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Nacogdoches ISD saves big with State Energy Marketing Program
Posted 05 - 21 - 2015

Electricity savings of more than $344,000 puts more money in the classroom

A recent decision by the Nacogdoches Independent School District to partner with the Texas General Land Office will save local taxpayers more than $344,000 over two years.

"Well done, Nacogdoches ISD. This puts more money back into the classroom and, by partnering with the Texas General Land Office, helps earn money for the schoolchildren of Texas," said Texas Land Commissioner George P. Bush.

Nacogdoches ISD's board of trustees authorized extending the district's electricity contract through 2020, locking in low prices and freezing the district's rate for the next five years. Electricity costs are among any school district’s largest expenses.

"Contracting with the General Land Office makes a lot of sense for school districts," said Nacogdoches ISD Energy Manager Reggie Hudson, who negotiated the deal on behalf of Nacogdoches ISD. "First, you have to be a government agency to be included. Any profit the GLO makes goes into the state's Permanent School Fund — which benefits us all. And then we save about 3 percent in additional taxes and fees we don't have to pay since the contract is with the state."

Nacogdoches ISD superintendent Dr. Fred Hayes shared his appreciation for the program. “Paying less for electricity allows us to put those dollars toward the education of our students,” he said. 

The General Land Office's State Energy Marketing Program converts natural gas from Permanent School Fund lands into electricity, which the Land Office then sells to schools, cities, prisons and other public partners. This provides savings on power bills for the General Land Office's public partners, while earning additional money from Permanent School Fund natural gas, which also helps Texas schoolchildren.

"It's not always news when things work out right, but this is the kind of good work we do every day here at the General Land Office," Bush said.

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