During tough budget times, state and local governments and universities are looking for ways to address critical facilities improvements and reduce annual expenditures, with minimal net cost or risk to the entity.

Hodges Consulting Group represents a Fortune 100 company that provides such a solution through an energy savings plan known as performance contracting. The company provides upgrades in lighting, HVAC systems and water systems, while guaranteeing the savings performance will meet projections. If not, the company writes a check.

One recent state government agency entered into a contract that guarantees savings of $80 million over a 20 year period. Performance contracting provides a win-win opportunity for everyone involved.