Only 172 out of 4,500+ California schools got HVAC repair funds before state program shut down
As California students return to classrooms each fall, a growing number of campuses are struggling to keep indoor temperatures safe — not because they don't know what's broken, but because a state program that was supposed to help fix it shut down before most districts could get the money.
The CalSHAPE program, launched in 2020, offered two phases: first, schools could get grants to inspect aging plumbing and HVAC systems; then, based on those findings, they could apply for repair funding. But in 2024, the California Energy Commission ended the program two years early, leaving districts with stacks of inspection reports showing widespread damage — and no clear path to pay for fixes.
According to a 2025 audit by the California Public Utilities Commission, the Energy Commission's complex funding rules created a bottleneck that shut down applications. By the time the program closed, inspections had flagged damaged heating and cooling systems at more than 4,500 schools. Yet only 172 campuses actually received upgrade money.
The implications go beyond discomfort. Earth's warming climate is driving longer and more intense heat waves, and research cited by CalMatters shows that higher classroom temperatures can reduce learning. Students and teachers in late summer and early fall are spending hours in rooms that can become dangerously hot, while administrators scramble for temporary fixes.
Torrance Unified School District, for example, found 300 air-conditioning units that had effectively aged out. Temecula Valley Unified School District discovered roughly one-third of its systems were nearing replacement. Neither district secured phase two funding.
Stephanie Seidmon of UndauntedK12, a nonprofit focused on healthy school environments, said: “We need ways to make sure that we can keep students and staff safe in a changing climate, and HVAC is one of the best ways that we can do that.”
Nearly $191 million of CalSHAPE money remains unspent. If the funds are returned to utility ratepayers, the average household might see only a few dollars to about $25 in savings over the course of a year — even as electricity rates have climbed sharply. Some ratepayer advocates argue that utility bill money was never the right source for school infrastructure projects, but school leaders say changing course now penalizes students.
“This was money that was pulled back unjustifiably,” said Keith Butler, deputy superintendent of Torrance Unified School District.
Advocates for schools are urging the Legislature to reopen CalSHAPE and redirect the remaining funds for their original purpose. Senate staff have supported an extension, but the outcome will be decided in negotiations between lawmakers and Gov. Gavin Newsom’s administration.
Meanwhile, officials are also considering an alternative use for roughly $70 million in interest earned on the unspent money: directing it toward a virtual power plant effort that links home batteries, solar systems and smart thermostats to ease grid demand during heat waves.
For now, districts are left patching together short-term solutions — renting portable chillers, delaying maintenance on still-running units, or simply hoping the state changes course before more systems fail.
“We’ve been band-aiding what we have,” Butler said, “but there will be a point where they are not working in the not too distant future.”