Pennsylvania one of 24 states to decrease state funding for higher education

February 10, 2009

Pennsylvania is one of at least 24 states to trim funding for higher education as a way to close a mid-year budget gap, according to a new paper from the Center on Budget Policies and Priorities in Washington, D.C. As a result, large tuition increases are likely for college students in some or most of those states, the Center wrote.

Altogether, 27 states have made mid-year reductions in education funding in some form. At least 18 states have reduced funding for K-12 public education, the paper noted. Pennsylvania has reduced its education budget by less than 1 percent, but has not proposed reductions in formula aid to school districts or special education services.

On December 9, Gov. Ed Rendell announced his plan to close an estimated $1.6 billion current year budget shortfall. It includes 6-percent reductions in the state appropriations to Penn State University ($20.3 million), the University of Pittsburgh ($10.2 million), Temple University ($10.5 million) and Lincoln University ($870,000). The state also froze $4.5 million (6 percent) in funding allotted to several non-state-related universities. Another $22.1 million (4.25 percent) was trimmed from the State System of Higher Education's budget.

Education is the largest component of state budgets. In Pennsylvania, Pre-K-12 education funding is 34 percent of the budget, and higher education funding is 8 percent. Across the nation, about 46 percent of all state general fund expenditures is devoted to elementary, secondary and higher education, according to the Center on Budget Policies and Priorities.

Click here to view the Center's paper on mid-year state budget cuts in education funding. Click here for a line-by-line explanation of budget reductions implemented by Gov. Rendell.