State Relations
Appropriations Request
Every two years the Indiana General Assembly must pass a biennial budget. This budget process is a critical component of the university’s financial support in providing excellence in education and research.
IU’s appropriations request includes formula funding awards for increasing degree completion and improving our faculty’s research productivity, and other incentive-based rewards promoted by the Indiana Commission for Higher Education. IU’s capital priorities are the renovation and rehabilitation of existing facilities as well as several new projects aimed at improving academic instruction, research, and student life. These items are designed to preserve quality while continuing our commitment to support the state’s economic development efforts.
Learn more about our Indiana General Assembly Campaign.
2009–2011 State Appropriations Request
April 30, 2009 - Special session will be called by the Governor
At midnight on April 29, the House defeated the Senate version of a proposed 2 year budget for the state thus creating a call by the Governor for a special session. The only legally mandated action that the legislature must take during a biennium budget session is to pass a budget. We are disappointed that a budget could not be passed especially given the strong support for higher education that was demonstrated from legislators on both sides of the aisles.
June 2, 2009 - Governor presents his FY 2009-11 budget proposal to State Budget Committee
After receiving an updated economic forecast for the current year and next biennium that showed a $1.8B decrease in base revenue projections, the Governor presented his budget proposal to the State Budget Committee. In his budget he recommends an overall 4% cut to higher education which means IU's operating funds would be cut by $20M in FY 2010 and another $1M in FY 2011. IU would receive $25.2M in R&R funding for the biennium via Federal Stimulus funds. The only capital projects included in the Governor's proposal were for laboratory renovations at IUB and IUPUI at $10M each. The Indiana Innovation Alliance was not funded except for $3M per year for expansion of the Centers for Medical Education.
The Governor has called the legislature to reconvene on June 11. Leaders in the Statehouse are urging legislators to focus their attention strictly on the budget.
June 10, 2009 - Indiana House Democrats propose "Basic Framework & Guiding Principles" for one year budget
Today the House Democrats presented a general overview of their one year version of HB1001. Higher Education would see an approximate 2% increase, the 1% cut that occurred in December of 2008 would be rescinded, the capital projects that were included in the final Senate version of the budget would be maintained, and the Indiana Innovation Alliance would be fully funded with Part B State Fiscal Stabilization Funds.
June 18, 2009 - House passes budget by vote of 52-48; Senate begins work on their budget next week
June 30, 2009 - Compromise budget passes both chambers before FY ends
Given the state's fiscal condition, the General Assembly worked diligently to support IU and higher education. The final enacted budget demonstrated this in light of national economic pressures that have forced dramatic cutbacks at many public universities.
Below is a synopsis of key provisions in the budget bill:
- Total state operating appropriations for IU’s system were cut by 4.5% in FY 2010 and another 1.5% in FY 2011, although appropriation cuts vary by campus. Most importantly, we were able to convince legislators to permit federal stimulus funds to replace 100% of state operating appropriation cuts. Thus, total funding from state and federal dollars are the same as state appropriations for FY 2009.
- Indiana Innovation Alliance funding totals $10 million per year with $3 million for expansion of IU’s Centers for Medical Education, $2 million for Purdue technology programs and $5 million for core research.
- Repair and rehabilitation (R& R) for IU’s system is funded at $31million, including restoration of nearly $13 million that was cut in FY 2009.
- Capital project authorizations (total amount) included are:
- Northwest Tamarack Hall $33.0 million
- Indianapolis Neurosciences Building Phase II 33.0
- Bloomington Cyber Infrastructure Building Phase II 35.7
- Southeast Education and Technology Building 22.0
- Bloomington Life Sciences Lab Renovations 10.0
- Indianapolis Life Sciences Lab Renovations 10.0
Note: the 2007 passed projects (Neurosciences Phase I and IU South Bend Education Arts Building) both remained authorized.
- SSACI’s Frank O’Bannon and 21st Century Scholars grant programs received a modest increase.
The culmination of the budget session marks over a year of preparation, presentations, testimony, and advocacy. Your Government Relations team extends its sincere appreciation to everyone who supported Indiana University at the Statehouse.
