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Sustainable, Environmental

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Sustainable, Environmental & Ethical Procurement Policy (SEEPP) I Contact 3-1-1 Agenda Introduction Corporate Directive Council Priorities Business Values Policy ... – PowerPoint PPT presentation

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Title: Sustainable, Environmental


1
Sustainable, Environmental Ethical Procurement
Policy (SEEPP)
I Contact 3-1-1
2
Agenda
  • Introduction
  • Corporate Directive
  • Council Priorities
  • Business Values
  • Policy
  • Supplier Code of Conduct
  • Project
  • Implementation
  • Some Lessons Learned
  • Why?

3
Introduction
  • Population 956,000 people (2005)
  • Size 746 square kilometers
  • Structure Council Mayor and 14 Aldermen
  • City Manager, 7 departments Police
  • 2006-08 Budgets 6.0 billion operating
  • 3.7 billion capital
  • Employees (2006) 13,000
  • Business units 28
  • City Services 500
  • Challenges Resources, rapid growth, funding

Transit Bus LRV Emergency Services Fire,
Police, EMS Water Services
Transportation Roads Corporate
Properties Information Technology
4
Corporate Directive
  • 2004 Council directive to report on policy
    development and engagement strategy
  • 2005 Council directive to proceed with plan to
    develop, implement and sustain an Environmental
    and Ethical procurement policy
  • 2007 Council approval of SEEPP in principle on
    pilot implementation basis on apparel, food, and
    chemicals in 2007.

5
Council Priorities
  • Building a great city
  • Improving mobility
  • Enhancing, protecting and respecting our
    environment
  • Delivering accessible City services
  • Strengthening Calgarys voice

6
Business Values
  • Triple Bottom Line (2005) Council and staff
    will consider and address social, economic,
    environmental and smart growth impacts in all
    City business.
  • Environmental Policy (2001)
  • Eco Footprint Reduction (2005)
  • Green Procurement Policy (2002)
  • ISO 14000 Certification
  • ImagineCalgary one hundred year vision

7
Policy
  • Purpose
  • Develop a supplier community that exhibits
    leadership in CSR
  • Embed Environmental, Ethical and Economic
    performance in all supply chains
  • Support products and services that enhance and
    protect environment workers and value.
  • Advance a corporate culture at the City that
    recognizes and places a priority on
    sustainability

8
Policy
  • Principles
  • Legal compliance
  • Promote the use of sustainable products and
    services
  • Work cooperatively
  • Accountability
  • Transparency
  • Recognizing excellence
  • Total cost management
  • Continual improvement

9
Policy
  • Scope - applies to all goods and services
  • Encourages supplier excellence
  • Procedure - Responsibilities
  • Finance Supply, Environmental Management
    Community and Neighborhood Services
  • City of Calgary business units
  • Exemptions - performance at a commercially
    competitive cost
  • Scope of pilot apparel, food, chemicals,
    janitorial

10
Supplier Code
  • Compliance requirements
  • Minimum performance standards
  • Working conditions
  • Human rights
  • Health and Safety
  • Environment
  • Compliance and implementation
  • If Canada local laws apply
  • If outside Canada national or international
    laws (ILO), whichever is higher.
  • Supplier responsible for validation
  • Supplier Code is a procedural document

11
Supplier Code
  • Welfare of workers
  • Working Conditions
  • Child labour
  • Forced labour
  • Hours of work
  • Remuneration
  • Human rights
  • Freedom of association
  • Discrimination
  • Health and Safety

12
Supplier Code
  • Welfare of the Environment
  • Permits and reporting
  • Pollution prevention resource reduction
  • Hazardous substances
  • Wastewater solid waste
  • Air emissions
  • Product content restrictions

13
Project
2006
Develop
2007
Implement
2008
Sustain
14
Project Resources
  • Project Team 6 members
  • Procurement, Environmental Management, Social
    Planning, Communications, Engagement
  • Consultant
  • Advisory Committee
  • Estimated man hours 1200
  • Funding
  • Develop 2006 250,000
  • Implement 2007 100,000
  • Sustain 2008 125,000 (includes 1 FTE)

15
Project Plan
  • Secure resources
  • Research (2005)
  • Situational analysis
  • Third party validation
  • Laws and legislation
  • Risk assessment
  • Stakeholder engagement
  • Policy and supplier code development
  • Communication training plan
  • Report for Council approval Jan 2007

16
Engagement Strategy
  • Internal stakeholders 24
  • External stakeholders
  • Interest groups
  • Resource groups
  • Municipalities
  • Governments
  • Private companies
  • Research support
  • First Sessions issues and recommendations
  • Second session document review and comments

17
Analysis
  • Corporate 2006 Spend Approx. 946 million

18
Social Impacts
  • Child Labour
  • International Labor Organization (ILO) has
    estimated that 250 million children between the
    ages of five and fourteen work in developing
    countries
  • Poverty
  • World Bank estimates that today, 1/5th of human
    beings live under the international poverty line

19
Social Impacts
  • Working Conditions
  • Sweatshop - a manufacturing facility that is
    physically or mentally abusive, or that crowds,
    confines, or compels workers, or forces them to
    work long and unreasonable hours, and very little
    or no pay.

20
Environmental Impacts
  • Over 360 chemical compounds that have been
    identified in the Great Lakes.
  • Close to eight per cent of all non-traumatic
    mortality in Canadian cities is attributable to
    air pollution. Government of Canada

21
Ecological Impacts
  • Calgarys current Footprint is 9.86 gha per
    capita. The earth can sustain 1.9 gha per capita.
  • If people around the world had Calgarys
    Ecological Footprint, it would take five
    earth-sized planets to support all of us.

22
Understanding Impacts
  • Potential fall out
  • Stop buying products
  • Cost reduction initiatives
  • Increase Environmental and Ethical requirements
  • Comparatives
  • City of Vancouver
  • 2010 Olympic Committee
  • City of Toronto
  • City of Ottawa
  • U.S. Municipalities
  • Universities
  • GAP, Nike, Mountain Equipment Co-op
  • Third Party validation

23
Key Decisions
  • Control scope
  • Protect worker welfare
  • Protect environment
  • Encourage supplier compliance
  • Engage stakeholders
  • Listen and Learn
  • Policy and Supplier Code of Conduct approach
  • Suppliers responsible for validation
  • Apply to subcontractors as required
  • Pilot implementation to understand impacts
  • Disclosure of factory locations
  • Living Wage

24
Implementation
  • Process and Implementation Tool Box
  • Contract terms - Evaluation process
  • Complaint process - Supplier Certification
  • Validation resources - Activities tracking
    database
  • Stakeholder Engagement Strategy
  • Cost analysis market test
  • Municipal Scan
  • Communication and Training Programs
  • Performance Measurement
  • Policy review and Reporting
  • Report to Standing Policy Committee March 2008

25
Some Lessons Learned
  • Ethical issues have many perspectives
  • Stakeholder engagement must be closely managed to
    maintain support
  • Manage project messages
  • Cost impacts can be difficult to track
  • Policy and SCC must be flexible to allow for
    change
  • Walk the talk
  • Manage the scope
  • We will all face similar issues

26
Why?
A better world for our children
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