Soaring energy prices and tightening school budgets don't mix well. In fact, millions of children across the United States are being educated in energy-leaking, unhealthful facilities in dire need of physical upgrade and systems modernization. Increasing numbers of K-12 districts and institutions of higher learning are turning to performance-based contracting to address budget-related issues effectively. It's a "budget-neutral" method of contracting that enables a building owner to pay for facility upgrades via the cost savings that are guaranteed to be achieved by making those improvements. It's also an investment in academic performance because renovations often create a more healthful and comfortable classroom setting. Shrinking school budgets no longer are an excuse to delay building improvements. Budget-neutral, performance-based contracting gives education institutions the ability to upgrade facilities, save money, enhance the learning environment and reduce carbon output without breaking the bank.