State Buildings Energy Conservation Program

The State Buildings Energy Conservation Program (SBECP) was initiated in 1989 to reduce energy costs in state government. The program reduces utility bills and uses the savings to repay the cost of the project and eventually into other state buildings conservation projects.

The program serves state agencies, universities and more recently community colleges. Every state agency and every branch of the university system has used the program at some point in the history of the program.

The SBECP is a revolving, self-funded program authorized by state statute. The SBECP also falls under federal authority, since federal funds were used to start the program in 1989. Also, in 2009 the U.S. Department of Energy provided a one-time investment of $21 million dollars to fund the revolving aspect of the program.

State statute provides the direction for the program, including the details of how it operates. In addition to the direction provided by statute, projects are presented each legislative session for approval before the Long Range Planning Subcommittee for approval. The federal role largely governs approval of how the funds are spent.

Administration

The program is administered by the Department of Environmental Quality (DEQ) through the Energy Bureau. DEQ coordinates closely with the Long Range Building Program at the Department of Administration. DEQ independently identifies projects where energy savings can be captured, and also reviews all submissions to the Long Range Planning Program for potential energy savings.

In 2009 an additional $3 million in general funds were combined with a one-time-only infusion of $21.738 million in federal American Recovery and Reinvestment Act (ARRA) funds. This large infusion of federal dollars caused a rapid ramp-up with as many projects underway in the three years between 2009-2012 as there has been in the previous 20 years of the program.

Projects

Projects range from lighting and building control upgrades to major facility Heating, Ventilation & Air Conditioning (HVAC) change-outs. Some of the more modest investments in lighting and building controls offer excellent and quick returns on investment, thanks in part to incentives and energy auditing assistance provided by Montana’s major utility, NorthWestern Energy. Larger projects were typically approached as part of broader deferred maintenance investments that mixed federal Stimulus funding with state Long Range Building Program funds. Energy savings to the state are approximately $8.1 million annually – or more than 100,000 MMBTU. 

For more information on SBECP projects, visit this SBECP page.