Winona Schools Get $5.5M Tax Credit for Geothermal Upgrades

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TL/DR –

Winona Area Public Schools in Minnesota has received a $5.5 million federal tax credit following the installation of geothermal heating and cooling systems at two of its elementary schools. The geothermal system, approved in 2021, utilizes underground water to deliver consistent heating and cooling, marking a major improvement for the nearly century-old buildings. The district, which applied for the tax credit in 2025 and received the funding in March 2026, has not yet decided how to use the funds but plans to invest them in one-time facility upgrades and reinvest in the district’s infrastructure.


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A $5.5 million federal tax credit has been awarded to Winona Area Public Schools in Minnesota, in recognition of its installation of geothermal heating and cooling systems at two of its elementary schools. These sustainable upgrades, approved in 2021, use underground water to deliver stable temperature control throughout the year.

The Superintendent of the schools, Brad Berzinski, highlighted the significance of this modernization for the buildings, which have been standing for almost a century. “Twelve months of the year—heating, cooling, dehumidification—again, certainly improved air quality in two buildings that for over 90 years did not have the benefits of those,” Berzinski stated.

It was through the Inflation Reduction Act of 2022 that the district became eligible for the tax credit. This Act expanded the incentives for projects that champion renewable energy, such as geothermal systems. The application for the tax credit was submitted by Winona Area Public Schools in December 2025, with the funding being awarded in March.

“In March of 2026 we received the credit that we were hopeful for all along, but never counted on,” shared Berzinski. “Never 100 percent certainty that this was going to become a reality.”

With regards to the utilization of the credit, the district’s leaders are still contemplating the best possible course of action. However, Berzinski indicated that the funds are most likely to be channelled into one-off facility upgrades, with an emphasis on infrastructure reinvestment within the district. Berzinski elaborated, “Now to be able to reinvest those dollars into other needs in the district, facility needs in the district—that’s really where our conversation will go moving forward.”

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