In his speech, Powers said that UT-Austin has the lowest per-student, per-year support from tuition, general revenue and the Available University Fund
- a major source of funding distributed by the University of Texas System - combined of its 14-institution peer group.
Non-tax revenues available for instruction over the past eight years (from tuition, the Available University Fund
and investment income) at UT-Austin have increased $5,300 per student each year, while support from the Texas Legislature has dropped only $1,300 after inflation.
Specifically excluded from the pledge are state appropriations, the Available University Fund
(related to Permanent University Fund [PUF] income), and the income or corpus of the Permanent Health Fund.
The money for what Sharp is calling the Chancellor's Research Initiative will come from the Available University Fund
, which is made up of distributions from the Permanent University Fund, a major public endowment that benefits the University of Texas System and the A&M System.
Though the board approved rate increases at other UT institutions, the regents have faced political pressure to keep costs low at the flagship campus and on Thursday voted to allow UT-Austin to instead draw from the state's Available University Fund
. As for the medical schools, their opening dates remain unknown.
PUF CP issued by the TAMUS Board of Regents is secured by and payable from a subordinate lien and pledge of TAMUS' one-third interest in the available university fund
Methodist's obligations pursuant to a loan agreement with the issuer are a general, unconditional obligation payable from all legally available university funds
. Methodist secures its obligations under the agreement with a mortgage interest in its core campus.