NOT even a $16 million state funding shortfall can stop Tamworth university proponents' drive to push on.
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Tamworth Regional Council and UNE are now in discussions with the federal government to secure funds for the campus after Friday's meeting.
The state government funding is a sign the project is right for Tamworth, UNE vice-chancellor Annabelle Duncan said.
"UNE was founded on the principle of providing people in regional and remote areas with access to higher education."
Tamworth Regional Council mayor Col Murray was unprepared for the smaller commitment but is confident it will get over the line.
“It is clearly important to Tamworth that we carry forward the terrific momentum provided by the state government and provide a home for UNE in our city," he said.
The campus will be on the velodrome site.
Tamworth MP Kevin Anderson said the commitment would give the project a foundation to build on.
"I will continue to work tirelessly to ensure that the Tamworth electorate has its own university campus," he said.