Tempe board approves $17.3 million Schneider Electric contract for districtwide energy upgrades

The Tempe School District governing board voted Jan. 22 to approve a $17.3 million contract with Schneider Electric to install energy and water conservation upgrades across district facilities.

The project — described by Schneider as a turnkey Phase 1 package covering 21 sites — includes replacing more than 30,000 interior and exterior bulbs with high-efficiency LED fixtures, upgrading building automation systems, installing smart irrigation and targeted xeriscaping or artificial turf, and constructing covered solar parking at several campuses. Brandon Woodward, a Schneider Electric representative, told the board the district spent “over $3,100,000 last year in just gas, electric and water alone.”

The board’s approval follows an investment-grade audit Schneider conducted after the board authorized the study last year. Schneider presented an estimated $3.2 million in available federal, state and local incentives that would reduce the district’s net cost to roughly $14.1 million and reported estimated life-cycle savings of about $29.1 million. Schneider also described a guaranteed annual savings figure referenced by the company that the contractor said would be backed by measurement and verification under Arizona law governing performance contracting.

Board discussion focused on timing, operations during construction, and details of specific measures. Board member Miss Windsor asked about equipment lifecycles and controllability for classroom temperature complaints; Woodward replied that expected equipment life varies by measure (lighting averaging about 20–25 years, solar closer to 30 years) and that modernized building automation would give district staff greater centralized control while teachers would have limited classroom-level adjustments. Windsor also asked whether solar structures attract pests; Woodward said designers will incorporate pigeon-deterrent features in the covered-parking designs.

The contract package is split into two contracts to maximize grant opportunities and to address federal wage requirements, Schneider said. The company said it had identified four early solar-covered parking sites with strong rebates, and that covered-parking installations would be used instead of roof-mounted arrays for the Phase 1 work. Schneider told the board construction could begin as early as next month pending board approval and final paperwork.

The board approved the contract on a 5-0 vote.

What happened next: The administration said it will return to the board later this spring with a proposed Phase 2 that may include additional solar at more sites. Schneider also offered to help the district package community-facing communications and signage to highlight sustainability benefits for students and residents.

Key details: total contract listed $17,300,000; estimated incentives/rebates $3,200,000; estimated net cost to district ~$14,100,000; estimated life-cycle savings ~$29,100,000; project scope includes LED retrofits, building automation upgrades, smart irrigation, xeriscaping/artificial turf in low-use areas, and covered solar parking at identified sites.