Harvard may redirect Allston funding

In 2001, the Harvard University created an Allston fund by taxing the endowment of each Harvard school 1/2% a year for 5 years. In 2004, the duration of this program was extended to 25 years. Vice President for Finance Ann Berman wrote:

“The fund being raised by this assessment is an infrastructure fund, and so will be used for infrastructure: land acquisitions, roads, utilities, site cleanup, buildings, et cetera.”

This funding method has always been controversial within Harvard. Now it may cease to exist. With the value of Harvard's endowments falling by billions, the source of its Allston funding is in doubt.

The Harvard Crimson :: News :: Smith Asks for Budget Cuts

Asked by a professor during yesterday’s meeting to comment on the status of the Strategic Infrastructure Fund—a 0.5 percent annual levy on the endowment that has traditionally funded Allston development—University President Drew G. Faust suggested that the money could be put towards other projects in present circumstances.

“To date, these funds have been directed to the Allston project,” Faust said. “But depending on our decision about the planning and pacing of Allston over the next period of time, we may decide that here are other necessary uses for those monies given the financial challenges we are facing at all levels.”