November 9, 2026
On October 27, the U.S. Department of Energy announced the Renew America's Schools: Affordability + Strategic Energy Pathways for Schools (A+STEPS) Partnership Intermediary Agreement (PIA), a Renew America’s Schools program initiative that will provide up to $100 million to establish regional hubs focused on helping public school districts reduce operating costs, improve the reliability of essential building systems, and develop financeable plans for facility improvements, with the intention of maximizing public and private investments.
The regional hubs will be made up of coalitions of several types of organizations, which will be chosen after DOE reviews all applications. The hubs will be well positioned to serve the unique needs of nearby school districts, providing training to school district energy managers, helping districts develop strategic energy plans, connecting districts to financing and project-development assistance, and supporting limited early building improvements.
NAESCO and its members often see firsthand how detrimental a lack of resources can be to a school district when they are exploring capital infrastructure projects or trying to tackle deferred maintenance. Without access to the right information and expertise, districts may spend limited capital less effectively, rely on one-time vendor relationships instead of long-term partners, and place unnecessary pressure on taxpayers to fund projects. The result is often delayed modernization efforts and missed opportunities to create cleaner, healthier, and more resilient schools.
NAESCO applauds the DOE for prioritizing an education-first initiative and building a scalable, regional approach to supporting school districts across the country. Most notably, the initiative recognizes the value of the energy services industry by identifying energy service companies, public-purpose finance providers, performance contracting networks, and mission-driven lenders as possible participants in regional hub coalitions (see the full list of the types of organizations the DOE is looking for here). These organizations have decades of experience partnering with school districts. Bringing this expertise directly to districts can help expand awareness of proven procurement, project delivery, and financing pathways, ultimately accelerating investments in schools.
The need is urgent. A recent GAO report found that about one in five school districts canceled classes last year because of failing facilities, and that more than half of districts consider their facilities budgets insufficient. NAESCO looks forward to working with DOE as the A+STEPS hubs take shape to help districts make full use of energy savings performance contracts (ESPCs). Through an ESPC, an energy service company designs, finances, and installs facility upgrades that are repaid over time by guaranteed energy and operational savings. Paired with an ESPC, even limited public funding can unlock comprehensive modernization instead of one-off repairs, and it can deliver the preventive maintenance and technical expertise that GAO identified as hallmarks of well-managed districts.
The A+STEPS initiative reflects years of collaboration and advocacy among organizations committed to advancing K-12 infrastructure. This initiative will provide school districts with greater access to trusted partners and the resources needed to advance their districts and communities forward.
About The National Association of Energy Service Companies (NAESCO)
The National Association of Energy Service Companies (NAESCO) is the leading advocacy and accreditation organization for Energy Service Companies (ESCOs) and is dedicated to modernizing America's building infrastructure. NAESCO unites the energy service industry by promoting favorable government policies, sponsoring a rigorous accreditation program, and providing professional training and education. NAESCO champions the interests of ESCOs across the nation.
Learn more about NAESCO, its members, membership benefits, and the accreditation process at www.naesco.org, and follow NAESCO on LinkedIn (@naesco). View the full list of NAESCO-accredited companies here: https://www.naesco.org/accreditation/accredited-companies/.