Emile Monette Senior Advisor FAS Office of Acquisition Management

1. Sustainable Acquisition: The 95% Rule GSA Heartland Sustainability Forum Overland Park, KS August 24, 2011 Emile MonetteSenior AdvisorFAS Office of Acquisition Management

2. Sustainable Acquisition: The 95% Rule • A Definition of Sustainability • Business Opportunities • Sustainable Acquisition • FAR 95% rule • Greening of GSA contracts • Integrating “sustainability” into acquisitions

3. Sustainability – what does it mean? • EO 13514 definition: • “[T]o 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” • Paradigm Shift • Sustainability will force a fundamental and persistent change in how companies compete

4. Opportunities for Businesses • “Sustainable business practices and products are opening up new markets and sources of demand; driving new business models and sources of innovation; changing industry cost structures; and beginning to permeate business from corporate strategy to all elements of operations.” -- www.unglobalcompact.org • Risk and cost reductions value creation

5. FAR 95% rule - Effective May 31, 2011 • 95% of “applicable” new contract actions for products and services require green products • “Applicable contract actions” include: • Purchases of products required by statute or executive order to have environmental or energy attributes, and • Purchases of services in which products will be supplied or used.

6. FAR 95% rule - Purchases of products • Any type of product listed on the GSA Green Product Compilation (www. gsa.gov/greenproductscompilation) • Includes purchase card transactions • The products listed have EPA, DOE, or USDA designations or guidance for product environmental or energy attributes. 

7. FAR 95% rule - Purchases of services • Require the use or supply of green products: • Building construction, renovation, or repair; • Building operations and maintenance; • Landscaping services; • Pest management; • Electronic equipment, including leasing and maintenance; • Fleet maintenance; • Janitorial services; • Laundry services; • Cafeteria operations; or • Meetings and conference services.

8. Greening of GSA offerings • Sustainability standards in contracts • Government-wide energy management services BPA • Updated environmental icons in GSA Advantage • Adding 5,603 hybrid vehicles to the federal fleet • Introducing plug-in electric vehicles to the federal fleet

9. Integrating “green” into acquisitions • Market research – sustainability “best in class” • Identify sustainable requirements in solicitation • Require electronic document submission • Address total environmental impact • Packaging, delivery, performance, disposal • Evaluation factors • Best value – includes environmental impact

10. ICYMI • A Definition of Sustainability • Business Opportunities • Sustainable Acquisition • FAR 95% rule • Greening of GSA contracts • Integrating “sustainability” into acquisitions

11. Additional Resources • www.epa.gov/cpg • www.epa.gov/epp • www1.eere.energy.gov/femp • www.energystar.gov • www.epa.gov/WaterSense • www.gsaadvantage.gov/environmental • www.gsa.gov/greenproductscompilation • www.gsa.gov/GOGREEN • www.biopreferred.gov • www.epa.gov/ozone/snap/ • www.epeat.net

12. But Wait, There’s More! • FedCenter: http://www.fedcenter.gov • E.O. 13514 section • Sustainable Acquisition section • Questions, Concerns, or Comments: emile.monette@gsa.gov (703) 605-5470