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Guidelines For Limited-Term Course Buyout Programs Involving Internal Penn State Units  ("Internal Buyouts")

The guidelines below apply to course buyouts for faculty members in the College of Health and Human Development (HHD) that are offered and funded by internal PSU units other than the HHD unit where the faculty member is primarily based (e.g., research institutes, research centers, academic departments) and (1) are part of formal programs or initiatives where the internal PSU unit is seeking faculty member time to engage in specific activities supporting that unit’s mission or priorities and (2) are limited to no more than two consecutive semesters.  These are referred to throughout the remainder of these guidelines as “internal buyouts.” 

  • The cost of a 3-credit internal buyout in any semester is 10% of the faculty member’s institutional base 36-week salary plus fringe.
  • For tenure-line faculty, consistent with college workload guidelines, the local HHD unit where the faculty member is primarily based is generally expected to honor internal buyout requests offered at this rate; however, the decision about which courses are reassigned and which are taught by the faculty member is the prerogative of the Department Head/School Director, and buyout requests for a particular term can still be denied under exceptional circumstances.  Internal buyouts offered at a rate below the standard rate shown above can only be implemented with Department Head/School Director approval. 
  • For teaching faculty, the Department Head/School Director must approve the buyout request before it can be implemented, and it is strongly recommended teaching faculty interested in internal buyout programs consult with their Department Head/School Director before pursuing such opportunities.
  • Salary released from internal buyouts is retained entirely by the local academic unit where the faculty member is primarily based.

The above guidelines do not apply to course load reductions negotiated as part of on-going co-funding arrangements.

In situations where other internal funds can potentially be directed toward buyouts, but are not part of a formal program (e.g., discretionary funds or endowment accounts under the faculty member’s control or discretionary sources controlled by other units like research centers), any buyout arrangement involving these funds must be discussed with, and approved by, the Department Head/School Director before being implemented.  Buyout rates for any such arrangements are generally expected to be consistent with the internal buyout rate above. 

Note also that the Department Head/School Director continues to have the discretion to provide unfunded course load reductions (i.e., “course releases”), consistent with college and local academic unit workload guidelines.