Green Purchasing Overview and Update

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1 Green Purchasing Overview and Update Dana Arnold, Director Program Analysis Division, Office of Acquisition Management April 17, 2013

2 What Do We Mean By Green? Federal agencies are required by statutes and executive orders to purchase certain products with specific environmental or energy attributes. Green purchasing or sustainable acquisition refers to purchasing products with these attributes and purchasing services under which these products will be supplied or used. For example, janitorial services contracts usually require the contractor to supply replacement paper towels, toilet paper, and plastic trash can lines, all of which can be made from recycled materials. 2

3 Sustainable To create and maintain conditions, under which humans and nature can exist in productive harmony, that permit fulfilling the social, economic, and other requirements of present and future generations of Americans. 3

4 The Federal Footprint U.S. General Services Administration Spent $459 billion on goods and services in FY 2011 Owns or leases more than 659,000 vehicles worldwide (FY 2011) Manages or owns nearly 1 in every 5 acres in the U.S. Single largest domestic buyer and user of energy Real property portfolio of 893,381 assets, including 399,000 buildings (2010) Spends $3.5 billion annually to provide energy to its facilities Released million MTCE in FY2010 4

5 Why Sustainability? All Federal agencies purchase goods and services, operate buildings, own or lease fleet vehicles, and use IT equipment. These four activities create significant environmental and energy impacts. As part of Federal sustainability efforts, Federal agencies are reducing their energy and environmental footprint, including through acquisition. 5

6 Buying Green and Services Contracts Building construction, renovation, or repair Building operations and maintenance Landscaping services Pest management Electronic equipment, including leasing Janitorial services Laundry services Cafeteria operations Meeting and conference services Building interiors/furniture 6

7 What About Green Services? At this time, there is no standard or definition of green services. NSF International developed a protocol and is developing a standard. However, there are services that include the supply or use of products. There also are energy and environmental services, such as management and consulting services. 7

8 Legal Basis of Green Purchasing The requirements for Federal agencies to purchase products with specific environmental and energy attributes are found in laws and executive orders. 8

9 What Are We Trying to Accomplish? The statutes and executive orders have a range of goals and objectives: Create markets for recovered materials and biobased materials Increase building and vehicle energy efficiency Increase building water efficiency Reduce pollution Reduce greenhouse gas emissions Improve worker safety Improve building indoor air quality Demonstrate the viability of green products 9

10 Executive Order E.O , Strengthening Federal Environmental, Energy, and Transportation Management, sets acquisition-related goals for: Purchasing green products (products with specific energy and environmental attributes) Sustainable Federal buildings EPEAT-registered products Non- or low-toxic or hazardous products 10

11 E.O Sustainable Acquisition Goal E.O requires agencies to ensure that 95% of all new contracts, including contract modifications, for products and services specify: Energy-efficient products Water-efficient products Biobased products Environmentally preferable products and services Non-ozone depleting substances Recycled content products Non-toxic or less-toxic alternatives 11

12 Statutory Requirements Recycled content: Resource Conservation and Recovery Act (RCRA), Section 6002 Biobased content: Farm Security and Rural Investment Act (2002 Farm Bill), Section 9002; and 2008 Farm Bill Energy efficient products and alternative fuel vehicles: Energy Policy Act of 1992 and 2005 Building energy efficiency: Energy Independence and Security Act of 2007 Alternatives to ozone depleting substances: Clean Air Act Chemicals: Pollution Prevention Act of

13 Program Scope Recycled content products Energy Star, FEMP-designated, and other energy efficient products and electricity from renewable sources WaterSense and other water efficient products Alternative fuel vehicles/alternative fuels Biobased products Environmentally preferable products and services Electronic Product Environmental Assessment Tool (EPEAT)-registered products Alternatives to ozone depleting substances Non- or less-toxic and hazardous chemicals 13

14 Categories of Products Typically Designated Office products (paper and non-paper) Building construction, maintenance, and operations products Cafeteriaware Personal and institutional cleaning products Landscaping materials Park and recreation products Fleet maintenance products 14

15 Single Attribute vs Multiple Attributes Most of the green product requirements for a single attribute: recycled content, biobased content, energy efficiency, water efficiency, alternatives to ozone depleting substances. The environmentally preferable purchasing component of the Federal green purchasing program looks at multiple attributes. The trend for the future will be to require multiple attributes and will look at life cycle or sustainability issues. 15

16 FAR Provisions FAR Part 23: policies for purchasing green products and services. Part 52: now contains solicitation provisions and contract clauses for: Recycled content paper Recycled content products Energy efficient products Biobased products EPEAT-registered products Services and construction contracts 16

17 FAR Provisions (cont d) Support for green purchasing is threaded through the FAR: - Part 4, Administrative Matters Contractors to submit paper documents on 30% recycled content paper, printed or copied double-sided - Part 7, Acquisition Planning - Part 8, Required Sources of Supplies and Services Consider environmental and energy efficiency considerations when making a best value determination - Part 10, Market Research 17

18 FAR Provisions (cont d) Support for green purchasing is threaded through the FAR: - Part 11, Describing Agency Needs - Part 12, Acquisition of Commercial Items - Part 23, Environment, Energy and Water Efficiency, Renewable Energy Technologies, Occupational Safety, and Drug-Free Workplace 18

19 New FAR Provisions -- Policy Ensure that 95% of new contract actions for the supply of products and for the acquisition of services require green products. 19

20 New FAR Provisions Definition of sustainable acquisition: acquiring goods and services in order to create and maintain conditions (1) Under which humans and nature can exist in product harmony, and (2) That permit fulfilling the social, economic, and other requirements of present and future generations Synopses of contract actions must include sustainable acquisition requirements. Contractor compliance with Federal environmental requirements when operating government-owned facilities or vehicles 20

21 New FAR Provision Biobased Products Clause revised to require contractors to report annually and at the end of contract performance on the product types and dollar value of designated biobased products purchased in the previous fiscal year. Specify an environmental POC for questions and to receive the annual reports. Effective May 18, To be revised this year. 21

22 Data Collection: FPDS Revision Data element 8L, which previously recorded purchases of recycled content products, now also records: Energy efficient products (Energy Star and FEMP) Biobased products (BioPreferred) Environmentally preferable products [includes categories such as EPEAT registered, water efficient, Significant New Alternatives Program (SNAP)/non-ozone depleting, recovered content, and environmentally preferable products/services (EPA designated)] Multiple green product types 22

23 Where Can I Find the List of Designated Products? The U.S. Environmental Protection Agency (EPA), Department of Energy (DOE), and Department of Agriculture (USDA) designate products with environmental and energy for Federal agencies to purchase. GSA consolidates the EPA, DOE, and USDA lists into the Green Products Compilation. This tool contains 25 categories, organized by the way agencies purchase products or services (e.g., office products, office electronics) 23

24 Where Can I Find the List of Designated Products? The Green Products Compilation provides in one place: The designated items Recommend recycled content and biobased content percentages or, for energy efficient products, indications if the energy efficiency requirement is Energy Star, Federal Energy Management Program (FEMP), or Electronic Product Environmental Assessment Tool (EPEAT) Sources AbilityOne, UNICOR, GSA Schedules, GSA Global Supply URLs for the EPA, DOE, and USDA programs for further information 24

25 Green Products Compilation Demo 25

26 GSA Advantage! U.S. General Services Administration 26

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29 FAS Greening The Supply Chain Activities Continuing on-going efforts to increase our green offerings through: Multiple Award Schedules Global Supply GWACs Improving validity of green product information on Advantage! Assessing how to incorporate greenhouse gases and sustainability into the supply chain 29

30 Trends Multiple attribute vs. single attribute Consideration of other attributes Take back programs Green distribution networks Supplier and/or product GHG considerations Green-only requirements on the GSA Multiple Award Schedules Federal Strategic Sourcing Initiative 30

31 For More Information Dana Arnold Director, Program Analysis Division GSA 31