Purdue trustees OK legislative request to support alliance, statewide technology

"This budget reflects Purdue's commitment to continue to provide a world-class education and to enhance partnerships and economic growth opportunities around the state," Purdue President France A. Córdova said. "The budget supports our strategic plan to create new synergies that will position Purdue and the state of Indiana as leaders globally."

Purdue and IU are jointly requesting an appropriation from the Indiana General Assembly of $35 million in each year of the 2009-2011 state biennial budget for the Indiana Innovation Alliance. The alliance would bring together Indiana's research universities, biomedical and biotechnology firms, health and life sciences organizations, and state government to help the state leverage opportunities in biosciences. Expected outcomes include:

* An increase in jobs in the bioeconomic sector.

* New health and life sciences solutions, intellectual property and bioscience companies.

* Increased funding for research and development that would, in turn, bring new funds into the state.

* Attraction and retention of academic and commercial researchers, innovators, and entrepreneurs.

* An increased number of health-care professionals statewide.

* Reduction in the health-care spending growth rate by companies and organizations.

Purdue and IU would create the mechanisms to allocate and manage the business research support and matching funds opportunities.

"The alliance will focus on three key strategies," said Victor L. Lechtenberg, vice provost for engagement. "We're asking the General Assembly to allocate $25 million to enhance state-of-the-art core research capabilities for both university and corporate researchers and to allocate matching funds for multidisciplinary research initiatives in bioeconomic areas where Indiana can capture significant gains. The remaining $10 million we're requesting is to expand education and health-care innovations by growing statewide medical and advanced bioengineering programs.

"Our state has an opportunity to take a significant leap and become a world leader in the bio- and life sciences research and industry."

Other requests include:

* Statewide Technology: $976,000 in recurring state funding to implement new bachelor's degree programs at 10 Indiana locations. An additional $951,000 also is requested in one-time support.

* Research support: $10.15 million in fiscal year 2010 at West Lafayette. The Indiana General Assembly has provided this support since 2003 to make state research universities more competitive in receiving sponsored research grants.

* State incentives for in-state enrollment and degrees produced in four years: $4.2 million.

* Fee replacement to pay debt service on bonds for state-financed construction: $1.4 million for fiscal 2010 and $9.8 million for fiscal 2011. This includes construction requested but still subject to approval in the upcoming legislative session.

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. Items covered under this area include inflationary increases to pay costs, such as salaries, medical insurance, supplies and inflationary increases. The commission is expected to provide figures for maintenance price adjustments in its 2009-20011 recommendations.

The commission will forward Purdue's and other state university requests to the General Assembly for consideration in its 2009 session.

The state funds 33 percent of Purdue's $1 billion general fund budget, which finances the systemwide academic mission. The state contributes 17 percent to the entire $2 billion operating budget. Other funding sources include student fees, gifts, grants, contracts and auxiliary enterprises.

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

Sources: France A. Córdova, president@purdue.edu

Victor L. Lechtenberg, (765) 494-9095, vll@purdue.edu

&Morgan R. Olsen, executive vice president and treasurer, (765) 494-9705, mrolsen@purdue.edu

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

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