Poway board directs staff to develop designs and financing options for Rancho Bernardo chiller replacement

The Poway Unified School District board directed staff to move forward with detailed design and financing analysis for a multi‑campus chiller replacement after a lengthy presentation and discussion on Aug. 14.

Consultants and district facilities staff described a failing central plant that serves Rancho Bernardo High School and Bernardo Heights Middle School. Reuben, a district facilities lead, said one of the two main chillers is already inoperative and the other is “on life support,” and that underground chilled/hot water piping has produced repeated leaks. Michael Akavan, mechanical engineer and principal with MA Engineers, recommended a two‑part approach: convert most middle‑school classrooms to self‑contained rooftop package units and build a modern, N+1 water‑cooled central plant for the high school with above‑grade piping to avoid future underground leaks.

The team presented a rough‑order construction cost for the recommended solution that covered both campuses. Presenters described roughly $22 million in direct construction for the recommended package (with total project estimates increasing when soft costs, contingencies and the broader scope are included). The district’s deferred maintenance balance is roughly $8 million and the district has roughly $5.2 million in developer fees; staff said state modernization eligibility may provide partial reimbursement but that the state funding queue can take years.

Trustees pressed for more life‑cycle analysis, pointing to the district’s current stopgap costs — rental chillers, security fencing and other temporary measures — estimated by staff at roughly $350,000 per year. Trustees asked for a 20‑year total‑cost projection comparing alternatives, including a satellite chiller, continued rental equipment, and the recommended conversion to rooftop units at the middle school plus central plant improvements at the high school. One consultant said modern chillers can throttle down to about 10% capacity — a capability older units lack — and argued that a single redesigned central plant with appropriate modulation would be more efficient than adding a separate satellite chiller.

Board members acknowledged the difficulty of the financial tradeoffs: staff estimated annual debt service in a general fund‑backed financing could range from $1.6 million to $2.0 million depending on timing and market conditions, which trustees noted could be the equivalent of dozens of teaching positions. But members also emphasized the reliability, energy and maintenance benefits of the recommended approach and the operational risk of further delay, noting that loss of the remaining chiller could create campus‑wide outages.

At the meeting’s end trustees gave staff direction to proceed with the next steps: engage the architect/engineer to prepare DSA‑submittable construction documents, retain finance advisors to model options (including phased bids using the $8M deferred maintenance balance), and provide a detailed 20‑year life‑cycle cost comparison and quantified utility/maintenance savings. Staff will return to the board with the designs, financing options, and refined cost estimates before any award of construction contracts.

Board members did not vote on a construction contract; instead the board authorized staff to prepare the drawings, financing analysis and staged bid approach that will enable the district to solicit construction bids and return for formal action.