Estill County board approves development of guaranteed energy savings contract to explore solar installations

The Estill County Board of Education voted unanimously Nov. 21 to authorize development of a guaranteed energy savings contract (GESC) with Performance Services that would study solar installations and other energy measures for district buildings.

The board approved a motion to proceed with contract development after a presentation from David Dowdell, business development manager for Performance Services, who said the company would complete detailed engineering and bidding before returning with a draft contract the board could approve. “We guarantee no change orders,” Dowdell said, adding the company guarantees savings and bonds the project over a 20‑year term.

Why it matters: Performance Services identified the high school and West Urban Elementary as the strongest candidates for rooftop solar because those sites pay higher electricity rates. The firm estimated the installations could cut electricity costs for those buildings by about 32% and projected average district savings of roughly $108,000 per year. Dowdell told the board the district could qualify for federal investment tax credits under the Inflation Reduction Act and that tax‑exempt financing could cover a substantial portion of upfront costs.

What the board approved tonight: The vote was limited to authorizing Performance Services to develop the GESC and to notify the Kentucky Department of Education. Board member Tammy Hardy moved to approve development of the GESC; Sheila Samples seconded and the motion passed 4–0. The board separately approved sending a letter of intent to KDE to indicate the district is exploring the option, also by a 4–0 vote.

Process and next steps: Performance Services outlined a two‑ to three‑month development timeline for detailed engineering and bidding, with a plan to return to the board with exact costs and guaranteed savings for approval before any contract is signed. The presenters said, if approved later, installation could be scheduled for the following summer.

Numbers and caveats: The presentation included a preliminary financing illustration: Performance Services estimated about $800,000 in tax credits plus approximately $1.5 million in funded improvements, producing an illustrative project value of about $2.3 million. The company characterized the district’s existing energy efficiency as relatively strong and described solar as the primary remaining opportunity for measurable savings. Board members and the presenters emphasized that no capital commitment was made at this meeting and that the board would consider final contract terms only after receiving firm bids and a draft contract.

What to watch: The board will receive the detailed engineering and bid results early next year and must vote to approve any final contract; KDE will be notified as part of that process.