The Board that governs the three state-supported universities and their presidents have signed a letter to the legislature requesting support for their new funding plan. The Board of Regents calls it the “Performance Based Funding Model” and it would give 60-percent of state money to Iowa State University, University of Northern Iowa and the University of Iowa based on their in-state enrollment.
The other 40-percent would be allocated based on performance standards set up by the board. The new plan would give ISU and UNI an increase of more than $20 million each based on their in-state enrollment. It would cut the University of Iowa’s funding by a little more than $46 millions.
The plan seeks to ease the impact on the University of Iowa by putting a 2 percent cap each year on the reallocation of the funds — which amounts to $12.9 million in the first year.
The Board of Regents is asking legislators to provide supplemental funds to cover that amount. The letter says the new funding model is “equitable and transparent while demonstrating accountability” to the legislature, the governor and the citizens of the state.