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Mt. Home Energy Center
Johnson City, Tennessee
Project Background
Veterans Affairs (VA) was in need of energy
efficiency upgrades at their James H. Quillen
Medical Center and also was searching for
a way to leverage new technology to create
a secure source of energy while removing
the risk and variability of the hospital’s
energy supply. And all of this at NO COST to
Veterans Affairs or taxpayers.
Strategies & Solutions
Energy Systems Group developed a first-of-
its-kind solution that leveraged a Federal
Government public/private development
authority to dramatically improve the
entire campus.
Applying the Enhanced-Use Lease concept,
ESG designed, constructed and now operates
a full-service energy center which provides
electricity, steam, and chilled water to the
medical center and school. In addition, all
31 facilities at the center received upgrades
to reduce energy use and improve building
lifespan. Through this on-going $27 million
partnership, VA benefits include:
• Financing Package to Pay for Projects
Without Any Capital Expense from VA
• Reliable & Secure Source of Energy to Meet
all Campus Needs
• Reduced Energy and Operation Costs to
Support Existing Hospital Mission
• Improved Patient & StaffWorking and
Living Environment
As an added benefit, ESG was able to help VA
plan and meet for the campus future by:
• Medical Center receiving a percentage of
revenues from ALL energy sales to non-
Veterans Affairs customers
Key Installed Technologies
Complete Service Energy Center with
• 5.7 MW of electric generation
• 5,000 tons of chilled water systems
• 700,000 gallons of chilled water storage
• 100,000 pounds capacity per hour of steam
production for VA
Lighting Systems
• Retrofit upgrades to lighting systems at 38
buildings
HVAC Systems
• Upgrades and modifications to HVAC
control systems for 38 buildings
Steam Systems
• Refurbished and retrofitted existing steam
supply system
• Centralized steam supply from
energy center
• Centralized chilled water systems
Cost Savings and Energy
Self-Sufficiency
The money that’s saved here
will go into advanced care and
services for veterans at this
hospital... It’s a good deal
all around.”
Dr. Leo S. McKay
Deputy Secretary, Dept. of
Veterans Affairs
ESG is an award-winning energy services company that provides its customers with
innovative energy efficiency, technology, and long-term financing solutions for
modernization of their facilities and energy infrastructure.
www.energysystemsgroup.com
ENERGY SYSTEMS GROUP
PROJECT PROFILE
© 2014 Energy Systems Group, LLC. All rights reserved.
FEDERAL GOVERNMENT