October 06, 2011

PASSHE Board of Governors approves 2012-13 appropriations request

Contact: Kevin Hensil, khensil@passhe.edu

Harrisburg – The Board of Governors of the Pennsylvania State System of Higher Education (PASSHE) today approved a 2012-13 state appropriation request of $421.4 million, an increase of 2.1 percent, or about the expected rate of inflation.

The request for an additional $8.6 million next year “reflects not only the recession management procedures adopted by the State System to address today’s challenging economic times, but also the need to preserve academic quality and the ability to continuously respond to the changing needs of our students,” said Board Chair Guido M. Pichini.

“Our university presidents and their leadership teams are focused on finding the right balance in managing expenditures to preserve the core academic programs on our campuses and to invest in the new areas of study requested by our students, whether it be a single class needed to enhance their career development or an advanced degree,” said Chancellor Dr. John C. Cavanaugh.

PASSHE’s 2012-13 proposed budget addresses projected rate increases in employee benefits, primarily for health care and retirement contributions for employees enrolled in the State Employees Retirement System or the Public School Employee Retirement System. Combined benefits costs are expected to increase on average by 8.6 percent. Utility costs are anticipated to rise by about 3 percent.

The proposed budget also reflects the settlement of agreements with the American Federation of State County and Municipal Employees (AFSCME) and the Pennsylvania Doctors’ Alliance. Negotiations are continuing with six other bargaining units, including the Association of Pennsylvania State College and University Faculties (APSCUF), which represents PASSHE faculty and coaches. The wage components of those agreements expired last summer.

The Pennsylvania State System of Higher Education is the largest provider of higher education in the Commonwealth, with nearly 120,000 students. The 14 PASSHE universities offer degree and certificate programs in more than 120 areas of study. About 500,000 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.