Spalding County Uses Performance-Based Contracting to Conserve Capital While Improving Buildings

Last year, Spalding County, Georgia entered into an agreement with NORESCO, a national leader in energy efficiency, resiliency and infrastructure solutions, to identify energy cost savings and conservation measures. In 2020, the county contracted for a $4.9 million construction project funded entirely from guaranteed savings generated from building improvements. The related cost savings have helped preserve the county’s financial position during the global pandemic. Based on the forward-looking decision last summer, Spalding County leaders now have a way to address much-needed building improvements without tapping scarce capital resources.

The scope of the project includes work at 11 buildings in Spalding County. NORESCO analyzed county facilities to determine and design non-personnel, operational cost reduction measures. Utility savings from selected lighting modernizations to LED technology, heating, ventilating and air conditioning (HVAC) replacements, water conservation and building weatherization improvements will fund replacement of the Law Enforcement Center roof. This was a primary need that first drove the county to seek an innovative funding solution, and with this contract in place, the construction is not threatened by budget resource constraints caused by the pandemic.

“The contract with NORESCO will provide much needed repairs to the Law Enforcement Complex along with lighting and other enhancements at several other buildings at virtually no cost to the taxpayers,” said County Manager William P. Wilson, Jr. “Energy savings from these enhancements will pay for these repairs over the 15-year payback period, a collaboration that we are excited to be a part of.”

“Spalding County is setting an example by finding practical solutions to challenges that many local governments face,” said Jim Williams, Vice President NORESCO. “Together, we are applying agile but proven methods to deliver county building upgrades and improvements all while having a positive impact on county government budgets.”

About Spalding County

Spalding County, located in the west central portion of Georgia, is part of the Atlanta Metropolitan Statistical Area (MSA). Spalding County lies 40 miles south of downtown Atlanta and 55 miles northwest of Macon and encompasses 201 square miles. For more information, visit www.spaldingcounty.com.