UNIVERSITY PARK, Pa. — The Penn State Board of Trustees today (Sept. 12) voted 34-1 in favor of adjusting President Neeli Bendapudi’s total compensation in recognition of her leadership in strengthening the University during one of the most challenging times in higher education.
The new contract augments Bendapudi’s annual base salary, performance and retention bonuses and her deferred compensation.
“President Bendapudi has led the University to a balanced budget and more than $560 million through philanthropic commitments, while also continuing to strengthen the Penn State research enterprise and advance Penn State Health — all with a laser-sharp focus on the core academic mission of Penn State,” said Board Chair David Kleppinger. “Overseeing such a vast academic, research, health and athletics enterprise through these changes has been no easy task — particularly with all of the challenges facing higher education as a whole — but her leadership is instrumental in positioning Penn State for future success and growth. With today’s vote, the board recognized her accomplishments and signaled its intent to work with and support her for years to come.”
The presidential performance assessment is one of the central responsibilities annually undertaken by Penn State’s Board of Trustees, and the full board reviewed her evaluation report at their meeting in July.
During that meeting, the president was praised for her progress in transforming the University’s operations.
“As I shared in July, President Bendapudi has brought about a cultural shift bringing greater accountability, transparency and clarity to how our university allocates and manages its resources,” Kleppinger said. “Throughout all of this, she has kept student success at the center of her vision for Penn State, allowing us to continue to strengthen the Penn State experience for all of our students.”
In addition to the annual performance evaluation, the board considers market data from the Big Ten and others in the president’s peer group when it revises the president’s contract, keeping in mind the Penn State is one of the largest and most complex institutions of higher education in the country. Data on the current higher education market assessment as well as presidential compensation trends was provided by Segal, an external consulting firm that provides expertise in executive compensation.