In this beautiful talk by Colin McLarty, McLarty quotes Grothendieck:
It would be nice to have a context where one doesn't add any real axioms to set theory, and yet one can work with categories without too much afterthought and trembling. Take each functor category $C^D$ as another category etc.
and then he remarks:
An advertisement for my work: I can now provide this context. I can provide a context radically weaker than even Zermelo–Fraenkel set theory in which you can do all of SGA4 with no afterthought and trembling and all the functor categories are categories.
Question: What is this context McLarty is referring to? How can such a context be possible without using universes?