Ivy League schools have been criticized for netting millions in taxpayer-funded coronavirus bailouts despite swimming in endowments worth billions.
The country’s most prestigious private universities including Harvard, Princeton and Yale are among the beneficiaries of Washington’s $2trillion rescue package to keep businesses afloat during the epidemic.
Higher education institutions have been apportioned $14billion of the aid provided under the CARES Act to weather the financial hits landed by the lockdown.
Students have been sent home, and while many are taking classes remotely, the schools risk not collecting the totality of tuition fees.
Of the top private schools, Cornell and Columbia will receive the most at $12.8million each.
Cornell, based in Ithaca in upstate New York, has an endowment of $7.3billion, while New York City-based Columbia boasts $10.9billion.
New York City-based Columbia boasts $10.9billion endowment and will receive $12.8million bailout
Cornell, based in Ithaca in upstate New York, has an endowment of $7.3billion and will receive $12.8million
Government aid to Ivy League schools
University of Pennsylvania will receive $9.9billion despite having a $14.7billion endowment.
Harvard, which easily out-guns the other schools with its eye-watering $40.9billion endowment, will also receive $8.6million.
But Texas senator Ted Cruz has blasted the university for taking the money, pointing to its mammoth endowment chest.
The one-time Republican presidential contender tweeted: ‘This is ridiculous. Taxpayer relief funds should go to those in real need.
‘Harvard University has a $41bn endowment—the largest in the world. Put another way, Harvard’s endowment is $13mm per student, or $171mm per faculty member.’
The university insisted it was ring-fencing all of its Senate funding to ‘financial assistance for students to meet their urgent needs in the face of this pandemic’.
Harvard, which is one of the top universities in the world and boasts eight Presidents among its alumni, spelled out how it would spend its bailout.
A spokesman for the Massachusetts-based school said: ‘Financial assistance will be on top of the significant support the University has already provided to students – including assistance with travel, providing direct aid for living expenses to those with need, and supporting students’ transition to online education.’
Texas senator Ted Cruz has blasted the university for taking the money, pointing to its mammoth endowment chest
Harvard, which easily out-guns the other schools with its eye-watering $40.9billion endowment, will also receive $8.6million
Yale, the second largest Ivy Leave school, will receive $6.8million and has an endowment of $30.3billion
University of Pennsylvania will receive $9.9billion despite having a $14.7billion endowment
Yale, the second largest Ivy Leave school, will receive $6.8million and has an endowment of $30.3billion.
Brown university, which has $4.2billion endowment, is being bolstered by $4.8 million.
A bailout of $3.4million is being directed towards Dartmouth College, which has an endowment of $5.7billion.
The smallest bailout for Ivy League schools is being sent to $26billion-endowed Princeton, which will receive $2.4million.
The $2trillion Coronavirus Aid Relief and Economic Security Act (CARES) injected $14billion into the Higher Education Emergency Relief Fund.
Institutions were granted these funds based on a formula which combines the number students receiving federal financial aid and the overall number of students enrolled.
At least half of the funding is mandated to be used as financial grants for students, with the remainder to be put towards compensating university losses.
Joel Malina, Vice President for University Relations, at Cornell, said: ‘Cornell will use 100 per cent of these CARES Act funds to support students, going beyond the federal requirement that half of the funds be put towards emergency financial assistance to our students.
‘We know that many of our students will have increased need as a result of the pandemic.
‘Even as our Ithaca campus faces an anticipated Covid-related budget shortfall of over $100 million for the coming fiscal year, we aim to guarantee that every single one, currently enrolled or newly admitted, has the financial resources to complete their Cornell education.’
MailOnline has contacted each Ivy League school for comment.