IU Indianapolis is working on a resource allocation model that fosters fiscal accountability while achieving the goals described in IU’s strategic plan, IU 2030. To this end, IU Indianapolis has created a Budget Redesign Committee (BRC) that includes representation from faculty, fiscal officers from colleges, IU Indianapolis’s faculty council, deans and vice chancellors.
A set of guiding principles were developed for this project by the budget redesign committee and deans and was subsequently approved by the Chancellor. The guiding principles are:
- Foster a culture that supports the collective success of IU Indianapolis and Indiana University.
- Support the IU Indianapolis 2030 pillars of Student Success and Opportunity, Transformative Research and Creativity, and Service to Our State and Beyond through a resource allocation model that ensures funding for mission-critical operations, and strategic priorities for IU Indianapolis.
- Develop and communicate a data informed allocation process that promotes accountability. Develop a model that is easy to understand, explain, and maintain.
- Incentivize collaboration across RCs, and the creation of new revenue streams aligned with the mission of the institution.
- Continue practices that reward stewardship for strategic use of resources including support for long-range planning.
Our goal is to ensure that we have a simple, transparent and predictable model so units can plan accordingly.
Campus leadership is currently in discussions with deans regarding the proposed changes and timing of implementation with a plan of a parallel process to eliminate unanticipated outcomes. Visit the Process & Timeline page for details on IU Indianapolis’s implementation of its updated budget model.
Fiscal officers and leadership at IU Bloomington and IU Indianapolis are in discussions to identify approaches that can ensure a level of consistency in the allocation of revenues, expenses and incentives.
A summary of our current discussions is described below:
Revenue Sharing, Expenses, and Incentives
To date we have discussed multiple recommendations for Revenue sharing that would allow schools to retain a portion of their undergraduate, graduate and professional tuition revenue they generate. Exact proportions of the revenue sharing are currently being discussed.
Gifts, indirect cost recovery (ICR), and other revenue will accrue to the appropriate units based on current allocations and restrictions.
Recommendations on the allocation of Expenses are centered around the alignment of expense budgets for each unit. This will ensure consistency and allow for central funding of items such as promotion-based raises and annual compensation. Space costs are being reviewed to develop a consistent approach for all units to replace the current methodology that includes multiple approaches.
Incentive recommendations allow for budget saving to be retained at the school/college level, when there is a plan for how they will be used. Centrally retained funds will be allocated to units based on performance metrics which support IU’s strategic plan.