Sean Clifford, Chris Godwin, and Pat Freiermuth all made an impact for their teams in the playoffs.
Lustig brings over 20 years of coaching experience to Penn State.
The Nittany Lions are shooting 29.9% from three-point land through 17 games.
"We wanted to represent building the program and taking on the characteristic of toughness, both mental and physical resilience."
The hiring comes after the departure of former special teams coordinator Stacy Collins.
Vanderbilt special teams coordinator Justin Lustig is reported to be Franklin's incoming candidate, according to 247Sports' Matt Zenitz.