When you go to Pennsylvania but you're not happy about it. The implication is that it is like a prison sentence.
I'd rather stay in New York but I have to go to the State Penn this weekend.
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An ice cream store where you go to fail calc one with 250 new friends
"I went to Penn State last weekend!"
"Oh neat--which flavor did you get?"
To sleep in the middle of the day, to be able to party all night.
A: Hey! Did you hear about the party tonight?
B: Yeah, me and my girl are gonna take a Penn state nap to get ready.