arXiv:2610.20777v1 Announce Type: new Abstract: Buildings account for a significant portion of global electricity consumption, making demand response (DR) an effective strategy for reducing energy costs and improving grid flexibility. This paper presents an optimal energy management framework for a campus building that integrates demand response and battery energy storage systems (BESS) to minimize electricity costs while satisfying operational constraints and occupant comfort requirements. The proposed optimization model schedules building loads and battery charging/discharging based on time-varying electricity prices and building demand profiles. The framework is validated using the Engineering Laboratory Building (ELB) at the University of Michigan-Dearborn as a real-world case study. Four operating scenarios are investigated: (i) baseline operation, (ii) demand response without battery energy storage, (iii) battery energy storage, and (iv) demand response with battery energy storage. Simulation results demonstrate that demand alone reduces the building's electricity cost by approximately 12% compared with conventional operation. When battery energy storage is incorporated, the total electricity cost reduction increases to approximately 26%, highlighting the significant economic benefits of coordinated demand response and energy storage scheduling. The results demonstrate that integrating battery energy storage with demand response substantially enhances the operational flexibility of campus buildings and provides an effective solution for cost-effective and sustainable building energy management.