School & District Management

Quick Hacks: How Schools Can Cut Costs and Help the Environment

By Mark Lieberman — December 02, 2022 3 min read
Newly installed solar panels stretch out along the north side of Madison-Grant High School near Fairmount, Ind., on Thursday, Dec. 21, 2017.
  • Save to favorites
  • Print

School districts often struggle to navigate the vast web of funding opportunities to support ambitious projects. The problem isn’t a dearth of money, but a dearth of capacity to actually locate and receive the money.

Case in point: Earlier this year, President Joe Biden signed into law a $430 trillion spending package aiming to reduce the devastating effects of ongoing global climate change. The headlines from that package had little to do with schools.

But tucked inside the bill lies a handful of provisions that could have a major impact on districts’ budgets, according to a new guide from the Aspen Institute and the World Resources Institute.

See Also

Haley Williams, left, and Amiya Cox hold a sign together and chant while participating in a "Global Climate Strike" at the Experiential School of Greensboro in Greensboro, N.C., on Friday, Sept. 20, 2019. Across the globe hundreds of thousands of young people took the streets Friday to demand that leaders tackle climate change in the run-up to a U.N. summit.
Haley Williams, left, and Amiya Cox participate in a Global Climate Strike at the Experiential School of Greensboro in Greensboro, N.C., in September 2019.
Khadejeh Nikouyeh/News & Record via AP

Authors of the guide Natalia Akopian, Michelle Faggert, and Laura Schifter sifted through hundreds of pages of legislation to craft a roadmap for schools to reap the benefits of the law. Here’s a roundup of all the money that’s available to schools right now for projects that also promise to reduce the long-term costs of climate change and help the environment.

Solar energy

Districts are eligible to apply for tax credits that help defray the cost of solar panels or geothermal heat pumps, which transfer heat from the earth to buildings. Both technologies can reduce schools’ reliance on gas and provide learning opportunities for students as well.

Some projects are eligible for tax credits totaling 30 percent of the upfront cost. Districts can also get additional tax credit help for projects if they’re located in low-income communities or if they use certain materials, such as specific kinds of iron and steel, produced in the United States.

A bonus for the school district finance officials: These funds will come to districts in the form of “direct pay,” which means the IRS will send them as cash payments. Previously, a third party would have had to claim the credits and pass the benefits to schools—a more cumbersome and lengthy process.

Schools are also eligible for separate tax credits for the value of the solar energy they produce.

See Also

Composite image of school building and climate change protestors.
Illustration by F. Sheehan/Education Week (Images: iStock/Getty and E+)

Clean transportation

Tax credits are also available for districts that want help purchasing electric buses, which are more expensive than buses fueled by diesel. Vehicles that weigh more than 14,000 pounds could qualify districts for up to $40,000 in relief. Once again, direct pay is an option.

Districts could pair tax credits from that offering with funds from the $5 billion pot of grant money that the U.S. Department of Energy is doling out to help schools transition to electric buses. Connecticut, Maryland, and New York have already passed laws nudging school districts to electrify their fleets in the next 10 to 15 years, as have some cities, such as Boston. More are likely to follow.

Buses aren’t the only transportation-related item of note in the bill. Electric vehicle chargers are growing more popular nationwide, and a handful of schools have already installed them in parking lots for staff, bus drivers, and community members to use. Districts that install electric vehicle chargers, which can also provide power to school buildings in case of emergency, are eligible for reimbursement worth 30 percent of the cost.

Energy-efficient construction and technology

Schools use incredible amounts of energy every year, emitting an estimated 72 million metric tons of carbon dioxide into the atmosphere—the equivalent of eight coal plants, or 18 million homes, according to one analysis.

And they pay a steep price for it—nearly $8 billion, according to the U.S. Department of Energy. Improving energy efficiency can be a win-win for districts that want to save money and it can help the environment.

Here, too, federal tax credits can pave the way. For projects that reduce energy usage by 25 percent, schools can get reimbursed for 50 cents per square foot of the project area. For each additional percentage point of energy reduction, the tax credits will grow by two cents, up to $1 per square foot.

Schools can also multiply those credits by five if they meet certain federal requirements for apprenticeship opportunities and wages for construction workers. And the $500 million in grants announced by the U.S. Department of Energy can provide another boost.

Another possible opportunity for grant funding lies with the establishment of “Green Banks,” which states, municipalities, and tribes can tap for quick seed money to launch projects that reduce greenhouse gas emissions. Schools could partner with their state or local governments to reap the benefits of those funds.

Events

This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Reading & Literacy Webinar
The Future of the Science of Reading
Join us for a discussion on the future of the Science of Reading and how to support every student’s path to literacy.
Content provided by HMH
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
College & Workforce Readiness Webinar
From Classrooms to Careers: How Schools and Districts Can Prepare Students for a Changing Workforce
Real careers start in school. Learn how Alton High built student-centered, job-aligned pathways.
Content provided by TNTP
Mathematics K-12 Essentials Forum Helping Students Succeed in Math

EdWeek Top School Jobs

Teacher Jobs
Search over ten thousand teaching jobs nationwide — elementary, middle, high school and more.
View Jobs
Principal Jobs
Find hundreds of jobs for principals, assistant principals, and other school leadership roles.
View Jobs
Administrator Jobs
Over a thousand district-level jobs: superintendents, directors, more.
View Jobs
Support Staff Jobs
Search thousands of jobs, from paraprofessionals to counselors and more.
View Jobs

Read Next

School & District Management Q&A ‘A Nice and Gentle Disrupter’: Meet the New Principals of the Year
The award went to middle school principal Damon Lewis and high school principal Tony Cattani.
11 min read
Damon Lewis, the principal of Ponus Ridge STEAM Academy, and Tony Cattani, the principal of Lenape High School, receive their awards at the annual National Association of Secondary School Principals Illuminate Principal of the Year Celebration in Seattle.
From left, Damon Lewis, the principal of Ponus Ridge STEAM Academy, and Tony Cattani, the principal of Lenape High School, receive their awards at the National Association of Secondary School Principals conference in Seattle. They were both named the 2025-26 National Principal of the Year.
Courtesy of Allyssa Hynes/National Association of Secondary School Principals
School & District Management Opinion The Stunning Resignation of UVA President Jim Ryan—and Why It Matters
The university president’s departure is more than just a headline. It’s a lesson in leadership.
2 min read
Opinion Licensed Not for Reuse Wait What FCG
Canva
School & District Management In Their Own Words This Custodian Got Students to Stop Vandalizing and Take Pride in Their School
Andy Markus, the 2025 Education Support Professional of the Year, helped boost behavior and engagement in his Utah district.
5 min read
Andy Markus, the head custodian at Draper Park Middle School, in Draper, Utah, sits for a portrait during the National Education Association's 2025 Representative Assembly in Portland, Ore., on July 3, 2025. Markus was named the 2025 NEA Education Support Professional (ESP) of the Year.
Andy Markus, the head custodian at Draper Park Middle School, in Draper, Utah, sits for a portrait during the National Education Association's 2025 representative assembly in Portland, Ore., on July 3, 2025. Markus was named the 2025 NEA Education Support Professional of the Year for his mentorship of students.
Kaylee Domzalski/Education Week
School & District Management What the Research Says About School Boards: How Much Conflict Really Is There?
Plus, how competitive are board elections? How much do teachers' union endorsements matter?
7 min read
Houston ISD's appointed school board votes on the "District of Innovation" status during their monthly work session meeting at HISD Central Office on Sept. 7, 2023 in Houston.
Houston's appointed school board takes a vote during a meeting on Sept. 7, 2023 in the district's central office. A number of studies from recent years have answered questions about school boards' makeup, how competitive board elections are, whether conflict is on the rise, and more.
Karen Warren/Houston Chronicle via AP