NASHUA – After weighing the benefits of installing solar panels on the roof of Dr. Norman Crisp Elementary School, members of the Nashua Board of Education’s Finance Committee unanimously agreed to suspend any photovoltaic energy project.

Ultimately, committee members were concerned with the project’s potential future cost.

The matter was initially discussed during the committee’s September meeting when Revision Energy Director of Market Development Dan Weeks presented on the financial aspects. Revision officials are currently working with the city of Nashua to install solar panels on several rooftops this year.

Due to the high cost of solar panels, a solar power purchase agreement (PPA) would have been needed.

In a PPA, Dr. Crisp would license its roof to a third-party finance partner for solar. The upfront cost would be zero for the Nashua School District. The PPA rate for the Nashua School District would be 8.8 cents per kilowatt-hour, increasing 2% per year after the second year.

The partner would have the responsibility of building and operating the solar array, and would have ownership for five or more years.

At year six, the district would have the option to purchase a buyout. In this case, the buyout would have cost the district about $400,000.

During the most recent committee meeting, conducted Oct. 10, committee members received a second presentation from Doria Brown, the new energy manager for the city of Nashua, and Deb Chisholm, the project manager for the solar project that the city is implementing. Joining them was also Revision Energy Director of Commercial and Institutional Solar Elijah Garrison.

The purpose of the second presentation was so that the board members could come and learn about the matter and also provide feedback.

“The district doesn’t currently have the funds to even buy this out in year six. So in my opinion, any agreement we enter would be a long-term agreement, with a PPA and a subsequent maintenance contract,” board member Howard Coffman said.

Committee Chair Dotty Oden expressed concerned about the tax break the third-party financer would receive.

“What concerns me is the tax break that they’re receiving is money that’s coming out of the government that has to be replaced. And we’re the ones paying that. That’s how I’m looking at this project,” Oden said. “They’re getting a tax break, and the people who pay the taxes are the ones paying for that tax break.”

Acknowledging Oden’s concerns, Coffman said, “This will benefit the school district to some extent, but it’s not the highest and best use of the $300-$400,000 we’re going to have to buy out later on. Trust me, we’re short right now, this afternoon, about $400,000 on curriculum materials we wanted to buy.”

He later added, “I love solar energy, but I don’t think the financial are in the best interest of the school district. I’ll be up front and say my vote is a no.”

Board member William Mosher said he agreed with Coffman.

“We should be putting our money in other areas of our schools and education,” Mosher said. “We’re going to be putting $100 million in bonding for the middle schools, and if that interest goes up, it’s going to cost us a lot of money. Solar is a nice concept, but we have to look at what is the best benefit for our students.”

After a unanimous vote to suspend indefinitely discussion on the matter, Oden said, “I know this isn’t the result you people were looking for, but maybe we’re more cautious.”

She added, “I think the amount of what we would have to pay to purchase it is a concern. We just don’t have that type of money in the school district. But maybe we’ll learn something from your experience as the city moves forward with this, that we’ll have some indications that people want to look at it again.”

Grace Pecci may be reached at 594-1243, or at gpecci@nashuatelegraph.com.

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