According to the left and their mainstream media minions, the Trump administration’s recent decision to withhold $2.2 billion of federal funding to Harvard University is yet another fascistic attack on democracy. In their twisted narrative, the Trump administration is the big bad bully hellbent on annihilating Harvard. Meanwhile, Harvard is the innocent victim that is simply trying to educate students and conduct research for the good of humanity.
Of course, the situation is far more complex. And a good argument can be made that Harvard has no inherent right to collect $2.2 billion of taxpayer dollars, especially based on its recent history of gouging students, turning a blind eye to antisemitism on campus, and violating its status as a non-profit institution that is exempt from paying federal taxes.
As of this writing, Harvard is sitting on a $53.2 billion endowment, the largest in the nation. The endowment, which is run by Harvard Management Company, “boasted a 9.6 percent return on its investments in fiscal year 2024.” Its chief investments are in “private equity and hedge funds, with private equity accounting for 39 percent of the portfolio and hedge funds accounting for 32 percent.”
In fiscal year 2024, Harvard had a budget surplus of $45 million. The previous year, it had a surplus of $186 million.
In short, Harvard is a well-heeled financial juggernaut that does not actually need an annual intrusion of $2.2 billion from American taxpayers that it can do with whatever it pleases.
Like many other colleges and universities, Harvard charges outrageous tuition rates. For the 2025-26 school year, Harvard tuition is $59,320. On top of that, students must pay $1,8000 for health services, $13,532 for housing, $3,676 for student services, and $8,598 for the food plan.
The total bill to attend Harvard for this academic year is $86,926.
Over the past few decades, Harvard’s tuition increases have skyrocketed. As the Harvard College Open Data Project noted in 2020, tuition rates have increased every year since 1986. Moreover, those rate increases have intensified over time and have consistently outpaced inflation. Put another way, the cost of attending Harvard is growing exponentially.
After attending Harvard, most students are saddled with debt. On the other hand, the University has been raking in the dough and increased its administrative positions by more than 40 percent since 2000.
Officially, the Trump administration’s decision to freeze funds has nothing to do with Harvard’s financial status and everything to do with the University’s failure to uphold federal civil rights laws.
On April 11, the Trump administration sent a letter to Harvard referencing several ways in which in recent years the University has “failed to live up to both the intellectual and civil rights conditions that justify federal investment.”
Among the many violations, the letter cites “egregious” acts of “antisemitism” that Harvard officials allowed to occur on campus for months after the October 7 attack in Israel. Although the dereliction of duty by Harvard leadership as Jewish students have been harassed is grounds enough for Harvard to lose its federal funding, it has also defied many other federal laws and rules. To this day, Harvard continues to ignore a Supreme Court decision that banned affirmative action practices in its admission and hiring programs. And, for good measure, the University refuses to eliminate its DEI program, of course.
Based on these transgressions, it seems that the Trump administration is well-justified in its decision to withhold federal funds unless and until Harvard decides to follow federal laws and rules. Once again, Harvard has no intrinsic right to taxpayer dollars. It is a privilege, not a right, for a private university to receive federal grant money.
Unsurprisingly, Harvard is suing the Trump administration, claiming government “overreach” and calling the funding freeze “unprecedented and improper.” Eventually, this will be settled one way or another.
In the meantime, Harvard should be careful.
As of now, “Harvard College is exempt from federal income tax as an educational institution under Section 501(c)(3) of the Internal Revenue Code.”
However, that could change. Apparently, President Trump is toying with the idea of revoking Harvard’s tax exemption. “Perhaps Harvard should lose its Tax Exempt Status and be Taxed as a Political Entity if it keeps pushing its political, ideological, and terrorist inspired/supporting ‘Sickness?’” Trump recently posted to Truth Social.
Whatever happens, I have one sincere message that I must express to Harvard: Please, go fund yourself.
Chris Talgo (ctalgo@heartland.org) is editorial director at The Heartland Institute.
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