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Harvard Faces $113 Million Budget Shortfall After Trump Cuts
Illustrative: Anti-Zionist Harvard students participating in a sit-in against Israel amid its war targeting Hamas terrorists in Gaza. Cambridge, Massachusetts, US, Nov. 16, 2023. Photo: Brian Snyder via Reuters Connect
Harvard University registered a $113 million budget deficit caused chiefly by the Trump administration’s confiscation of much of its federal contracts and grants as punishment for, among other alleged misdeeds, its admitted failure to combat antisemitism on campus, a Harvard report revealed last week.
According to Harvard’s “Financial Report: Fiscal Year 2025,” the university’s spending exceeded the $6.7 billion it amassed from donations, taxpayer support, tuition, and other income sources, such as endowment funds earmarked for operational expenses. Harvard also suffered a steep deficit in non-restricted donor funds, $212 million, a possible indication that philanthropists now hesitate to write America’s oldest university a blank check due to its inveterate generating of negative publicity — prompted by such episodes as the institution’s botching the appointment of its first Black president by conferring the honor to a plagiarist and its failing repeatedly to quell antisemitic discrimination and harassment.
Despite the 2025 fiscal year deficit, the total value of Harvard’s endowment grew by 11.9 percent to $56.9 billion, according to the report. However, school officials noted the challenge that federal pressure has presented to its financial situation.
“Even by the standards of our centuries-long history, fiscal year 2025 was extraordinarily challenging, with political and economic disruption affecting many sectors, including higher education,” Harvard president Alan Garber said in a statement. “We continue to adapt to uncertainty and threats to sources of revenue that have sustained our work for many years. We have intensified our efforts to expand our sources of funding.”
US President Donald Trump’s abrupt cancellation of taxpayer funds awarded to Harvard maimed the university as well, dropping its federal sponsored revenue fell by 8 percent to $629 million and incinerating exorbitant dollar amounts from Harvard’s portfolio. Speaking to The Harvard Gazette on Thursday, Harvard’s chief financial officer Ritu Karla pointed to “$116 million in sponsored funds — which are reimbursements for costs the university has already incurred” that “disappeared almost overnight” when Trump penalized Harvard in April.
Harvard will continue to feel Trump’s wrath as it pays out a new tax on endowment investments which Congress imposed on the country’s wealthiest universities in July. Its liability could be as high as $368.2 million, climbing to $454.8 million by 2030, according to an analysis conducted by American Enterprise Institute (AEI) researchers Mark Schneider and Christopher Robinson.
As previously reported by The Algemeiner, in April, Trump ordered the expropriation of $2.26 billion in Harvard’s federal funds after the institution refused to agree to a wishlist of policy reforms that Republican lawmakers said would make higher education more meritocratic and less welcoming to anti-Zionists and far-left extremists. Contained in a letter the administration sent to Garber — who subsequently released it to the public — the policies called for “viewpoint diversity in hiring and admissions,” the “discontinuation of [diversity, equity, and inclusion, or DEI, initiatives],” and “reducing forms of governance bloat.” They also implored Harvard to begin “reforming programs with egregious records of antisemitism” and to recalibrate its approach to “student discipline.”
Harvard refused the president his wishes even after losing the money and took the issue to federal court. Meanwhile, it built a financial war chest, leveraging its GDP-sized assets to issue over $1 billion dollars in new debt and drawing on its substantial cash reserves to keep the lights on. Eventually, it overcame the administration in the first stage of litigation, securing from a judge appointed by former US President Barack Obama restitution of some of the funds the administration impounded — but the nine-figure sum it lost in the process has led to its largest budget deficit since the Covid-19 pandemic, according to The Harvard Crimson.
“We are also examining operations at every level of the university as we seek greater adaptability and efficiency,” Garber said in Thursday’s statement. “In parallel, we continue to ensure that our academic environment nurtures excellence in all of our endeavors. We are promoting open inquiry, constructive dialogue, and viewpoint diversity, and pursuing our priorities with the resolve that the times demand.”
In additional commentary contributed to the report, Harvard treasury officials Timothy Barakett and Ritu Kalra said, “All of these developments have raised new questions about the financial foundations of higher education and underscore a shifting federal policy environment that will shape the future.” They also said that the “this result could have been much worse,” adding, “it reflects not only the magnitude of the disruption, but also the discipline of a university community that acted quickly and with resolve.”
More disruptions are forthcoming, as Harvard may have to fight again for its taxpayer funds before a US Supreme Court with which it lost a historic case that ended racial preferences in admissions, a policy once popularly known as “affirmative action,” because the court found Harvard’s own imposition of the practice on applicants resulted in widespread discrimination against Asian Americans.
Furthermore, Harvard remains under investigation over its handling of campus antisemitism. The US House Committee on Education and the Workforce wrote to Garber last month asking the university to comply with requests for internal communications regarding discrimination complaints filed by Jewish students.
The committee said it is especially interested in documents related to an October 2023 incident in which two anti-Zionists activists, joined by a mob, assaulted a Jewish graduate student while screaming “Shame!” at him as he struggled to free himself.
“Obtaining the documents will aid the committee in considering whether potential legislative changes, including legislation to specifically address antisemitic discrimination, are needed,” said the letter, authored by the committee’s chairman, Rep. Tim Walberg (R-MI), and Rep. Elise Stefanik (R-NY). “Harvard does not appear to have disciplined — and instead has rewarded — two students who assaulted an Israeli Jewish student who was filming a ‘die-in’ protest on Oct. 18, 2023.”
Walberg and Stefanik also demanded confirmation of Harvard’s decision to pause a partnership with Birzeit University in the West Bank. The Harvard-Birzeit partnership was put into abeyance following an internal investigation of Harvard’s François-Xavier Bagnoud Center for Health and Human Rights (FXB), the institution directly affiliated with Birzeit. It is not clear what ultimately caused Harvard to discontinue the arrangement, but it is a move for which prominent members of the Harvard community and federal lawmakers have clamored before.
“As you know, postsecondary institutions that receive federal funds must maintain a safe learning environment and fulfill all obligations under Title VI and its accompanying regulations,” they continued. “This includes the obligation to promptly address discrimination, including harassment that creates a hostile environment, wherever such circumstances may be found to exist.”
Follow Dion J. Pierre @DionJPierre.
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Netanyahu’s Torah exemption pledge highlights election stakes
Sometimes a statement can contain multitudes, or at least provide a crystallizing moment in an election campaign. So it was when Benjamin Netanyahu, while criticizing the detention of about 40 Haredi draft evaders by military police at Ben-Gurion Airport this week, declared in a radio interview: “We need to protect the world of the Torah … But whoever doesn’t study must serve in the military.”
Netanyahu was effectively saying that yeshiva study should continue to be, as it has been under an informal arrangement, a free pass out of military service – and he went on to repeat a pledge to turn this into law. It is a position opposed by the overwhelming majority of Israelis.
The statement came amid such a calamitous two-week stretch for Netanyahu’s campaign leading up to the Oct. 27 election that it has some people joking that agents of the opposition might have infiltrated Likud headquarters and taken charge.
In a tragicomic episode, one of Netanyahu’s chief propagandists called leading opposition candidate Gadi Eisenkot – a former military chief who is of Moroccan Jewish background – a “monkey” who is under the control of Ashkenazi elites.
Yinon Magal, who has described himself as a vessel for Netanyahu’s messaging, made the comments on Channel 14, the pro-Netanyahu propaganda TV channel where he is the leading host. He later filmed himself explaining that the simian reference, in Israel’s mafia parlance, merely refers to a junior criminal who is a puppet of more heavyweight mafiosi. His clarification did little to stem the tide of criticism.
As Netanyahu awkwardly tried to distance himself, he also charged that opposition figures had used racist slurs, referring to a recent podcast interview with businesswoman Galia Albin in which she said his supporters are Mizrahis who plan to vote for him mindlessly.
Then came leaked comments (made last year) by Haredi Rabbi Dov Lando, leading spiritual leader of the Netanyahu-allied United Torah Judaism party – proclaiming that Zionism had brought disasters upon the Jewish people, that life under Arab rule would have been preferable and that religious Zionist soldiers were being killed because their rabbis taught them “distorted Torah.” Once again, outrage boiled over, and received mostly silence from the Likud.
Donald Trump’s enthusiastic endorsement of Netanyahu might have qualified as good news – but the U.S. president seemed to connect a Bibi reelection to a renewed assault against Iran. That rests on the dubious assumption that Israelis are eager for another few weeks (or more) in bomb shelters.
A punctuation mark arrived a few days later with reports, albeit unverified, that Netanyahu actually had planned to attack Iran earlier this month but was blocked by Trump. Many expected that scenario, which would have been interpreted as a gambit to delay, by dint of national emergency, an election in which he’s badly trailing in credible polls.
Polling is not available on every such twist and turn of the campaign, but decades of studying Israel and a nose to the ground tell me none of this is popular. And there is no question that most Israelis want to end the draft evasion by Haredim. Recent polls put support for that at 85 percent, which essentially means all non-Haredim.
The issue, as I have said before, is easily the most effective axe for the opposition to grind – because the current situation with the Haredim is utterly untenable.
Tens of thousands of Haredi men of military age remain outside the draft system, while soldiers and reservists from other communities carry an increasingly intolerable burden that has ,in many cases, reached hundreds of days a year.
Whether all those registered as yeshiva students genuinely study – a central question for some people – should be beside the point. Why should Torah study confer a privilege unavailable to Israelis studying physics, medicine, engineering or law? Why should one form of education exempt citizens from defending the country while every other form does not?
The consequences of the Haredi parties’ extortion extend far beyond the army. Israel has created an incentive system in which prolonged religious study preserves military exemptions, public subsidies and a way of life often characterized by economic dependence. Many Haredi educational institutions reject the core curriculum essential for participation in a modern workforce, even as the state helps finance them.
This is an extraordinary arrangement for a country whose security depends on its economic strength, and whose economic strength depends on scientific education, technological innovation and a highly skilled workforce.
Demography makes the issue existential. Haredim already account for roughly one-sixth of Israel’s population, and their exceptionally high birth rates – almost seven children per family on average – mean their share will continue to skyrocket. Unless patterns of education, employment and military participation change dramatically, Israel faces the prospect of an ever-smaller proportion of its citizens supporting and defending an ever-larger population.
The danger is compounded by the mobility of the people on whom Israel’s prosperity depends. Engineers, scientists, entrepreneurs and physicians have opportunities elsewhere. If enough conclude that the country’s trajectory has become irreversible, the resulting brain drain could be catastrophic.
Earlier this year, my friend Rabbi Hershel Grossman arranged for me to meet senior rabbis associated with the Mir and Hebron yeshivot. They were gracious and pleasant, but strikingly candid about their opposition to compulsory core education, military service and ordinary employment whenever these conflicted with Torah study. More troubling was their confidence that demographic change would eventually give their community decisive political power.
The necessary alternative is a comprehensive overhaul of the incentives governing Haredi education, military service and employment. Every child should receive a core curriculum. Young adults should perform military or meaningful national service, with appropriate accommodations for religious observance. Public funding should encourage economic participation rather than prolonged dependence.
Opposition parties promise various versions of such plans. None of this will be easy, and it will not be accomplished by dialogue alone. But the alternative is a version of national suicide. There is no question that – alongside accountability for Oct. 7 and the demand for an independent state commission of inquiry – the future of Haredi military service, education and economic participation belongs at the center of this election.
So why would Netanyahu effectively say that studying Torah should entitle an able-bodied young man to exemption from military service?
There are several possible explanations for this – and the rest of the parade of seeming political misjudgments.
One might be a calculated strategy of mobilizing the base through fear and resentment rather than persuading the center. This might be useful in various scenarios involving a messy outcome of the election.
The others might be overpowering hubris, a toxic contempt for the public or the myriad other pathologies that often accompany too long a time in power.
The post Netanyahu’s Torah exemption pledge highlights election stakes appeared first on The Forward.
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Tidbits: A publishing firm for Jewish writers excluded by mainstream publishers
Tidbits is a Forverts feature of easy news briefs in Yiddish that you can listen to or read, or both! If you read the article and don’t know a word, just click on it and the translation appears. Listen to the report here:
אין ניו־יאָרק איז די וואָך געגרינדט געוואָרן אַ פֿאַרלאַג פֿאַר ייִדישע און ישׂראלדיקע שרײַבער וואָס זאָרגן זיך, אַז זייער אָפּשטאַם אָדער מיינונגען קאָנען שטערן צום פּובליקירן זייערע ביכער.
לויט אַ סטאַטיסטיק פֿונעם מחבר מעג קין, איז בײַ די הויפּט־פֿאַרלאַגן, צווישן 2023 און 2024, געפֿאַלן מיט 76% די צאָל בעלעטריסטישע ביכער, וואָס דערמאָנען ייִדן, ייִדישקייט אָדער ישׂראל.
„הײַלײַן פּאָבלישינג סטודיאָ“, וואָס האָט דעביוטיִרט אין ענגלאַנד מיט אַ חודש צוריק, האָט געעפֿנט אַן אַמעריקאַנער צווײַג אין מאַנהעטן בײַ „פּאָרט סאַיִד“, דעם רעסטאָראַן פֿונעם וועלטבאַרימטן קוכער איל שני (עיאַל שאַני).
„הײַלײַן“ איז לאַנצירט געוואָרן דורך ניל בלער, דעם לאַנגיאָריקן ליטעראַרישן אַגענט פֿון דזשיי קיי ראָלינגס — דער שרײַבערין פֿון די האַרי־פּאָטער ביכער.
„איך האָב שוין פֿון לאַנג באַמערקט, אַז אַ צאָל שרײַבער קענען נישט געפֿינען קיין פֿאַרלאַג,“ האָט בלער געזאָגט. „נישט צוליב דער קוואַליטעט פֿון זייער שרײַבן אָדער אַ דוחק פֿון אָריגינעלע געדאַנקען, נאָר ווײַל זייער וועלטבאַנעם שטימט נישט מיטן קוקווינקל פֿון די פֿאַרלאַגן — אָדער אפֿשר ווײַל זייער משפּחה־נאָמען איז אַ ייִדישער אָדער ישׂראלדיקער.“
די פּראָבלעם, זאָגט ער, איז געוואָרן נאָך ערגער נאָך די טעראָריסטישע אַטאַקן פֿונעם זיבעטן אָקטאָבער, האָט בלער געזאָגט. ער האָט למשל דערמאָנט די שוועריקייטן בײַם געפֿינען אַ הויפּטשטראָמיקן בריטישן פֿאַרלאַג פֿאַר אַ בוך פֿון אלי שרבי (עלי שאַראַבי) וועגן זײַנע איבערלעבונגען ווי אַן ערובֿניק אין עזה — נישט געקוקט אויף דעם וואָס אין אַמעריקע האָט מען שוין געהאַט פֿאַרקויפֿט הונדערטער טויזנטער עקזעמפּלאַרן דערפֿון. צום סוף האָט זײַן בוך אַרויסגעגעבן אַ קליינער בריטישער פֿאַרלאַג, „סוויפֿט בוקס“.
„הײַלײַן“ וועט באַשטיין פֿון צוויי אימפּרעזומס: „אָדעסאַ עדישאָנס“ און „אַנטידאָט בוקס“. „אָדעסאַ עדישאָנס“, אָנגעפֿירט פֿונעם רעדאַקטאָר דזשעקי קלײַן, וועט דרוקן ייִדישע און ישׂראלדיקע בעלעטריסטיק און פֿאַקטפּראָזע אויף טעמעס פֿאַרבונדן מיט דער ייִדישער געשיכטע, אַנטיסעמיטיזם, פֿילאָסאָפֿיע, עסן און קולטור.
„אַנטידאָט בוקס“ וועט דרוקן פֿאַקטפּראָזע מיט אַ שייכות צו טעכנאָלאָגיע, עטיק, דעמאָקראַטיע, אידענטיטעט און מאַכט.
קלײַן האָט געזאָגט, אַז מע וועט אויך באַטראַכטן מאַנוסקריפּטן פֿון אַראַביש־ישׂראלדיקע און נישט־ייִדישע שרײַבער, וואָס זייער אַרבעט פֿאַרנעמט זיך מיט דער ייִדישער קולטור, געשיכטע אָדער געדאַנקען.
צו לייענען וועגן דעם אויף ענגליש גיט אַ קוועטש דאָ.
To read about this in English click here.
The post Tidbits: A publishing firm for Jewish writers excluded by mainstream publishers appeared first on The Forward.
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In ‘Fatherland,’ Thomas Mann finds a Germany divided
Speaking at the Library of Congress, just before the end of World War II, Thomas Mann insisted “that there are not two Germanies, a bad and a good one, but only one whose best qualities were perverted by devilish cunning into evil.”
Two years later, in 1947, he would publish Doctor Faustus, a meditation on his homeland’s slide into fascism in the idiom of Germanic legend. Two years after that, accepting the prize named for Goethe, the Faust legend’s greatest chronicler, he would return to Germany, which, by then, had split in two.
Paweł Pawlikowski’s Fatherland, is about the 1949 trip Mann took with his daughter Erika from American-administered Frankfurt to East German Weimar, then in the grips of Soviet control. They glide through bombed-out streetscapes in a black, all-American Buick. During the tour, dignitaries try to win Mann over to one of two ideologies vying to replace the fascist model: that of the free market, or that of Communism.
By the time the film takes place, Mann was an American citizen who had lived outside of Germany for over a decade. He railed against the Nazis and appealed to the conscience of his countrymen in radio broadcasts from exile in California. He had married into a Jewish family, and his anti-Nazi credentials were beyond reproach. But at a press conference in Frankfurt, when an AP reporter asks “where is home,” he responds in English with a German word that English can only approximate.
“I am an American citizen,” Mann, played by Hanns Zischler, answers. “I am also a German writer. Where my heimat is, where I belong, is a much more difficult question.”
His country no longer exists.
Pawlikowski, a Polish director whose silken, black-and-white films excel in painting the surreality of the Iron Curtain, plucked this compelling episode from Colm Tóibín novel of Mann’s life, The Magician. Zeroing in on the 1949 tour, he’s crafted an intimate story of a father and daughter navigating a new political order where one’s allegiance, as summed up by Mann’s son Klaus, is either to “Stalin or Mickey Mouse.”
When Klaus (August Diehl) dies by suicide while Erika and Mann are in the middle of the excursion, and Mann insists on sticking to the itinerary, the Great Man’s faults are blown open: He believes his lecture tour, and the power of words, can improve conditions for a nation, but he had long ago declared his son a lost cause.
Zischler’s performance is at once understated and monumental. His response to Richard Wagner’s glad-handing grandchildren, who want him to put in a good word for reviving his festival in Bayreuth, is a punchy quotable: “The opera should be razed to the ground and your mother should be put on trial.” His mystified look when a Soviet colonel asks him to discuss “Mephistophelian dialectics,” is better than any bon mot.
Hüller is dependably excellent, glowering at the supposedly de-Nazified guests at a banquet and musing to a former war correspondent comrade about “what they were up four years ago.”
Mann’s controversial visit to Weimar is marked by a perfunctory pilgrimage to Goethe’s final home for a photo op. Among the effects are Goethe’s death mask, a blunt-force metaphor following Mann’s speeches, to East and West Germans, extolling how the great poet “rejected the German Romantic death cult.”
When Goethe’s dead, can the winner of his eponymous prize make the rejection last?
History has a verdict. While Mann rejects his own Faustian bargains — the invitation to put in a good word for Wagner or take a job as president of the Arts Academy in East Germany — his fate is teased when Erika sees a catalogue of “Fifth Columnists,” which has his headshot near Einstein and Arthur Miller.
Mann was a victim of McCarthyism, and left his adopted country in 1952 to settle — and die — in the neutral environs of Switzerland.
The film has enough restraint to spare us this epilogue. It ends with a father, a daughter and a sublime expression of grief and untainted German art. (Fitting for Pawlikowski, whose films so often center music, it is a Bach composition that delivers the final beat.)
Mann never did make his homecoming permanent, but on this score, he had a properly self-aggrandizing, if apt credo: “Where I am, there is Germany.”
The post In ‘Fatherland,’ Thomas Mann finds a Germany divided appeared first on The Forward.

