News Summary
The U.S. House Judiciary Committee has subpoenaed Brown University as part of an investigation into alleged price-fixing practices among Ivy League schools. This inquiry is centered on whether these institutions have collaborated to increase tuition rates and manipulate financial aid for profit. Brown, already facing scrutiny from the Trump administration over civil rights compliance, has reportedly lost substantial NIH funding. The university must comply with the subpoena by July 22, while other institutions, including the University of Pennsylvania, are also implicated in the investigation.
Providence, RI – On July 1, the U.S. House Judiciary Committee issued a subpoena to Brown University as part of an ongoing investigation into alleged price-fixing practices among Ivy League institutions. This comes in response to claims that Brown has not fully complied with the committee’s document requests related to the inquiry.
The investigation seeks to determine whether colleges and universities within the Ivy League have systematically increased tuition rates in a coordinated manner, potentially constituting price-fixing. This probe also assesses if selective financial aid packages are being used to maximize profits by manipulating applicants’ financial information for price discrimination purposes.
This recent subpoena adds to the scrutiny Brown University faces from the Trump administration, which is investigating alleged violations of the federal 1964 Civil Rights Act’s Title VI. Furthermore, the university could face substantial cuts of millions of dollars in research grants as a consequence of these investigations. Since April 3, Brown has reportedly lost approximately $45 million in National Institutes of Health funding.
As part of the ongoing scrutiny regarding financial aid practices, the House Judiciary Committee had previously requested documents from Brown and other Ivy League institutions back in April 2022. This was intended to gather information on tuition and financial aid practices. Along with Brown, the University of Pennsylvania was subpoenaed for documents relating to the same investigation.
In the initial responses received from both institutions in April, the committee determined that the information provided was insufficient, leading to the necessity of issuing subpoenas. Although Brown University claims to have submitted over 140 documents since the investigation commenced, the committee deems the submissions non-compliant in terms of completeness.
Bearing the deadline of July 22 to comply with the subpoenas, Brown University, alongside Penn, is under pressure to deliver comprehensive documentation. Meanwhile, Harvard University has a deadline set for July 17.
In addition to the issues surrounding tuition and financial aid, the House Judiciary Committee is contemplating potential legislative reforms based on findings from the ongoing subpoenas. The investigation extends beyond Ivy League schools as other institutions are also facing investigations, including the University of Rhode Island, which is under scrutiny for scholarship programs alleged to violate federal law relating to race and gender qualifications.
In the broader context of federal funding practices, many Ivy League schools, including Brown, are encountering increased scrutiny from the Trump administration, especially concerning the handling of antisemitism on college campuses. In fiscal year 2024, Brown University reported an operating deficit of $41.9 million, prompting the institution to implement financial cutbacks and initiate a hiring freeze.
Brown’s leadership, including President Paxson, is set to announce reductions in spending across various operational areas and has also disclosed plans for salary cuts in response to the financial constraints imposed by the deficit and the loss of funding.
The multifaceted investigation not only raises critical questions about the ethical practices surrounding tuition and financial aid at prestigious institutions but also highlights the ongoing complex relationship between higher education and federal oversight, particularly in this politically charged environment under President Trump’s administration.
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Additional Resources
- CNBC
- Wikipedia: Price Fixing
- Politico
- Google Search: Tuition Price Fixing
- Brown Daily Herald
- Google Scholar: Brown University Subpoena
- Providence Business News
- Encyclopedia Britannica: Tuition
- The College Fix
- Google News: Brown University Subpoenas
- Boston Globe
Author: STAFF HERE PROVIDENCE WRITER
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