Analysis projects Harvard will net nearly $7 million from latest stimulus, after rejecting previous aid in March
Harvard is reportedly set to receive nearly $7 million in aid from the latest coronavirus stimulus package.
Harvard has not yet commented on whether it plans to accept the latest coronavirus relief, although the vice president for finances has noted that the school faces uncertain economic times.
Months after Harvard University returned its allotment from the first coronavirus stimulus package, the Ivy League school is set to collect nearly $7 million from the latest allotment.
Harvard was allotted $9 million in relief from the 2020 CARES act, which gave nearly $14 billion to higher education. This sparked criticism from multiple members of congress as well as President Donald Trump and former Education Secretary Betsy DeVos.
Ultimately, pressure from Trump and many members of the community pushed Harvard to return the relief funding. This caused both Stanford and Yale Universities to decline the aid as well.
Harvard has not yet said if it plans to accept the aid this time.
The latest stimulus package contains restrictions on universities such as Harvard that paid an endowment tax in 2019, which only allow such schools to receive half of what they would otherwise receive. Another restriction provides that schools with at least 500 students and at least $500,000 in assets per student must use their aid for student emergency and COVID-related expenses.
As of September 2020, Harvard’s endowment was $41.9 billion.
Yale University, Stanford University, and Massachusetts Institute of Technology are also receiving a large amount of aid as a result of the new omnibus package. They will each receive roughly $4.5 million, $5.3 million, and $3.5 million, respectively, according to the American Council on Education simulation.
Vice President for finances Thomas J. Hollister noted the “uncertainty” of the economic climate during a recent interview with The Crimson. The school’s revenue decreased by $138 million in the last fiscal year, according to Harvard’s Annual Financial Report.
“There are three critical factors that we just don't know how they're going to behave. One is the pandemic itself. We all hope that we'll be back to normal, you know on campus in the fall, for example. We also have the uncertainty of the economy and the capital markets,” Hollister said.