A conversion of the middle school heating system from steam to hot water is a top priority of the School District’s facility committee planning (the current system is 1950’s vintage). This conversion would ultimately lead to a switch from oil to wood as the primary heating fuel. They would like to take advantage of this grant funding opportunity to infuse up to $500,000 into the solution. The Town Council’s support (philosophically and financially) would be appreciated and enhance the potential success of the grant application.
The total cost of the project is estimated to be $1.5 million for a new wood-chip boiler building and boiler, requiring a local funding differential of approximately $1 million. Assuming a 15-year lease purchase (allowed since it is an energy efficiency upgrade), they estimate a yearly payment of $70,000. They calculate heating cost savings of approximately $115,000 annually based on current consumption and prices (one ton of chips at $60 = 70 gallons of oil at $3.15/gal). The request would be for town funding support of the local cost phase of the project and interest in future connection to the system.
Information about the grant, a memo from School Finance & Operations Director Dan O'Shea, and the resolution are attached. |
