The University of California (UC) system is currently in talks with state lawmakers over potentially losing billions in federal funding amidst ongoing tensions with the Trump administration.

James Miliken, the President of UC, reached out in a letter to senators and congressional members, expressing concerns that the system’s strict measures against universities allegedly breaching civil rights laws could jeopardize the $17 billion in annual federal funding. While the university investigates claims of federal racism, several institutions within the system face scrutiny for handling anti-Semitism on their campuses.

Miliken stated, “The significant loss of federal funds would devastate our universities. UC’s actions are detrimental to students, patients, and all Californians. Resources for students have dwindled, healthcare access has become restricted, and countless jobs are at stake. It’s tough to fathom the long-term impact this could have.”

In August, Miliken met with state legislators to discuss the repercussions of federal government actions. Several representatives joined forces with Governor Gavin Newsom to safeguard the university system from proposed funding cuts, which could further worsen the university’s anticipated financial deficit.

“The university is facing immense challenges, and we need resolve. We must ensure our partnership with state leaders so that UC continues providing services that Californians have depended on for generations,” his letter emphasized. “If we lose federal funding, we need to minimize the damages, which could be upwards of $4 to $5 billion annually. This is crucial for the people of California.”

The Trump administration has already halted $584 million in federal funds from UCLA due to alleged racial discrimination in admissions and insufficient action against anti-Semitism. Reports indicate that a billion-dollar settlement was proposed by the administration, with UCLA asserting that such a loss would be “absolutely devastating.”