The Gillett School District is on track with an effort to pursue energy-savings measures and upgrade aging plumbing and mechanical systems districtwide.
The School Board on Thursday approved a $2.54 million contract with Energy Services Group, the consultants who completed an analysis of the district’s energy needs and will act as project managers.
The list of proposed projects includes a campuswide energy conservation upgrade of lighting, controls and building envelop. The secondary school, built in 1924, would undergo a number of facility improvements related to plumbing, heating and ventilation, including replacement of a boiler installed in 1927 — now 63 years past its useful life — and an air handling unit from 1961.
For a percentage of the project costs, ESG will provide quality control of all aspects of the project, guarantee the cost and energy savings, and accept any risk.
The district also plans to replace a section of the secondary school roof installed in 1995, but will manage this project itself, not contract with ESG.
Superintendent Todd Carlson said the district expects to save money by directing the roofing project in-house. Another advantage is maintaining consistency with a recent roofing project at the elementary school and past roofing projects at the secondary school. Work is slated to take place this summer on the roof over the tech ed and agriculture classrooms, auditorium and commons area.
The board approved two resolutions for borrowing and issuance of $2.975 million in bonds for the energy savings improvements. Because the projects will result in energy savings, the board is allowed to adopt resolutions for borrowing without a voter referendum. However, the district must allow 30 days from the approval of the resolutions for public reaction.
A public objection can be presented to the district via a petition with signatures from 20 percent of electors who voted in the last gubernatorial election. If this occurs, the board would need to put the issue to a referendum, which would likely delay the project scheduled to begin in the spring and continue through the summer.
Residents at a Dec. 4 public informational meeting spoke in favor of the proposal, and Carlson said the plan has generated favorable support overall.
“Public perception (from people) I’ve talked to is that things are positive, and this is the way to move forward with the district,” he said.
As part of the process, a public hearing must be held within 30 days of the passage of the resolution. The hearing is tentatively planned for Thursday, Jan. 15, before the 7:30 p.m. School Board meeting. A time for the hearing has not been set.
If no petitions are filed, the district will accept bids from financial companies, and ESG will prepare bid documents and bid out the project.
According to figures presented at the informational meeting, the district spends $267,379 on energy-related expenses. After retrofit, the cost would decrease to $200,687, a savings of $66,692. The amount of savings — guaranteed by ESG every year for 10 years — would be put toward the repayment of the loan.
Annual loan payments of an estimated $350,000 would be offset by the approximate $67,000 in energy savings guaranteed by ESG, lowering the payment to about $285,000 a year. That amount is less than district’s current debt load. In spring, the district will pay its final $410,000 payment for a loan secured when additions were built onto the secondary school.
At September’s annual meeting, taxpayers approved a $2.9 million tax levy that translated to $1,080 in taxes for a person owning property valued at $100,000. According to information provided by the school district, compared to 2014, taxpayers would pay $40 less per $100,000 of property value if the energy savings proposal is approved.
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