There's a big female dog among IU-I students about the lack of employers outside the 465 loop who interview on campus. The director of the Professional Development office just left this semester - don't know how that will shake out. There seems to be some more action in the area of online career help, but how much of this is dressing and how much is meat waits to be seen. The consensus I get is that if you want a job outside of Indy, you'll have to work at it yourself. Even if you want a job in Indy you'll have to work at it if you are out of the top 10%.
IU-I seems to be struggling to get out of the shadow of their big brother in Bloomington. Small to Med size local firms and especially the government seems to like the school - just my opinion based on what I hear, read, etc. no real facts to back that up.
BTW what is a LOT of money. IU-I gives all out of state students money to help offset costs, but they've been stingy when it comes to helping instate applicants. Budget appears to be tight again this year with maintenance and upkeep of the new building costing more than anticipated. Of course, they have been without a true Dean for the last 2? years so maybe this is offsetting the red ink.
The profs I've had so far are pretty laid back, no hard core types yet. Most students are helpful if asked and I haven't seen any real gunners to speak of - no hiding the relevant books or tearing out pages. Everything is online, from registration to books to assignments. Most profs appear to be email savy and reply pretty quickly to your questions. This helps a lot when you can't get to their office hours.
Finally, you should visit both schools if you haven't already and take a tour and talk with some students. Get a look at the surrounding area where you'll be living for the next 3 years (or more). I would weigh the higher ranked school a little more, but don't discount the 'vibe' you get when you visit. All that being said, most IU-I grads seem to stay in the state, that's not saying you can't get a job in the Windy City, it's just more likely than not that you'll end up working in Indiana.