Penn State proposes closing 7 campuses, affecting over 500 employees and thousands of students

Penn State University President Neeli Bendapudi. (Getty Images)

Penn State University President Neeli Bendapudi has proposed the closure of seven commonwealth campuses, a move that could impact over 500 employees and more than 3,100 students.The proposal, revealed in internal records obtained by Spotlight PA, seeks to consolidate Penn State’s presence in Pennsylvania, citing sustained enrollment declines and financial pressures.According to documents reviewed by Spotlight PA, the campuses recommended for closure are DuBois, Fayette, Mont Alto, New Kensington, Shenango, Wilkes-Barre, and York. The university stated that its current statewide model “subsidizes decline,” and that maintaining a four-year campus in every region is no longer sustainable.Why the closures are being proposedThe internal report shared with university trustees explains that the closures could save Penn State approximately $50 million annually and avoid nearly $200 million in maintenance costs. The plan is part of a broader effort to “right-size” the university and focus investments in areas with better prospects for growth.In her letter to the board, President Bendapudi wrote, “Fulfilling our land-grant mission does not require a four-year campus in every corner of Pennsylvania.” Instead, Penn State would expand online offerings and redirect resources to larger campuses with growing student populations, as reported by Spotlight PA.The university emphasized that the decision was not taken lightly and came after reviewing enrollment trends and financial data from the past decade. Despite more than $1 billion invested between 2010 and 2024—$105 million of which occurred under Bendapudi’s leadership—enrollments at the smallest 12 campuses continued to decline, Spotlight PA reported.Campus-specific reasons and demographic challengesEach of the seven campuses faced distinct challenges. For example, DuBois was cited for “sustained and substantial enrollment decline,” linked to aging and shrinking populations in nearby counties. Fayette was deemed “underutilized,” with low demand for in-person education and strong regional competition, according to Spotlight PA.Mont Alto and New Kensington faced enrollment issues and rising per-student costs due to underused housing. Shenango’s local economic challenges were said to “fundamentally limit the potential for future enrollment stabilization.” Wilkes-Barre lacked compelling academic programs that could not be replicated elsewhere, and York had no housing options to attract non-commuter students, as detailed in the internal records reviewed by Spotlight PA.Impact on students and employeesThe proposed closures would affect around 520 full-time employees. While some staff may be rehired at other campuses, severance costs are expected to be the largest expense, though no estimate was provided, according to Spotlight PA. Affected students would be offered financial aid, gas cards, and “navigation coaches” to help with the transition.In fall 2024, the seven campuses collectively enrolled over 3,100 students—3.6% of Penn State’s total enrollment. The university believes other campuses can absorb these students without adding staff.Decision pending trustee voteWhile board Chair David Kleppinger expressed frustration over the leak of the proposal before trustees could discuss it, he also emphasized that the board must make a thoughtful decision. Trustees were scheduled to vote on the plan on May 6, but the vote was delayed amid growing concerns and questions from board members, as reported by Spotlight PA.Trustees will now meet privately on Thursday to continue deliberations. Although some board members have voiced opposition publicly, past voting patterns suggest most measures pass with little dissent, Spotlight PA noted.Penn State will stop accepting new applications for the affected campuses after fall 2025.