School moves forward on energy performance contract
Moving forward to secure financing for Holyoke School District’s $1.3 million energy performance contract was approved by the Re-1J Board of Education at its Sept. 15 meeting.
As part of this, the district will sign contracts with Schneider Electric and Colorado Energy Office for lighting, air conditioner reconditioning, heating and cooling controls, and phone system.
The board was adamant in its support of exploring PC Telcom as a local provider for the phone system portion of the project.
Schneider’s proposal incorporated an out-of-town vendor for better pricing for the phone system.
Superintendent Kyle Stumpf noted that they hadn’t considered the benefit of dividends provided as a member of the local phone cooperative. “With that in mind, maybe the gap doesn’t look as wide” between PC Telcom’s bid and the proposal used by Schneider Electric, Stumpf said.
In approving the motion for moving forward with the energy performance contract, board members clarified their preference for involving the local phone provider as much as possible.
From Schneider’s energy performance audit, Will Benish reported for the company at the Aug. 18 school board meeting. He noted that year-one cost savings would be $83,497.
That includes a guaranteed utility cost savings of $71,497 and other savings of $12,000 in operations and maintenance.
Skepticism for the guarantee was expressed by board members at the August meeting and reiterated last week as clarification for confidence in the agreement was sought.
Stumpf reported last week that Schneider Electric has now said they would be comfortable extending the utility cost savings guarantee from three years to five years.
“We all know we have an air conditioning problem, and we have to find a way to address that,” said board member Dusty Sprague, as he continued to pursue affirmation for the cost savings proposal.
Stumpf said with updated controls and reconditioning, the life of the chiller will be extended. “It won’t be a 20-year fix,” he emphasized. He pointed out that having an updated control system will give better opportunities to troubleshoot and fix things correctly.
“Whenever you recondition something, it won’t be like new,” said Business and Finance Director Ben Rahe. He noted that the average life of a typical chiller is 20 years. The district is 12 years into its current chiller and needs to extend the life of the chiller by 15 years through the loan term. There’s no way to guarantee timelines on extended life.
Rahe said he’s had two offers for 15-year financing for this project, one as low as 2.7%.
He explained that when doing an energy performance contract, according to Colorado state statutes, savings have to at least equal the payment. So financing is structured in a different way.
With a potential change in the phone system costs, Rahe said the amoritization schedule could change because of the finance requirements.
Stumpf said the contract is structured so that it can be paid off early without penalty if the district has a good year financially. Or those funds can be used as leverage to extend revenue for reserves longer.
“After an 18-month relationship with Schneider Electric, I’m comfortable in knowing that if we have questions or concerns during this project, we can stop and get them answered,” said Stumpf.
He expressed a higher comfort level with the proposed 15-year term instead of 20 and also the potential 2.7% financing availability. Stumpf added that he’s more comfortable with this project route than in tying it to the bond election.
Board members cited support for Schneider Electric’s involvement in similar projects in other states and in their commitment to make this first Colorado project a success.
Staff changes noted
Several resignations and and new hires were approved at last week’s school board meeting.
Resignations were accepted from Hannah Krening, JH/HS social studies teacher, effective Dec. 18; Pat Wiebers, fall musical assistant; Sally O’Keef, JH girls volleyball assistant coach; and Jennifer Halligan, JH/HS cheerleading coach.
Employment contracts for 2020-21 were approved for Jill Hubbard, JH/HS life skills paraprofessional; and Paola Ruiz Juarez, elementary paraprofessional.
Extra-duty assignments were made for Megan Humphreys, JH/HS head cheerleading coach; and Marcia Dalton and Maury Kramer, co-assistant musical directors.
Neenan Company reviews BEST grant work timeline
David Kurtz and Kate Sawyer from Neenan Archistruction joined the Sept. 15 board meeting remotely to review timelines for Building Excellent Schools Today grant work.
Targeting a desire to start construction at the end of the 2020-21 school year, Kurtz talked about both pre-bond election and post-bond goals if the bond passes.
Prior to Nov. 3, the board was advised to get an owner’s representative on board and also to determine criteria for a design/build team and to interview teams.
Once the bond election has passed, the design/build team can be announced and a contract negotiated. Neenan can assist in compiling documents for the owner’s rep and design/build fees.
Stumpf cited the value of having this preliminary work done prior to passage of the bond so that if the bond is approved, progress can begin immediately.
Principals report
Holyoke JR/SR High Principal Angie Powell and Holyoke Elementary Principal Andrea Kammer gave reports on the start of the school year.
As of Sept. 14, Powell said, there are 253 students in grades 7-12. This is down four from a year ago but is still good considering the senior class is very small with only 28 students.
She emphasized that the free breakfast and lunch programs are great opportunities for the students, and many are taking advantage. Dragon pride is being pushed this year, as is evidenced throughout the halls.
Powell added that teachers are appreciative of the Proethean panels that are being used in classes.
Kammer reported K-6 student numbers at 306 this year. The mask order for ages 11 and older has been extended to Oct. 12, and Kammer said the students are being champs about it.
Attendance at the back-to-school parent-teacher conferences was up to 94% from 85% last year, which pleased Kammer. She noted that the percentage participation was up in each grade, K-6.
Other business
In other business Sept. 15, the school board:
— Rescheduled its October board retreat from Oct. 15 to Tuesday, Oct. 20, and noted that there will not be a meeting on Oct. 6.
— Discussed potential pro and con statements for Ballot Issue 5A, the school district’s bond election.
— Heard an update on the district’s involvement in its fourth year as a pilot school for the Student-Centered Accountability Program.