The President at Penn state says the University’s operating budget is like a very nice house with some messy rooms. That comment coming as university administrators outlined plans to reduce the sizable budget deficit.
Recently it was revealed Penn State’s operating budget last year was nearly two hundred million dollars. We’re told thats already been reduced, but Penn State President Neeli Bendapudi Wednesday making it clear-more cuts have to be made
“The reality is its a structural deficit.meaning its not a one time deal. we need to figure out an answer”
Bendapudi joining other University Administrators in Town Hall meetings.
So whats Penn State going to do to reduce spending. Enrollment at Commonwealth campuses is down 20 percent in the past five years-will some of them be closed?
“There are no plans to close any of the commonwealth campuses”
Will there be cuts in programming?
“As Neeli just said about the campuses, we have no immediate plans to cut or eliminate any of the programs. we will take a period of time where we ask, are all of these programs the right programs”
How about employee layoffs at Penn State
“We have no plans for mass layoffs. there may be some personnel changes in units based on attribution,or not back filling vacant positions”
Some ask how can the University be in debt when it just wrapped up a $2.2 Billion dollar fundraiser? Much of that money is dedicated for specific uses, 50 percent of it goes to endowments. How about the expected revenue from alcohol sales at Beaver Stadium
“Selling alcohol at the stadium doesn’t effect our budget, athletics is self sustaining”
The University President repeating an often used phrase that we cant cut our way to excellence. Penn State’s administration vowing to have a balanced operating budget by summer of 2025.