June 20, 2008

Trustees approve outline for 2009-11 state budget request

Operating appropriations are requested to increase by $14.30 million, or 3.9 percent, in fiscal year 2010 and $350,000, or 0.1 percent, for fiscal year 2011. These increases exclude inflationary costs on current services.

Final budget numbers will be submitted to the Commission for Higher Education by its Aug. 1 due date, and trustees will review and approve the detailed budget request at their September meeting.

"Purdue's budget plan reflects our commitment to provide the best education possible to our students and initiatives to enhance our research opportunities for students and faculty and to continue as a key partner in the state's economic development," university President France A. Córdova said.

The West Lafayette campus is requesting $9.46 million in fiscal year 2010 for research support adjustments, which were first appropriated by the Indiana General Assembly in 2003 and are meant to make state research universities more even competitive with other institutions in receiving sponsored research grants.

Each Purdue regional campus is requesting funding for growth in Hoosier resident student enrollments, called base adjustments, based on $3,500 for each additional full-time equivalent student. The Calumet campus would receive $355,000, Indiana University-Purdue University Fort Wayne's increase would be $1.37 million and North Central's would be $695,000. The West Lafayette campus is considered a "mature" campus in terms of enrollment and, as such, isn't eligible for additional funding for increased student enrollment.

Another base adjustment provides incremental funding for changes in degrees conferred. Degree change is an incentive from the state for the number of students from Indiana receiving a Purdue degree. The state funding provides $4,000 per student for the increase in degrees conferred. Purdue is requesting $1.14 million in degree conferral funding for fiscal year 2010, which includes $60,000 for its Calumet campus, $605,000 for IPFW and $475,000 for North Central.

An adjustment for "on-time" degrees - an incentive for graduating students in four years - is funded at $5,000 per student. Purdue's request is for $655,000 total: $415,000 at West Lafayette, $70,000 at Calumet, $40,000 at IFFW and $130,000 at North Central.

The state also provides funding for the annual debt service on bonds issued to build academic and research facilities.

In debt service funding, Purdue is requesting $638,582 for the West Lafayette campus, $78,034 for Calumet, $643,210 for IPFW and $33,335 for North Central in fiscal year 2010. In fiscal year 2011, Purdue is requesting $5,075,580 for West Lafayette, $2,218,065 for Calumet, $487,477 for IPFW and $1,983,200 for North Central.

Purdue also is requesting state funding to provide additional faculty positions, infrastructure and student support services in the expanded statewide technology program. The program, driven largely by employer input, is in transition from providing only associate degrees to offering bachelor's degrees at 10 locations throughout Indiana.

"The addition of the College of Technology's bachelor degree program statewide will play a significant role in assisting Indiana economic development," Córdova said. "It is a unique program that will enhance the quality of the work force needed for today's high-tech world."

A recurring additional allocation of $630,000 for fiscal year 2010 and $350,000 for 2011 is requested for the statewide technology programs. Purdue also is requesting a one-time allocation of $676,000 for 2010 and $275,000 in 2011 for equipment and networks to support the statewide technology program.

The Indiana Commission for Higher Education and the state's budget agency have asked that no maintenance and price increases be included in the budget request. These increases include inflationary cost funding such line items as salaries, medical insurance, supplies and inflationary increases. The commission will provide a recommendation for these costs this fall. Therefore, Purdue's needs for the increased costs of doing business at the current level are not reflected in the conceptual budget request approved by the trustees.

In a separate action, trustees also approved a request for a recommended biennial operating budget for the Animal Disease Diagnostic Laboratory. The approved request includes additional funding to restore staffing levels. The $287,000 restoration funding request will be transmitted to the Indiana State Board of Animal Health, and the board will submit the official request to the State Budget Agency for consideration by the 2009 General Assembly.

The Animal Disease Diagnostic Laboratory diagnoses diseases in livestock, poultry, companion animals and wildlife. It also performs tests required by the U.S. Department of Agriculture, the Indiana Board of Health and for countries receiving exported animals or animal products.

In addition to the legislative requests, Purdue and Indiana universities are partnering to administer a life sciences initiative called the Indiana Innovation Alliance. The alliance is meant to grow the state's bioscience economy and increase the competitiveness of Indiana companies by reducing or containing growth in health-care costs.

Writer: Jim Bush, (765) 494-2077, jsbush@purdue.edu

Source: Morgan Olsen, (765) 494-9705, mrolsen@purdue.edu

Purdue News Service: (765) 494-2096; purduenews@purdue.edu

To the News Service home page