Prospective students tour Georgetown University’s campus in Washington in 2013.
AP Photo/Jacquelyn MartinTodd L. Ely, University of Colorado DenverWith the Trump administration seeking to cut federal funding for colleges and universities, you might be wondering whether the endowments of these institutions of higher education might be able to fill those gaps. Todd L. Ely, a professor of public administration at the University of Colorado Denver, explains what endowments are and the constraints placed on them.
What’s an endowment?
Endowments are pools of financial investments that belong to a nonprofit. These assets produce a revenue stream, typically from dividends, interest and realized capital gains. The funds endowments hold usually originate as charitable donations made to support an institution’s mission.
In most cases with higher education endowments, this wealth, which helps buoy a nonprofit’s budget, is supposed to last forever.
Contributions to endowments are tax-deductible for donors who itemize their tax returns. Once these funds are invested, they grow generally tax-free. But beginning in 2018, the federal government imposed a 1.4% excise tax on dozens of higher education institutions with relatively large endowments.
Few colleges or universities have a single endowment fund.
That’s because the donors who provide gifts large and small to the school over the years direct their donations to different funds reserved for specific purposes.
Harvard University’s endowment, worth $53.2 billion at the end of its 2024 fiscal year, for example, consists of roughly 14,600 distinct funds.
All told, money distributed from endowments covered more than 15%, on average, of college and university operating expenses in 2024. Some of America’s institutions of higher education, however, lean much more heavily than that on their endowments to pay their bills.
People pose for photos in front of the iconic Tommy Trojan statue on the campus of the University of Southern California in Los Angeles in 2019.AP Photo/Reed Saxon
How do endowments influence higher education?
Endowments can serve multiple purposes.
In 2024, nearly half of all higher education spending paid for with endowment revenue funded scholarships and other kinds of aid for students, while almost 18% supported academic programs. Just under 11% paid for professors’ compensation, and almost 7% helped pay for running and maintaining campus facilities.
More broadly, endowments can help shield schools from financial hardships and maintain their long-term reputations.
When they’re set up to carry on in perpetuity, endowments must benefit both current and future generations. So when donors give to an endowment, they are arguably investing in the long-term viability of the institution.
This long-term focus suggests that endowments aren’t just rainy-day funds or financial reserves.
Why can’t endowment funds be spent freely?
At the end of the 2023 fiscal year, U.S. higher education endowments held a total of more than $907 billion. That is a lot of money, but it’s still less than the combined wealth of America’s five richest people.
Like individual wealth, endowment assets are heavily concentrated in the U.S.
Many colleges and universities have small or no endowments. Nearly 60% of them total less than $50 million. The top 25, which includes several public universities in states such as Michigan and Texas, account for more than half of all endowment assets.
And even when schools have large endowments, the individual funds that compose them are bound by a wide array of restrictions. Some of that money can be spent however the school would like. Other funds are dedicated to a clearly defined purpose.
When endowment funds are restricted, the school gets little discretion in how to spend them.
At Harvard, for example, there’s a Hollis Professorship of Divinity at Harvard University. It was established in 1721 through a gift from a London merchant. Based on the terms of that long-ago donation, the earnings and growth of the donated funds continue to honor the donor’s intent by supporting the position, regardless of what the university needs.
Alternatively, endowments may receive donations that are temporarily restricted. Known as “term” endowments, the assets they hold can be used once donor-imposed conditions are fulfilled.
Institutions frequently designate some of their unrestricted funds as “quasi” endowments, usually earmarked for specific strategic purposes. This board-designated quasi-endowment does not carry legal restrictions and can be spent more freely.
About 40% of higher education endowment assets are subject to permanent restrictions, 30% are temporarily restricted, and 29% are reserved for quasi-endowment use.
People walk past the Ray and Maria Stata Center on the campus of the Massachusetts Institute of Technology in 2019.AP Photo/Steven Senne
How are decisions over endowment funds made?
The decision-making authority over endowments typically rests with a college or university’s governing board. Those boards establish endowment payout policies that guide how much of the endowment and its earnings can be spent each year, while attempting to preserve the purchasing power of the investments over the long term.
The policies take expectations regarding investment earnings and inflation into account, while smoothing annual payouts by using a percentage of the value of the endowment over multiple years as opposed to a single point in time. This payout tends to amount to about 5% of all assets. That share averaged 4.8% in 2024.
U.S. institutions of higher education spent nearly $35.5 billion derived from their endowments in the 2023 fiscal year.
Colleges and universities that depend more heavily on their endowment funds to cover their current obligations may choose to invest more conservatively. In recent years, many higher education endowments have obtained more complex investments, such as private equity, real assets and stakes in hedge funds.
Endowments of nonprofit colleges and universities are also governed in most states by a state law known as the Uniform Prudent Management of Institutional Funds Act. This law encourages cautious investments and restrained spending.
These restrictions mean that annual payouts are generally modest. That leaves endowments ill-equipped to respond to abrupt and large shifts in their funding needs.
The John F. Kennedy School of Government, commonly referred to as Harvard Kennedy School, is a member of The Conversation U.S.Todd L. Ely, Associate Professor of Public Administration; Director, Center for Local Government, University of Colorado Denver
This article is republished from The Conversation under a Creative Commons license. Read the original article.
Currently, getting a yearly COVID-19 vaccine is recommended for everyone ages 6 months and older, regardless of their health risk.
In the video announcing the plan to remove the vaccine from the CDC’s recommended immunization schedule for healthy children and healthy pregnant women, Kennedy spoke alongside National Institutes of Health Director Jay Bhattacharya and FDA Commissioner Marty Makary. The trio cited a lack of evidence to support vaccinating healthy children. They did not explain the reason for the change to the vaccine schedule for pregnant people, who have previously been considered at high-risk for severe COVID-19.
Similarly, in the FDA announcement made a week prior, Makary and the agency’s head of vaccines, Vinay Prasad, said that public health trends now support limiting vaccines to people at high risk of serious illness instead of a universal COVID-19 vaccination strategy.
Was this a controversial decision or a clear consensus?
Many public health experts and professional health care associations have raised concerns about Kennedy’s latest announcement, saying it contradicts studies showing that COVID-19 vaccination benefits pregnant people and children. The American College of Obstetrics and Gynecology, considered the premier professional organization for that medical specialty, reinforced the importance of COVID-19 vaccination during pregnancy, especially to protect infants after birth. Likewise, the American Academy of Pediatrics pointed to the data on hospitalizations of children with COVID-19 during the 2024-to-2025 respiratory virus season as evidence for the importance of vaccination.
Kennedy’s announcement on children and pregnant women comes roughly a month ahead of a planned meeting of the Advisory Committee on Immunization Practices, a panel of vaccine experts that offers guidance to the CDC on vaccine policy. The meeting was set to review guidance for the 2025-to-2026 COVID-19 vaccines. It’s not typical for the CDC to alter its recommendations without input from the committee.
Robert F. Kennedy Jr. has removed COVID-19 vaccines from the vaccine schedule for healthy children and pregnant people.
FDA officials Makary and Prasad also strayed from past established vaccine regulatory processes in announcing the FDA’s new stance on recommendations for healthy people under age 65. Usually, the FDA broadly approves a vaccine based on whether it is safe and effective, and decisions on who should be eligible to receive it are left to the CDC, which bases its decision on the advisory committee’s research-based guidance.
The advisory committee was expected to recommend a risk-based approach for the COVID-19 vaccine, but it was also expected to recommend allowing low-risk people to get annual COVID-19 vaccines if they want to. The CDC’s and FDA’s new policies on the vaccine will likely make it difficult for healthy people to get the vaccine.
Will low-risk people be able to get a COVID-19 shot?
Not automatically. Kennedy’s announcement does not broadly address healthy adults, but under the new FDA framework, healthy adults who wish to receive the fall COVID-19 vaccine will likely face obstacles. Health care providers can administer vaccines “off-label”, but insurance coverage is widely based on FDA recommendations. The new, narrower FDA approval will likely reduce both access to COVID-19 vaccines for the general public and insurance coverage for COVID-19 vaccines.
Under the Affordable Care Act, Medicare, Medicaid and private insurance providers are required to fully cover the cost of any vaccine endorsed by the CDC. Kennedy’s announcement will likely limit insurance coverage for COVID-19 vaccination.
Overall, the move to focus on individual risks and benefits may overlook broader public health benefits. Communities with higher vaccination rates have fewer opportunities to spread the virus.
This is an updated version of an article originally published on May 22, 2025.Libby Richards, Professor of Nursing, Purdue University
This article is republished from The Conversation under a Creative Commons license. Read the original article.
The All-New 2026 Nissan LEAF Is Here — Sleek, Smart, and Ready to Lead
Nissan has officially lifted the curtain on the all-new 2026 LEAF, and it’s not just an update—it’s a total reinvention. The third-generation LEAF blends sleek, aerodynamic styling with SUV-like proportions, signaling a bold departure from the hatchback form that defined the nameplate for over a decade. This refreshed design marks a new chapter for one of the world’s most accessible and best-selling electric vehicles.
With nearly 700,000 global sales under its belt, the LEAF has long been a pioneer in the mass-market EV space. The 2026 model takes that foundation and builds upon it in every direction—design, technology, comfort, and capability. Whether you’re a loyal EV enthusiast or making the switch from a gas-powered car, Nissan’s newest electric offering is designed to meet you where you are and elevate your driving experience.
The all-new LEAF sports clean, sculpted body lines and a wide stance that echoes modern crossover aesthetics. Inside, the cabin is minimal yet inviting, focused on comfort, spaciousness, and wellbeing. A dimming panoramic roof with heat shielding adds a premium touch, while ambient lighting in 64 available colors helps set the perfect mood for any drive.
Performance Meets Practicality
Among the most impressive upgrades is a liquid-cooled lithium-ion battery offering up to 75 kWh of usable capacity—meaning more range, more freedom, and more confidence. Faster charging speeds and the inclusion of the North American Charging Standard (NACS) port with Plug & Charge capability further simplify EV ownership.
Nissan’s all-new 3-in-1 powertrain—a compact, integrated system combining motor, inverter, and reducer—delivers both efficiency and power in a sleek package. It’s an engineering advancement that supports the LEAF’s mission of providing reliable, affordable electric mobility for all.
Tech-Savvy and Feature-Rich
This isn’t just a car—it’s a rolling tech hub. The 2026 LEAF offers dual 14.3-inch displays, wireless Apple CarPlay® and Android Auto™, and Google built-in features like Google Maps. Drivers will enjoy innovative tools like the Invisible Hood View, Front Wide View, and the 3D Intelligent Around View® Monitor—making tight parking and complex driving environments far easier to navigate.
Audiophiles take note: the available Bose® Personal® Plus audio system ensures that your soundtrack is every bit as premium as your ride.
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Built to Impress, Ready for the Road
With details like flush door handles, holographic 3D tail lamps, and available 19-inch wheels, the 2026 LEAF is clearly designed to turn heads. But its mission is practical at heart: making electric driving seamless for everyday users. From its improved range to thoughtful in-cabin tech, Nissan is aiming squarely at the mainstream with this launch.
Assembly for the U.S. and Canadian markets will take place at Nissan’s Tochigi plant in Japan, where the LEAF will be built alongside the Ariya SUV.
The 2026 Nissan LEAF arrives at U.S. dealerships this fall, with availability in other global markets to follow.
Want more 2026 Nissan LEAF details or a feature breakdown?
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The once red-hot U.S. residential solar market is showing signs of cooling off—but don’t count it out just yet. A combination of rising interest rates, regulatory changes, and supply chain challenges have led to a notable dip in installations across the country. But while the short-term trend suggests a slowdown, industry experts remain optimistic about the long-term potential of rooftop solar.
📉 The Numbers Don’t Lie: Installations Are Down
According to the Solar Energy Industries Association (SEIA) and Wood Mackenzie, residential solar installations dropped by 13% year-over-year in Q1 2025, with 1,106 megawatts (MW) installed nationwide. That’s also a 4% decline from the previous quarter. This marks a continuation of the trend that began in 2024, which saw the residential sector contract in 22 states—including a five-year low in California [^1].
Analysts at BloombergNEF predict that total U.S. solar capacity will fall by 7% between 2025 and 2027, with a projected 1% annual decline through 2035 under current policy scenarios [^2].
🧾 What’s Behind the Drop?
1. Higher Interest Rates
The Federal Reserve’s continued efforts to tame inflation have made financing solar systems more expensive for homeowners. The result? Fewer consumers are willing to commit to the upfront investment, even with long-term savings in play [^3].
2. Policy Shifts in Key States
California, long considered the leader in solar adoption, rolled back its Net Energy Metering (NEM) 2.0 program in favor of NEM 3.0, which significantly reduces the value of solar exports back to the grid. Installations in the state fell sharply as a result [^1].
On the federal side, proposed cuts to the 30% Investment Tax Credit (ITC)—a major driver of residential adoption—have caused uncertainty in the market. According to Reuters, solar stocks plummeted following changes in a Senate tax bill that threatened to shrink or eliminate these credits [^4].
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3. Tariffs and Supply Constraints
Tariffs on Chinese and other foreign-made solar panels have led to price increases and reduced availability. Simultaneously, battery storage components are experiencing shortages, further delaying installations and complicating project timelines [^5].
🌤 The Long-Term Picture: A Resilient Future
Despite the headwinds, many in the industry see this as a short-term correction rather than a lasting decline. SEIA projects a return to 9% annual residential growth from 2025 to 2030, particularly if financing conditions improve and federal incentives remain intact [^1].
Additionally, solar panel prices remain historically low, hovering around $2.50–$2.60 per watt installed. That affordability, coupled with increasing demand for home electrification and EV charging solutions, makes rooftop solar an attractive long-term investment [^1].
In a recent industry survey, 78% of solar installers said they expect to sell as much or more in 2025 than they did in 2024 [^3]. And while the market is down in states like California, others—including Texas, Florida, and Arizona—are continuing to grow.
✅ Final Takeaway
Yes, residential solar is currently in a downturn. But it’s more of a recalibration than a collapse. Regulatory turbulence and financial pressures are squeezing the market, but the fundamentals—affordability, environmental benefits, and technological advancement—remain strong.
The future of residential solar will depend heavily on stable policy support, affordable financing, and continued innovation. If those stars align, the industry could see another boom in the latter half of the decade.
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📚 Sources
[^1]: SEIA/Wood Mackenzie. U.S. Solar Market Insight Q1 2025.
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Todd L. Ely, Associate Professor of Public Administration; Director, Center for Local Government, University of Colorado Denver
This article is republished from The Conversation under a Creative Commons license. Read the original article.
