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DRILLS: These rigs were involved in drilling water wells at NJSHS and NES for geothermal energy.
School district undertakes multi-million dollar geothermal energy project  Share
Neoga Community Unit School District #3 is in the midst of a $4.4 million geothermal energy project to supply heating and air conditioning to two of its schools, Neoga Jr-Sr High School and Neoga Elementary School. School Superintendent Charles Castle said that the system will be operational for the winter heating season. Impetus for the project came when the board reviewed goals it had established back in 2005 and found that facility goals were still in place but had not been met. ''With goals in mind, instead of saying we can't do that, find a way to get it done,'' said Castle. That's how the board looked at energy renovation, according to the superintendent. Geothermal energy production draws heat and cooling from underground water wells. Castle likened it to a heat pump system, which utilizes outside air to produce either heating or cooling. The geothermal exchange source is water instead of air, and the underground water is a constant 55 degrees, which contributes greatly to energy conservation. The benefits of geothermal energy are that it costs less, following the initial installation, it doesn't deplete natural resources and it is better for the environmen, explained Castle. Start-up costs for geothermal are significantly higher than those for conventional energy, of course. To finance the project, the board began by seeking grants. One relatively small one has been received, according to Castle, and others have been written but not yet decided. The board has also been investigating the selling of bonds and recently learned that the district has been qualified by the state board of education to sell Qualified Zone Academy Bonds at no or very low interest. The board has an agent who will handle the selling $4.4 to $4.5 million in bonds, and entities that purchase the bonds will be entitled to an 8% tax credit.
The board has a performance contract with Trane, who are overseeing the entire project. Separate individual contractors have been employed for different phases of the project. Trane guarantees the district a $50,000 yearly savings in energy costs over the current systems. ''If we don't realize that savings,'' said Castle, ''Trane pays us the difference.'' The Trane agreement also includes some additional work on masonry at the high school and improvement of lighting in some classrooms at Neoga Elementary. Right now, 160 wells have been drilled at the high school 300 feet deep and 45 at the elementary school 250 feet deep. The boiler and duct work at the elementary school has been pulled with a target of installation of the new system by October. As of next week, with work moving inside, construction crews will go to second shift to minimize disruption of daytime classes.
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