DOE Offers Up to $100 Million for Regional Hubs to Steer School HVAC Upgrades
DOE expects to pick four to eight regional hubs at $2 million to $5 million each per funding round. Hub applications are due Jan. 15, 2027. School districts apply separately in spring or summer 2027 for up to $250,000 each in early building work.
The Department of Energy will award up to $100 million to a network of regional hubs that help public school districts plan and pay for building upgrades, including HVAC ventilation and building controls, the agency announced Oct. 27.
The Affordability + Strategic Energy Pathways for Schools initiative, A+STEPS, is part of the $500 million Renew America's Schools Program, which is funded under Section 40541 of the Infrastructure Investment and Jobs Act. DOE's Office of Critical Minerals and Energy Innovation announced it, and EnergyWerx will manage it under a partnership intermediary agreement with DOE.
"Every student deserves a comfortable place to learn, and every school should have the resources to make that possible," Assistant Secretary of Energy Audrey Robertson said in the announcement.
Hubs first, districts in 2027
In the first phase DOE expects to select four to eight hubs, each receiving $2 million to $5 million per funding round. Hubs will train district energy managers and facility staff, coordinate technical providers, help districts write strategic energy plans and connect them to financing and project-development help. DOE's program page says hubs will also deliver investment-grade energy audits.
Each participating district or other local education agency can receive up to $250,000 for early improvements. DOE lists building audits, HVAC ventilation and building controls, envelope retrofits, electrical infrastructure upgrades, load studies and building monitoring analytics as eligible.
Districts should not apply now. DOE said a separate expression of interest for districts and local partners will follow hub selection.
- Hub applications open: November 2026
- Hub submission deadline: Jan. 15, 2027, 11:59 p.m. ET
- Hub selection notices: expected April 2027
- District and partner applications: expected spring or summer 2027
- District and partner selections: expected fall 2027
Who can sit on a hub
DOE said hubs may be coalitions, and its list of possible members includes regional engineering, energy auditing, commissioning and controls organizations, as well as utilities, energy service companies, performance-contracting networks, workforce boards, technical colleges and contractor associations. Applicants must show regional reach, proven engineering and project-development capability, sound financial and risk controls, and the capacity to serve districts of differing technical and economic backgrounds. Organizations can join a teaming list now to find partners. DOE and EnergyWerx plan an informational webinar once applications open.
Why This Matters to Contractors
A+STEPS routes Renew America's Schools money through regional intermediaries. DOE says the program has put $372.5 million into districts through its 2022 grant round and 2024 prize and grant round, funding improvement projects at about 410 facilities in 36 states. Under A+STEPS a district's direct share tops out at $250,000 for what DOE calls limited early building improvements, so larger HVAC replacements will hinge on the financing the hubs arrange, and district selections are not expected before fall 2027.
Sources
- U.S. Department of Energy, "Energy Department Announces Up to $100 Million to Lower School Energy Costs and Modernize Facilities," Oct. 27, 2026. energy.gov
- U.S. Department of Energy, "Renew America's Schools: Affordability + Strategic Energy Pathways for Schools Partnership Intermediary Agreement," program page. energy.gov
- U.S. Department of Energy, "Renew America's Schools," program page. energy.gov