Wait, so your university owns copyright on all your work by default?! That's a bummer if true. Outrageous, actually.
It's not entirely unreasonable - imagine someone in Biochemistry developing some drug using University labs etc. and then turning around and selling the formula to a private lab.
But it's the petty bureaucratisation which is infuriating. (And usually the people making the decisions aren't practically qualified.)
I have a friend who went to Utah for his bachelor's in CS.
To elaborate, even if GP developed code as part of a GPL project, the copyright owner could prevent him/her from distributing that code to anyone else, whether that distribution occurs under the GPL or any other license.
And yes, it's outrageous.