This paper describes research into the optimal operation of building heating, ventilation, and air-conditioning (HVAC) systems focusing on both temperature and humidity control. While most previous work: on HVAC optimization has been limited to evaluation of conventional temperature-based control systems, this study emphasizes the humidity control issue in meeting both sensible and latent building loads. The analysis is based on a combination of a realistic simulation of a direct expansion (DX) air-conditioning system and a direct-search numerical optimization technique. The simulation models have been validated through comparisons with field data. Optimization was performed on five different system control variables to minimize system power consumption while meeting building loads and maintaining comfort. Indoor temperature and humidity are also optimized within standard comfort constraints. Building loads were modeled using an extended bin method that allows consideration of the interactions between loads and indoor conditions. Results indicate that minimum energy use typically occurs at low airflow rates, with indoor humidity levels below the upper comfort limit. Results also show that coil air bypass and evaporator circuiting control are typically not necessary unless operation would otherwise result in overcooling. The optimization results also translate to relatively simple strategies for system control. Significant savings are demonstrated over conventional control strategies used in packaged DX equipment. (C) 2007 Elsevier B.V. All rights reserved.