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Procurement


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Article

Seasons change: Addressing environmental issues takes many forms

Seasons change: Addressing environmental issues takes many forms

  • Written by Tammy Rhimes
  • 19th September 2023

With extreme temperatures, increasing natural disasters and seasonal changes that are no longer predictable, environmental concerns are growing across the world. As a result, government and educational institutions, through their political bodies and leadership, are now mandating and prioritizing sustainability for their communities. The measures being taken, and goals being met, take many forms to combat this growing problem.

Procurement can focus efforts
Federal government stimulus packages issued since the pandemic have included funding that provides for various environmental initiatives, such as air or water quality, electrification and energy efficiency. In addition, states and local jurisdictions are funding and implementing programs to mitigate pollution and waste, as well as proactively re-define their own operations to become more environmentally friendly. As government entities are huge consumers of products and services, and responsible for public structures and community facilities, it makes sense the function of public procurement and contracting can be a conduit for change.

GovWin from Deltek provides comprehensive market intelligence, studies and reports regarding the U.S. federal, state, local as well as Canadian governments. According to its July 2023 report, “Environmental and Social Initiatives to Watch in SLED Government Contracting,” “the environmental and social contracting market encompasses all industries and service types. Environmental initiatives can be construction, consulting or IT related.”

As government entities construct, repair and maintain facilities, sustainability is often incorporated through the formal bid and contracting process. Annually, hundreds of thousands of bids are issued across multiple political bodies across the nation. The report continues, “the volume of issued bid requests and RFPs each year mentioning some aspect of sustainable or ‘green’ construction has significantly increased since 2019. The result was a trend moving from around 15,000 for 2019 up to well over 22,000 for 2022.”

The shift toward sustainable construction practices can include, but not limited to, purchasing green building materials, reducing waste from the site, performing activities in an energy efficient way, conserving water and creating a smaller carbon footprint. These types of requirements within bid documents are increasing, and awarded contractors must comply. Civil Structural Engineer Media reports, “clients and stakeholders—including governments—are more likely to choose construction companies that demonstrate a commitment to sustainable practices.”

Expert advice and collaboration is key
Many government teams and political bodies wish to create comprehensive sustainability programs, but often do not know where to start. Without in-house expertise or adequate resources to create and implement environmentalinitiatives, they often seek guidance from outside experts to assist their efforts.

The Sustainable Purchasing Leadership Council (SPLC) is a global community of purchasers, suppliers, advocates and experts committed to driving positive impact through the power of procurement. By connecting members directly to sustainable procurement expertise, SPLC has a proven track record of supporting hundreds of organizations as they design and execute meaningful sustainable procurement strategies.

According to SPLC CEO Sarah O’Brien, “Over the past decade, we have helped entities design custom roadmaps for sustainable procurement success and provided network resources for faster learning and professional support.” One such success story is Alameda County, Calif., an early leader in green purchasing and has made significant efforts in recent years to support a greater community of procurement professionals across multiple entities.

The board of supervisors adopted two foundational policies that continue to strengthen and guide work on green purchasing—the Alameda County Climate Action Plan for Government Services and Operations Resolution (R-2010-170), and the Environmentally Preferable Purchasing Policy (R-2011-108). As one of the largest counties in the nation, Alameda County recognizes that a great barrier for smaller agencies and organizations is limited capacity. Many agencies do not have time to conduct extensive market research when purchasing goods or struggle with greening their procurement practices.

The roundtable is a unique idea to help address that issue. This collaborative method brings together public agencies to share green purchasing strategies and recommendations for products and services for human and environmental health. Shared information can highlight a wide range of product categories in which the county researches and shares those alternatives that not only have environmental benefits, but are proven in the field, more cost-effective, or better for the health and safety of workers.

Staff from relevant roles, such as purchasing, public works and sustainability, can talk with one another and connect across functions to better understand green purchasing best practices and how to surmount organizational barriers. For example, the county and its local partners have ambitious greenhouse gas emissions reduction goals. Because some efforts, such as charging station availability, can multiply impact when implemented throughout a region, procurement coordination is a key strategy for effective climate action.

The results of this collaboration have been impressive. Thirteen cities have been able to utilize the county’s green contracts to secure recycled paper and office supplies for their own jurisdictions. In addition, 12 local preschools have used the county’s specifications for janitorial supplies that are safer for staff and children in areas where cleaning chemicals are used. Through convening 16 green purchasing roundtables, resources have been shared with 345 employees from 31 different public agencies.

“Roundtables provide a space for employees to gain technical assistance from subject matter experts, learn about the co-benefits of environmentally friendly products on health and safety, and get answers to their questions,” O’Brien says.

Move toward electrification
Government fleets are among the early adopters of electric equipment as they seek solutions to support sustainability initiatives and meet growing demands from the public and elected officials. Currently, there are many options when purchasing a hybrid or electric car or truck, however heavy equipment is a relatively untapped area.

The Maryland-National Capital Park and Planning Commission (M-NCPPC), Department of Parks and Recreation, Prince George’s County, adopted a comprehensive sustainability action plan, spanning FY 2023-2027. By focusing on the 10 principals outlined in the Bioregional’s One Planet Living Framework, these guiding principles allow the organization to explore innovative solutions to meet their sustainability goals.

Serving a population of 1 million people, more than 28,000 acres of recreational areas, and more than 170 miles of trails, Prince George’s County’s mission is to maintain and improve ballparks, playgrounds and trails in a sustainable way. Contracting with Volvo Construction Equipment, the newly purchased 125 Electric compact wheel loader and ECR25 Electric compact excavator are already on the job.

“Our teams are excited about these new machines because of our focus on reducing the county’s carbon footprint. We’re using the loader for moving mulch and soil on projects, and even in our own lot for snow removal and mowing,” says Andrew Phillips, division chief, facility services, Department of Parks and Recreation for Prince George’s County. Phillips continues, “Equipment operators are impressed by how quiet the electric machines are along with the ease of use, simple maintenance and high performance compared to a conventional diesel machine.”

According to Stephanie McCall, vice president of key accounts, Volvo CE, “Prince George’s County was the first government agency in North America to purchase our electric machines, and we’re happy to support their goals in reducing emissions within their communities.” Through a Sourcewell cooperative contract, the agency was able to purchase from a local dealer, McClung-Logan Equipment Co., and obtained discount pricing. The electric machines are charged using 120-volt and 220-volt outlets already found in government buildings and claim a lifetime of battery-electric components should be equal to or better than a diesel engine on a conventional machine.

In response to the growing demand from government fleet teams, Volvo CE is looking to the future with five commercially available electric compact machines, a new electric asphalt compactor and pilot projects currently fielded with mid-size electric excavators. By electrifying as much equipment as possible within their fleet, Phillips believes they’ll be ahead of any upcoming regulations. More importantly, they are doing it because it’s the right thing to do. “We are all stewards of the environment and need to be seeking long-term gains over short-term thrills,” Phillips says.

Companies increase environmental focus
When government teams become focused on environmental initiatives, so do companies who serve and market to them.One such company, Fastenal, built a dedicated team focused on environmental, social and governance (ESG) in 2021, and recently released its inaugural ESG report. The goal is to ensure supplied products comply with applicable standards and regulations across global supply chains, by incorporating the Ten Principles of the United Nations Global Compact in its operations, including a supplier code of conduct.

With more than 20,000 employees, 3,200 selling locations and hundreds of government clients, this increased sustainability focus can have a huge impact. In 2022, Fastenal announced its intention to work towards net zero emissions by 2050, including the establishment of science-based targets within the next two years. All distribution centers and corporately managed facilities have completed LED lighting retrofits, with additional efficiency upgrades.

Dave Olson, CSP, REP, corporate EHS & sustainability director for Fastenal offers five ways through a Blueprint for any organization to begin environmental responsibility through procurement:

  1. Identify high-spend categories for your organization. Those areas with the largest consumption or recycling challenges can result in the greatest opportunities.
  2. Partner with suppliers to support your efforts. They can be nationally recognized manufacturers or small local businesses—everyone has ideas to contribute.
  3. Designate a key employee to lead the effort. In theory, everyone could be advocating sustainable business practices, but it helps to have someone in charge to report and keep the momentum going.
  4. Coordinate directly with employees, purchasers and managers to educate key stakeholders to support the cause.
  5. Let people know what you are doing. Create conversation and provide updates to your team, customers and community around the solutions to become more sustainable.

Many products like textiles, plastics or even packaging claim to be biodegradable or recyclable, however it is crucial to qualify these products through ever-evolving national standards. To meet a broad range of customer needs, Fastenal has vetted 53,000 green products, including more than 12,350 certified and 40,600-plus environmentally preferred products. When these products are given higher placement within an on-line shopping experience, it drives greater achievement of environmentally friendly purchasing goals.

Sustainability in small steps
When faced with the challenges of worldwide environmental needs, it’s difficult for an individual or single company tobelieve they can make much of a difference. Sometimes, the accumulation of small efforts that result in positive change.

Susan Walker started her career by editing books and later, selling books to K-12 school districts across Arizona. When greater monthly income was needed, Walker decided to start her own book business, literally out of her garage. She began purchasing new and used books to build the initial inventory, with a website to create an internet presence to sell on-line.

Moving forward to today, Walker Bookstore has become a successful business, selling to private, charter and public school systems. When a faculty member orders new books, Walker Bookstore will often purchase the older books, and either roll their buy-back into the purchase price or return money to the school for their book budget. Books that were no longer needed provided a recycling opportunity for social good.

In 2015, Walker discovered Books for Africa, the largest shipper of donated books to the continent. In 2022, the program shipped 3.2 million books, plus 355 computers and e-readers containing more than 1 million digital books to 27 African countries, which were shared with schools and underserved communities. Walker Bookstore donates hundreds of thousands of books a year to Books for Africa.

Recently, a staff member suggested donating books to a sheriff’s department. As families visit relatives in the local prison, the children often sit in waiting rooms for long periods of time, so the department asked if Walker Bookstore would have any spare books to create a small library. Developing a partnership to serve this unique need, Walker Bookstore has provided more than 1,000 books to prisons.

While focused on the bottom line, Walker also searches for opportunities to give back, enabling the business to win accolades such as a finalist in the recent Better Business Torch for Ethics Award and 2022 Success Award this year from the Small Business Administration of Arizona. “People have unique needs, but don’t always have a way to address them,” Walker says. “When a company takes the time to engage, and learn more about a particular need, it can provide amazing sustainability opportunities.”

Tammy Rimes, MPA, is the executive director of the National Cooperative Procurement Partners (NCPP). She formally served as purchasing agent for the city of San Diego, the ninth largest city in the nation, and emergency logistics chief during the 2007 Witch Creek Fires. Under her leadership, the city consolidated its warehouse operations, centralized all purchasing and contracting operations, and moved to a more customer focused approach.

Tags: homepage-featured-1 homepage-featured-2 homepage-featured-3 homepage-featured-4 Administration Cooperative Purchasing Procurement Public Works & Utilities Administration Procurement Public Works & Utilities Article

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