January 23, 2026

Monthly updates on Bridge to the Future, 
PSU's plan for financial sustainability

Living with ambiguity is difficult and I want to acknowledge that the entire PSU community is enmeshed in the very challenging processes that make up our Bridge to the Future 2.0, PSU's plan to reduce expenditures by $35 million and close the budget deficit by FY 2027-28.

While the timelines for the plan's components — Operational Excellence, PIVOT, and the Non-Academic Administrative Review — play out, it’s sometimes difficult to see how we will move forward as a stronger university. I shared that comprehensive strategy during the December Faculty Senate meeting (you can read the text of that report on the President’s website). As I shared then, I know that the sheer volume of change we are undergoing is daunting and that it can be difficult to keep our future in focus.

I remain optimistic for the simple reason that we all believe in a brighter future for PSU. Our visions may not be identical, but we are united in wanting the best for our collective destiny and the destiny of the students we serve.

Thank you for all of your hard work and for living with the ambiguity as we move this process forward.

-Ann Cudd, PSU President

The Operational Excellence plan focuses on improving administrative structures to support financial sustainability and better serve faculty, staff, students, and the community, with Finance, Human Resources, and Marketing and Communications chosen as the three focus areas. Objectives include aligning administrative structures, reducing duplication, achieving excellence and compliance, and establishing career pathways for administrative staff.

Update

Following a brief hiatus over the holiday break, the Operational Excellence implementation team has resumed full activity for the new year. Our focus has shifted from high-level design to the tactical preparation required for a successful transition in FY27.

Key Accomplishments & Current Focus:

Next Steps:  A key upcoming priority is finalizing the funding models and organizational structures to ensure a seamless transition into the new operational framework. We are still on track to begin the transition on July 1, with the finance and HR service hubs fully operational by September 1, 2026. Marketing and Communications has begun the process of building a team to implement a centrally-led marketing and communications strategy in collaboration with the entire campus. We will share additional details as we work with each of the divisions to ensure a smooth transition from a fragmented to a more unified strategy.

-Andria Johnson, Vice President of Finance and Administration

PIVOT is Academic Affairs' and Research & Graduate Studies' comprehensive assessment of PSU's academic programs and support operations. Through this process, we are realigning our academic offerings and support structures to be financially sustainable, mission-driven, and responsive to student and workforce needs while contributing to closing PSU's structural deficit.

Update

Track 1: Academic Programs

Since our last update, all academic programs completed self-studies that combined quantitative data with qualitative insights about their contributions and challenges. Academic leaders reviewed these programs using five evidence areas: student success, market demand, financial performance, mission alignment, and organizational viability. The Deans’ Council met in December to collaboratively develop preliminary classifications (grow, sustain, revitalize, or sunset) for each program. 

Deans are sharing preliminary classifications with units and gathering feedback. By Feb. 2, deans will submit updated classifications to the provost after incorporating this feedback. Final classifications will be approved and integrated into budget planning later in February. 

Track 2: Academic Support Units, Centers, and Institutes

Since our last update, academic support units, centers, institutes, and administrative structures have received data dashboards as part of their Unit Vitality Profiles. Units are now preparing self-studies that provide context about their work and contributions.

Self-studies are due Feb. 6. In mid-February, unit leaders, as part of a core review team, will develop preliminary classifications and share them with units for feedback. 

Looking Ahead
The annual Integrated Planning of Enrollment and Budget (IPEB) process will not be used this year, as its components are being addressed through PIVOT. OAA will continue coordinating PIVOT with Operational Excellence efforts and the ongoing reorganization of Academic Affairs, with a focus on minimizing duplicate reporting and aligning changes across initiatives.

- Shelly Chabon, Provost and Vice President for Academic Affairs

This process will identify ways to improve the excellence and efficiency of non-academic functions, classifying them according to potential financial outcomes. We will assess which functions are mission critical, in demand, financially stable, and operationally efficient to guide decisions on restructuring, consolidation or phasing out nonessential operations.

Update

Administrative units in Finance and Administration, the President’s Office Division, and Athletics have completed their self-studies. We recently reached out to their key internal stakeholders to obtain feedback on their mission criticality, innovation, efficiency and accountability, and impacts and outcomes. We will incorporate this feedback into our process for evaluating each unit according to these key evidence domains. PSU reviewers from other units will review each unit, and will share their assessments with the President’s Cabinet. Cabinet members will provide additional feedback and this will be discussed with each unit leader. Action plans for greater financial sustainability will be developed in partnership with the units and shared with the Cabinet for their input. Finally, we will determine the fiscal impact of each action plan and adjust as needed. 

- Sheila Martin, Chief of Staff and Vice President for Public Affairs

Here are the most recent questions received about Bridge to the Future 2.0. Please submit your questions, ideas and feedback to the Financial Sustainability Feedback Form. Questions will be answered monthly in this newsletter and included on the Bridge to the Future 2.0.

Q. How will you engage with staff as these processes play out?

Staff are included in the Bridge to the Future Steering committee which will meet monthly over the next two years. The Non-academic administrative review process has involved staff in drafting the self study. We will also confer with unit leaders and staff as we develop action plans.