“They would say, ‘You need to be more efficient.’ But they never said, ‘You need to consolidate X number of institutions.’”
Greenstein acknowledged that the consolidation process was difficult and emotional, with faculty, staff, students and alumni deeply attached to their institutions. But he believed that the benefits of consolidation—such as cost savings, increased program offerings and improved student outcomes—outweighed the challenges.
“It’s not that we didn’t have tough choices to make,” he said. “But we were looking at a future where the system was going to be smaller, and we had to decide how we were going to be smaller. We could have done nothing and just let the system wither on the vine. But I didn’t think that was a responsible thing to do.”
The consolidation plan ultimately passed in October 2020, and the newly merged institutions are set to launch in fall 2022. Greenstein believes that the consolidation process was necessary for the survival of the system and that it sets a precedent for other struggling higher education systems facing similar challenges.
“I think, looking back, the biggest challenge was really convincing people that there was a path forward,” he said. “I think we’ve shown that it’s possible to make tough decisions and come out stronger on the other side.”
Legacy and Future
As Greenstein prepares to step down from his role at PASSHE, he leaves behind a system that is on more stable financial footing, with increased state funding, a tuition freeze and a plan for consolidation. But his legacy is not without controversy, with critics arguing that he prioritized financial stability over the needs of students, faculty and communities.
Greenstein, however, remains steadfast in his belief that the changes he implemented were necessary for the long-term sustainability of the system.
“I understand that change is hard and that not everyone will agree with the decisions that were made,” he said. “But I truly believe that we have set PASSHE on a path to a more sustainable future, and I hope that my successor will continue to build on the progress we’ve made.”
As for his own future, Greenstein is unsure of what lies ahead. He plans to take some time off to reflect on his time at PASSHE and to explore new opportunities. But one thing is certain: the lessons he learned during his tenure at PASSHE will stay with him wherever he goes.
“I’ve learned that change is possible, even in the face of seemingly insurmountable challenges,” he said. “And I hope that my experience at PASSHE will inspire others to think creatively and boldly about how we can transform higher education for the better.”
And with that, Dan Greenstein closes one chapter and prepares to write the next, wherever it may lead.
“I’ve never had a conversation with anybody that, ‘You must do X, and we’ll give you Y’—ever,” he said. “I’m also a realist, a pragmatist. The political situation in the state of Pennsylvania was what it was, and is what it is. Do you want to get shit done, or do you want to dream about purity?”
“And just to be clear, it had 100 percent support from Governor [Tom] Wolf, who I believe was a Democrat,” Greenstein added.
The bill to allow consolidation ultimately passed with overwhelming bipartisan approval—201 to 0 in the House and 47 to 3 in the Senate—and was signed into law on July 1, 2020. From there, PASSHE was required to carry out a detailed, transparent and broadly consultative review, planning and implementation process.
After yet another year of hearings and negotiations, the board voted unanimously to approve the plan in July 2021. Clarion, Edinboro and California Universities would be integrated as Penn West University, while Mansfield, Lock Haven and Bloomsburg Universities would be integrated as Commonwealth University.
Andrew Koricich, executive director of the Alliance for Research on Regional Colleges, has been one of the most vocal opponents of the consolidation. As a native of Edinboro, an Amish Country college town of about 5,000 residents, he struggled to support a solution that put the burden on rural-serving institutions when the whole “system has had structural problems for 20 years.” Rural-serving colleges “are not the ones that primarily contributed to PASSHE’s woes,” he said. “If they were trying to fix the institutions that are struggling the most, these weren’t the ones.”
Koricich cited data from an op-ed he wrote for The Daily Yonder, a rural news organization, showing that the six consolidated institutions served a larger percentage of low-income students, had lower total expenses and received less state funding per student than the other eight.
“It is much easier to dismantle rural institutions than nonrural institutions,” he said. But it costs students by leaving them with fewer in-person learning opportunities, he said, and hurts the surrounding economies by shrinking the local tax base.
“Buildings are being torn down, businesses in the towns are closing, and we still do not have enrollment numbers out of the merged campuses that show us that this was a successful action,” Koricich said, adding that he took issue with outsiders like Greenstein coming in and telling locals how to fix the system. “I bristle at somebody who went through all of the most elite bastions of global higher ed and is then taking away opportunity from others, from kids like me.”
The consolidation wasn’t easy for many employees. Kenneth Mash, president of the Association of Pennsylvania State College and University Faculties, said that for faculty members the process felt rushed, “and we’re still suffering the repercussions.”
The most significant impact, he noted, was the shrinkage in staff size. Although a $200 million pledge from Governor Wolf helped ensure a three-year reprieve from additional furloughs and cuts, the system still reduced its faculty head count by more than 800 through attrition and retirement incentives, dropping from 10,356 in 2020–21 to 9,531 in 2022–23.
And though shrinking the staff produced an estimated $207 million in cumulative savings for PASSHE over the course of four fiscal years, Mash said it left the remaining employees under increased stress: “Our faculty at the institutions were quite seriously holding them together with duct tape.”
Schweyer, Koricich, and Mash all had suggestions for what could have been done instead. Proposals included making a better case for increased funding without consolidation, recruiting and better serving adult learners to boost enrollment, and consolidating more suburban institutions that could better bear the change by absorbing the economic loss.
“We do understand the realities of the world. The system was not working,” Mash said. But when faculty members expressed their concerns and their alternate ideas at town hall hearings, he said, “they felt that those were, for the most part, theater. They weren’t being listened to.”
Building Political Trust
Lawmakers, particularly Republicans, generally credit the consolidation—along with a seven-year tuition freeze—for restoring trust in the system and winning support for a historic boost in appropriations from the general assembly. Representative Jesse Topper, minority chair of the House education committee and co-sponsor of Act 50, described Greenstein as a “transformational leader.” He said that although several lawmakers raised concerns about how consolidation would impact the institutions in their districts, they eventually got on board, seeing the move as a necessity.
“The recognition was that we cannot continue to do things the same way and expect different results,” Topper said. He said legislators essentially told Greenstein, “‘If you can demonstrate to us that you can lead this system through this kind of transformational change, we’ll be there with the money to support you.’ And we were,” Topper added.
Not all higher ed institutions in the state got the same treatment. The four state-related institutions—Penn State, the University of Pittsburgh, Temple, and Lincoln—which are quasi-public, meaning they are not owned by the state but do depend partially on state funding, have not seen similar funding increases. For example, even after a long-standing budget freeze finally thawed last December, all except Lincoln, an HBCU, were funded at the same level as 2022. Meanwhile, PASSHE saw an increase of $33 million, or 6 percent.
You reference the seven-year tuition freeze as your greatest accomplishment in office. Can you tell us more about that?
Topper said the disparity is due largely to the fact that the state-related institutions have unique autonomy and prestige as R-1 research universities. But he noted that legislators have not built the same kind of trust with their leaders as they have with Greenstein.
It wasn’t always that way.
“People kicked the ever-loving crap out of Dan during those budget hearings, me being at the very top of the list,” Schweyer said.
At one point, the chancellor told lawmakers at a hearing that if he couldn’t gather enough support to implement the consolidation, he would propose that the system be dissolved altogether. Schweyer subsequently called for Greenstein’s resignation.
Despite these challenges, Greenstein remains optimistic about the future of PASSHE. He believes that the changes implemented during his tenure will set the system on a path toward long-term sustainability and success. As he prepares to pass the torch to his successor, he hopes that the momentum will continue and that the system will thrive in the years to come.
Overall, Greenstein’s legacy is one of bold leadership and transformation. While not without its critics and challenges, his tenure at PASSHE has been marked by significant progress and change. As he moves on to his new role, his impact on the system and higher education in Pennsylvania will continue to be felt for years to come.
As for Greenstein himself, he remains humble about his accomplishments, stating, “I’m just one person in a larger team. I couldn’t have done any of this without the support and dedication of my colleagues and partners across the system. Together, we’ve made a difference, and I’m proud of what we’ve achieved.”
“Nos queda un largo camino por recorrer, pero si estas políticas no estuvieran en marcha, combinadas con una pandemia y el difícil mercado de la educación superior en Pennsylvania, nuestra situación financiera sería significativamente más preocupante,” dijo Kevin Hensil, director de relaciones con los medios de PASSHE.
Greenstein sigue siendo optimista sobre los efectos de gran alcance de los cambios radicales realizados desde que llegó a PASSHE.
“Aún queda un largo camino por recorrer, pero hay esta actitud de ‘sí se puede’,” dijo Greenstein. “Y esto no se trata de mí, ni de la junta directiva, ni de la Legislatura. Se trata de los 10,000 empleados que ponen su hombro a la rueda de manera alineada, tanto como se pueda lograr, y miren lo que podemos hacer.”
(Esta historia ha sido actualizada para reflejar que la disminución de 400,000 estudiantes en California después de la recesión de 2008 fue en todas las instituciones públicas de educación superior del estado, no solo en el sistema de la UC.)