INCREASED FUNDING, INCREASED INFLUENCE KOCH UNIVERSITY FUNDING UPDATE MAY 2005 - 2019 1 EXECUTIVE SUMMARY s the epicenter of modern- day lobbying veers farther away from AWashington, D.C. and into our daily lives, college campuses are increasingly subject to the influence of private and corporate influence. There are many culprits we can point to in this arena, but one billionaire donor has distinguished himself for his aggressively coordinated spending and wielding of “… there are basically four ways is over a hundred million dollars political influence through in which [the pro-capitalist more than Koch foundations university grants. businessman] can fight for free spent annually on universities a enterprise – through education, decade ago, at $10.5 million in Charles Koch, CEO of Koch through the media, by legal 2009. Industries, has overseen over challenges, and by political George Mason University (GMU) $458 million in grants to over action… I do maintain, however, in Virginia continues to eclipse 550 universities and higher ed that the educational route is all other schools that Koch adjacent non-profits since 2005. both the most vital and the most funds. GMU, and the two Koch- Unlike other philanthropists neglected... We should [support] controlled political organizations backing higher education, Koch only those programs, departments that are formally affiliated with gives to schools with the explicit or schools that contribute in some GMU, the Mercatus Center goal of creating intellectual way to our individual companies and the Institute for Humane fodder for his network of or to the general welfare of our free Studies (IHS), received a political interest groups, and enterprise system.” recruiting and training students combined $23.4 million in 2019. to integrate into that network. -- Charles Koch, 1974. GMU, Mercatus, and the IHS have received $179 million from Using recently released tax Charles Koch himself admits Charles Koch’s foundations since records, we discovered that in that his funding of hundreds of 2005. This represents about 40% 2019, Koch university funding universities across the country is of Koch’s total $458.4 million in totaled $112,044,071. This is an intended to mainstream free- expenditures at over 500 college increase of $23.9 million from market ideas and approaches to and university campuses and 2018. It’s the second year in public policy that support the programs since 2005. a row that Koch outspent it’s Koch network’s legislative goals previous annual total by over Koch achieves his goals in at the state and federal levels: $20 million. This one-year total education in three ways. UnKochMyCampus - May2021 2 First, by funding campus to privatize various cultural, centers and think tanks that educational and social produce research that endorses/ institutions.) supports the Koch network’s Rather than trusting policy agenda. Second, by credentialed educators to use mainstreaming favorable grants however they see fit, ideas to the general public via Charles Koch exerts control in curriculum and public relations the departments he funds using strategies. And lastly, by carefully-worded contracts, with identifying sympathetic students specific objectives provided by to recruit into the Koch network Koch and frequently including “talent pipeline.” 1 Koch and mandates to tenure-track any his network provide large professors financed by Koch. financial gifts with terms and These controversial contracts conditions attached to the scope --many of which are shrouded of research, curriculum taught, by a lack of transparency-- are and faculty hired to mainstream widely regarded by professors ideas that validate their policy as a threat to academic freedom objectives. 2 and shared governance, As seen by the drastic increase in validating widespread student donations, Koch’s decades-long concerns of undisclosed campaign to build intellectual corporate influence in higher capital for his political machine education. has escalated in recent years. Koch-funded professors Working in partnership with have helped legitimize Koch other millionaire and billionaire Industries’ lobbying efforts political donors, Charles Koch by adding their name—and has taken advantage of schools the institutional credibility of suffering from dried-up state their employer universities— budgets, doling out grants to to Koch’s efforts. One of the universities, some with the most recent examples is George condition that his preferred Washington University’s economics theories are given Regulatory Studies Center, more prominence in the which is a case study in our curriculum. (In a self-reinforcing recent Koch and Climate cycle, Koch’s lobbying army Report. is often the reason that state budgets fall short, opening up the opportunity for Koch 1 Levinthal, Dave. “Koch Brothers Higher Ed Investments Advance Political Goals.” Center for Public Integrity. 10 October 2015. https://publicintegrity.org/2015/10/30/18684/koch-brothers-higher-ed-investments-advance-political-goals 2 UnKoch My Campus. “Violations of Academic Freedom, Faculty Governance, and Academic Integrity: An Analysis of the Charles Koch Foundation.” UnKoch My Campus. Dec, 2018. http://www.unkochmycampus.org/academic-violations UnKochMyCampus - May2021 UnKochMyCampus - May2021 3 KOCH FOUNDATION PAYMENTS TO COLLEGES, UNIVERSITIES, AND HIGHER ED PROGRAMMING, 2005-2019: $458,482,015 KOCH 2019 spending on universities did not THE UNKOCH increase (2009-2010). MY CAMPUS UNIVERSITY CAMPAIGN FUNDING TOTAL: GEORGE MASON $112,044,071 UNIVERSITY This is an increase of $23.9 IS KOCH U nless we increase million from the previous year, George Mason University transparency and put 2018. It’s the second year in a U (GMU), and the two Koch-con- row that Koch outspent it’s pre- policies in place to protect trolled political organizations vious annual total by over $20 the classroom from outside that are formally affiliated with million. ideological control, donor GMU, the Mercatus Center and the Institute for Humane Stud- politics will take precedence This one-year total is over a hun- ies (IHS), received a combined over the education of tuition- dred million dollars more than $23.4 million in 2019. paying students while the Koch foundations spent annually on universities a decade ago, at quality of higher education GMU, Mercatus, and the IHS $10.5 million in 2009. will continue to erode have received $179 million from Charles Koch’s foundations since irreparably. In a nation- In the fifteen year period from 2005. This represents about 40% wide push for transparency, 2005 to 2019, there was only of Koch’s total $458.4 million in students and professors one year where Koch foundation at Koch-funded schools 34 UNIVERSITIES & HIGHER EDUCATION continue to amass evidence ORGANIZATIONS RECEIVED OVER demonstrating Charles Koch’s $1MILLION IN 2019: disregard for academic freedom in the classroom, an arena he considers to be up for sale to the highest bidder. We encourage all those at Koch-funded institutions of higher education to look into how this money is being used and at what cost to your job, education, reputation, and notion of academic freedom. UnKochMyCampus - May2021 4 expenditures at over 500 college University of Central Florida - and university campuses and $18,319 programs since 2005. Orlando, FL GMU received millions of dollars from Koch before 2005 as well, but Koch foundation IRS filings Bridgewater State University - are not available from the 1980’s $11,900 and 1990’s, so a definitive total is Bridgewater, MA not possible to confirm. In 2015, the Center for Public Indiana State University - Integrity dubbed GMU “Koch $12,200 U.” That clearly remains the Terre Haute, IN case. College Unbound - $7,442 NEW RECIPIENTS OF KOCH FUNDS IN College Unbound is a non-prof- it educational institution in 2019: Providence, Rhode Island. College Unbound holds “initial Ten college and university cam- accreditation status by the New puses received their first Koch England Commission of Higher grants in 2019, along with three Education,” and is approved to campuses that were pledged issue degrees to its graduates. money in 2020: Pace University - $4,000 Minerva Institute for Research New York, NY and Scholarship - $1,500,000 San Francisco, CA The Charles Koch Foundation also pledged future payments to The Minerva Institute is a three new universities in 2019: nonprofit university that is indirectly accredited through its • Kent State University (Kent, affiliation with the Keck Grad- OH) - $54,200 pledge uate Institute (KGI). The first • Eastern Oregon University students enrolled in 2014. (La Grande, OR) - $33,000 pledge Miami University - $264,000 • University of Birmingham Oxford, OH (Birmingham, United King- dom) - $32,500 pledge CEVRO Institute - $110,000 Prague, Czech Republic Pledged money is not included in any totals, because it was not Xavier University - $100,000 money spent during the 2019 Cincinnati, OH calendar year. These universities have been added to the database, Fordham University - $40,548 but no payments will be added New York, NY until future disclosure confirms exact dollar amounts paid. UnKochMyCampus - May2021 UnKochMyCampus - May2021 5 Many political organizations financed by Koch compliment direct investments in campus programs. Most of these organizations work on many issues, but several of them are particularly focused on injecting the political preferences of Charles Koch and other prominent donors into higher education. As noted by the Center for Media and Democracy,