Panther Valley School District is looking into energy savings projects which they hope will eventually pay for themselves through added efficiency, including solar.

The school board is considering hiring an engineering firm to assess its lighting, HVAC and other building systems for potential energy savings projects.

“We have a number of maintenance needs and projects that need to be undertaken, and funds can be a bit of a concern,” said Jesse Walck, Panther Valley School District business manager.

While the projects would be paid for in the long term by energy savings, the district has also discussed restructuring debt and selling delinquent tax accounts to pay upfront costs.

During a committee meeting Monday night, McClure Company presented possible upgrades to district buildings.

If hired, McClure would identify and engineer projects that would decrease the district’s annual energy costs.

Alyssa Wingenfield, an account executive with McClure, gave an example of a recent window project they completed for Palmerton Area School District.

The project cost the district $1.7 million, but Wingenfield said over 20 years, Palmerton will save that much in energy costs. She said McClure also helped Palmerton obtain a $250,000 state grant for projects stalled by COVID-19.

Some of the work Panther Valley is considering, such as upgrading to LED lights, could create a return on investment within a decade, Wingenfield said.

Wingenfield said McClure will guarantee the energy savings it predicts for its projects. If the district doesn’t see the projected savings, the company pays the difference.

McClure has also proposed looking into the feasibility of a solar energy project on district property. Board members asked about carport-style solar panels, which could allow for parking and cut down on parking lot snow removal. Wingenfield said they are possible, but more expensive than other styles.

She said the district could maximize its return by turning an unused section of parking lot at the junior-senior high school into space for ground-mounted solar panels.

“It’s less ground we need to clear, and makes install cheaper and easier,” she said.

McClure would lease the panels to the district for five years in order to qualify for a 26 percent tax credit from the federal government. The savings from the tax credit would be passed along to the district.

Wingenfield gave an example of a district which paid $2.3 million over 15 years to lease its panels from the company. Over 20 years, the district generated a total of $3 million in savings from the panels.

Any project McClure undertakes would have upfront costs. Walck presented the board with a proposal to restructure the district’s debt and free up about $1.7 million in the next two years. The move would extend the district’s existing bond payments another two years, to 2033 and increase its total long-term debt by a total of $696,000.

Walck also asked the board to consider selling the district’s delinquent tax payments to a company which pays up front for the right to collect the delinquent payments.

It can take multiple years for districts to receive their delinquent tax payments. Municipal Revenue Services obtains a loan against that money, pays the district up front, then collects it over time.

The move would net the district about $700,000 in its first year. In subsequent years, MRS would take a portion of the delinquent taxes, which Walck estimated to be $15,000 per year.

Walck said both moves would give the district much-needed funds to fix issues with its facilities before they become more expensive.

The board plans to consider approving an agreement to allow McClure to begin assessing district facilities at its March meeting.