Harrisburg – The 14 Pennsylvania State System of Higher Education (PASSHE) Universities will receive a combined $38.7 million in performance funding this year, a tangible reward for showing improvement in key areas related to student achievement, University excellence and operational efficiency.

PASSHE’s Board of Governors established the performance funding program in July 2000. The amount of funding awarded to the Universities has been increased every year, from $2 million in the first year of the program to an amount equivalent to 8 percent of PASSHE’s base appropriation from the Commonwealth this year.

PASSHE was among the first public university systems in the nation to offer performance funding, and the current level of funding is among the highest percentages being provided. Since the program began, virtually all of the Universities have improved their graduation and retention rates; have increased student, faculty and staff diversity; and have improved their operating efficiency.

“Working in tandem with PASSHE’s System Accountability Program, performance funding clearly demonstrates our  commitment to providing students the highest quality education and Pennsylvania taxpayers with the maximum return on their investment in our Universities,” said PASSHE Board of Governors Chairman Kenneth M. Jarin.

In order to receive a share of the program funding, the PASSHE Universities each year must demonstrate an improved level of performance on a series of key “indicators,” including student retention and graduation rates, degrees awarded, instructional cost per student and the percentage of full-time tenured and tenure-track instructional faculty with terminal degrees in their discipline, among others.

The Universities qualified for a share of the funding based on their own improvement on the performance measures, on how well they fared compared to their own set of peer institutions outside of PASSHE on those same measures, and, on their performance in relation to Systemwide goals.

“Since PASSHE began providing performance funding, the Universities have made significant progress in virtually all of the areas measured as part of the System Accountability Plan,” said Chancellor Judy G. Hample. “There is no doubt performance funding has been a major factor in driving our Universities to new levels of academic and operating excellence. Our students have benefited enormously as a result.”

As in past years, the distribution of the funds has been adjusted based on institutional size. The $38.7 million performance funding pool for 2007-08 will be distributed as follows:

Bloomsburg, $2,827,199 ; California, $4,275,500 ; Cheyney, $427,539 ; Clarion, $1,328,847 ; East Stroudsburg, $2,336,458 ; Edinboro, $1,149,822 ; Indiana, $4,031,281 ; Kutztown, $3,404,720 ; Lock Haven, $993,845 ; Mansfield, $1,160,996 ; Millersville, $3,741,605 ; Shippensburg, $3,703,961 ; Slippery Rock, $3,966,281 ; and West Chester, $5,371,246.

With more than 109,000 students, the Pennsylvania State System of Higher Education is the largest provider of higher education in the Commonwealth. The 14 PASSHE universities offer degree and certificate programs in more than 120 areas of study.  Approximately 405,000 PASSHE alumni live and work in Pennsylvania.

The state-owned universities are Bloomsburg, California, Cheyney, Clarion, East Stroudsburg, Edinboro, Indiana, Kutztown, Lock Haven, Mansfield, Millersville, Shippensburg, Slippery Rock, and West Chester Universities of Pennsylvania. PASSHE also operates branch campuses in Clearfield, Freeport, Oil City and Punxsutawney and several regional centers, including the Dixon University Center in Harrisburg.