IRA Direct Pay Energy Tax Credits
Can your District use $2 Million Dollars?
RWB pursues federal energy incentives available through the Inflation Reduction Act (IRA) that allow school districts to receive cash refunds from the IRS for qualifying geothermal, battery storage, and chilled water storage projects.
As tax-exempt entities, school districts can claim certain energy-efficient tax credits to receive funds from the IRS for qualifying projects.
• Geothermal HVAC projects may receive roughly $2M for elementary, $5M for middle, and up to $10M for high schools, based on cost and size
• Projects that began service after January 1, 2023, are eligible for funding
• Tax credits will be available by statute until at least 2032
RWB Consulting Engineers is positioned to assist school districts in exploring IRA Direct Pay Energy Tax benefits to receive cash back from recent construction projects.
How is that?
Here are some of the specific areas where we work with you to prepare a tax credit refund:
• Determination of domestically sourced materials (i.e. steel content) used in the geothermal HVAC system
• Determination of whether your district is located in an Energy Community
• Determination of whether your district is located in a Low-Income area
• Verification of Prevailing Wage compliance for contractors
• Guidance on when to apply based on district fiscal year
• Determination of when the building was placed in service
• Guidance of IRS filing timelines for projects completed during the first two years of the program
Connect with us to Explore Your Benefits!
