While the same dilemma exists in Protestant denominations and their universities the Catholic size makes for the most interesting study. Religion is based on myth. Universities exist to expose myths.
When universities which were started by Christian denominations grow and want to compete with secular ones for grants, students and faculty they need to treat myths as, well, myths. They cannot afford a physics department that teaches things fall because God is pushing them down.
When homosexuality was finally determined not to be the choice of individuals major Christian-based universities could no longer teach it is a sin. I would guess every major Christian based university has a university funded LGBT club and teaches in appropriate departments it is a human characteristic not unlike many others. I would guess spousal benefits apply to gay spouses almost universally.
Along came another really sticky wicket, birth control and abortions. Recently, the University of Notre Dame ended contraception coverage for its female employees and students. Very quickly it reversed this decision and made it available again. In explaining the reversal, Notre Dame said it had failed to take into account the broad diversity of views on this and that a large percentage of its students and staff were not Catholic. It did not mention that almost all Catholics themselves practice “artificial” contraception and that contraception medicines are needed to prevent some illnesses unrelated to pregnancy.
Our society can tolerate a lot of religion. Christian universities have found it hurts them and they keep it in its box.
Happy Thanksgiving to all readers of this blog.