PASSHE Institutions Merging

[iupgroundhog]

Well not quite, Of course it depends on how you count. certainly not in terms of new undergrads (precovid anyway), the percentage decreases aren't near as bad. IUP lost alot of potential students in the grad programs that relied on foreign students, in 2016 it became much more difficult to get student visas. Last year IUP went through significant layoffs/early retirements (i.e. right sizing), which is supposed to fix things for the next 5 years anyway, even expecting some more decline in enrollment. Reserves are getting low, and the main problematic debt is from the dorms which are not producing enough revenue. If that is fixed somehow, then IUP is in good shape.

Larger schools are more able to take enrollment loss, also, since you can still have programs. Some of the big programs, like Nursing are down from their peak, but still have plenty of students using the facilities. For a place like Clarion, losses can put you below the minimum number of students needed to pay the fixed costs of expensive programs. Going from 100 students to 70 is much different than going from 30 to 20.

Yes. Economy of scale matters.

[ironmaniup]

But not new students to attend. Percentage wise IUP has lost nearly as much as Clarion and Edinboro. I'm interested in their debt and reserves numbers.

Well not quite, Of course it depends on how you count. certainly not in terms of new undergrads (precovid anyway), the percentage decreases aren't near as bad. IUP lost alot of potential students in the grad programs that relied on foreign students, in 2016 it became much more difficult to get student visas. Last year IUP went through significant layoffs/early retirements (i.e. right sizing), which is supposed to fix things for the next 5 years anyway, even expecting some more decline in enrollment. Reserves are getting low, and the main problematic debt is from the dorms which are not producing enough revenue. If that is fixed somehow, then IUP is in good shape.

Larger schools are more able to take enrollment loss, also, since you can still have programs. Some of the big programs, like Nursing are down from their peak, but still have plenty of students using the facilities. For a place like Clarion, losses can put you below the minimum number of students needed to pay the fixed costs of expensive programs. Going from 100 students to 70 is much different than going from 30 to 20.

[Fightingscot82]

IUP has alumni that can donate.

But not new students to attend. Percentage wise IUP has lost nearly as much as Clarion and Edinboro. I'm interested in their debt and reserves numbers.

[IUPNation]

Well, not exactly. Here's a secret, though, and that's that IUP is not doing so well. Shhh! Don't tell anybody. PASSHE needs a plan for IUP.

North of I-80 would be Edinboro, Clarion, and Mansfield. Lock Haven was actually moving in the right direction when this all started. And I think that $53 million in reserves could have gone a long way for a 3000 student school. If they would have done the right-sizing for LHU it would have been better off than most of them. LHU didn't have to be a 4k-5k student school. It's fine as a 3k student school. If greenstein would have stuck to the LHU-Mansfield integration it would have been fine and strengthened LHU. Adding Bloom into it when SRU resisted was greenstein's big mistake. There was no reason to do that. He was just moving schools around like chess pieces.

IUP has alumni that can donate.

[iupgroundhog]

https://www.post-gazette.com/news/ed...s/202106250142

Greenstein and the rest of the crew are clearly mismanaging this entire process. The NCAA question is pure BS. The specifics need to be made public. It is inexcusable.

If the BOG makes the wrong decision and approves this folly of a plan that will not be the end of it. I think the resistence is becoming too great and this is not not going to fly.

[iupgroundhog]

Well, not exactly. Here's a secret, though, and that's that IUP is not doing so well. Shhh! Don't tell anybody. PASSHE needs a plan for IUP.

North of I-80 would be Edinboro, Clarion, and Mansfield. Lock Haven was actually moving in the right direction when this all started. And I think that $53 million in reserves could have gone a long way for a 3000 student school. If they would have done the right-sizing for LHU it would have been better off than most of them. LHU didn't have to be a 4k-5k student school. It's fine as a 3k student school. If greenstein would have stuck to the LHU-Mansfield integration it would have been fine and strengthened LHU. Adding Bloom into it when SRU resisted was greenstein's big mistake. There was no reason to do that. He was just moving schools around like chess pieces.

[complaint_hopeful]

https://www.post-gazette.com/news/ed...s/202106250142

[complaint_hopeful]

Edinboro got caught with its pants down. Their sustainability plan involved drawing down their reserves by further reducing enrollment via much higher admission standards and hopefully replacing it with better retention. They were going to thread the needle financially. Then covid blew up everything.

I'd like to see the impact of covid on schools quantified financially. Like I know it costed students. But, also the schools got 2 rounds of stimulus.

It looks like Cal U finished $5.7 million positive.

Are schools that were already failing just using covid as an excused?

Looks like the state will raise funding by about $50 million a year for 4 years. No bailout of housing debt from what I can tell. I wonder what the effects of this will be?

[IUPNation]

Wow. Clarion and Edinboro are in bad shape...which is likely why the Chancellor is rushing the timeframe. Negative 6 million in reserves is terrible.

Yet, they put Clarion's President in charge of the West Triad.

[Fightingscot82]

Wow. Clarion and Edinboro are in bad shape...which is likely why the Chancellor is rushing the timeframe. Negative 6 million in reserves is terrible.

Yet, they put Clarion's President in charge of the West Triad.

Edinboro got caught with its pants down. Their sustainability plan involved drawing down their reserves by further reducing enrollment via much higher admission standards and hopefully replacing it with better retention. They were going to thread the needle financially. Then covid blew up everything.

[complaint_hopeful]

Some good financial numbers in for one.

https://observer-reporter.com/news/l...2a43e88fd.html

Wow. Clarion and Edinboro are in bad shape...which is likely why the Chancellor is rushing the timeframe. Negative 6 million in reserves is terrible.

Yet, they put Clarion's President in charge of the West Triad.

[Fightingscot82]

Cal U Board of Trustees calls for delay in merger vote

https://monvalleyindependent.com/202...n-merger-vote/

Some good financial numbers in for one.

https://observer-reporter.com/news/l...2a43e88fd.html

[complaint_hopeful]

Governor Wolf indicates his intention for $200 million for PASSHE over the next 4 years.

https://www.governor.pa.gov/newsroom...state-history/

[complaint_hopeful]

Cal U Board of Trustees calls for delay in merger vote

https://monvalleyindependent.com/202...n-merger-vote/

[complaint_hopeful]

NCAA still waiting for information to make a decision.
https://liber.post-gazette.com/news/...s/202106250142


https://www.penncapital-star.com/com...her-mcclellan/

'The latest indication that state officials will affirm the process comes from a report that budget negotiators in Harrisburg want to allocate $50 million of the expected budget surplus toward implementation of the plan, which may be up and running by fall 2022.'