Schools

PA Ranks Near The Bottom In Higher Education Spending

The amount the state spends on higher education has dropped dramatically since the Great Recession.

PITTSBURGH, PA - Education and high-paying jobs go hand-in-hand. It’s no secret that doctors, lawyers and software engineers take home a lot more dough than fast-food workers, cashiers and cab drivers.

With that in mind, it might surprise you to find out that Pennsylvania ranks near the bottom when it comes to per-student spending on public colleges and universities, according to the financial news and opinion site 24/7 Wall St.

In fact, Pennsylvania spent $4,021 per student during the fiscal year 2017, according to the State Higher Education Executive Officers’ annual report, “State Higher Education Finance: FY 2017.” That’s $3,621 less than the national average of $7,642.

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Here’s the breakdown for Pennsylvania:

  • Total enrollment (FY 2017): 348,838
  • Change in spending over last five years: +2.5 percent
  • Change in spending since Great Recession: -35.4 percent
  • Total number of state colleges and/or universities: 94 (5th most)
  • Tuition revenue per student: $ 11,014
  • Adults who’ve earned at least a bachelor’s degree: 30.8 percent (22nd highest)

Wyoming, Illinois, Alaska, Hawaii and North Carolina invest the most money per student when it comes to higher education.

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  • Wyoming
    • Rank: 1
    • Yearly spending per full-time student on higher education: $18,237
  • Illinois
    • Rank 2
    • Yearly spending per full-time student on higher education: $16,0554
  • Alaska
    • Rank: 3
    • Yearly spending per full-time student on higher education: $13,612
  • Hawaii
    • Rank 4
    • Yearly spending per full-time student on higher education: $13,612
  • North Carolina
    • Rank 5
    • Yearly spending per full-time student on higher education: $10,810

For the first time in American history, more than half of all states in fiscal year 2017 depended on tuition money — rather than government appropriations — to fund higher education, according to the SHEF report. That shift comes even as public colleges and universities overall have seen modest increases in state and local support.

The group says 44 states have not reached pre-recession levels of state and local funding per full-time student. Other key takeaways from the report include:

  1. State financial aid for students at public institutions reached an all-time high (an average of $673 in financial aid per full-time student).
  2. Total educational revenues are at the highest level since 1980.
  3. Full-time enrollment is gradually decreasing, though not significantly.

Despite five consecutive years of increases in public investments, constant dollar state support for higher education per full-time student remained $1,000 lower than pre-Great Recession levels. That number is also $2,000 less than pre-dot-com crash levels.

States are becoming increasingly dependent on tuition revenue to fund colleges and universities — something that could create “significant sustainability challenges” as states try to push more people toward higher education, the group said in a release.

“Although the cost of college has been rising for students and families, so too have the economic benefits of earning a high-quality postsecondary credential or degree,” said Robert E. Anderson, president of SHEEO. “Every higher education finance decision ought to reflect this reality. To respond to the affordability crisis, accurate data and high-quality research are needed. The SHEF report aims to broaden the field’s understanding of the finance landscape to support smart policy decisions at the state and federal level.”

Patch staff writer Dan Hampton contributed to this report.

Image via Shutterstock.

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