(From May 2009)
To: Units receiving ICC beginning budget allocations
From: Rich Linton
Subject: ICC Beginning Budget Allocations- FY10
ICC- FY10 Beginning Budget
The ICC beginning budget for FY10 will be posted in the coming days, and I write to communicate two key decisions regarding the overall allocations effective July 1, 2009.
1. I do not plan to “sweep” any FY09 fund balances from existing ICC indices, other than those already negotiated with the units directly impacted. In light of the voluntary FTE reductions in ICC-funded positions for the remaining three months of FY09, some of the ICC carryforwards should be impacted favorably.
2. I will apply a 4% “across the board” cut to virtually all line items in the ICC beginning budget for FY10, including research administrative units reporting to me. The few exceptions include the library, lease payments for off-campus research space that involve fixed costs, and a few instances for centers that are involved in pre-existing agreements related to ICC “backstops” or ICC deficit reduction. No cuts will be made to prior commitments to provide multi-year ICC allocations, for example faculty start-up packages or grant matching funds.
It should come as no surprise that the state budget crisis impacting the University of Oregon has placed escalating stresses on my overall ICC budget, especially in aspects such as faculty recruitment and retention, graduate student support and research infrastructure. In addition, the federal F&A “overhead” rate at the UO was reduced from 48% to 42% effective July 1, 2008 and is beginning to impact on reduced F&A recovery from grants and contracts. The funds available for ICC distribution are being significantly constrained despite the growth in new sponsored program awards.
I will evaluate the need for recurring reductions in ICC allocations as we move through FY10. I am hopeful that the Federal “Stimulus” will enhance UO’s research funding and associated F&A generation in the months to come.
Thanks, as always, for your understanding and support. Please let me know if my office can address any questions or concerns.