Energy Conservation Program (H.B. 264)

The Energy Conservation Program allows school districts to make energy efficiency improvements to their buildings and use the cost savings to pay for those improvements.

Frequently called the House Bill 264 Program (after the 1985 law that created this financing mechanism), the Energy Conservation Program gives districts the ability, in this one limited instance, to borrow funds without having to pass a ballot issue for the authority to borrow. This limited borrowing authority has given districts the ability to save millions in utility bills and operating costs, and all at no additional taxpayer expense.

Since the inception of the program, more than 500 Ohio school districts have taken advantage of this opportunity.


09/13/2013 | Guarantee for School Energy Conservation Projects under the HB 264 Program

The above guarantee language is effective for projects executed after 9/29/13. For newly submitted projects, contractors and school districts should incorporate this as supplemental language in their energy performance contracts. We are flexible regarding the method of incorporation; it can be written into the body of the agreement, or included as an attachment or exhibit.

This Word document template allows substitution of some defined terms for consistency with the energy prerformance contract documents. The terms “Contractor,” “District,” and “installment payment contract” are highlighted and unlocked for this reason. For example, the contract may use the term “ESCO” or “the company name” rather than “Contractor.” It is acceptable to replace those references with substitutes for consistency, but please do not substitute contractor responsibilities for district responsibilities, or vice versa. Our technical team will review the HB 264 submittal to ensure that it includes the appropriate guarantee language.


09/13/2013 | Guarantee Language Comments and Responses

We would like to thank everyone for their timely and insightful comments to our proposed guarantee language. Twelve organizations submitted a total of 61 comments, all of which have been considered. We believe that the depth and quality of industry feedback has improved the guarantee for Ohio school projects. We have responded in writing to all comments, some of which resulted in new language in the guarantee. 


Please Note:  The Guidelines for this program are currently under review. Please contact the office of Energy Services at with any questions.

Program Guidelines

Current List of Program Participants