UNIVERSITY PARK, Pa. — As Penn State moves toward a more sustainable model to allow it to continue delivering a high-quality education for Pennsylvania residents, Vice President for Commonwealth Campuses and Executive Chancellor Margo DelliCarpini provided an email update Feb. 29 to campus communities. The update apprised faculty and staff across the 19 undergraduate campuses on how budgets will be right set; the formation of new working groups to look at various aspects of future planning; and next steps for evaluating future course offerings that meet student need and demand.
Determining the future needs of each campus requires those campuses to focus on their distinct areas of excellence and find ways to cut or streamline expenses. One way to do this is by adjusting program offerings that may be duplicative, no longer necessary or undersubscribed. This step is currently underway across the University and should help create a more sustainable and effective educational environment.
Known as the Academic Program and Portfolio Review (APPR), under the direction of the provost, the process analyzes the full range of program options at Penn State, allowing leadership and faculty to gather information on how well degree and certificate programs are meeting student needs. The results will allow units, including the Commonwealth Campuses, to coordinate programs across the state, meet student needs, and invest strategically in high-demand areas and programs that are poised for growth.
“If we have courses that don’t attract students, we are not being good financial stewards of our students’ tuition dollars — this is applicable across our full enterprise, here at campuses, University Park or the World Campus,” DelliCarpini said. “The APPR process will help us all determine the right degree portfolio by location and provide the data and rationale for more flexibility in our offerings.”
This type of review is not unique to Penn State, as universities across the country are facing similar financial challenges in terms of stagnant state funding, higher inflationary costs, declining student enrollment, and the rising expense of employee health care benefits.
“There is a clear need for all of Penn State — not just our Commonwealth Campuses — to embrace a more sustainable business model for opportunities that allow our mission of providing an accessible world-class education to remain our focus,” DelliCarpini said. “The challenges we are addressing are undeniably impactful to the Commonwealth Campuses, particularly as we are determining next steps and don’t yet have our full strategy defined. However, we must plan now in a realistic and viable manner if we are to thrive in the future.”
DelliCarpini underscored that the University is focused on careful evaluation, and despite any rumors, no decisions have been made. Also, leadership is not in a place where allocations for FY25-26 have been determined yet for individual campuses.
"Changes need to occur. What might have made sense decades ago may not make sense today,” DelliCarpini said. “For instance, currently 14 of our 19 campuses are part of the University College. These are not independent entities — and we must look at duplication of services in every area, such as the registrar, enrollment management and admissions. It is important that we continue to come back to our top priority: the success of our students — which means we must evaluate our operations to ensure we are responsible stewards of their tuition dollars with every step we take.”
While a $54 million financial shortfall in the central budget for the Commonwealth Campuses must be addressed, DelliCarpini reminded campuses that University leadership has provided $31 million in subvention funds during this budgeting cycle to reduce the financial burden on them. These subvention funds were provided to alleviate what could have been a much bigger financial deficit.
“This is the unavoidable reality of our budget for FY 2025-26,” she said. “It's crucial that we come together to navigate through this, and the sooner we collaborate to find workable solutions, the stronger our position will be.”
The University has provided additional activity-based allocations, reinforcing its commitment to fulfilling campus missions and addressing student needs by creating two new funding opportunities exclusively for the Commonwealth Campuses — the Presidential Public Impact Research Award (PPIRA) program and the Commonwealth Campus Undergraduate Community-Engaged Research Award (UCERA). These programs, now open to campus researchers and students, aim to cultivate innovation that positively impacts a campus community’s well-being.
Moving forward
Along with campus chancellors, DelliCarpini said she and her team are gathering data needed to make preliminary campus-level allocation amounts that she hopes to share later this spring. A feedback form for campuses to provide solutions-based input on potential cost-cutting measures and efficiencies can be found in this Google document.
Working groups
DelliCarpini said campuses are encountering different challenges and all are unique within their own communities — so a one-size fits-all approach would not succeed. Last month, the three groups listed below were formed to analyze various aspects to help strengthen campuses. These groups will share executive summaries across the campuses.
1. Landscape Group
During this initial pre-planning or "landscaping" phase, the University will conduct a comprehensive examination of how similar universities have navigated financial challenges, identifying successful strategies and pitfalls to avoid. The aim is to distill valuable lessons that can be applied and integrated as guiding principles for the core of future endeavors.
Members
- Lead: Marilyn Wells, chancellor, Penn State Brandywine
- Rick Brazier, senior associate dean for faculty and research and interim dean, University College
- Jo Anne Carrick, director, Penn State Shenango
- David Christiansen, chancellor, Penn State York
- Ralph Ford, Penn State Behrend
- Tina Richardson, chancellor, Penn State Lehigh Valley
- Jungwoo Ryoo, chancellor, Penn State DuBois
- Marwan Wafa, chancellor, Penn State Scranton
- Project liaison: Todd Camp, executive director of administrative services, Penn State Harrisburg
2. Future State Visioning Group
This team is generating innovative ideas to sustain and enhance the University’s academic mission by adopting a forward-thinking and creative approach. This group will present findings on potential future states, proposing ways to align services, collaborate with communities and cultivate a resilient future for the Commonwealth Campuses.
Members
- Lead: Ron Darbeau, chancellor, Penn State Altoona
- Andrew August, interim chancellor, Penn State Abington
- Ralph Ford, chancellor, Penn State Behrend
- Patrick Jones, chancellor, Penn State Schuylkill
- Megan Nagel, chancellor and chief academic officer, Penn State Greater Allegheny
- Colin Neill, chancellor, Penn State Great Valley
- Radha Pyati, chancellor, Penn State Berks
- Carlos Rodriguez, associate vice president for Finance and Business Services, Commonwealth Campuses
- Kevin Snider, chancellor, Penn State New Kensington
- Elizabeth Wright, chancellor, Penn State Hazleton
- Project Liaison: Todd Camp, executive director of administrative services, Penn State Harrisburg
3. Policies, Procedures, Curriculum, and Culture Group
This group is working to provide an overview of Penn State policies and practices that may require modification to support the freedom to innovate across campuses.
Members
- Lead: David Callejo Perez, interim chancellor, Penn State Harrisburg
- Francis Achampong, chancellor, Penn State Mont Alto
- Penny Carlson, assistant vice president, Commonwealth Campuses
- Lynda Goldstein, chancellor and chief academic officer, Penn State Wilkes-Barre
- Lisa Marranzini, assistant vice president of administration, Office of the Vice President for Commonwealth Campuses
- Carey McDougall, interim chancellor, Penn State Beaver
- Charles Patrick, chancellor, Penn State Fayette
- Project liaison: Todd Camp, executive director of administrative services, Penn State Harrisburg
Next Steps — Integrated Design Initiative
The University will establish campus community-based working groups to develop integrated design initiatives for the future of Commonwealth Campuses, building upon the frameworks mentioned above. These groups will engage at campus, regional and similar-location levels, to tap into expertise across campuses and engage in outreach and research that will shape a forward-looking plan. There will be broad input from faculty, staff, students and external stakeholders. The OVPCC will be sending a description of the work, timeline and deliverables anticipated from these groups, as well as a nomination form to seek participation from campus stakeholders.
Budgets for the coming fiscal year are already established and any discussed changes by these groups would not be in effect until FY25-26. The Commonwealth Campuses are taking the time required to meticulously assess the higher education landscape in Pennsylvania, along with the broader context of what students and their families require and demand from a Penn State education. The entire University’s efforts and decisions must prioritize students and be pragmatic and thoughtful, recognizing the contributions each campus makes to its community.
“University leaders remain committed to preserving the essential role campuses play within the larger University framework,” DelliCarpini said. “I appreciate the patience and resilience the campuses have shown during this unprecedented period, and I am confident that, together, we can continue to provide an unparalleled experience for our students, faculty, staff and all of those that partner and contribute to our great institution.”