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LAO Report: Addressing Capital Renewal at UC and CSU

The Legislative Analyst’s Office has just published the following report:
Addressing Capital Renewal at UC and CSU

As facilities at the University of California (UC) and California State University (CSU) age, their building components (such as roofs and heating systems) eventually need to be replaced. The need for such capital renewal projects is large at UC and CSU, and more projects are added to the segments’ backlogs each year. Without a plan to address capital renewal, facility conditions likely will continue to deteriorate, leading to higher costs and greater risk of programmatic disruptions.
We recommend the Legislature develop a plan to address UC and CSU capital renewal needs as they emerge. We provide an illustrative plan that would set an ongoing funding target for capital renewal, share the cost between the state and the segments, and phase in funding increases over five years. We also recommend the Legislature take several related actions, including (1) adopting a plan to reduce UC’s and CSU’s existing backlogs, (2) requiring UC and CSU to identify funding for the future capital renewal costs of proposed new academic facilities, and (3) requiring UC and CSU to report annually on their facility conditions. 
This report is available using the following link: https://lao.ca.gov/Publications/Report/4657

This article was released by The Legislative Analyst’s Office.