Harvard University is reportedly close to reaching a $500 million settlement with the Trump administration that would restore access to federal funding and end ongoing investigations, according to a source familiar with the matter quoted by The Associated Press on Wednesday.
The proposed agreement, which remains under negotiation, is expected to be finalized in the coming weeks, the person told AP on condition of anonymity. While key details are still being worked out, both sides have agreed on the financial figure.
Harvard declined to comment on the report.
The New York Times previously reported that Harvard has expressed readiness to pay up to $500 million in order to end the standoff.
US President Donald Trump later indicated that his administration may accept the $500 million settlement from Harvard University.
"Well it's a lot of money," Trump told reporters. "We're negotiating with Harvard now. They would like to settle, so we'll see what happens."
The Trump administration has taken several steps against Harvard University in the wake of its failure to handle growing antisemitism on campus, including a freeze of more than $2 billion in federal research funding.
In addition to the funding cuts, Trump has also advocated for revoking the university's tax-exempt status.
Last month, the Trump administration announced that the Department of Homeland Security (DHS) intends to issue subpoenas for information concerning alleged misconduct by foreign students at Harvard.
Harvard responded with two lawsuits, accusing the government of unlawful retaliation after the university rejected a series of demands it claimed would undermine academic independence.
A $500 million settlement would represent the largest such payment so far, as the administration presses elite universities for financial accountability. Columbia University previously agreed to pay $200 million under similar circumstances, while Brown University reached a $50 million settlement.