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Universities That Took Financial Beating Fighting Trump Get Taxpayer-Funded Handout

by Daily Caller News Foundation
August 1, 2025 at 4:04 pm
in News, Wire
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Daily Caller News Foundation

Democratic Massachusetts Gov. Maura Healey announced an initiative on Thursday to advance research in the state amid federal funding cuts to universities.

Healey is proposing legislation alongside the Discovery, Research and Innovation for a Vibrant Economy (DRIVE) Initiative, which would funnel $200 million into a reserve for public universities in the state to cover direct and indirect research costs and “preserve and hire positions in research and teaching,” according to the press release. An additional $200 million will be placed in a funding pool to support research at hospitals, universities and other institutions.

“Massachusetts is the global leader in innovative research and the discovery of lifesaving cures,” Healey said in the announcement. “Research funding is also foundational to the Massachusetts economy – it’s economic infrastructure here. This bill is about creating jobs across industries from construction and food services to health care and education. And in the face of uncertainty from the federal government, this is about protecting one of the things that makes Massachusetts so special – our global leadership in health care and helping families across the world.”

Several federal agencies under the Trump administration have capped indirect research funding rates to limit the amount of taxpayer funds going towards unspecified, non-research expenses, such as administrative costs. The move has been met with lawsuits from universities and teachers’ associations.

Many universities have responded to the cuts with hiring freezes, mass layoffs and tuition price hikes.

The initiatives will be funded using Massachusetts’ “Fair Share surtax revenue,” an additional tax on those earning more than $1,000,000 annually in the state, as well as the Commonwealth Stabilization Fund, which includes taxes from excess capital gains and gambling.

Some of the most prominent universities in the world reside in Massachusetts, some of which have been targeted by the Trump administration’s cuts. Harvard has lost more than $2 billion in federal grants over allegations of antisemitism, while the Massachusetts Institute of Technology (MIT) remains under federal investigation for alleged racial discrimination.

“[A]dvances that spring from our universities, hospitals and laboratories benefit all Americans; if we see these institutions diminished or compromised, all Americans stand to lose,” Sally Kornbluth, president of MIT, said in the press release. “At MIT, our work is crucial to America’s economic strength, global scientific leadership, and national security. Though no other source can replace federal funding for sheer scale, I applaud the Governor’s announcement of a new advisory commission to find ways to sustain the Commonwealth’s leadership in research, education and innovation for decades to come.”

All content created by the Daily Caller News Foundation, an independent and nonpartisan newswire service, is available without charge to any legitimate news publisher that can provide a large audience. All republished articles must include our logo, our reporter’s byline and their DCNF affiliation. For any questions about our guidelines or partnering with us, please contact [email protected].

Tags: DCNFEducationU.S. News
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