Comparing United States and European Union academic animal programs: Finances

Area of Science:

• Comparative analysis of academic animal research resource center financial models.
• Benchmarking of operational costs and per diem rate structures in the US and EU.

Background:

• The Yale Animal Resource Cost and Benchmarking survey provides insights into US academic animal research centers.
• Adapting this survey for European Union (EU) academic animal research centers (ARCs) within the League of European Research Universities (LERU) network.

Purpose of the Study:

• To compare financial data, specifically per diem rate composition and cost recovery, between US and EU (LERU) academic ARCs.
• To identify similarities and differences in financial management and cost-recovery challenges.

Main Methods:

• Modification of the Yale Animal Resource Cost and Benchmarking survey for EU (LERU) institutions.
• Data collection from participating academic ARCs in the US and EU (including Switzerland and the UK).
• Analysis of survey data focusing on per diem rate composition, cost under-recovery, and financial balances.

Main Results:

• Per diem rate compositions are similar (>50% salary/fringe, ~25% supplies, ~10% facility, ~15% other).
• Approximately 60% of both US and LERU programs under-recover mouse care costs.
• LERU programs show a small positive net-operating balance, while US programs average a large deficit; institutional funding of deficits differs significantly.

Conclusions:

• Both US and LERU programs face challenges in fully recovering animal care costs due to reluctance to raise per diem rates.
• Cost accounting is the primary factor in setting per diem rates for both regions.
• Animal programs are financially constrained between investigator affordability and institutional fiduciary responsibilities.