The Game Commission had 8 million dollars to bargain with and PSU is always begging the State Government for cash. the purchase price goes to the state anyway, so it is a little like moving the money around from the checking to savings account. (I know, I know, the Game Commission gets no state tax money).
As for who sides with what-- a big part of the Game Commission's business is to hold land that can be used for hunting. Still we anglers as well as hikers and other nature-watchers can enjoy the property. On the other hand, PSU is in the business of educating and researching. Sometimes this involves development and consequent pollution as well.
Nonetheless, every time I'm up that way, I am thankful that PSU has maintained ownership of a certain 1/2 mile or so on Spruce creek, because otherwise I would never get to enjoy that gem.