Keep an eye on what Penn State is doing with their budget issues

June 13 – Earlier this year, Penn State University unveiled a buyout program for staff at campuses all over the commonwealth in an effort to reduce expenditures in their budget. 

Some packages included offering 12 months of an employee’s salary as well as health insurance for six months. 

Penn State reported that 383 employees took the deal – that’s 21% of the eligible employees overall and represents a 10% reduction in Penn State staff. 

It’s a $43 million annual savings. 

Attorney Clint Barkdoll pointed out, “But drill down into the Penn State press release yesterday, it’s a little bit hard to find this, but it’s out there. Part of this announcement was Penn State is moving to what they call a regional leadership model. We’re just people talking on the radio, but boy, from afar, it certainly looks like they’re laying groundwork to consolidate operations.” 

Mont Alto, York and Brandywine will now be part of one Chancellor. 

Barkdoll explained, “That’s what they call a regional leadership model. Just a single administration will oversee those three campuses, and they’ve done a similar model all over the state by consolidating these operations. Mont Alto’s new chancellor will be the chancellor from Brandywine. She will oversee all three of those campuses. If you go into the Frequently Asked Questions tab of the press release, it’s on there, do you intend to close any campuses? Penn State says, well, that would be a last resort. That’s down the road. But they don’t say no either. Clearly, there’s some budget issues. They talk about soft and declining enrollment across the system as well. So something we need to keep an eye on, because the Mont Alto campus is very important here locally. So we’ll see what happens with that.”