The committee is undertaking consideration of a 6.5% requested increase in funding for the upcoming budget, a figure they say would enable them to keep student costs down. Tuition has been frozen at its current rate since 2018.

PASSHE Chancellor Dr. Chris Fiorentino says that the current tuition represents an actual reduction in cost due to the 28% inflation of the Consumer Price Index over the same period. He noted that the stable tuition has helped students be better able to plan their finances, yet enrollment numbers continue to drop.

Recent years have seen the consolidation of six of the state universities into two, Commonwealth and PennWest. While no additional consolidation is currently on the table, Fiorentino says the system is working to address internal competition amongst schools that can make individual programs unsupportable.

Allowing individual schools to own areas of expertise and even allowing students to enroll in online courses at other campuses within PASSHE were both floated during the hearing.

The chancellor noted that the best outcomes happen when struggling schools who receive additional funding make hard decisions. He drew from his experience as president at West Chester University, the system’s highest ranking school, in its strategic spending, which he says allows it to be prepared for lean times.

The schools aren’t just grappling with loss of students from the state’s population decline. They’re also seeing lower numbers of high school graduates choosing to enter two- and four-year colleges, leading some senators to question why fewer students would require more funding.

“You’ve got a shrinking customer base. You have a shrinking student base. Taxpayers are being asked to send more money,” said Sen. Kristin Phillips-Hill, R-Jacobus, who acknowledged that it takes time to see the impact of the kind of reforms undertaken in recent years. “People vote with their feet, and we are not seeing that growth in enrollment.”

The chancellor defended the investment, noting that PASSHE graduates 21,000 students annually, 80% of whom go on to take jobs within the commonwealth. After 10 years, 65% remain living and working in the state.

Students from low-income families are opting out of the collegiate path at higher rates than their better resourced counterparts, whose enrollment numbers continue to increase. Despite this disparity, the national conversation around DEI loomed large over budget discussions.

Sen. Jarrett Coleman, R-Allentown, more than once implied that if PASSHE failed to meet the demands of President Donald Trump’s executive orders, the state would be reluctant to compensate for federal funding lost.

He then asked the chancellor if he would be willing to provide lists of all “DEI” staff throughout the system. He referred to the programs as “discriminatory” and said the American people “voted for” Trump’s dictums. 

Democratic senators were quick to point out that DEI programs historically do not deny anyone access to schools. Rather, they expand access to more people, a much welcomed shift after centuries of legislative discrimination against Blacks, women, and other minorities.

Sen. Sharif Street, D-Philadelphia, reminded his colleague that constitutional protections for minorities are aimed at defending against “the tyranny of the majority” and cannot be undone by executive order. He confirmed with the chancellor that programs promoting cultural competency increase institutional appeal to incoming students, thus bolstering both the system and the economic regions in which schools operate.

“At this point we have about 52% of our population with college credentials, and the job market suggests that we need 60%,” said Fiorentino. “And if we’re going to fill that gap, we need to attract additional students from different populations.”

Education Committee Minority Chair Sen. Lindsey Williams, D-Pittsburgh, put it more simply.

“There’s not enough wealthy white men to fill all the jobs in Pennsylvania,” she said.

To that end, committee members followed up with PHEAA President and CEO James Steeley whose organization oversees disbursement of educational grants in addition to supporting financial aid programming across the state.

Among the grants it administers are several intended to draw students to the state, including incentives for student teachers, mental health education programming, out of state learners, and more. Last year, the assembly passed Act 89, known as the Grow PA scholarship program, which will offer scholarships of up to $5,000 for students in high-demand fields.

“We’re going to be working hard over the summer,” said Steeley of efforts to get word out on the program.

As for federal loans, the path forward is less clear. Steeley said PHEAA is awaiting formal guidance at the federal level to advise the state on changes but would continue to work closely with Pennsylvania’s legislators in parsing out the rapidly unfolding series of orders.