.

Sohana Singh, a freshman majoring in electrical and computer engineering, said the universities were likely chosen for their influence and representation.

“[The White House] probably just chose schools that represented the whole United States,” said Singh, who thinks the administration may have chosen “major universities that kind of have that prominence.”

“If they make changes, other universities might follow suit or will at least gain attention,” Singh said.

Another key requirement of the compact is capping international student enrollment at 15 percent. The compact also states that “no more than five percent shall be from any one country.”

In 2025, USC had a total international student population of 26.1 percent. The USC class of 2029 first-year profile reports 21 percent of the freshman class are international students and hold student visas.

Ava Saunders, a junior majoring in journalism and government at UT Austin, is the editor-in-chief of The Daily Texan, the school’s student newspaper. There, only 12 percent of the student population has international status, and Saunders said the topic is already controversial.

“I can’t imagine it’ll be good,” said Saunders. “I think that limiting the amount of qualified students who are allowed to come into any university is going to have a negative effect on academics.”

UT Austin is in a unique position, Saunders said, since Texas Gov. Greg Abbott appoints the University of Texas System’s Board of Regents.

“It makes sense why UT would be classified as a ‘good actor’ for this compact because there’s a lot of room for conservative overreach at UT,” Saunders said.

The University of Texas Board of Regents issued a statement regarding the administration’s letter.

“The University of Texas System is honored that our flagship … has been named as one of only nine institutions in the U.S. selected by the Trump Administration for potential funding advantages,” said UT System Board of Regents Chairman Kevin P. Eltife.

“We enthusiastically look forward to engaging with university officials and reviewing the compact immediately,” Eltife said. “Today we welcome the new opportunity presented to us and we look forward to working with the Trump Administration on it.”

None of the listed universities responded to a request for comment from Annenberg Media stating whether or not they would sign the compact.

University of Arizona spokesperson Mitch Zak said the university first learned of the compact on Oct. 1 and is “reviewing it carefully.”

Vanderbilt University also issued a statement on X saying the school is “carefully reviewing the compact and providing meaningful feedback to the administration.”

University of Virginia President Paul Mahoney has created a working group to advise him on how to respond to the White House’s letter, according to The Cavalier Daily.

Other colleges that received the letter from the White House, which include Dartmouth, MIT, Brown and UPenn, did not respond to Annenberg Media’s request for comment.