Energy costs remain one of the largest, and often least examined, expenses for schools. For many Christian schools in Indiana, aging buildings and outdated systems create unnecessary financial strain. At the same time, significant federal, state, and utility based grants are available to help schools modernize their facilities. Many simply don’t realize these programs exist.

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This article outlines the essentials, where energy waste happens, which grants are available, what timelines matter, and what schools need to begin the process.

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Why Older School Buildings Cost More to Operate

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Most school buildings constructed between the 1970s and 1990s were not designed with today’s energy standards in mind. As a result, they often experience,

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Inefficient Heating Systems
Older boilers typically run at 60 to 70% efficiency compared to 90 to 95% for modern systems, meaning schools pay for fuel they never actually use.

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Outdated Lighting
Fluorescent lighting can consume nearly twice the wattage of LED systems. For a facility with a few hundred fixtures, the difference translates into thousands of dollars annually.

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Heat Absorbing Roofs
Dark roofs reach extreme temperatures during Indiana summers, driving AC systems to work overtime.

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Air Leakage
Gaps around windows, doors, and penetrations can account for 25 to 40% of heating and cooling loss.

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Combined, these issues can cost a typical school roughly $147,000 per year in avoidable energy waste.

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Grants and Rebates Available to Indiana Schools

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Indiana schools, especially those in smaller communities, have access to several overlapping funding sources.

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Federal Infrastructure Funding

Recent legislation includes energy efficiency dollars for educational and nonprofit facilities, typically covering 30 to 50% of project costs. These funds carry a firm deadline.

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State of Indiana Programs

Indiana’s energy office offers supplementary programs that can benefit rural or economically disadvantaged schools.

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Utility Company Incentives

NIPSCO (Northern Indiana Public Service Company) and other utilities provide rebates for efficient lighting, HVAC upgrades, and other improvements.

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USDA Rural Development Grants

Schools in communities under about 20,000 population may qualify for additional funding. Much of Indiana meets USDA (United States Department of Agriculture) rural criteria, giving Christian schools outside metropolitan areas a meaningful boost.

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The key benefit? These programs can be stacked, increasing total funding coverage far beyond what any single grant offers.

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The June 2026 Timeline

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Federal infrastructure funds must be committed, meaning projects must be underway, by June 30, 2026. This is a legislative requirement, not a promotional deadline.

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After 2026, utility rebates will likely remain, but the substantial federal dollars disappear. For schools with aging systems, this creates a short but meaningful window.

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What Energy Upgrades Usually Include

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A comprehensive retrofit often addresses a combination of cool roofs that reduce heat load, LED lighting with smart controls, right sized HVAC systems with modern diagnostics, insulation improvements, air sealing to cut leakage and solar (most effective after efficiency issues are fixed).

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These measures typically lower energy use by 40 to 70% depending on building condition.

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What Schools Need to Provide

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The early steps require only a manageable amount of preparation. 12 to 24 months of utility bills, a brief facility walkthrough (usually under 90 minutes), any available building documentation and a realistic decision timeline due to the 2026 deadline.

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An engineering assessment will then generate specific recommendations, projected savings, estimated costs, and payback periods. Schools can use this report to pursue grants and compare proposals.

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The Stewardship Perspective

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For faith based schools, facility decisions aren’t just financial, they’re also mission driven. Reducing wasteful energy spending can redirect $100,000 or more annually toward teacher compensation, classroom technology, curriculum improvements, scholarships and facility enhancements beyond energy systems.

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Cutting utility costs strengthens the school’s long term ability to serve students and families.

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Steps Schools Can Take Now

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In the next few weeks. Gather utility bills, list current building challenges, research firms experienced with school energy projects and review board schedules to understand decision windows.

Within 30 to 90 days. Schedule assessments, request proposals with funding strategies, contact references and share findings with your board or finance committee.

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Over the following months. Select a contractor, begin grant applications and outline a project timeline, ideally planning major work for summer months.

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Indiana Christian schools face a rare opportunity. Aging facilities, high energy costs, and a limited time set of grants that can offset a large share of upgrade expenses. Exploring these programs does not commit a school to a project, it simply equips leaders with the information needed to make a wise decision.

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For more information, schools can consult their utility provider or visit SchoolEnergyRebates.com to explore current programs and assessment options.

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