Editor's note: This story has been updated to include actions and deliberations from the board's Sept. 18 meeting.
UNIVERSITY PARK, Pa. — The Penn State Board of Trustees approved an appropriations request for the 2027-28 fiscal year, a series of real estate transactions, and renovation projects at various campuses, among other items during its meeting on Sept. 18 at the Nittany Lion Inn at University Park campus.
The full board passed proposals for:
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Penn State’s request for fiscal year 2027-28 appropriation for operations: The University will seek an increase of $12.15 million in state appropriations from the commonwealth, as well as $60 million for the State-Related University Performance Fund, to be shared among Penn State, the University of Pittsburgh and Temple University;
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An increase to the current 2023-28 University capital plan: The revised plan calls for a $98.6 million increase to cover projects to update various facilities across Penn State;
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Real estate divestitures at Penn State Shenango and Penn State Wilkes-Barre: The board approved the sale of the Shenango and Wilkes-Barre campuses;
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An agreement with McKinsey & Co.: The board approved a multi-year agreement with McKinsey & Co. The University engaged the firm this past April as it launched an institution-wide assessment to identify opportunities to deliver even greater value for students and the commonwealth, and invest in high-growth, high-impact areas that will further Penn State as a leader among research institutions. The recommendation would engage McKinsey as a partner to University leaders and teams, who will continue in their work to strengthen Penn State. At the upcoming State of State event on Sept. 24, Penn State leaders will reflect on the opportunities and challenges before the University community and look ahead to the next steps in advancing the road map for Penn State’s future.
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An addition to the Animal Diagnostic Laboratory at University Park campus: The $65.3 million project is designed to meet the growing demand for advanced, reliable and timely diagnostic services supporting animal health and food safety for the commonwealth;
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Construction of the Center for Manufacturing Competitiveness at Penn State Behrend: The $19.2 million project will construct a new 31,300-square-foot facility at Penn State Behrend’s Knowledge Park to function as an intrapreneurial sandbox and catalyst for Erie County’s economic, innovation and social development;
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Henderson Building renovations at University Park campus: The $16.6 million project will modernize key student-facing areas, including general purpose classrooms and student services spaces, while improving accessibility, restrooms and building systems;
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Additional funds for the construction of the new Applied Research Laboratory (ARL) at University Park: When the project was originally approved, the facility included a “shell space” for potential research growth. A recent contract was awarded to ARL to fit out part of this space;
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Option to purchase 331 Innovation Blvd. at University Park campus: The board approved the option to acquire the Innovation Park facility, which was formerly used by Penn State Human Resources. The 82,142-square-foot building is being used by the Applied Research Laboratory;
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A real estate divestiture at Penn State Harrisburg: Trustees approved selling approximately 57.5 acres of vacant land located at 93 State Route 230 in Lower Swatara Township for $19.4 million. The property was formerly used as student housing between 1970 and 2002, and the housing structures were demolished in 2002;
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A real estate divestiture at Penn State Behrend: The approved selling approximately 99 acres at East 38th Street and Shannon Road in Harborcreek Township for $1.3 million;
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A series of appointments and elections, including the appointment of non-University employees to the Penn State Investment Council; election of directors of the Corporation for Penn State; appointment of John Lawn as a director to the Penn State Milton S. Hershey Medical Center board of directors; and appointment of John Dugan as a director to the Penn State Health board of directors; and
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Revisions to the Penn State Health bylaws.
On Sept. 17, the Finance and Investment Committee approved a lease agreement with AT&T to update the cellular infrastructure at Beaver Stadium. The AT&T updates will be completed for the start of the 2027 football season. The lease agreement does not require full board approval.
President marks millionth degree, discusses upcoming ‘State of State’ event
During her report to the board, Penn State President Neeli Bendapudi reflected on the University’s recent one-million-degree milestone, recognitions ranging from the mayor of State College and Centre County Commissioners to a proclamation by Gov. Josh Shapiro to acknowledgement on the floor of the House of Representatives by Congressman Glenn Thompson.
Bendapudi also recognized another milestone: 100 years of service from Penn State University Police and Public Safety (UPPS). Since it started with four men and two motorcycles with sidecars, UPPS has grown to more than 150 sworn officers and nearly 100 civilian staff dedicated to protecting, educating and serving the Penn State community.
Bendapudi briefly previewed the upcoming ‘State of State’ virtual event, slated for 9 a.m. on Sept. 24.
“This will offer a moment to reflect on the opportunities and challenges before us and look ahead to the next steps in advancing the road map for Penn State’s future,” she said. “Members of my executive team and I will discuss high-level organizational assessment findings, including areas identified for greater investment that are high growth and high impact, as well as areas where the University has opportunities to better align resources and streamline costs.”
Alumni Association update
The board heard an informational report from Reggie Bustinza, associate vice president for alumni relations and chief executive officer. Bustinza discussed the Alumni Association’s priorities for the coming year, its effortsto engage the University’s over 800,000 alumni and its partnership with the broader institution as Penn State prepares for the public launch of its Penn State Forever fundraising campaign.
ICDS and AI
As part of her president’s report to the board, Bendapudi introduced Guido Cervone, director of the Institute for Computational and Data Science (ICDS), the University’s cross-disciplinary hub for data-intensive research and high-performance computing. Cervone discussed ICDS’s mission and growth, its work in the field of artificial intelligence, and its research across multiple disciplines including the life sciences and medicine, fundamental science, agriculture and climate, and engineering and materials.
Up next
The Board of Trustees’ next scheduled meetings will be held Nov. 12-13 at University Park campus.
Recordings of the meetings are available on the Board of Trustees website