In early 1998, a meeting of Deans from member universities of the State System of Higher Education (SSHE) in Pennsylvania included discussion regarding the development of curriculum specific to Alternative Education. This was in response to the rapid growth in the number of alternative education programs designed to meet the needs of high risk youth. With the support, encouragement and leadership of Mr. Daniel P. Elby (Board of Governors), Dr. Craig Willis (University President), Dr. Roy Stewart (Provost and Vice President for Academic Affairs), Dr. Peter Matthews (former interim Dean for the College of Education and Human Services), and Dr. William Phillips (Dean of the College of Education and Human Services), an initiative to create programs that will better prepare teachers to enter alternative settings was begun.

In February 2000 the Board of Governors approved an undergraduate minor for Lock Haven University students. In 2001, the Center for Rural Pennsylvania approved a Lock Haven University research proposal "A Survey and Analysis of Alternative Education Programs."

Under the Fund for Improvement of Education, the U.S. Department of Education granted 2.25 million dollars for a collaborative project between Keystone Central School District and Lock Haven University of Pennsylvania to develop model programs. This three-year grant project began in July, 2001. Under that grant, the University is developing a Master's Degree Program in Alternative Education. The target date for this online Master's degree approval is the end of Spring 2002 semester. Furthermore, the grant will result in extensive, online Act-48 programming for teachers. The University will develop a comprehensive resource center for alternative education teachers, including virtual library resources, a chat/discussion room for teachers, monthly newsletter information, and a professional organization for alternative education, special education and regular education professionals who have an interest in serving at-risk children and youth.