Colleges are confronting a mix of budgetary shocks and shifting federal research policy as a new report finds Chinese research impact nearing U.S. levels. Sector highlights include the University of Chicago halving a projected deficit to about $160 million while federal policy shifts have prompted major institutions to negotiate to regain frozen research dollars—Northwestern agreed to a $75 million settlement to restore roughly $790 million in funding. Separately, a study concluded China’s research influence has risen to near parity with the U.S., feeding policy debates about research security and cross‑border collaboration. Credit‑rating agencies warned that federal changes to research funding raise long‑term financial risks for nonprofit colleges.