PSU news by
Penn State's student blog

Topics

About

Governor Cuts Penn State’s Funding (Again)

size_of_appropriationGovernor’s Reduction

Governor Ed Rendell released the latest of his increasingly drastic budget reductions for the 2009 fiscal year. The governor has now reduced the budget proposal by $2 billion dollars.

Overall, 229 line items would be impacted by the latest round of spending reductions. Compared to the current fiscal year, the Governor has now cut three out of every four line items, totally eliminating 163 of them and reducing another 328.

One of the details in the most recent revision, which was released on Thursday, is that the public-related institutions will not be receiving federal stimulus money, resulting in a loss of $20 million in expected appropriations.

Penn State’s Catastrophe

University spokeswoman Lisa Powers told the Centre Daily Times that the reduction would be “catastrophic” for the university. If the current cuts came into effect for next year, the state aid Penn State receives would be back down to 1996-levels.

Graham Spanier is understandably upset. He has to present to the Board of Trustees on July 10th. Before then, he has to make some pretty big decisions.

He has told us that he does not want to raise tuition any more than normal– roughly 5%. He has also told the faculty that the university had not and hopefully would not need to enact any mass layoffs.

Here’s what he had told the Board back in January.

We do not anticipate resorting to any of the university-wide emergency actions being taken by scores of colleges and universities throughout the nation such as mid-year tuition increases, hiring freezes, mandatory furloughs, pay cuts, travel freezes, liquidation of endowment assets, and loans to meet basic operating needs.

But he knew this kind of situation would finally come, and he probably could have guessed that it would occur during the annual budget impasse. It was fully underway by November, when the state actually asked for $20 million of its 2008 appropriation to be returned to the government.

Watch this story over the next couple of weeks. Something is going to happen. Veblen speculated wondered if Rendell wants some relinquishment of budgetary oversight by the school to the state, but it seems to me something that massive would get overlooked in the push to get the budget passed to prevent furloughs.

About the Author

Davis

Creator of @OnwardState. Big fan of sweaters.

Comments

More by Davis

Penn State and the Process of Life

To paraphrase Mark Twain: The reports of higher education’s death have been an exaggeration. American universities produce more research and relevant knowledge for the world at large than any other institutions I know of. Tuition may be too damn high, but over the long-run, undergraduate degrees are definitely worth the cost. But Penn State could be so much more. It used to be, I think.

Bonded in Blue, White, and Worry

43 Simmons

Athletics

Incoming Penn State Track & Field Athlete Kristian Marche Shot To Death In Philadelphia

The incident surrounding Marche’s death is “under investigation,” according to the Philadelphia police department.

Former Women’s Gymnastics Coach Files Lawsuit Against Penn State Over Handling Of Abuse Allegations

Men’s Soccer Trio, Reading United Win PDL Eastern Conference Title, Fall Short Of National Championship

Penn State Hockey’s Evan Barratt, Aarne Talvitie Participate In World Junior Summer Showcase

Ally McHugh Wins 400 Medley National Championship

Student Life

Nike Releases New Penn State Sneakers

This year’s sneaker is available to purchase online for $109.99.

Penn State Parking Office Runs Into Student Permit Purchase Issues

Girirajan Lab Seeks To Bridge The Gap Between Fly And Human Genomes

Plans Submitted For New KFC In State College

Developers have submitted preliminary land development plans to build a new KFC restaurant at 1780 S. Atherton St. in State College.

Join Onward State: Fall 2018 Application

Onward State is hiring for the fall semester and we’d love to have you join us.

Fall Move-In Traffic & Construction Changes

When 40,000 students need to move back to State College over the course of four days or so, things are bound to get crazy.

Be the first to know

  • Top posts and the best Penn State stories

Thank you for subscribing.

Something went wrong.

Assessing Penn State’s Front Seven Following Tuesday’s Medical Retirements

Penn State’s defensive line rotation will be shaken up following Ryan Buchholz’s medical retirement from football, while the coaching staff is letting the linebackers duel it out during camp.

Send this to a friend