This document presents recommendations to the state legislaturefor a unified higher education budget for the state of Alabama for fiscal year 2000-01. The first section of the report provides a summary of the budget recommendations, which increase higher education appropriations by 7.53 percent to approximately $860 million. This funding level consists of three parts: an increase of existing allocations by approximately 5.03 percent, additional equity funds, and a special equity allocation to certain institutions that remain significantly below average funding. Other sections of the report cover program details for the budget recommendation; funding formulas and the unified budget recommendation process; supporting data for the funding formula; and critical capital needs for Alabama public higher education. (CH)