All I have heard since raises were announced was that money had to be given out for merit only. But notice item 10 from the IHL minutes.

10. System Administration - Approved the Salary Guidelines for FY 2007, as follows:
It is recommended state funds be allocated to the institutions for salary increases for FY 2007 in an amount equal to a 5 percent salary increase (Note: Legislation funded an amount equal to 75 percent of the cost of a 5 percent salary increase for FY 2007). It is recommended these funds be awarded based on meritorious performance, market adjustments, or equity adjustments. Within this amount it is recommended, in compliance with Legislation, an amount sufficient to award salary increases of $6,000 per full-time equivalent nursing faculty. If the financial condition of the institution or agency permits, it is recommended that other funds may be used to award salary increases for meritorious performance, market adjustments, or equity adjustments at the discretion of the Institutional Executive Officer. It is further recommended for any salary increases below 3 percent and above 7 percent, a written justification is to be on file in the Executive Office. These salary increase guidelines apply to all university employees regardless of funding source. (pp. 14-15)