Higher‑education finance officers and presidents are adjusting to a second year of policy-driven uncertainty, and several leaders warn the sector faces severe consolidation. Analysts and college presidents say budget interruptions, research funding threats, and federal policy moves during the past year have forced institutions to implement hiring freezes, program cuts and contingency planning. Brandeis University’s new president estimated that 20–25% of U.S. colleges could close in the coming years. A sector analysis shows elite research institutions and tuition-dependent small colleges remain most exposed. Administrators say sudden grant cancellations, changes to indirect-cost negotiations and new federal reporting requirements have created cashflow and planning challenges that boards must address now. Some institutions are exploring mergers, program consolidations, or campus sales as survival strategies. Financial officers caution that even if Congress restores topline spending, the lag in grant awards, litigation, and reputational risk means many colleges will still face multi‑year revenue shortfalls. Trustees and presidents are reportedly accelerating multiyear fiscal scenario planning in response.