East / Regional Reports

Pa. University Employs $10 Million Performance Contract

East Stroudsburg University of Pennsylvania (ESU), located in East Stroudsburg, has signed a $10 million performance contract with the Energy Solutions Division of TAC, a company specializing in building automation, security, and energy solutions.

TAC will provide facility upgrades designed to simplify operations and improve the comfort and efficiency of university buildings. The company has guaranteed that ESU will reduce utility costs by more than $900,000 annually when the project is completed.


The company said its energy conservation measures will affect 1.4 million square feet of university space. These measures will include HVAC system improvements and the installation of direct digital controls (DDC) based on open protocols, thus eliminating the university’s dependence on a proprietary vendor.

TAC will also upgrade ESU’s boilers with controls and economizers, and will provide much-needed humidity control. Last but not least, energy-efficient lighting and water-saving plumbing fixtures will be added.

“This performance contract will not only save the university thousands of dollars, but will also enhance the quality of campus life,” said Scott Heinrich, manager of utilities at ESU. “Some of our facilities were so uncomfortable at times, members of the faculty were voicing complaints. In our Fine Arts Center, high humidity levels had the potential to damage musical instruments and artwork as well as the building itself.”


TAC is delivering this project through performance contracting, a turnkey contracting method in which design, construction, commissioning, and performance measurement are incorporated into one guaranteed, fixed price.

Performance contracting projects are funded in a variety of ways, including general obligation bond funds, maintenance reserve funds, and financing secured against guaranteed energy savings, the company said. It guarantees the amount of savings the projects will achieve, and agrees to pay the difference if that amount is not realized.

Newer, more-efficient equipment and upgraded facility automation systems typically generate the utility savings, maximize energy efficiency, and improve occupant comfort.

“The new open system controls will enable the staff to effectively manage mechanical systems to both increase comfort and save money,” said Wes McDaniel, vice president of TAC Energy Solutions.

East Stroudsburg University, part of the Pennsylvania State System of Higher Education, consists of 61 campus buildings (academic facilities, a fine and performing arts center, eight residence halls housing 2,200 students, and a 1,000-seat dining hall).

For more information, visit www.tac.com.

Publication date: 07/02/2007

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