CITY OF Los ANGELESBOARD OF PUBLIC WORKS

MEMBERSCALIFORNIA OFFICE OF THE

BOARD OF PUBLIC WORKS

200 NORTH SPRING STREETROOM 361, CITY HAll

LOS ANGELES, CA 90012(213) 976-D261

(213) 976-0276 Fax

ARLEEN P. TAYLOREXECllTNE OFFICER

KEVIN JAMESPRES!DENT

MONICA RODRIGUEZVICE-PRESIDENT

MATI SZABOPRESIDENT PRO TEMPORE·

MICHAEL DAVISCOMMISSIONER ERIC GARCETTI

MAYOR

http://www,bpw.lacity.org

BARBARA ROMEROCOMMISSIONER

January 24, 2014

#1 BOS

Mayor Eric GarcettiRoom No. 305City Hall

Attn: Mandy Morales

City CouncilRoom No. 395City Hall

Subject: ENVIRONMENTALLY PREFERABLE PURCHASING (EPP) ANNUALREPORT FY 2012-2013

As recommended in the accompanying report of the Director of the Bureau of Sanitation,which this Board has adopted, the Board of Public Works hereby requests your approvalto continue with the following recommendations:

1. Receive and file the Environmentally Preferable Purchasing (EPP) Annual Report FY2012-2013.

2. That the Bureau of Sanitation continue to educate City employees about the EPPProgram to increase awareness so that employees purchase environmentallypreferable products in place of traditional products where feasible.

3. That the Bureau of Sanitation continue to test a tracking method for Sanitation's EPPpurchases to create a model for other departments. Also, that the General ServicesDepartment (GSD) work with purchasing system vendor to test out a system trackingmethod. .

4. That the Bureau of Sanitation continue to research greenhouse gas (GHG) calculatorsand work with the contracted vendors and departments to evaluate the impact of usingEPP products to reduce GHG emissions.

Mayor and Council -2- #1 BOS1/24/14

5. That GSD continue to review and analyze stock items provided by the GSDDistribution Center Group (DCG) to ensure that green products are identifiable in theDCG catalog and are available for purchase.

6. That the Bureau of Sanitation keep the focus of the Clean Your Files Month campaignon the impacts of paper usage on GHG emissions by City offices.

FISCAL IMPACT

Board approval of this report will have no fiscal impact on the General Fund as thisprogram does not require expenditures for EPP products above the cost of conventionalproducts. The EPP Ordinance stipulates that the City of Los Angeles increase itspurchase of environmentally friendly products while remaining fiscally responsible.

Respectfully submitted,

APT:mp

DEPARTMENT OF PUBLIC WORKS

BUREAU OF SANITATIONBOARD REPORT NO.1January 24,2014

ADOPTED BYTHE BOARDPUBLIC WORKS OF THE CITY

A ...... ofLosAnlle.le.s California......., REfERRED TOTHE MAYOR

AND REfEd~ td~Jbl.OUNCIL '"

CD: ALL

ENVIRONMENTALLY PREFERABLE PURCHASING (EPP) ANNUAL REPORT FY2012-13

RECOMMENDATIONS

The Bureau of Sanitation (Sanitation) recommends that the Board of Public Worksapprove and forward this report to the Mayor and City Council and continue with thefollowing recommendations:

1. Recommend that Council receive and file this report.

2. Sanitation continues to educate City employees about the EPP Program to increaseawareness so employees purchase environmentally preferable products in place oftraditional products where feasible.

3. Sanitation continues to test a tracking method for Sanitation's EPP purchases tocreate a model for other departments. General Services Department (GSD) to workwith purchasing system vendor to test out a system tracking method.

4. Sanitation continues to research greenhouse gas (GHG) calculators and work withthe contracted vendors and departments to evaluate the impact of using EPPproducts to reduce GHG emissions.

5. GSD continues to review and analyze stock items provided by the GSD DistributionCenter Group (DCG) to ensure that green products are identifiable in the DCGcatalog and are available for purchase.

6. Sanitation keeps the focus of the Clean Your Files Month campaign on the impactsof paper usage on greenhouse gas emissions (GHG) by City offices.

TRANSMITTALS

1. Vendor EPP Reports2. Department EPP Reports3. Proprietary Department EPP Reports4. 2013 Clean Your Files Campaign Flyer5. Greenhouse Gas Reports: Paper, Gasoline, Concrete, and Toner Cartridges

BUREAUOF SANITATIONBOARDREPORTNO; 1January24, 2014

FISCAL IMPACT

Board approval of this report will have no fiscal impact on the General Fund as thisprogram does not require expenditures for EPP products above the cost of conventionalproducts. The EPP Ordinance stipulates that the City of Los Angeles increase itspurchase of environmentally friendly products while remaining fiscally responsible.

DISCUSSION

BackgroundThe City of Los Angeles adopted the Environmentally Preferable Purchasing (EPP)Program in June 2009 through Ordinance 180751. The Ordinance expanded theexisting green purchasing policies established through Buy Recycled 2000 and requireseach City department to report annually regarding their environmentally preferablepurchasing practices. Sanitation took over the program from GSD in July 2010.

Environmental factors to be considered in selecting products include the following:recyclability, recycled-content, pollutant releases, waste generation, energyconsumption, depletion of natural resources, and potential impact on human health andthe environment.

The City's purchases help foster a market for environmentally preferable products bymotivating more companies to produce them. GSD reports on the City's Buy RecycledProgram on a calendar year basis for the State's mandated report per AB939. Forcalendar year 2012, the City purchased approximately $12M in recycled productsincluding re-refined oil, retread tires, auto parts, etc.

Green Vendors for the City of Los AngelesVendor participation is a key component in providing EPP information on an annualbasis. City departments have also been asked to provide information about their EPPpractices as required by the EPP Ordinance.

Sanitation received environmental purchasing reports from twelve of the Cit~'s greenvendors, including the following: Grainger@, Haworth", Hewlett-Packard', JonesLumber", Liberty Paper", Office Depot", Printing Technology, Inc. (PTi®), RecycledAggregate Materials Company (RAMCO), SC Fuels"; Spicers, Unisource", Vista Paint"

BUREAU OF SANITATIONBOARD REPORT NO.1January 24, 2014

Page 3

Grainger®Grainger® provides the City with a wide array of custodial supplies including low VolatileOrganic Compound (VOC) cleaning chemicals and adhesives, non-corrosivedegreasers, Energy Star rated power tools such as power drills, recycled-contentladders and trash bags, and LED lamps.

• The City of Los Angeles spent $145,745 on environmentally friendly productsfrom Grainger®. These products have several EPP attributes including lowerenergy consumption, low-toxicity, made of recycled material, or contain low ornoVOCs.

Haworth®The City purchases recycled-content cubicle and office furniture through Haworth".Recycled-content levels vary from 10% recycled-content to 98% recycled-contentdepending on the product selected.

• The City spent $86,976 on goods from Haworth", with products containing anaverage of 57% recycled-content.

Hewlett-Packard (Hp®)Hp® provides the City with computer equipment and printers.

• The City spent $7,524 on EPEA~ and Energy Star certified equipment.EPEAT® is a third-party certification that reviews electronic equipment andidentifies greener computer and electronic equipment options. They reviewattributes beyond energy efficiency. EPEA~ certified computers tend to be lesstoxic, are easier to recycle, and are also more energy efficient.

Jones LumberJones Lumber provides the City with recycled-content building material.

• The City spent $43,165 on four percent (4%) and thirty-three percent(33%)recycled-content building material.

Office Depot®Office Depot@has two contracts with the City of Los Angeles. Contract 59415 providesthe City's Council-controlled departments with various office supplies and Contract59103 provides the City with recycled-content ergonomiC chairs. .Office Depot® has a large line of "green" products in its Green Book® catalog and theGreenerOffice ™ website. The company continues to create new ways of reducingwaste and is expanding the green product line offered to its customers. It has a "shadeof green" rating system for its green products, indicating Light Green, Mid Green, andDark Green, with the Dark Green products having either multiple green attributes or thehighest level of a single green attribute.

BUREAU OF SANITATIONBOARD REPORT NO.1January 24, 2014

Page 4

The City purchased ergonomic chairs that are made of 27% recycled-content and arealso Greenguard®certified, meeting indoor air quality pollutant guidelines.

• The City spent $777,134 on EPP office supplies through Office Depot®whichis 31% of the total amount purchased.

• The City also spent $326,450 in ergonomic, recycled-content, low VOCchairs.

PTi®PTi®provides the City of los Angeles with remanufactured toner cartridges for use in avariety of City-owned printers. Remanufactured toner cartridges reduce waste as usedcartridges are collected, repaired, and refilled instead of being discarded. PTi®alsoprovides a free pickup of empty cartridges for City departments and remanufacturersthem at their location in Chatworth.

• The City spent $212,159 on 6,378 remanufactured toner cartridges from PTi®.

• PTi® collected 8,890 used toner and inkjet cartridges from City facilities foruse in the remanufacturing process.

RAMCORAMCO collects and recycles concrete and asphalt from the City through a programwith the Department of Public Works Bureau of Street Services. In FY2012-13, theprogram recycled 152,344 tons. They recycle the concrete and asphalt into aggregatebase material. The base is turned into various products such as Greenrock, a 100%recycled concrete ground cover; and Recycled Concrete Aggregate (RCA) that is usedas fill sand for pipe bedding.

• The City spent $32,783 to purchase 6,801 tons of the recycled crushed basematerials from RAMCO.

SC Fuels'"SC Fuels1M is the City's current contracted vendor for reformulated gasoline.Reformulated gasoline is fuel made from a minimum of 10% ethanol. This minimum ismandated by the State of California. Reformulated gasoline provides many benefits tothe environment, including reduced airborne pollutants and emissions. A 2002environmental report by the California Environmental Protection Agency's AirResources Board showed that statewide use of reformulated gasoline providedsignificant reductions in ozone, particulate matter precursor emissions, and toxic airpollutants.

BUREAU OF SANITATIONBOARD REPORT NO.1January 24,2014

Page 5

• The City reduced its fuel usage from FY2011-12 to FY2012-13 by 74,673gallons through fuel efficiency efforts by City employees such as using publictransportation such as the DASH, carpooling to events and meetings, etc. Thereduction resulted in an estimated decrease of 664 metric tons of GHGemissions.

Spicers and Liberty Paper©Spicers and Liberty Paper© were the City's contracted vendors for office paper forFY2012-13. The Spicers contract offered a variety of recycled-content paper including10% recycled-content. 30% percent recycled-content. and up to 100% recycled-contentpaper. Thirty percent (30%) recycled-content paper was the most purchased product byCity departments. Of the total 456 tons of recycled-content paper that was purchased,30% recycled-content paper made up 453 tons of that amount.

• The City spent a total of $889,256 on paper for various printing jobs for alldepartments. $235,149 of that total amount purchased was non-recycled paper.

As of September 15, 2012, Liberty Paper was the City's contracted vendor for officepaper for remainder of FY2012-13. The contract offered a variety of recycled-contentpaper including 30% recycled-content, 50% percent recycled-content, and up to 100%recycled-content paper. Thirty percent (30%) recycled-content paper was the mostpurchased product by City departments and totaled 1,307 tons.

• The City spent a total of $888,214 on paper for various printing jobs for alldepartments. Only $20,071 of that total amount purchased was non-recycledpaper.

• By using recycled-content paper the City reduced its greenhouse gas (GHG)emissions (See Attachment 5 for more details).

Unisource®The City currently has four contracts that supply different categories of janitorialproducts; unlsource" is one of the main contracts for cleansers and disinfectants.untsource" also holds a similar contract with the Los Angeles World Airports.Unlsource" provides a variety of "green" options ranging from, third-party certifiedbathroom cleansers, to paper towel rolls and dispensers which reduce paper usage anddisposal.

• The City spent $1.2M on green products' from Unisource", Unlsource'"provides some City facilities with chemical-free floor strippers. The floorstrippers use only water and specialized stripping brushes. By using these floorstrippers, the City saves money on the purchase of stripping chemicals, andavoids the airborne toxins normally released from traditional floor strippingchemicals.

BUREAU OF SANITATIONBOARD REPORT NO.1January 24, 2014

Page 6

Of the $1.2M spent on green products from Unlsource", $184,515 was spent ontoilet paper and paper towels that have been certified by Green Seal® andEcoLogo™.

Vista PaintVista Paint provides the City with EPP options for paint, sealers, primer, and stain killer.They are LEED compliant products that have low odor or low-VOC attributes.

• The City spent $66,275 on green certified paint, sealers, primer, and stainkiller.

City Department Green PurchasingSanitation requested that each City Department, Proprietary Department, and CouncilOffice submit a report summarizing their EPP purchases for the fiscal year, addressingany EPP products they tested, and highlighting any EPP program that wasimplemented. Highlights of these individual reports are below. Note, not all departmentalactivities have been mentioned. The full reports submitted by departments are inAttachments 2 and 3.

• The Department of Aging reduced the number of printers in use by 90%after they moved to Figueroa Plaza. The move to the new building also enabledemployees to use the DASH, reducing the use of City fleet vehicles by 116 trips,thus reducing fuel usage.

• The Department of Animal Services spent over $40,000 on toners, 100% ofwhich were EPP products. They have also purchased recycled-content paperfrom both Spicers and Liberty Paper. They will continue to implement variousEPP products in the future as long as they perform well and are cost effective.

• The Office of the Controller reports that the EPP products they tested fromOffice Depot® performed as well as the products they previously used. The~also found that the remanufactured toner cartridges they purchased from PTiperformed well and cost less than cartridges previously purchased. Ninety-onepercent (91%) of the toner cartridges they purchased from PTi®were EPP officeproducts.

• The City Administrative Office (CAO) spent $8,094 in recycled-contentpaper, making 100% of their paper purchases EPP.

• The City Ethics Commission uses many recycled-content products throughthe Office Depot® contract. They purchase refillable white out tape and pens,which reduces their office supply waste.

BUREAU OF SANITATIONBOARD REPORT NO.1January24, 2014

Page7• The Los Angeles Convention Center follows a Sustainable PurchasingPolicy - Material and Resources, implementing the purchase of EPP products.They purchase citrus cleaner in bulk using 55 gallon drums to reduce productpackaging waste. The cleaner is biodegradable and the drums are returned tothe manufacturer for reuse. They also purchase rechargeable batteries and useenergy-efficient lighting.

• The Los Angeles Fire and Police Pensions purchased many recycled-content office supplies. Ninety-two percent (92%) of their paper purchases fromboth Spicers and Liberty Paper@were EPP products.

• The General Services Department (GSD) purchased printers with low-VOCplates and soy-based ink. They also purchased other EPP products such asreclaimed motor oil, retreaded tires, and recycled-content paper.

• The Los Angeles Housing Department (LAHD) implemented an UpcyclingScratch Pad program, where they gather scratch paper that has been used onone side, cut it into quarter sheets, and created paper pads through GSD'sPrintshop. This greatly reduces the department's paper waste. They also requireemployees to take the DASH when traveling from the LAHD Main Office to theCivic Center (with a few exceptions). This results in fuel use reduction in theirfleet vehicles.

• The Department of Public Works, Bureau of Contract Administration (BCA)purchased over $4,500 of paper from Liberty Paper. One-hundred percent(100%) of their paper purchases were EPP products, consisting of 50%recycled-content paper. They also rely on the purchase of office supplies withminimal packaging and encourage their employees to use public transportation.

• The Department of Public Works, Bureau of Engineering (BOE) returns oldcell phones, accessories, and cartridges for recycling. They spent $58,368 onOffice Depot supplies, forty-eight percent (48%) of which were EPP products.

• The Department of Public Works, Bureau of Sanitation (Sanitation)implemented the use of more EPP office supplies making 50% of their totaloffice supply purchases EPP products. Two Sanitation divisions purchase 100%recycled-content paper as the standard paper. In FY12-13, the Solid ResourcesCollection fleet which collects solid resources from residents, includes 554 cleanfuel vehicles operating on 4.1 million gallons of natural gas (LNG orCNG). Based on this volume of LNG, the corresponding total GHG emissionreduction was estimated at 4000 MTC02e for FY12-13. Clean fuel vehiclesmake up seventy-eight (78%) of the Solid Resources collection fleet.

BUREAUOF SANITATIONBOARDREPORTNO.1January24,2014

Page8

• The Department of Public Works, Bureau of Street Services (BOSS)purchased $17,427 worth of Liberty Paper, making seventy-seven percent(77%) of their paper purchases EPP products. They are also looking intoimplementing EPP products into everyday office supplies for the Bureau.

• The Department of Public Works, Bureau of Street Lighting (BSL) spent over$5.5 million dollars on Light Emitting Diode (LED) lights and materials for theLED Conversion Program. BSL estimates that upgrading City street lights toLED lights would lead to 40% in energy savings. They also providedenvironmental education by putting up posters encouraging the purchasing ofrecycled-content office supplies.

• The Los Angeles Zoo spent over $215,000 on EPP products, includingremanufactured toner cartridges, pharmaceuticals, cleaning supplies, office

.supplies, and construction equipment. The department makes a conscious effortto purchase supplies which utilized recycled materials in the packaging, weremade from recycled-content, or contained recyclable materials.

Proprietary Department Green PurchasingThe EPP Ordinance requires the City's proprietary departments to create a similarresponse to the City's move to environmentally preferable products. In line with this, theDepartment of Water and Power (DWP), the Los Angeles World Airports (LAWA), andthe Harbor Department (Harbor) submitted statistics from their department's greenactivities. Some of those highlights include:

• DWP installed solar panels and uses them to generate clean, renewableenergy. They offer Free Water Conservation Equipment, such as faucets andshowerheads. They also recycle the used motor oil and antifreeze from theirfleet vehicles.

• LAWA's custodial supply contracts currently contain EPP-qualified products.The department spent over $2.3M on custodial products including recycled-content paper towels, toilet paper, trash liners, liquid hand soap, and bathroomcleaners. Seventy-six percent (76%) of their office supply purchases wenttowards EPP products, a forty-two percent (42%) increase from last fiscal year.

• Harbor spent over $1M on alternative fuel passenger vehicles that wereeither hybrid or electric. The department also purchased the following electricvehicles: a sedan, cart, and forklift. Fifty-eight percent (58%) of their officesupply purchases went towards EPP products, while one hundred percent(100%) of their janitorial cleaning products were classified as EPP.

BUREAU OF SANITATIONBOARD REPORT NO.1January 24, 2014

Page 9

Sanitation EPP Activities for FY2012·13Sanitation revamped its annual Clean Your Files Month campaign to focus on theimpacts of paper usage on greenhouse gas emissions. (See campaign flyer inAttachment 4). Clean Your Files Month is an annual campaign held every April for Cityfacilities that focuses on clearing out old paperwork and reducing paper usage. The2013 campaign also challenged departments to upgrade 10 cases of the standard 30%recycled-content paper to 50% or 100% recycled-content paper. The financial impactwould be minimal. By accepting the challenge and upgrading the 10 cases of paper, theenvironmental benefits would be as follows:

Recycled-Content 50% 100%Trees Saved 1 4Greenhouse Gas Reduction 1031bs. CO2 3621bs. CO2

Water Savings 561 gallons 1963 gallons

City Departmental EducationSanitation provides EPP training for City departments to educate employees about howEPP products can be incorporated into their regular purchases. Sanitation gave six EPPclasses, training 80 City employees from LAPD, GSD, Sanitation, and the LibraryDepartment. Attendees were provided with samples of various EPP products to test intheir office. Sanitation will continue to provide EPP training for City departments. Forefficiency purposes, recycling and EPP training have been incorporated into one class.

Contract ReviewSanitation has been reviewing the commodity contracts established by GSD to establisha baseline listing of contracts containing EPP-compliant products vs. contracts that donot contain them, but have the potential to contain EPP products. Once the list isestablished, Sanitation will send it to GSD for review and discussion to move forwardwith updating bid specifications.

EPPTracking CodeSanitation will continue to test a tracking method through the use of a subtask in thefunding string before creating a model for other departments to follow. Not alldepartments will be able to use this method since some departments already have adesignated use for their subtask, per Controller's Office. However, it is a possible optionto assist departments in compiling purchasing data for their Annual EPP Report. Thekey to using this tracking method is to ensure that purchasing staff use the subtask.Sanitation staff has been reminded to continue using the funding string for FY2013-14.It has been noted that the use of the substask is tedious and may not be the mostefficient method of tracking EPP purchases. A meeting with buyers from each divisionwill be held to discuss other options that are more efficient for tracking.

BUREAU OF SANITATIONBOARD REPORT NO.1January 24, 2014

Page 10

Environmental Impact of the EPP ProgramSanitation researched various GHG calculators. The City has several thousandcommodities, and calculators do not exist for all of them. Additionally, each calculatorrequires different information that mayor may not be readily available. Each calculatorprovides guestimates. Calculators were found for concrete, Raper, cartridges, and fuel.Using data provided by RAMCO, Spicers, Liberty Paper", PTi®, and SC Fuels'",Sanitation found that the City was able to reduce its GHG emissions by 8,312 MTC02ethrough its EPP practices related to the four commodities. The GHG reports from thevarious calculators are detailed in Attachment 5.

BSL estimates that the LED Conversion Program will reduce carbon emissions byapproximately 40,500 metric tons per year and anticipates a savings of over $10 millionper year in energy and repair costs, and an overall 40% energy reduction. Through theuse of 554 clean fuel vehicles BOS estimates that it reduced its GHG emissions by4,000 metric tons for FY12-13. The GHG reductions based on the six commodities aresummarized below.

G h G S . FY2012 13 B d S' C di .reen ouse as avmas - ase on IX ommo ltlesGHG

ReductionCommoditv Purchases (MTC02e) EquivalenciesCartridges 6378 remanufactured cartridges 19 Saved 45 barrels of oil

Concrete 6801 tons recycled concrete 318 Saved 40,919 gallons offuel

Paper 1,473 tons recycled-content paper 499 Saved 12,783 trees

Reduced fuel consumption Removed 138 cars fromFuel by 74,673 gallons 664 the road for 1 year(compared to FY11-12)

Vehicles 554 refuse collection clean fuel 4,000 Saved 9,302 barrels of oilvehicles

Lights LED lights for City streets 40,500 Electricity to power 5,572homes for 1 year

Total GHG Reduction (based on six commodities) 46,000

BUREAU OF SANITATIONBOARD REPORT NO.1January 24,2014

Page 11

Sanitation will continue to research the various GHG calculators available and work withthe vendors and departments to further evaluate the impact of purchasing EPP productson the environment based on the information that is available.

The City's EPP program is having a positive impact on the environment in helping toreduce resource and energy consumption. Sanitation will continue its efforts to continueto educate City employees about the positive effect environmentally preferablepurchasing can have on the environment.

~~~;<R, Sanitation

Prepared by:Marivic Sabillo, SRCRD(213) 485-4221