Trustees approve 2023 operating budget, including compensation increases for employees
Jun 17, 2022
The Indiana University Board of Trustees approved a $4 billion operating budget for the new fiscal year at its June meeting, including a compensation increase for employees.
IU Associate Vice President for Budget and Planning Samuel Adams presented the budget to the trustees.
Adams said IU employees will see up to a 4% increase in compensation in fiscal year 2022-23, based on funding and other factors. The average compensation increase across the university will be 3.5%.
IU’s overall budget holds steady from the previous fiscal year, despite a small decrease in state appropriations for the Bloomington campus and the university using its remaining stimulus funds that helped reimburse losses and expenses due to COVID-19. Overall, higher education continues to feel budgetary pressures due to numerous economic factors, including limited revenue growth and increasing operating expenses.
In order to address the rate of operating expense growth, a $70 million budget reduction and reallocation initiative is included in the fiscal year 2023 operating budget. This was achieved primarily by eliminating vacant positions, reducing general and administration expenses, and eliminating non-value-added activities.
“Maintaining a balanced operating budget supports IU’s continued fiscal health and allows us to continue investing in students, research and other strategic priorities that impact the state,” IU President Pamela Whitten said.
Additional administrative efficiencies and realignments planned for the coming fiscal year will continue to strengthen IU’s financial positions.