Joint Sustainability CommitteeOct. 25, 2023

1. Sustainable Purchasing Best Practices Presentation — original pdf

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Introduction to Sustainable Procurement Opportunities for local government action SPLC leads a global community of public and private purchasers, suppliers, advocates, and experts dedicated to driving positive impact through the power of procurement. Powering Procurement for Good (c)2023 Sustainable Purchasing Council SPLC’s Broad Membership Coalition A membership of 180+ Distinguished Organizations Leveraging $800B in annual purchasing power Multi-stakeholder membership including Fortune 500s, government, higher education, and specialized non-profits Working together to align and aggregate procurement demand for environmentally, socially, economically sustainable products, services and supply chains (c)2023 Sustainable Purchasing Council Today’s agenda  Baseline definitions  Importance of taking a program approach  Local government examples Baseline definitions HEALTHY COMMUNITY ECONOMY ENVIRONMENT FOR EVERYONE FOREVER Procurement that…  achieves value for money.  strengthens the organization. CONVENTIONAL PROCUREMENT Procurement that…  achieves value for money.  strengthens the organization.  strengthens the economy.  strengthens society.  strengthens the environment. CONVENTIONAL PROCUREMENT SUSTAINABLE PROCUREMENT Sustainable Procurement Sustainable Purchasing Sustainable Purchasing Procurement that…  achieves value for money.  strengthens the organization.  strengthens the environment.  strengthens society.  strengthens the economy. CONVENTIONAL PROCUREMENT SUSTAINABLE PROCUREMENT Responsible Sourcing Responsible Supply Chain Supply Chain Sustainability Sustainable Procurement Purchasing in ways that intentionally strengthen our… (c)2023 Sustainable Purchasing Council Environment Society Economy • Climate protection • Pollution prevention • Waste reduction • Resource efficiency • Habitat preservation • Air and water quality • Health + Safety • Equal opportunity • Fair wages • Employee training • Workers rights • No forced labor • Supplier diversity • Small business • Local jobs • Fair competition • Transparency • Innovation • Corruption-free Benefits to the organization Tangible Intangible + Process efficiency + Innovation + Performance tracking - Regulatory burden - Costs + Supplier relationships + Brand value + Customer satisfaction + Employee satisfaction + Investor visibility - Business risk (c)2023 Sustainable Purchasing Council Taking a program approach Opportunistic Activity vs. Prioritized Strategic Program More work, less impact IMPACT Lack of prioritized focus Prioritization Prioritization Pilot: Environmental Impacts of Higher Education Spend Electricity Food, & Dining Construction & Maintenance Fuels Sanitary & Waste 5 purchasing categories 64% of total spending 83% of estimated impacts 14 Insight: Analysis and prioritization sharpens focus and reduces complexity Strategic Program Approach Vision Prioritized Impacts Focus Areas Goals and Metrics Solution Strategies Benefits of a program approach Individual activities With a strategic program Silos Cross-functional collaboration Efforts are less impactful Efforts are focused on high impact opportunities Evidence of benefits is anecdotal Benefits are tracked, aggregated and reported No authority to prioritize related activities “Permission” and inspiration to participate Local government examples City of Portland • • • • Formal commitment: Sustainable Procurement Policy in place since 2003, most recent amendment in 2022 Holistic approach: Program addresses environmental, social, and economic impacts Staff: 1 dedicated FTE in Procurement, plus collaboration with related departments Alignments: Connects to other City programs/policies (e.g. climate; equity, diversity, and inclusion; green building) In every purchase, the City is a force for good. We think holistically and act responsibly. We advance equity, environmental protection, community health, and market transformation. Alameda County • • • • Formal commitment: Environmentally Preferable Purchasing Policy place since 2011, Procurement directly contributes to the goals set forth in the Climate Action Plan Holistic approach: Program focuses on county priorities of GHG reduction and healthy, resilient communities Staff: 2 dedicated FTE in Sustainability in partnership with Procurement, plus collaboration with related departments Alignments: Connects to MANY related County programs/policies The County’s purchase of good and services protects the climate and supports a healthy community.