WILLIAMSPORT, Pa. — The Penn State Board of Trustees finalized the University’s budget and tuition and housing rates for the 2027-28 fiscal year, among other actions during its meeting July 16-17 at the Pennsylvania College of Technology in Williamsport.
During its session, the board approved:
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The final budget and tuition schedules for 2027-28, which freezes tuition for Pennsylvania undergraduates at the University’s Commonwealth Campuses for a fifth consecutive year. The budget also includes a 3% pool for merit-based salary increases, with individual employee percent increases to be determined by the University’s performance review process.
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Housing and dining rates for the 2027-28 academic year, which includes the lowest aggregate percentage increase in the last nine years for University Park students.
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The annual performance bonus for Penn State President Neeli Bendapudi following her 2025-26 performance review. The board updated the president’s contract in September 2025, including revisions in her annual base salary, performance and retention bonuses, and deferred compensation. At the July 17 meeting, trustees also approved Bendapudi’s 2026-27 performance goals.
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The election of Lee Wagner, associate vice president for budget and finance and controller, as assistant treasurer of the University. Wagner succeeds Kim Fisher in the role.
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The appointment of trustee Robert Beard, chair of the board’s Finance and Investment Committee, to the Penn State Investment Council. Beard replaces former Vice Chair Mary Lee Schneider.
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The election of members of the Nominating Subcommittee.
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Changes to the University’s bylaws.
Chair welcomes new trustees, leaders
During his remarks, board Chair David Kleppinger welcomed two new alumni-elected trustees to their first meeting: Karen Keller and Dr. Joseph DeRenzo, who were elected to the board in May.
Kleppinger also recognized several new leaders who recently joined Penn State, including:
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Menah Pratt, regional chancellor for Penn State’s Hazleton, Scranton and Wilkes-Barre campuses, effective Aug. 1.
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John Nauright, who became dean of the University College on July 1.
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Reggie Bustinza, who was named associate vice president for alumni relations and chief executive officer of the Penn State Alumni Association.
The chair also thanked Ron Darbeau, chancellor and dean of Penn State Altoona, as he concludes his service as chair of the University’s Academic Leadership Council at the end of July.
President discusses challenges, goals
Bendapudi highlighted the Pennsylvania General Assembly’s recent approval of the commonwealth’s first-ever performance-based funding allocation for state-related universities, which will result in more than $4 million in new funding for Penn State — the first increase in state education funding in seven years.
“Performance-based funding is an approach we have advocated for over many years because it aligns closely with our mission: expanding access to higher education, supporting student success, preparing graduates for Pennsylvania’s workforce, and limiting the cost of a college education,” Bendapudi said. “We hope this initial investment marks the beginning of more consistent state support, as sustained funding increases will be essential to advancing excellence while keeping a Penn State education as affordable as possible for students and their families.”
The president also thanked Penn State’s many donors and supporters for more than $662.7 million in new gifts during the 2025-26 fiscal year that ended on June 30. Bendapudi said the new giving surpassed the University’s past record of $563.5 million and reflected commitments from nearly 241,000 alumni, friends, corporations and foundations.
Penn College president showcases education model, student success
In his presentation to the board, Penn College President Michael Reed showcased the college’s unique and successful model of applied technology education.
Penn College is an applied technology college that is an affiliate of Penn State, with 4,700 students enrolled in its various programs. The college offers programs focused on technology-driven hands-on education and workforce development.
“Our mission is to inspire and prepare the next generation with industry-focused, real-world experience and innovative spirit,” Reed said.
Committee discussions
During the board’s July 16 committee meetings, trustees heard reports from Penn State leaders, including:
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An overview of Penn State’s non-STEM research enterprise from Andrew Read, senior vice president for research. Read’s discussion focused on research work conducted in the humanities, and the visual and performing arts.
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An overview of Penn College’s Hudock Center for Academic Excellence and its tiered interventions efforts from Anthony Pace, vice president for enrollment and student success, and Jennifer McLean, dean of students and chief retention officer.
Recordings of the meetings are available on the Board of Trustees website.
Up next
The Board of Trustees’ next scheduled meetings will be held Sept. 17-18 at the University Park campus.