In a press release issued January 5, 2012, Governor Corbett called for a budget freeze in reaction to lower than anticipated revenues for the current year. Although not cited in the release, PASSHE is listed in the attached document (PDF) along with a number of other independent agencies and is requested to freeze 5 percent or $20.6 million of the $412.7 million in state funding PASSHE received this year.

In the release the Governor said, “We did not make the decision to freeze these funds lightly. If the revenue picture improves in the months ahead and we determine these funds no longer need to remain frozen, we may be able to free up some or perhaps even all of the funds we are now placing into budgetary reserve.”

Along with the vice presidents, I will be monitoring this situation and developing plans to comply with the Governor's request should it be necessary to reduce our expenditure from our appropriation from the Commonwealth by 5 percent or $2.6 million, IUP's share of the PASSHE appropriation.

David Werner
Interim President