Good morning, and welcome to Tuesday, March 25. Rick Seltzer wrote today’s Briefing. Julia Piper compiled Comings and Goings. Get in touch: dailybriefing@chronicle.com.
The U word
Uncertainty may have been the Great Recession’s defining term. When markets crashed, businesses often weren’t sure whether they could invest … or where they should. Then, many employers lamented a lack of clarity as President Obama’s massive health-care-reform law was negotiated and suffered a rocky rollout.
Today, uncertainty is back in a big way as the Trump administration seeks to remake the federal government. And unlike past crises such as the Covid-19 pandemic, colleges may be feeling that uncertainty more acutely than those in other sectors of the economy.
Federal uncertainty keeps forcing higher ed to take unusually decisive actions. The University of Southern California on Monday restricted hiring, slowed capital spending, and locked in budget reductions. The University of Arizona has paused work on a biomedical hub, KSAZ reported. And restrictions on graduate-student admissions started mounting last month, as The Chronicle has documented.
- “This feels like the pandemic; this feels familiar,” Anne F. Harris, president of Grinnell College, recently told Bloomberg.
Of course, many colleges were facing tough budget decisions before the Trump administration scrambled long-held planning assumptions, The Chronicle’s David Jesse reports. For example, Washington State University has been budgeting for declining enrollment.
But the list of questions tied to the feds seems to run longer by the day: Will cuts to research funding survive the courts or otherwise become permanent? Are Pell Grants in line for reductions? Will layoffs and restructuring at the U.S. Department of Education disrupt federal financial aid or the Free Application for Federal Student Aid? Could federal cuts to Medicaid funding force states to balance budgets on the backs of colleges?