When Baylor University was offered a 10-year power contract which would save it between $2 million and $3 million a year on its $13.5 million utility bill, it wondered if it was too good to be true, says Don Bagby, director of facilities management at the 735-acre campus in Waco, Texas.

"We thought it was an outstanding deal, but when you're offered savings of up to $3 million a year for 10 years, you have to look at the whole deal and make sure everyone is going to be happy with it throughout