V.S. – Allocation of Lump Sum Appropriation (BSU, ISU, LCSC, UI) – 02-2006

1. Objectives

1. The funding process should offer maximum institutional flexibility to allocate funds internally to carry out roles and missions established by the Board.
2. The funding process should be a straightforward approach that can be used by the Board to express system-wide priorities.
3. There should be a clear and understandable relationship between institutional needs, the system-wide funding request, the legislative appropriations, the allocation of funds, and the ultimate use of the funds.
4. The funding process should not penalize institutions as the result of decisions related to the internal allocation of resources by other institutions.
5. Any incentives that the Board uses in the funding process should be explicit.
6. The funding process should be applied consistently from year-to-year so that there can be some level of predictability in the allocation as well as increased confidence in the outcome.
7. The funding process should encourage cooperative programs among institutions.
8. The funding process should be compatible with the Statewide Plan for Higher Education.

2. Methodology

The allocation shall consist of the total of the lump sum general account appropriation and actual land grant endowment receipts. The allocation shall be made in the following order:

1. Each institution shall be allocated its base allocation of the prior year.
2. An Enrollment Workload Adjustment shall be applied to the allocation of each institution. The adjustment shall be calculated as follows:
   1. A three- (3) year moving average of credit hours multiplied by the program weights shall be used. The three (3) years to be used shall be those which precede the year of the allocation and shall consist of two (2) years of actual and one (1) year of estimated credit hours.
   2. Effective with the FY 1990 allocation, credit hours generated from externally funded sources and contracts shall be removed from this adjustment. Credit hours for in- service teacher education shall not be removed.
   3. The total budget base of the institutions shall be multiplied by 0.67 and divided by the three- (3)year moving average of total weighted credit hours for the prior year. The resultant amount per credit hour shall be multiplied by the change from the prior three- (3)year moving average of weighted credit hours for each institution to calculate the adjustment by institution.
   4. Program weights are the weighting factors applied to four (4) categories of instructional disciplines with different weight factors by category and course level. The groups and factors follow.
      
      Group I Physical Education Law Letters Library Sciences Mathematics Military Science Psychology Social Sciences
      
      Group II Area Studies Business & Management Education Communications Home Economics Public Affairs Interdisciplinary Studies Group III Agricultural & Natural Resources Architecture & Environmental Design Biological Sciences Fine & Applied Arts Foreign Languages Physical Sciences Group IV Engineering Health Professions Computer & Information Sciences
      
      The weighting factors for the above categories are as follows:
      
      Course Level Category I II III IV Lower Division 1.00 1.30 1.60 3.00 Upper Division 1.50 1.90 2.50 3.50 Masters 3.50 3.50 6.00 6.50 Doctoral 5.00 6.25 7.50 10.00 Law 3.50 -- -- --
      
      An additional five percent (5%) emphasis factor is given to the Primary Emphasis areas at each institution. These areas are:
      
      Boise State University Business Social Science (includes Economics) Public Affairs Performing Arts (excluding Art) Education Engineering
      
      Idaho State University Health Professions Biological Sciences Physical Sciences Education University of Idaho Agriculture Forestry Mines Engineering Architecture Law Foreign Languages Education Lewis-Clark State College Business Criminal Justice Nursing Social Work Education
3. Operations and maintenance funds (custodial, maintenance, and utilities) for new, major general education capital improvement projects shall be allocated to affect institutions.
4. Decision units above the base shall be consistent with the legislative budget request. The allocation of these decision units to the institutions shall be based on the proportionate share of each institution in the total budget request for these decision units applied to the increase in appropriations above the base excluding special allocations.
5. The Board may also allocate funds for special activities or projects at the discretion of the Board.