TERRE HAUTE —
Indiana State University’s state operating appropriation would be reduced by about 2.5 percent, or $1.7 million, in the next biennium, under Commission for Higher Education recommendations.
The recommendations are based on performance measures that look at such factors as degree attainment and credit hour completion, rather than enrollment.
ISU’s current state appropriation is $71.5 million, and that would drop to $69.8 million for 2012 and 2013, under the proposal.
The Commission made its recommendations Friday during a meeting in Indianapolis, and those recommendations will be presented to the State Budget Committee next week.
The legislature makes final decisions related to funding.
The Commission recommended a 6.1 percent across-the-board cut in operating budgets for all public institutions, with most of that — or 5 percent — used to fund a Performance Funding Formula.
The 5 percent represents $61.4 million in cuts to higher education operating budgets. That money is then given back to the institutions based on meeting performance targets.
Of the $61.4 million, ISU is recommended to receive 4.3 percent, or $2.6 million, each year.
Ball State would receive less than 1 percent; Indiana University, 22.6 percent; Purdue, 29.2 percent; Ivy Tech Community College, 31.8 percent; Vincennes University, 4.2 percent; and University of Southern Indiana, 7.6 percent.
For ISU, the recommendation also includes $1.5 million for repair/rehabilitation of facilities in 2012 and $1.9 million for 2013.
That’s an improvement, because this year, ISU received no appropriation for repair/rehabilitation.
ISU President Dan Bradley said the total dollars are about the same. While there is less money recommended for the base operating budget, there is more for repair/rehabilitation.
“It’s within the ballpark of what we thought we could handle without [requiring] any real draconian-type measures” over the next two years, he said.
This past year, ISU had to make significant budget cuts that included elimination of more than 100 positions.
Those types of significant cuts would not be necessary, based on the Commission’s recommendations, he said.
ISU didn’t fare as well as some of the other institutions under the new performance-based funding formula. The university hopes that within a few years, it will be a “major winner” under the new system, he said. “We’re not quite there yet.”
Diann McKee, ISU vice president for business affairs, said the Commission “has identified performance funding measures as a priority.”
It’s consistent with what they’ve done in prior years and it did not come as a surprise, she said.
She emphasized that the Commission made recommendations and that it’s early in the process. “A lot will depend on state revenue forecasts next week,” she said.
After the major budget cuts earlier this year, ISU is positioned “fairly well” to deal with the operating cuts recommended for the next biennium, she said.
In January, the university will begin looking at ways to save money and find efficiencies in future budget years, she said.
The Commission’s recommendations for repair/rehabilitation dollars is significant, she said.
“That is something we haven’t had for the last several years,” she said. The funding is important in providing necessary maintenance of facilities.
Sue Loughlin can be reached at (812) 231-4235 or sue.loughlin@tribstar.com.
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