The University of California will not be receiving $50 million in additional funding from the state this year due to lower than expected property tax revenue.
The legislature had projected $200 million more in additional property tax revenue than Gov. Jerry Brown had expected in his own budget for the 2014-2015 fiscal year. However, the Department of Finance said Wednesday the state received $73 million in local property taxes less than Brown’s projection.
The $200 million projection for the surplus emerged out of a compromise between Brown and legislative leaders, the Sacramento Bee reported. Both parties had agreed that any extra surplus funds would automatically be allotted toward deferred maintenance projects at different state agencies including the UC.
The extra funding was intended to help pay for deferred maintenance projects at both the UC and California State University systems as well as other state agencies. These maintenance projects include repairing aging university buildings and renovating buildings damaged from prolonged disrepair. UCLA alone has $770 million in deferred maintenance projects, the university said in April.
State Assembly Speaker Toni Atkins (D-San Diego) said in a statement that legislators are preparing to introduce a bill next month to provide the UC and CSU systems with additional financial support.
Citing the nearly $400 million in additional revenue for this year’s state general fund than projected by Brown in his budget, Atkins said the State Assembly has a desire to fulfill its financial promises to students while remaining fiscally responsible.
Brown approved a $142.2 million increase in state funding for the UC in his budget for this year, although the increase was $106 million below what the UC requested for this year.
The UC said it does not have a comment on the matter.