Universities Slash Budgets Nationwide - Teresa Lostroh, ABC News

Colleges across the country are facing layoffs, program cuts, tuition hikes and possible campus closings as they brace for major reductions in state funding -- again. The leaders of Penn State University are wondering if they'll have to close some of their branch campuses next year, and more than 400 faculty positions may be on the chopping block. In California, class sizes are swelling while class offerings are shrinking. One community college district in San Diego has cut 90 percent of its summer courses. And in Washington, universities are increasing the enrollment of out-of-state students, who pay about three times as much as in-state students, while considering trimming resident enrollment. Colleges and universities, which can levy revenue through tuition hikes, are a primary target for cuts when states are in a budget bind.