The University of North Carolina at Chapel Hill said it will not sign the federal 'Compact for Academic Excellence,' rejecting the administration’s offer that ties preferential funding to changes in admissions, hiring, and enrollment caps. Chancellor Lee Roberts noted the compact contains provisions the university already pursues and others that are impractical or would compromise academic freedom. The decision follows early rejections from multiple selective institutions and raises questions about federal leverage over institutional governance. The compact’s demands—tuition freezes, international‑student caps and curricular oversight—have provoked concerns from faculty and governance bodies about autonomy and First Amendment protections. University boards and counsel should map compact elements against institutional bylaws, prepare formal responses to federal outreach, and coordinate with peer institutions to weigh legal and policy responses while protecting institutional mission and academic freedom.