The proposal to raise funds for building repair and maintenance is good for all UNC-system schools, as well as for public buildings all across the state.
Earlier this month, the steering committee for the UNC system’s strategic plan approved the proposal — put forth by UNC system Chief Operating Officer Charles Perusse — that deals with the funding for maintenance expenses on public buildings.
This proposal consists of borrowing money to pay for current and deferred maintenance expenses. Both the state and the UNC system have been delaying maintenance expenses to save money. Often this creates even larger maintenance expenses in the future as problems become more severe.
The UNC system and the state are faced with the choice of either borrowing today to pay for much of this required maintenance or watching the maintenance expenses accrue and compound in the future.
Borrowing money to pay off these maintenance expenses could be cheaper in the long-run than deferring the maintenance while both allow the state to pay for the full costs in the future.
Perusse’s plan will not raise the debt burden on the state. This is possible because the state currently spends approximately 3.5 percent of the budget on working to pay off their debt. As the budget increases as expected, the dollars spent on paying off the debt will grow proportionally.
Without the approval of this proposal, buildings on campuses across the state will continue to deteriorate. With it, all of the state’s maintenance issues will not be solved, but it will be a step in the right direction.
This proposal will not come into effect unless both the Board of Governors and the state legislature approve it. Both governing bodies should approve this proposal for the good of the state’s infrastructure.
