The discovery of the noose happened after marches, protests, a teach-in and a campus wide anti racism campaign had been launched in 2010.
A series of racially charged incidents at the UC San Diego Campus two years ago have resulted in a federal intervention.
The Departments of Justice and Education stepped in after several incidents in early 2010, such as a KKK-style hood found outside the campus library, and an off-campus party in which students were invited to dress as stereotypes of African-Americans.
On Friday, the departments announced they reached an agreement with the university to overhaul their practices in dealing with complaints like the ones in 2010.
The university volunteered to enter the agreement, which involves increased training and outreach programs. Administrators also established an Office for the Prevention of Harassment and Discrimination to “make UCSD a better place for all,” they said in a statement.
The office will now deal with complaints of discrimination and harassment.
The incidents in 2010 left the mark on both prospective students and students present for the discrimination.
"It still hurts," said UCSD student Ashley Drake, who was a senior in high school when the incidents occurred. "I still cry because those are the people I go to school with today."
Drake said she was in the process of applying to UCSD when authorities found a noose in the library around the same time, and was scared that the school she wanted to attend would be hostile to African-American students like her.
"But I knew that those events were things to deter black students from coming here," she said.
The departments investigated the incidents on the campus and fielded additional complaints of discrimination, the Associated Press reported.
"We will move forward with the terms outlined in the resolution agreement and will continue to work together to achieve our shared goal of an open, welcoming and supportive campus for people from all backgrounds," the school said in a statement.
Following the discriminatory events in February of 2010, students held a series of protests to raise awareness for the issue and underlying problems with the campus' diversity. Less than 2 percent of the campus is African-American, according to the school's website.