Office of Mineral Resources
Good stewards awarded for making buildings better and saving money
The long, hot, humid days of summer did not stop officials of six school boards and one police jury from traveling to the capital city for recognition as "good stewards" in the state's new Energy Fund program. The Louisiana Department of Natural Resources (DNR) held "Stewardship Awards" ceremony to honor and call attention to the participants. "These school systems are now on their way to saving hundreds of thousands of dollars each year in energy operating costs," said Department of Natural Resources Secretary Jack Caldwell.
At the presentation held at DNR in late July, officials from Allen Parish School System, Avoyelles Parish Schools, Evangeline Parish Police Jury, Iberville Parish School System, Natchitoches Parish School System, St. James Parish School System, and St. Charles Parish School System were given plaques to recognize their leadership in the program.
By utilizing Petroleum Violation Escrow (PVE) funds governed by the U.S. Department of Energy's State Energy Plan, the DNR has granted the first of seven energy and water conservation projects. These projects also include upgrading existing buildings through contracts with Siemens Building Technologies Inc, TAC Americas Inc, and Trane Company. The total annual gross energy savings for the projects is expected to reach $1.86 million.
According to Secretary Caldwell, the state's Energy Office at DNR will continue to work with schools, hospitals, and other public institutions to implement energy conservation measures to achieve long range energy savings. "This public-private initiative provides low-cost financing to publicly funded entities," he said.
The State Bond Commission authorized the issuance of $13.6 million dollars in tax-exempt bonds in the fall of last year. Proceeds are now being used to fund energy and water retrofits and performance contracts with the local entities. In addition to energy savings, the school systems and parish government contracts are expected to create some 400 jobs statewide through the construction year and an anticipated $2.1 million is projected in total sales tax revenue.
According to DNR Energy Fund Manager Louis McArthur, these contracts are known as performance contracts in which building improvements are made with monies that would normally be spent on paying utility bills. In a cooperative endeavor agreement with the Louisiana Public Facilities Authority (LPFA), DNR works with Hibernia Bank and Lehman Brothers to "pool" multiple projects together to achieve greater economies of scale. DNR can reduce transaction costs by pledging Energy Fund dollars that are used to buy down the interest costs associated with the bond pool. Legal counsel was provided by Foley & Judell and the Long Law Firm.
McArthur encourages schools and other public facilities elsewhere in state to apply for this type of financial assistance program. Applications are being accepted now and funding is on a first come, first serve basis. McArthur said the federal Rebuild America program has featured the DNR program as a success story highlighting how partnerships of this kind result in improved communities, energy awareness and energy-savings measures. The web link for Rebuild America is www.rebuild.org.
For more information on the DNR Energy Fund program, call 225-342-1399. Or go to www.dnr.state.la.us for an application online.
Editors: Contact DNR Public Information Office at 225-342-8955 or DNR Energy Fund Manager Louis McArthur at 225-342-1399. Photos of event held on July 30, 2003 are provided in this pictorial.
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