More than $6 million in major heating, cooling and electrical upgrades are planned for Fernley schools next summer as part of a $13.46 million package of facility improvements approved by the Lyon County School District Board of Trustees.
The board voted unanimously Sept. 22 to approve $13,462,189 in projects planned for summer 2027, including new boilers at Fernley High School and HVAC, boiler and electrical improvements at Fernley Intermediate School. The two Fernley projects have a combined estimated cost of $6,016,829.
The package also includes a $641,120 HVAC project at Cottonwood Elementary School, $914,110 in boiler work at the Silver Stage Elementary/Middle School dining hall and $4,514,620 in HVAC and boiler improvements at Smith Valley schools.
The projects are part of the district's ongoing five-year capital improvement plan. Executive Director of Operations Harman Bains told trustees the district is seeking approval well ahead of next summer because of lengthy lead times for major mechanical equipment.
According to the district's report, current estimated lead times include about 14 weeks for chillers and air handling units, 16 weeks for boilers and pumps and 20 weeks for electrical switchgear.
Bains told trustees those estimates may represent a best-case scenario and said large data center projects under development in the area are adding pressure to the supply chain.
“Our nice data center factories that are being put up, up on the hill, also take a lot of our equipment for HVAC and is delaying the process,” Bains said. “So, the sooner we can get these procured and coming, the better off we are.”
The district plans to begin procurement immediately, with contractors generally responsible for receiving and securing equipment until it is ready for installation. Bains said the district will not pay for equipment until contractors demonstrate that it has been received.
The 2027 work follows extensive improvements completed at Fernley schools this summer. Those included HVAC and boiler upgrades in the Fernley High School math building, HVAC upgrades in the high school's CTE building and a new roof on the fifth- and sixth-grade wings at Fernley Intermediate School. Fernley High also received new flooring throughout the school, while the Fernley Intermediate multipurpose room received an epoxy bathroom renovation.
Additional Fernley projects are planned for summer 2027 beyond the $13.46 million package approved Sept. 22. The district plans to seek bids for a roofing project at Fernley Intermediate School and continue its rotating flooring and restroom improvement program. Restroom epoxy work is planned at Fernley High School, Fernley Intermediate and Fernley Elementary School.
The district plans to finance the work through another school improvement bond issue.
Immediately after approving the facility projects, trustees considered the next phase of the district's bonding plan. Bains said the Lyon County Debt Management Commission previously authorized the district to issue up to $30 million in general obligation bonds, with $15 million issued previously and another series of up to $15 million planned for 2026.
Marty Johnson of JNA Consulting Group, the district's financial consultant, told trustees approximately $15 million a year is currently flowing into the district's debt-service fund. He projected annual debt payments of approximately $8 million to $12 million over the next five years as older bonds are retired.
Johnson emphasized that debt-service revenues are separate from money used for the district's day-to-day operations.
Bains said the district intends to seek the full $15 million authorization even though the projects approved Sept. 22 total about $13.46 million. The remaining proceeds would help pay for the additional roofing projects as well as flooring, epoxy, doors, windows and other capital work.
The district's written report says it currently has capacity to issue approximately $15 million to $20 million in bonds annually over each of the next two years, with an estimated $75 million in additional bonding capacity becoming available around 2029-30 as existing debt is retired.
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