Case Study

Hillsborough County Public Schools Reduces Natural Gas Costs by 41%

Hillsborough County Public Schools Reduces Natural Gas Costs by 41%

The opportunity

Hillsborough County Public Schools sought greater control over natural gas costs and improved budget certainty across its extensive portfolio.

With 237 schools and more than 182,000 students, Hillsborough County Public Schools is the sixth-largest school district in the United States. Managing energy expenses across an organization of this scale created a significant need for cost visibility, predictability, and an effective procurement strategy.

The District’s existing natural gas agreement was managed by the State and utilized variable pricing, leaving Hillsborough exposed to daily market fluctuations and potentially higher monthly costs. The District needed greater transparency into its natural gas pricing and a strategy that could provide more control over future energy expenditures.

Analysis

Tradition reviewed Hillsborough’s existing natural gas arrangement and identified opportunities to improve transparency, reduce market exposure, and introduce greater competition into the procurement process. The analysis showed that alternative purchasing structures could provide both meaningful savings and improved budget certainty.

Hillsborough’s existing variable natural gas product changed with daily market conditions, creating volatility and making energy costs difficult to predict. Tradition evaluated alternative product structures that could provide greater price stability.

Because the District’s agreement was managed by the State, Hillsborough had limited visibility into how its natural gas rates were determined and was largely unaware of other available procurement options. Tradition provided the market intelligence needed to evaluate those alternatives and make more informed purchasing decisions.

Tradition identified an opportunity for Hillsborough to access energy advisory and procurement services through its existing relationship with OMNIA Partners, Public Sector. This provided the District with a streamlined path to implement a competitive procurement strategy.

The Result:
Greater Certainty, Significant Savings

Natural Gas Cost Reduction

Through a competitive procurement process involving natural gas suppliers, Hillsborough secured a new rate that reduced costs by 41% compared with its previous agreement.

Thousands In Savings

The new procurement strategy generated more than $540,000 in savings for the District, creating meaningful financial benefits across its extensive school portfolio.

Improved Budget Certainty

By moving away from its previous variable pricing structure, Hillsborough gained greater control over natural gas expenditures and improved its ability to forecast and manage future energy budgets.

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Hillsborough County Public Schools Reduces Natural Gas Costs by 41%