
Paul Coco
Yale and its peers are taking action to make the case for how universities contribute to the nation and the world.
On May 22, the US House of Representatives narrowly passed the budget reconciliation bill known as the One Big Beautiful Bill Act. Among many other things, the bill included an increase of the excise tax on income from certain university endowments from 1.4 percent to 21 percent. Yale is one of dozens of universities subject to the tax, which would cost the university an additional $700 million a year, about 11 percent of the university’s operating budget.
At press time in early June, the Senate had not yet acted on the bill. On the day the House passed it, President Maurie McInnis ’96PhD sent a message to the Yale community encouraging people to contact their senators and urge them to reject the tax increase. “This legislation presents a greater threat to Yale than any other bill in memory,” McInnis wrote. “What is at stake is Yale’s ability to offer financial aid, to contribute to the vitality of our nation’s culture and civic life, and to introduce discoveries and innovations that transform the world.”
On June 6, Yale and 17 other universities were granted permission by a judge to file an amicus brief in support of Harvard’s lawsuit challenging the federal government’s freeze of $2 billion in their research funding. The amicus brief had not been filed at press time, but in their motion asking approval to submit the brief, the universities maintained that “the elimination of funding at Harvard negatively impacts the entire ecosystem. The cuts will disrupt ongoing research, ruin experiments and datasets, destroy the careers of aspiring scientists, and deter long-term investments at universities across the country.”
Meanwhile, the National Science Foundation announced in May that it would cap indirect cost reimbursement in grants to universities at 15 percent, a dramatic cut to the current 67.5 percent reimbursement Yale now receives. Similar new caps on reimbursement by the National Institutes of Health and the Department of Energy have been blocked temporarily by the courts, and a lawsuit over the NSF cap has been filed by a group led by the Association of American Universities. Yale filed a public declaration supporting the suit. “Yale’s declaration makes clear the significant impact this cap would have on crucial research in quantum science, artificial intelligence, biotechnology, and many other areas that contribute life-saving innovations, improve the lives of all Americans, and advance the United States’ standing in the world,” wrote vice provost for research Michael Crair.
Amid these threats, Yale’s Office of Public Affairs and Communications is putting out messages about the beneficial work the university does. A web page titled “Yale’s Impact on America” highlights research and discoveries in science and health, opportunities for students, and economic impact. Another with the headline “Research for the Greater Good” includes examples of Yale research in the sciences, law, arts, and humanities.
In her addresses at this spring’s reunions, McInnis urged alumni to speak out. “Alumni are our greatest ambassadors,” she said. “Right now, one of the meaningful things you can do for this university, and frankly, for all of higher education, is to use your voice, because when you speak, when you share what Yale gave you and what it continues to give the world, people listen.”