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					Overview of Sustainable Purchasing Regulations and Reporting Requirements at the U.S. Department of Energy

Definition of Environmentally Preferable (Green) Purchasing

Acquisition of products or services that have a lesser or reduced effect on human health and the environment when compared with competing products or services that serve the same purpose. (EO13423 Instructions)

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Drivers that Direct Federal Agencies to Purchase Green Products
Acts of Congress:
Energy Policy Act of 2005, Farm Security and Rural Investment Act Section 9002, Resource Conservation and Recovery Act Section 6002

Executive Orders 13423 and 13221
Specify environmental preferability in environmental management systems, adds Electronic Stewardship and Sustainable Design, includes standby power devices

Federal Electronics Challenge Memo of Understanding Federal Leadership in High Performance and Sustainable Buildings Memo of Understanding Federal Acquisition Regulation (FAR) DOE Acquisition Regulation (DEAR) DOE Orders 450.1 & 430.1 DOE Acquisition Guide (Chapter 23) and letters See http://www.hss.energy.gov/nuclearsafety/nsep/p2/epp/drivers_and_guidelines.html for information on regulations affecting Green Purchasing
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DEAR Flow Down Clause for Contractors and Sub-Contracts
970.5223-2 Affirmative procurement program. As prescribed in 48 CFR (DEAR) 970.2304-2, insert the following clause in contracts for the management and operation of DOE facilities, including national laboratories. AFFIRMATIVE PROCUREMENT PROGRAM (MAR 2003) (a) In the performance of this contract, the Contractor shall comply with the requirements of Executive Order 13423 and the U.S. Department of Energy (DOE) Affirmative Procurement Program Guidance. This guidance includes requirements concerning environmentally preferable products and services, recycled content products and biobased products. This guidance is available on the Internet. (c) The Contractor shall prepare and submit reports, at the end of the Federal fiscal year, on matters related to the acquisition of items designated in EPA's Comprehensive Procurement Guidelines that Federal agencies and their Contractors are to procure with recovered/recycled content. (d) If the Contractor subcontracts a significant portion of the operation of the Government facility which includes the acquisition of items designated in EPA's Comprehensive Procurement Guidelines, the subcontract shall contain a clause substantially the same as this clause. …Examples of such a subcontract would be operation of the facility supply function, construction or remodeling at the facility, or maintenance of the facility motor vehicle fleet.
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Why Does the Government Target Itself for Green Purchasing? U.S. consumes approximately 25% of the world’s resources with 5% of the world’s population Federal government is country’s largest purchaser of goods and services: over $370 billion Government creates markets for more environmental products, leading to greater product availability and competitive pricing P-Card purchases = 5% of federal purchases (over $17 billion in FY06) = target for opportunity and GAO audits
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Why Does DOE Target Itself for Green Purchasing?
U.S. Department of Energy policy is to implement the Federal Acquisition Regulation (FAR), which for Environmentally Preferable Purchasing is to Implement cost-effective contracting preference programs promoting energyefficiency, water conservation, and the acquisition of environmentally preferable products and services Employ acquisition strategies that affirmatively implement the following environmental objectives (FAR 23.703):
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    

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

Maximize use of environmentally preferable products and services, which includes products with recovered or biobased content designated by the U.S. Environmental Protection Agency or the U.S. Department of Agriculture Promote energy/water efficiency by purchasing ENERGY STAR®/FEMP qualified products Eliminate or reduce the generation of hazardous waste and the need for special material processing (including special handling, storage, treatment, and disposal) Promote the use of nonhazardous and recovered material Realize life-cycle cost savings Promote cost-effective waste reduction when creating plans, drawings, specifications, standards, and other product descriptions authorizing material substitutions, extensions of shelf-life, and process improvements Substitute safe alternatives to ozone-depleting substances (FAR 23.803)

Green Purchasing Benefits

Makes good business $ense Conserves nation’s resources Conserves DOE’s resources Conserves Contractor’s resources Meets federal regulations Meets DOE policy

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Cost Comparison Examples of Green Purchasing

Paint (latex) Recycled (meets commercial paint specs) Toner Cartridge (Canon Machines) Remanufactured Toner Cartridge

$16/gal $8.25 $67.74 $30.67

Paper (truck-load) Recycled Paper Binders (3” White slant “D” /w clear covers) Recycled Binders
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$3.13/ream $2.55 $11.59 $6.28

Principles of Green Purchasing

Reduce purchases Reuse products Use life cycle analyses to select green products with  Designated attributes  Other environmentally preferable attributes, such as non-toxic
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Reduce Purchases
Is the product needed?
Would purchasing a laptop with a docking station reduce the need for staff to have both a desktop and a laptop computer? Would specifying waxless flooring eliminate the need to purchase wax, polish, and wax remover?

Is the product repairable rather than replaceable?
Can the carpet seam be mended?

Is there an alternative?
Could the research be conducted electronically rather than with chemicals?

Would a benign substitute perform as well?
Can hazardous cleaning chemicals be replaced with nonhazardous?
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Reuse Products

Is the product available for free through materials exchanges:
 DOE

Complex Wide Materials Exchange  Your state’s materials exchange  Your site’s office product/chemical/ other materials exchange
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Use Life Cycle Analyses to Select Green Products With specified attributes
Alternative fuels/vehicles  Biobased/recycled content  Energy/water efficient  EPEAT registered electronic equipment  Non-ozone depleting  Sustainable building materials
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With other environmentally preferable attributes, such as non-toxic
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What life cycle aspects should you consider when selecting products?
Raw materials (renewable resource?) Manufacturing process (energy/water efficient?) Packaging (returnable?) Distribution/transportation (locally produced?)
Operation (energy/water efficient?) Maintenance (healthy for staff?) Disposal (reusable or at least recyclable?)

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What product categories have been designated for preferred procurement by Federal agencies?

Biobased content
Farm Security and Rural Investment Act

Recycled content
Resource Conservation and Recovery Act

Alternative fuels/vehicles
Energy Policy Act of 2005

Electronic equipment
Executive Order 13423/Memo of Understanding

Energy and water efficient
Energy Policy Act of 2005

Non-ozone depleting substances
Clean Air Act (Title VI)

Sustainable Building Materials
Executive Order 13423/Memo of Understanding

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When Using or Preparing the Following, Remember to Specify Green Products

Purchasing Card Purchase Request Statements of Work/Requests for Proposal Contracts/Preferred Customer Agreements Template language for a wide variety of products available at http://yosemite.epa.gov/oppt/eppstand2.nsf/Pages/Se arch.html?Open
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Verify Products and Services Meet the Requirements
Ask for percentage of biobased/recycled content not just yes or no Ask for demonstration of their products and quality assurance program Verify products meet all other national standards (ANSI, ASTM, etc.) for commercial products Ask for free products to test Ask for free training on how to install/use products Set up closed loop contracts for carpet, cartridges, ceiling tiles, etc.
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Join Forces to Push Prices Down
Take advantage of Centralized Purchasing – Advantage of bulk purchasing prices Take advantage of Decentralized Purchasing – Preferred Customer Agreements leverage same advantage Compare prices with other DOE sites Check out DOE-HQ Blanket Ordering Agreements (http://www.management.energy.gov/1364.htm)

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Reporting Requirements
Overview of Green Purchasing Reporting Requirements DOE Site Data Input Due Date Various Destinations
EPP Data Website
https://www.hss.energy.gov/NuclearSafety/NSEP /p2/ap/zzlogin.cfm

Annually Dec OMB Scorecard Reports
OFEE EPP Report to Congress DOE P2 and Sustainable Environmental Stewardship Goals (DOE Order 450.1) Report FEMP Reports: Energy/Water, Alternative Fuels/Vehicles, Sustainable Buildings

P2 Data Website
http://www.hss.energy.gov/NuclearSafety/NSEP/ p2/dataentry.html

FAST
https://fastweb.inel.gov/

Federal Bldgs Database
www.eere.energy.gov/femp/highperformance/ind ex.cfm

Giving preference to all designated products is required in contracts and purchases. Reporting is only required for some products
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OMB Scorecard Reports
Environmental Scorecard – Green Purchasing
Meets all EO13423 EMS criteria at all appropriate facilities, including incorporating Green Purchasing Program in EMS  Has a comprehensive, written green purchasing plan which includes biobased/recycled, energy/water efficient, non-ozone depleting and other environmentally preferable products  Demonstrates compliance in representative acquisitions  Audits compliance annually  Develops corrective action plan if applicable  Has sustainability program for electronic stewardship, which includes 95 percent of computer purchases be EPEAT registered  Complies with Guiding Principles for Sustainable Buildings, which includes environmental construction materials
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OMB Scorecard Reports
Energy/Water Scorecard – Energy Efficiency Purchases
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Improves energy efficiency and reduces greenhouse gas emissions by 3% annually (6% by 2007) or a total of 30% by end of FY2015 (baseline year of 2003) Increases renewable energy use 3% annually and at least half from new renewable sources and, where feasible, implements renewable energy generation projects on agency property for agency use Meets 100% of metering plan milestones Submits water baseline data for 2007 Reduces water consumption by 2% annually or a total of 16% by the end of FY2015 (baseline year of 2007) Designs 100% of new buildings 30% more energy efficient than code Demonstrates 75% of newly acquired, covered vehicles are alternative fuel vehicles and requires the use of alternative fuels in those vehicles Reduces fleet’s total consumption of petroleum products by 2% annually Increases total non-petroleum fuel consumption by 10% annually

Transportation Scorecard – Fleet Efficiency Purchases
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 
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OFEE Annual EPP Data Questionnaire

Electronics Stewardship – EPEAT registered products (http://www.epeat.net ) Biobased Content Products – USDA designated products (http://www.biobased.oce.usda.gov/fb4p/Designatio nItems.aspx ) Recycled Content Products – EPA designated products (http://www.epa.gov/epaoswer/nonhw/procure/products.htm)
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OFEE Annual EPP Data Questionnaire

Electronics Stewardship
Total dollar value spent on EPEAT-registered
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Desktop computers Monitors Laptops/Notebooks

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OFEE Annual EPP Data Questionnaire

Biobased Content
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Type of product Dollar total spent on each type of product Supplier of each type of product (GSA, DLA, commercial source)

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OFEE Annual EPP Data Questionnaire
Recycled Content
Total

dollar value spent on designated products  Both with and without specified recycled content  With recycled content  Without recycled content but are justified exceptions

% of success  Without justified exceptions (recycled dollar value divided by the total dollar value)  With justified exceptions (recycled dollar value + justified exceptions value divided by total dollar value) Reasons for inability to purchase recycled Plan of action to overcome obstacles
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Total

OFEE Annual EPP Data Questionnaire
Recycled & Biobased Content Reporting Requirements apply to
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All DOE program offices and facilities, contractoroperated DOE facilities, and applicable state and local agencies receiving Federal funds
All acquisitions, including micropurchases (at or below $2500), in which a product with a designated attribute is acquired Each designated product for which DOE’s (all sites combined) total annual purchases exceed $10,000 in the current fiscal year or exceeded $10,000 in the previous fiscal year.

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Annual DOE P2/450.1 Reporting – EPP Input

Established EPP purchasing objectives and measurable targets in the Environmental Management System Identified sources needed to implement EPP goal and site-specific objectives in budget Participated in voluntary partnerships, such as WasteWi$e and Federal Electronics Challenge Received EPP awards
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Celebrate Successes with Pats on the Back and Awards
Establish Green Purchaser Pat-on-theBack Awards  Ideas: Certificate of recognition or recycled bag or…  Initiatives: Mugs with your logo + gift certificate  Major: Quarterly roving trophy and gift certificate or financial recognition Publish/advertise success stories Nominate your staff for DOE-HQ awards
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Where to Find Green Products
• DOE Environmentally Preferable Purchasing
• Alternative Fuels/Vehicles • Biobased Products
http://www.hss.energy.gov/nuclearsafety/nsep/p2/epp/index.html http://www1.eere.energy.gov/vehiclesandfuels/epact/federal/index.html http://www.biobased.oce.usda.gov/fb4p/Catalog.aspx http://www.epeat.net/

• Electronic Equipment

• Energy/Water Efficient Products

http://www.energystar.gov/index.cfm?c=bulk_purchasing.bus_purchasing http://www.eere.energy.gov/femp/ http://www.epa.gov/docs/ozone/snap/index.html

• Non-Ozone Depleting Substances • Recycled Products
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http://www.epa.gov/epaoswer/non-hw/procure/products.htm

Where to Find Other Green Product Info
• Excess/Free Supplies such as at • Fed Center
http://wastenot.er.doe.gov/DOEmatex/login.asp

http://www.fedcenter.gov/programs/buygreen/

• Office of the Federal Environmental Executive
http://www.ofee.gov

• EPA EPP Database

http://yosemite.epa.gov/oppt/eppstand2.nsf/Pages/Search.html?Open

• DOE-HQ Blanket Ordering Agreements
http://www.management.energy.gov/1364.htm

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To Help You Buy Green at DOE, Contact
Your Preferred Procurement Team
Procurement - Richard Langston (Office of Procurement and Assistance Management) – Tel. 202-287-1339
Environmentally Preferable, Biobased/Recycled Products - Don Lentzen (Office of Nuclear Safety and Environmental Assistance) - Tel. 202-586-7428 Electronic Equipment – Jeff Eagan (Office of Nuclear Safety and Environmental Assistance) – Tel. 202-586-4598 Energy/Water Efficient Products - Shelley Launey (Office of the Federal Energy Management Program) and Rich Karney (ENERGY STAR) – Tel. 202-586-1573 and 202-586-9127 Construction Materials and Equipment - Anne Crawley/Matt Gray (Office of the Federal Energy Management Program) – Tel. 202-586-1505/202-586-0067 Non-Ozone Depleting Substances – Ted Koss/Emile Boulos (Office of Nuclear Safety and Environmental Assistance) – Tel. 202 586-7964/202-596-1306

Vehicle Efficient/Alternative Fuels- Shab Fardanesh (Office of the Federal Energy Management Program) – Tel. 202-586-7011
Environmentally Preferable Purchasing Technical Support – Sandra Cannon – Tel. 509-529-1535
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