Key Takeaways
- •Sen. Bill Cassidy (R-LA) promoted the DETERRENT Act to mandate stricter transparency for foreign gifts after witnesses highlighted billions in opaque funding from nations like Qatar and China.
- •Craig Singleton (Senior Fellow, Foundation for Defense of Democracies) warned that U.S. universities reported $400 million in transactions with entities linked to China’s military-civil fusion and export violations.
- •Sen. Jon Husted (R-OH) questioned Robert Daly (Senior Fellow, Asia Society) regarding the lack of espionage convictions, arguing that financial benefits drive universities to ignore national security risks.
- •Republicans prioritized stopping intellectual property theft by foreign adversaries, while Democrats criticized the Trump administration for cutting research funding and creating a "chilling effect" on international talent.
- •Lawmakers are evaluating proposals to lower foreign gift reporting thresholds from $250,000 to $50,000 to provide intelligence agencies with better data on foreign-linked academic partnerships.
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Hearing Analysis
Overview
The Senate Health, Education, Labor, and Pensions (HELP) Committee held a hearing on March 12, 2026, to examine the influence of foreign adversaries on American higher education and the necessity for increased transparency regarding foreign gifts and contracts. Chairman Bill Cassidy (R-LA) opened the hearing by emphasizing that while international collaboration is often fruitful, the U.S. must not be "naive" about efforts by foreign governments to steal research, recruit talent, or foment anti-American ideology. He highlighted that nearly $10 billion in foreign funding was reported last year, yet argued that significant amounts remain undisclosed due to reporting loopholes.
Key Testimony
The committee heard testimony from three witnesses: Dr. Peter Wood, President of the National Association of Scholars (NAS); Craig Singleton, Senior Fellow at the Foundation for Defense of Democracies (FDD); and Robert Daly, Senior Fellow at the Asia Society. Dr. Wood testified that the State of Qatar has provided over $6.6 billion to U.S. universities since 2001, including $2.3 billion to Cornell University alone. He also raised concerns about the Bailiwick of Guernsey, a small island nation that provided $441 million to Yale University, suggesting it may serve as a conduit for opaque funding. Wood warned that while Confucius Institutes have largely closed under that name, they have been "rebranded" and continue to operate as agents of influence for the People's Republic of China (China).
Overview
Craig Singleton focused on the strategic threat posed by China’s military-civil fusion program. He noted that federal data shows China has contributed $6.8 billion to U.S. universities and that roughly $400 million in transactions involved entities on U.S. government watch lists. Singleton advocated for the DETERRENT Act to lower reporting thresholds and increase accountability. Conversely, Robert Daly argued that the cooperation between security agencies and universities over the last decade has been a "success story." He cautioned against a "renewed wave of accusations," noting that there have been no convictions of university personnel for espionage on behalf of China, though there have been cases of research fraud and non-disclosure.
The hearing highlighted several specific policy proposals and legislative efforts. Sen. Cassidy promoted the DETERRENT Act, which aims to close reporting loopholes in Section 117 of the Higher Education Act. Sen. Tommy Tuberville (R-AL) discussed his Student Visa Integrity Act, intended to prioritize American students over those from adversarial nations. Sen. Ashley Moody (R-FL) referenced her proposed Stop CCP Visas Act, which would restrict visas for Chinese nationals as long as Chinese law requires them to cooperate with state intelligence services.
Partisan dynamics were evident throughout the session. Republican members, including Sen. Roger Marshall (R-KS) and Sen. Jim Banks (R-IN), focused on intellectual property theft and the influence of groups like the Chinese Students and Scholars Association (CSSA) and Code Pink, which Sen. Banks alleged has ties to the Chinese Communist Party (CCP). Democrats, led by Ranking Member Andy Kim (D-NJ) and Sen. Patty Murray (D-WA), expressed concerns that aggressive oversight could lead to racial profiling and a "brain drain." Sen. Kim shared his personal experience of being restricted from certain State Department tasks due to his Korean heritage, warning against a "presumption of concern" based on ethnicity. Sen. Edward J. Markey (D-MA) and Sen. Angela D. Alsobrooks (D-MD) criticized the Trump administration for cutting research funding to the National Institutes of Health (NIH) and National Science Foundation (NSF), arguing these cuts undermine U.S. competitiveness more than foreign influence does.
Notable exchanges included a debate between Sen. Jon Husted (R-OH) and Robert Daly regarding espionage. While Daly claimed a lack of campus espionage convictions, Husted cited cases of Chinese students using drones to photograph military bases. Another significant discussion involved the role of the United States Department of Education. Sen. Murray criticized Secretary Linda McMahon for an "illegal scheme" to dismantle the department and shift Section 117 oversight to the United States Department of State, which she argued would complicate compliance for universities.
The hearing identified numerous organizations and entities. The People's Republic of China was the primary focus of security concerns regarding the Thousand Talents Plan and military-civil fusion. The State of Qatar was discussed as the largest foreign donor, with its funding supporting branch campuses for institutions like Texas A&M University, Georgetown University, and Northwestern University. The National Institute of Standards and Technology (NIST) was mentioned by Sen. John W. Hickenlooper (D-CO) regarding the potential expulsion of 500 foreign researchers. The Islamic Republic of Iran and the Russian Federation were also cited as adversarial influences. Private entities like The Boeing Company and Huawei Technologies Co., Ltd. were referenced in the context of foreign deals and technological competition.
The hearing concluded with Chairman Cassidy reiterating the need for federal legislation to ensure that foreign contributions are transparently reported, allowing the public and intelligence agencies to distinguish between benign academic collaboration and malign influence.
Transcript
The Committee on Health, Education, Labor, and Pensions will please come to order. Our country has the best universities in the world, and major breakthroughs in cancer research, artificial intelligence, military technology, biomedical engineering, more happens at our universities. By the way, it's sensitive and sometimes it is classified. As our higher education system leads the world, and again, it's no accident, therefore it becomes a matter of national security. The Department of War invests an average of $10 billion a year ensuring we remain at the forefront of innovation. Ultimately, though, college is about setting students up for success and they should be our priority. But that priority can be undermined when foreign adversaries attempt to exercise influence on college campuses, again, inherently threatening national security. This hearing is about foreign governments and countries' contribution to our university, but just because somebody elsewhere contributes to our university does not mean it is malicious. We cannot prejudge, but we cannot be naive. We have to look at this in a way which we attempt to understand, and if there's a theme in this conversation, it'll be about transparency. And there are many success stories of this aid helping American students and in which and helping people around the world with a collaboration which is fruitful and helping to solve complex problems. So, again, if we look at this poster, there is a lot of aid at play here. Hold it up a little bit higher, please. Almost $9 billion going down to $2 billion. This is from the Department of Education. I take no blame for breaking out England from United Kingdom. [Laughter.] So I think the Scottish say that it's United Kingdom when it's a good Scottish tennis player and it's England when it's an English tennis player, but that's their thing. On the other hand, again, we cannot be naive. And there are times when the money serves allegedly as cover to infiltrate universities to steal research and talent and to foment anti-American ideology. In 2020, the Department of Justice indicted a Harvard University chemistry chair for lying about his affiliation with China's Thousand Talents Plan, a research recruitment program run by the Chinese Communist Party to lure talented Chinese students back to China. In 2024, the House Select Committee on the Chinese Communist Party discovered that China gained access to some of America's highly sensitive military technology through a partnership with Georgia Tech, which by the way was not disclosed. And we have seen foreign influence in other parts of campus life. In the fallout of the October 7th antisemitic attacks, the pro-Hamas National Students for Justice in Palestine caused chaos on over 275 college campuses with chants of death to America and death to Israel. Again, on college campuses, we heard death to America. I just read an interesting essay last night by Jonah Goldberg pointing out that institutions shape individuals. I just met young Marines, 16-year-olds shaped by a Marine-like experience, very positive. But he also points out that if you go to a university and you're mentored by somebody who has certain views, you will be shaped by those certain views. And views of death to America is a threat, particularly at elite universities, is a threat to our country. Now, Iran publicly praised these movements and that could be taken as an influence, as an evidence of their influence, but that's just what we know. Now, there's a difference between American college students having thoughtful dialogue, exploring ideas and beliefs, and becoming sympathizers with radical ideology in which we hear death to America. We have freedom of speech here, but let's not be naive. That's what this theme is. We need to protect college campuses and the way we protect is through transparency. Now, $9.7 billion in foreign gifts and contracts were reported last year, but that only accounts for dollars that have been reported. And there's been zero accountability. You've heard the old adage, follow the money, well that's what we would like to do. Passing the DETERRENT Act is the next step. Let's close reporting loopholes, increase accountability, and provide transparency to Congress, intelligence agencies, and the public. Louisiana, Florida, Indiana, and Alabama have passed similar laws, they work. But as I've said before, this is a national security concern and requires federal legislation. I thank President Trump for taking this threat seriously and protecting institutions, students, and research by streamlining the process to disclose foreign source gifts and contracts, the Department of Education will be better equipped to protect the U.S. from bad actors. Again, we're not prejudging. If somebody's building a medical school in the Middle East, that's a good thing. If somebody's researching better ways to handle water or to explore for minerals, that's a good thing. But if someone's attempting to influence us in a negative way or to steal information from us, that's a bad thing. And we need to know if other countries are trying to steal research or influence our campuses with an anti-American ideology. We need to know when other countries are making financial contributions, again, it may be innocent or not. Students, professors, and our country need to know. With that, we will go to our witnesses. And again, Senator Kim has introduced. So I'll begin by introducing Dr. Peter Wood. He is the president of the National Association of Scholars, a nonprofit that conducts research and advocacy focusing on academic freedom and transparency in higher ed. He previously served as a tenured associate professor of anthropology at Boston University as well as associate provost and chief of staff to the president. He received his bachelor's from Haverford College and doctorate from University of Rochester. Thank you, sir, for being here.
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