ADVANTAGE: BUSINESS ADVANTAGE: ENVIRONMENT
GREEN TIER
2010 BIENNIAL REPORT
FOREWORD urces
ent of Natural Reso Wisconsin Departm et 101 S. Webster Stre PO Box 7921 7-7921 Madison, WI 5370
sinesses mental advantages. Bu on vir en d an ic om tion, green both econ ding pollution preven changes stainability provides clu su in to s, t en gie ate itm str m m of co st are finding that a siness through a ho other measures. These Wisconsin companies petitive by lowering the cost of doing bu ciency, recycling and effi y erg en n, tio uc m co red eam d success. are becoming more conservation, waste str foundation for long-term profitability an ter wa ry, ist em ch en e line, and lay th building and gre are effective tools in ements to the bottom often result in improv pliance Audit program m Co e th d an ram og ts. Cooperation Pilot Pr businesses, and are delivering real resul ram, Environmental sin og on pr isc er W Ti g n ee on Gr am e Th ability and citizens. g interest in sustain sinesses, communities ing bu th wi ip sh on meeting the growin ati rel evolution in DNR’s oblems while promot lve environmental pr d drive an important so lpe to he s s ha hip e competitive. At ers ram rtn og pa pr ate er es are becoming mor ess sin bu , Wisconsin’s Green Ti portunities to develop strong public-priv ch oa pr ap solving pliance alone. op d Green Tier’s problem hieved through standard regulatory com an Green Tier offers new ion rat bo lla co is rough th those ac economic growth. Th hieving environmental benefits beyond science and ac are ey th protection. Sound e, tal tim en m on the same vir en e effectiv standards through rtant components of ds. Effective implementation of those po im en Tier be s ay alw ll ns learned from Gre rcement wi ter standar fo sso wa en Le d an . an als cle n d go io an ic lat air om gu Re econ clean environmental and health by ensuring data protect public tive permitting systems supports both ec efficient and cost-eff s regulatory environment overall. ss the many te’ sta e th e ov omic challenges acro ht Tier pr on im ec d help an tal en m on eig , adjusting to envir ntracts, and thirtyan adaptive program tered into five charters, two Tier 2 co nizations— be ga to or d d ne an s sig se de es s DNR has en isconsin busin Green Tier wa y. W of om e on ng ec ra ty transmission, ’s ici de sin wi ctr on a Wisc tail food, ele presenting re re , s) re tie tu ili ul ric fac different sectors of ag ur , fo re yh ca a total of eight boat building, healt 1 agreements (with truction, printing, er education. ns gh co hi d d an an g t in en m ild rn bu ve g, go l rin tu pa ac ici uf un an m m t, r partners to al estate developmen Wisconsin and othe of ds ien Fr 00 energy efficiency, re 10 , palities ation network sin League of Munici groundwork for a sustainability inform Green Tier has on isc W e th th wi have worked d businesses. arter lays the ess Over the past year we Legacy Communities Charter. This ch ll as NGO’s and small and medium-size sin Sustainable Busin e er we on Ti n as isc , ee unicipalities ership, the W th m rtn d ve establish the Gr Pa an ha n ts es sio en ess m ten sin rn Ex bu ve s ’s local go Wisconsin est Manufacturer all sin sm on e th isc W en e ev between Wisconsin th re as ensu many groups such ent Corporation to also partnered with Economic Developm ty un Co a sh ke au Council and the W efficiently. een DNR ow sustainably and going dialogue betw on e th in t en llm tools necessary to gr xt insta pment. We’re community develo program, but the ne d e th an g of in sis ak m aly y an lic e po half of the public is not an exhaustiv , environmental transparency on be d an ty ili This biennial report at drive Wisconsin’s economic growth tab un co r ac s th answers, striving fo and the stakeholder ing for progressive ok lo d an ns tio es asking tough qu gagement. nizations to lay we’re looking for en businesses and orga th wi g in rk we serve. Above all wo is Tier ders, workers, Engaged business lea olving global sustainability. Green e. in er r th de p lea l sto na n’t tio es na do e in the ev sition to be a success, but it mpetitive advantag co a Wisconsin is in a po -term economic and environmental ns tai re d an s in long ry special place. ensure Wisconsin ga the foundation for e the ones who will ral resources that make Wisconsin a ve ar ns ize cit d an es communiti ect the natu we continue to prot marketplace while
Dear Stakeholder
Sincerely,
Matthew J. Frank ral Resources Department of Natu Secretary, Wisconsin
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ADVANTAGE: BUSINESS ADVANTAGE: ENVIRONMENT For more information on joining Green Tier contact: Mark McDermid
Jeffrey Voltz
608-267-3125
608-266-8226
Mark.McDermid@wisconsin.gov
Jeffrey.Voltz@wisconsin.gov
Director, Bureau of Cooperative Environmental Assistance
Business sector specialist CEA, Statewide
greentier.wi.gov
NORTHERN
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WEST CENTRAL
1 NORTHEAST
SOUTH CENTRAL
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SOUTHEAST
Contact Green Tier by region:
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Tom Eggert Eastern Region 608-267-2761 Thomas.Eggert@wisconsin.gov
Kim McCutcheon South Central 608-275-3207 Kim.McCutcheon@wisconsin.gov
Laurel Sukup Northern Region 715-365-8936 Laurel.Sukup@wisconsin.gov
Mark Harings West Central Region 715-831-3263 Mark.Harings@wisconsin.gov
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TABLE OF CONTENTS GREEN TIER 2010 BIENNIAL REPORT Since our last report
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Who we are
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Green Tier welcomed 16 companies and 1 charter to the program since the last report, and has become a fixture of Wisconsin’s ongoing sustainability efforts.
There are many components that make up the Green Tier Advantage. Learn more about us so we can help you.
Sustainability perspectives
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Advancing business
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Greening the bottom line
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Working together
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Building relationships
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Looking Forward
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How can Wisconsin be more green? Five sustainability experts weigh in on our responsibility to the environment.
Innovation drives business and environmental innovation drives the companies behind Green Tier. Take a closer look at how Green Tier companies are innovating. on the formation in re o m r o F o to reen Tier g DNR and G v. o g i. greentier.w s on an follow u Also, you c for and Twitter s. Facebook date ews and up breaking n
Exactly how have Green Tier companies impacted the environment and their bottom line?
Sustainability isn’t just about businesses, but the communities they’re a part of. See how Green Tier companies are building stronger communities.
Every relationship with Green Tier is unique, built to ensure superior environmental performance with a profitable edge.
Bill Mitchell of the Waukesha County Economic Development Corporation lays out the advantages of sustainability.
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SINCE OUR LAST REPORT
Since our last report Wisconsin’s Green Tier program consistently rewards regulated and unregulated businesses, communities and trade associations committed to deliver superior environmental performance. Green Tier does this by providing tools that allow a transition from just compliance minimums to a system of performance recognition. Green Tier relies on collaborative, proactive relationships to find creative solutions to further protect, improve and restore Wisconsin’s environment while building business value and recognition. In July of 2009, the Wisconsin Legislature and Governor Doyle reauthorized Green Tier as
a permanent tool for DNR and business. In doing so, the legislature and Governor Doyle accomplished three goals: 1. Repealed Green Tier sunset date 2. Updated elements of the statute in order to create efficiencies and clarity; and 3. Improved and expanded the law’s ability to improve both environmental and business results. The changes to the Green Tier law were inspired partially by the experience gained from the Environmental Cooperation Pilot Program, guidance from the Green Tier Advisors and both the experience and knowledge gained during the first five
years of implementation. The performance and commitments of Wisconsin businesses to superior environmental performance continues to be the hallmark of the Green Tier program.
Environmental performance In fact, data from the program clearly indicates that Green Tier companies are consistently and significantly outperforming other Wisconsin companies across a wide range of objective measures. For example, Green Tier pilot companies have reported a 30 percent reduction in emissions of hazardous air pollutants since the year 2000, bucking an overall statewide trend that shows a more modest 12 percent decrease. In addition, data shows: •
SOx Emissions: Green Tier pilot companies decreased 40 percent since baseline (year 2000) • NOx emissions decreased 40 percent since baseline (year 2000) • VOC emissions decreased 35 percent since baseline (year 2000)
Immediate impact
PHOTO COURTESY HUTCHINSON TECHNOLOGY, INC.
In 2010, Green Tier welcomed sixteen new companies into the program, including Hutchinson Technology, Inc. Pictured here, Hutchinson’s plant in Eau Claire.
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Moreover, the Green Tier program has witnessed a sharp participation increase. Since our last report in 2007, the Green Tier program has witnessed a nearly 40 percent increase in participation. This brings the total number of businesses, trade associations and communities participating in Green Tier to 46. This participation increase, coupled with higher levels of performance speaks to the ability of Green Tier participants to break down traditional barriers, deliver superior performance and maintain economic value.
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Participating companies realize the economic benefit of achieving superior environmental performance. Since 2005, for example, 3M Corporation had 12 new construction projects approved by the DNR without having to go through the traditional permitting process because of their continual achievement of superior environmental performance. Moreover, 3M’s pollution prevention efforts, during a five year period, resulted in savings of nearly $2.67 million. Northern Engraving Corporation (NEC) realized the business advantage by reducing paperwork and saving 3000 work hours annually. 3M and NEC are but two of many examples illustrating how collaborative environmental management delivers bottomline benefits and superior environmental results.
The Bottom Line: The Green Tier program was signed into law in April of 2004 in an effort to create a more sustainable Wisconsin. The Green Tier advantage began with environmental commitments from four original Wisconsin companies and one charter. The program continues to expand, and
now includes 46 Tier 1 and Tier 2 companies, as well as 6 charters and 6 ECPP participants. Green Tier continues to expand to fit the needs of a growing Wisconsin, united by a desire for a sustainable future.
DNR and 3M staff celebrate 3M-Cumberland’s acceptance into the Green Tier Program. From 2006-2009, 3M-Cumberland cut over 24 tons of volatile organic chemicals out of the manufacturing process, and continues to educate employees about environmental stewardship through recycling and tree-planting programs.
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CURRENT PARTICIPANTS 3M
Cumberland
Donaldson Company, Inc. Kimberly-Clark Corp. Experimental Mill Baldwin
ABB, Inc.
Edgewood College
Affinity Health System
Evonik Goldschmidt Corporation
New Berlin Appleton
American Transmission Company Waukesha
Arandell Corporation Menomonee Falls
Ashland Industries Ashland
The Boldt Company Appleton
Cardinal IG Spring Green
Casaloma Development Corporation Appleton
Cortec Corporation Eau Claire, Spooner
Diversey Racine*
Madison
LaCrosse County Solid Waste Department LaCrosse County*
Janesville
Marquis Yachts, LLC
Federal Foam Technologies
Miron Construction Co.
Pulaski
New Richmond
Neenah*
Frito-Lay
Perfect Environmental Performance
Beloit
Madison
Godfrey and Kahn S.C. Milwaukee Hilbert
Homburg Contractors, Inc. Monona*
Hutchinson Technology, Incorporated Eau Claire
Phillips Plastics Corporation
Eau Claire, Menomonie, New Richmond, Medford, Phillips
Plastic Ingenuity, Inc. Cross Plains, Mazomanie
Professional Plating, Inc. Brillion
Johnson Controls Milwaukee
Perlick Corporation Milwaukee
Holsum Dairy LLC
KEY Tier 1 Tier 2 Charters ECPP 6
Neenah
Ripon Printers Ripon
Denotes companies that have been with Green Tier since 2004 Denotes companies that are new to Green Tier in 2010
* At the time of printing, these companies were on the verge of becoming particpants
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Rockwell Automation
Ladysmith, Mequon, Milwaukee, Richland Center
Roundy’s Distribution Center
Standard Imaging
Veolia ES Technical Solutions
Stericycle, Inc.
Veridian Homes
Middleton
Sturtevant
Menomonee Falls Madison
Oconomowoc
R. Stresau Laboratory, Inc. Winsert, Inc.
School District of Westfield
Spooner
Marinette
Times Printing Co. Random Lake
Wisconsin Department of Military Affairs*
TOSCA Ltd.
Yaggy Colby Associates, Inc.
Legacy Communities Charter
Scrap Recycling Industry’s CCP, Inc.
Westfield
Serigraph, Inc. West Bend
Green Bay
Delafield
Lucas-Milhaupt, Inc. Cudahy
Clear Waters Initiative Dairy Business Association Green Tier Advancement Project Development Council’s EccoDev 3M Company Menomonie
Cook Composites and Polymers Co. Saukville
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Mercury Green Tier Charter
Madison Gas and Electric Co. Madison
Packaging Corporation of America Tomahawk
Northern Engraving Corp. WE Energies Sparta, Holmen, West Salem
Pleasant Prairie For more informati Green Tie on on r particpa nts visit greentie r.wi.go and clic k on Ap v plican and Par ticipant ts s.
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WHO WE ARE Government performance programs The Green Tier staff is tasked with forging and growing working relationships with performance-minded businesses and organizations. Flexibility, recognition, publicity, collaboration, innovation and technology transfer are the foundations for these performance-based working relationships. Wisconsin is only one of five states with a statutory base for these programs, created and maintained with bipartisan support. DNR created the Bureau of Cooperative Environmental Assistance, Environmental Cooperation Pilot Program, Environmental Compliance Audit Program and Green Tier long before sustainability became a driving factor for economic, environmental and community growth. Wisconsin has a variety of tools and unique opportunities to pursue sustainability. Green Tier creates the ideal state for growing a green bottom line. Created in 2004 and made permanent in 2009, prospective participants who have or who commit to an environmental management system can receive standard or customized recognition and flexibility. Standard recognition includes:
• • • • •
Green Tier logo DNR Single Point of Contact limited civil immunity publicity reduced inspection frequency with a functional EMS.
Recognition is accomplished through contracts that can include innovative permitting, compliance demonstration and reporting options tailored to business needs which also accomplish superior environmental performance.
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Green Tier tools also include charters, unique to United States environmental law, which provide a legal framework for multiple parties to come together to produce superior environmental performance. Participants in Tier 1, Tier 2 and Green Tier Charters are doing well by doing good, transparently setting their environmental goals and publicly reporting on their progress towards not only achieving goals but also continually improving on those goals. Green Tier is a unique national program that defines the desired future state superior environmental performance and the range of tools provided to create a powerful, sustainable force for environmental good, economic growth and community vitality.
Environmental Compliance Audit Program The Environmental Compliance Audit Program was enacted in 2004 and reauthorized into a permanent program under Act 30 on July 7, 2009. These auditing provisions are designed for businesses and other regulated entities interested in proactive management of their environmental performance. These provisions encourage businesses to voluntarily audit their own environmental compliance and commit to correcting any violations discovered. By using this program, Wisconsin businesses face substantially less financial risk and limited liability for violations disclosed as part of the audit and corrected in a timely fashion. The program encourages businesses to both improve awareness of environmental regulatory requirements and compliance with those requirements. The program also builds
“Green Tier
is a true environmental and economic success story in Wisconsin, exploring the potential for businesses and regulators to work together as a team to protect our natural resources.” —Neal Kedzie
Wisconsin State Senator
working relationships between Wisconsin businesses and the DNR that are based on performance and open communications.
Environmental Cooperation Pilot Program Wisconsin’s Environmental Cooperation Pilot Program (ECPP, sec. 299.80 Wis. Stats. enacted 10-11-1997) was the first state-lead regulatory flexibility proposal in the nation that was approved by EPA under a joint state-EPA agreement to promote regulatory innovation. Wisconsin piloted a program to have companies enter into contracts with DNR that allow variances in policies, guidance and rules in exchange for superior environmental performance that might not have been achieved outside of this process. Through the development of environmental management systems and the engagement of interested persons, collaborative goal setting becomes the cornerstone to achieve reduction in emissions, waste reduction, efficiencies in resource management and environmental compliance.
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The Green Tier logo— just one more business
advantage.
“The Green Tier logo
is a constant reminder of Wisconsin’s commitment to environmental stewardship. We are proud to display the logo as a symbol of our pledge to consistently improve our processes to promote sustainability.” —David Treis
Arandell
“ATC’s
active involvement in Green Tier has motivated ATC contractors and consultants to develop and implement unique, cost effective ways to protect our natural resources and minimize impacts on the environment.” —Gregory M. Levesque
“We proudly
fly the Green Tier banner at our ABB facility in New Berlin next to our OSHA VPP banner. When visitors and customers see these banners, they recognize that we are leaders in the area of sustainability.” —Rick Kegel
American Transmission Company
ABB
ADVANTAGE: BUSINESS ADVANTAGE: ENVIRONMENT
THE MARK OF A LEADER One of the most distinct advantages to being part of the Green Tier program is the use of the logo. Designed to incorporate different levels of involvement, as well as the shared goal of a sustainable Wisconsin, the logo represents the leadership qualities these companies bring to the state. The logo and slogan seek to answer many questions, such as what good can these companies provide to the community, and what does it take to be a sustainable leader in Wisconsin?
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Most importantly, it asks how business and the environment are linked. The growth and well being of each one will always depend on the other, and it’s the Green Tier program that ensures both ends meet. The sustainability challenges are clear, and the Green Tier logo signifies a Wisconsin company ready to meet that challenge.
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SUSTAINABILITY PERSPECTIVES Facing Wisconsin’s
sustainability challenge,
together.
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Lori Grant River Protection Program River Alliance of Wisconsin
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Michael Gromacki Executive Director Dixie Chemical Company, Inc. Andrew Mangan Chief Sustainability Officer US Business Council for Sustainable Development
Superior
environmental performance doesn’t come without collaboration. Five sustainability leaders come together to talk about the challenges facing a green Wisconsin.
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What do you consider to be the most pressing issue facing Wisconsin’s sustainability efforts?
Wisconsin’s agriculture industry and support systems, from research and education, to development of new technologies, to myriad assistance programs to the farmers themselves, do not fully embrace a key principle of sustainability: working to meet the needs of people today without compromising the ability of future generations to meet their needs.
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Agriculture is enormously important to the economy and culture of the state of Wisconsin, but it has taken a dramatic toll on our natural resources, and may be putting itself out of business if today’s most common attitudes and practices continue.
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Energy efficiency, water efficiency, material efficiency
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Keith Miller Environmental Initiatives and Sustainability 3M, Inc.
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MaJo Thurman Director of Environmental Safety Rockwell Automation
and ecosystem service valuation are the most pressing issues, collectively called EcoEfficiency. Businesses are compelled to act on issues with a direct line-of-sight to their bottom lines. Climate change and energy are pressing environmental sustainability issues in Wisconsin. However, the most pressing issue is creating systems and programs that provide incentives and support for industry, government and nongovernment organizations to work together to address sustainability.
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Since sustainability addresses environmental protection, social responsibility and economic progress, the challenge is to ensure all three of these dimensions of sustainability are in balance. Similarly, regulation and incentive programs must be evaluated across these three dimensions to provide for progress and avoid unintended consequences.
America’s manufacturing sector is facing some of the most challenging market conditions ever. To remain competitive at home and abroad, we need a comprehensive industrial strategy that focuses on technological innovation combined with smart, safe and sustainable manufacturing practices.
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One of the most significant opportunities to explore, and one critical to our economic future, centers on our approach to industrial energy management. While manufacturers have put forth commendable efforts to reduce their energy consumption, manufacturing remains the single largest energy-consuming sector in the state. Wisconsin is at a pivotal point in time as it charts its course and defines its future energy management strategy. The decisions and investments we make today will have lasting impact and consequence. That’s why it’s imperative that we get it right.
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SUSTAINABILITY PERSPECTIVES
As a starting point we need to: •
•
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Fund industrial technology programs that incorporate sensors, information networks and controls to improve industrial energy efficiency and productivity and reduce emissions. Provide support for small to mediumsized manufacturers to also incorporate smart manufacturing principles into their operations. Establish tax incentives or grants for investments in energy efficiency projects to help manufacturers clear return-on-investment (ROI) hurdles.
Proactive industrial energy management is one of the most important pieces to reclaiming our leadership in the manufacturing sector.
Q
What role do you see programs like Green Tier playing to address these issues?
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The Green Tier program, in addition to recognizing farms that are exemplary in striving to constantly improve the efficiency and environmental effectiveness of their required practices, could also play a role in rewarding farmers that choose their location, type and scale of operation based on principles of sustainability.
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“Agriculture
is enormously important to the economy and culture of the state of Wisconsin, but it has taken a dramatic toll on our natural resources, and may be putting itself out of business if today’s most common attitudes and practices continue.” —Lori Grant
And as most businesses rely on market factors to determine their product, increasing consumer demand of sustainable products will steer farmers toward more sustainable practices. Green Tier can be a tool to increase consumer awareness of sustainably produced agriculture products and the businesses that produce them. Green Tier can offer a safe space for experiments with publicprivate-NGO collaboration based on common sustainability goals and interests. For game-changing innovation to occur, we must be willing to accept potential for success or failure.
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River Alliance of Wisconsin
I see Green Tier playing a role as a program that can provide incentives and support for companies to work in partnership with Wisconsin government and other companies to advance
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INTERVIEWS CONTINUED ON PAGE 12
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SUSTAINABILITY PERSPECTIVES sustainability. Programs like Green Tier offer a forum for companies to share best practices and work cooperatively with government. Larger, more advanced manufacturers have access to technology innovations that can improve their energy management, and may be better able to afford the research dollars necessary to explore new technologies. However, their smaller and medium-sized competitors— those manufacturers that can provide an economic backbone to our country— require funding and resource support if they are to implement the smart manufacturing improvements that will be needed to make them competitive in our global economy. A proven method for delivering this support is through state
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and federal funded programs that provide industry-specific technical expertise, assessments and training for workers. Enhancements to these programs through increased federal funding and improvements to current state-level public benefit funds will reap rewards in both the short and long term for the American economy. Finally, manufacturers need assistance clearing return-on-investment (ROI) hurdles for their energy efficiency projects. Many companies will provide capital funding only to those projects that show an ROI in less than 12 months. Many energy efficiency projects, especially in states with low-cost energy, will not meet those ROI requirements. Providing tax incentives for investments
“For
game-changing innovation to occur, we must be willing to accept potential for success or failure.” —Michael Gromacki and Andrew Mangen Dixie Chemical and USBCSD
in industrial energy efficiency projects will improve the ROI and increase investment in such programs.
Q
What do you think should be companies’ top priorities in developing sustainable business practices in Wisconsin?
Companies should first look at their operations, assess their energy, water and ecosystem footprint and establish benchmarks. They may then set goals and priority action plans using continual improvement systems. Once a management system is in place, they should expand that same approach to the footprint of their products or services.
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Two of the top priorities are first, pollution prevention, and second, developing more sustainable product solutions.
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Employees at the School District of Westfield explain how the bus fleet relies on biofuels made by the school, a commitment to both the environment as well as the community. Westfield students get hands on chemistry experience.
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Pollution prevention to eliminate pollution at its source before it is generated is critical to providing operational excellence in manufacturing operations and reducing
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“People
speaking with their pocketbooks will yield real change, and the state has a duty to continue to educate consumers about the benefits sustainable farm practices bring to their lives.” —Lori Grant
River Alliance of Wisconsin
environmental risks. As shown with 3M’s Pollution Prevention Pays (3P) program, pollution prevention can provide significant cost savings in addition to reducing resource consumption. Developing more sustainable product solutions provides customers (both business to business and customers and consumers) environmental and energy solutions to reduce their environmental footprint and address their sustainability challenges. This is a win-win situation promoting both environmental footprint reduction and supporting economic growth of more sustainable products.
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A sustainable Wisconsin company is a company that:
1. Offers products, services and solutions that help their customers meet sustainable production goals 2. Designs and offers products that meet recognized standards for materials content and environmentally conscious design
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3. Improves energy efficiency and reduce greenhouse gas emissions 4. Reduces waste and other environmental impacts 5. Continues to execute successful worker safety programs 6. Engages all employees in greening their company 7. Addresses sustainability with their suppliers 8. Invests in communities where they work and live 9. Engages external stakeholders 10. Reports progress.
Q
What emerging issues do you believe companies in Wisconsin will need to deal with 10 to 20 years from now?
For all our rules and regulations, groundwater resources are growing scarce in the heavily-irrigated vegetable growing belt in Central Wisconsin. Groundwater contamination from cow manure is impacting farm families in Northeast Wisconsin where the carrying capacity of the land has been exceeded. Cropping
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“A sustainable
Wisconsin company is a company that invests in communities where they work and live.” —MaJo Thurman
Rockwell Automation
practices combined with manure disposal practices across the state send valuable soil, laden with fertilizers, pesticides and manure flowing into local streams and rivers, eventually contributing to closed beaches on the Great Lakes and the dead zone in the Gulf of Mexico. The 1990 Federal Farm Bill as revised in 2007 includes the following points within its definition of sustainable farming systems: • • • •
Satisfies human needs for food, fiber and biofuels Enhances environmental quality and the natural resource base Sustains economic viability of agriculture Enhances the quality of life for farmers, farm workers and society as a whole
This definition does not necessarily prescribe small, organic farms over giant confined animal feeding operations, but does require consideration of the environmental and social impacts of all farm activities, from the initial decisions of what to grow, where and how much, to choosing the most efficient and effective practices. Have crops been chosen for where they grow best with the most efficient technologies and without compromising natural resources? Can the area accommodate the waste generated by a livestock facility without exposing ground and surface waters to pollution? Will water be used efficiently and equitably? What cropping practices will promote soil health and prevent runoff? These fundamental, big-picture questions are not typically addressed in Wisconsin’s regulatory or research programs, or the business plan for a farm. INTERVIEWS CONTINUED ON PAGE 14
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SUSTAINABILITY PERSPECTIVES Access to clean and affordable water is increasingly important today, but in 10-20 years, it will be critical. Companies must begin addressing their water needs for the future in concert with the communities in which they operate.
companies have an opportunity to align with this growth and be ready to compete for their business. Strategies that align with sustainable growth will drive innovation toward better products and services needed by emerging economies.
significant economic impacts. Clean water will be an issue for decades to come. Although Wisconsin has abundant water resources, maintaining these resources to provide clean water will be challenging, especially in the agricultural sector.
Aligning with societal interests is another critical issue. As new generations enter the workforce, they will want to know what societal value a company offers. Companies that create such value will find and retain the best workers.
Fossil fuel consumption and clean water are emerging global issues that will continue for decades.
Get out of the “reactive� mode by establishing internal organizations to address current and future standards and regulations, paying particular attention to international change.
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Global competition will accelerate in the next decade, with US companies challenged by those from Brazil, India, China and other emerging economies. These countries are projected to experience staggering base of pyramid growth. US
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Related to fossils fuels, cost and availability of petroleum based raw materials and rising energy costs are the main issues. Many petroleum based raw materials will become increasingly scarce resulting in increasing costs and business continuity risks for operations. Likewise, rising energy and fuel costs will have
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Work cooperatively in developing a common strategy, both internal and external, which responds to and engages with international regulatory bodies and NGOs, to process information and communicate business priorities and preferences.
Q
What is one thing consumers and the general public can do to help make Wisconsin more sustainable? Demand for sustainably produced farm products is growing well beyond the boutique market. There is a critical mass of interest in knowing where one’s food comes from, celebrities (and First Ladies!) preaching the benefits of locally grown products, and a few unfortunate food contamination catastrophes have awakened the general public to the real story behind the plastic-wrapped products they buy at the grocery store.
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A sustainable Wisconsin begins with a responsible business sector. Here, a plant manager from Philips Plastics Corporation in Philips points out extensive water transport systems used for cooling plastic molds.
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People speaking with their pocketbooks will yield real change, and the state has a duty to continue to educate consumers about the benefits sustainable farm practices bring to their lives.
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Consumers and the public can explore and test the value proposition of sustainable personal choices. They can elect to purchase better products, recycle, reduce their transportation impact, reduce their housing footprint and adopt common sense lifestyles that avoid overconsumption and save money.
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The public needs to practice sustainable consumption by purchasing products with less environmental and energy impact, recycle products at end of life and think in terms of total life cycle impacts of their buying decision (e.g. energy efficient appliances may have a higher purchase price, but have a total life cycle cost due to energy savings when operating the appliance). Educating the general public is critical.
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consumption rates and patterns, and identify opportunities for savings. We also need to work with automation suppliers to leverage existing control and information infrastructure to enable a holistic energy management program. As consumers it is important to better understand current energy consumption patterns, and identify opportunities for savings at home, within the community and at work. Also, engage coworkers and business teams to actively promote energy reduction and identify opportunities for improvement.
How wo compan uld your these q y answer Find us uestions? on F and tell acebook us! facebo greenti ok.com/ er
As industry leaders we need to build an internal coalition of energyefficiency champions to help consumers better understand current energy
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“Similarly,
regulation and incentive programs must be evaluated across these three dimensions to provide for progress and avoid unintended consequences.” —Keith Miller
3M Ripon Printers (pictured) continued to build on last year’s accomplishments. These accomplishments include VOC emission reductions, energy efficiency projects and enhancements to the reuse and recyclying program.
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ADVANCING BUSINESS Advancing Business State government needs to work with the private sector to help speed economic recovery. Green Tier is an example of how such a partnership can work. With the help of the Department of Natural Resources, large and small companies from communities around the state have not only weathered the Great Recession, but have emerged stronger than their competitors. It happens because of the Green Tier advantage—the belief that sustainable business practices will lead to profits, stability and an constantly expanding market.
interest to a greater share of customers with each passing year. Similarly, by minimizing waste (waste of materials, waste of energy, waste of talent or waste of space), companies have become more competitive and better able to capture market share from less efficient competitors.
Green Tier also makes room for innovation. An increasingly complicated business sector calls for creative answers—not just quick fixes for regulatory purposes, but long-term solutions that integrate superior environmental performance and cooperation into normal business practices.
At times, this increase in competitiveness can also attract capital from corporate headquarters. In the case of Frito-Lay’s Green Tier facility in Beloit, they have successfully out-competed facilities in other states for expansion funds for a new line of Frito-Lay products. This internal competitiveness also helps grow many of our Green Tier facilities, enabling them to add employees when jobs are so desperately needed.
On a federal level, green business has been touted as the business of the future. Recovery acts and stimulus bills reflect this, allocating hundreds of millions of dollars to education of workers and proliferation of energy-saving techniques. But the real job creation happens at the local level with companies that have dedicated themselves to sustainable business practices and to being part of the larger environmental community.
“The central
idea behind Green Tier is that it takes cooperation among the government, industry and environmentalists to produce economic growth and environmental progress.” —John Torinus
CEO, Serigraph
Management teams of Green Tier businesses have guided their companies through rough waters, while always keeping them focused on the market and on continuously positioning themselves for that market. For most companies involved in Green Tier, superior environmental performance has become part of their identity. The environmental credentials that arise from such a commitment are of
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Employees at ABB in New Berlin explain to DNR Secretary Matthew Frank the changes they’ve made to their facility that embrace the Green Tier idea, “Advantage: Business, Advantage: Environment.”
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construction, energy efficiency and the broader mass transit and rail (which also includes alternative transportation options, such as electric or hybrid cars). ABB is active in both energy efficiency and renewable energy. American Transmission Company, a Green Tier company in Waukesha, is well positioned to add jobs in the renewable energy sector. And finally, Boldt Construction (Appleton), Miron Construction (Neenah) and Veridian (Madison) are all key players in the growing green building sector.
With green power comes green responsibility. Green Tier companies are taking initiative and dedicating their top minds to the goal of sustainability. Pictured here, Frito-Lay Beloit’s Green Team celebrates acceptance into Green Tier.
Creating a green work force According to the Renewable Energy Policy Project, Wisconsin stands to create more than 30,000 new jobs in a green economy over the next 25 years. Working with Green Tier is the first step to tapping into that growth potential. Johnson Controls, a Green Tier company in Milwaukee with over 130,000 employees worldwide, has estimated that they will add 17,000 new jobs because of their focus on building efficiency and battery technology. Similarly, ABB, a Green Tier company in New Berlin with 110,00 employees worldwide, continues to add jobs through the recession. Both of these companies are positioned in one of the key sectors identified in the Wisconsin Green Jobs Report (2010). According to the report, the sectors include energy efficiency, renewable energy, mass transit and rail and green construction.
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The Green Tier Program is well represented by companies that are targeting these key sectors. Johnson Controls straddles the green
Green Tier companies aren’t environmentally exclusive—green jobs are being created across myriad fields. Many are manufacturers and producers who have chosen to take initiative and step into the green economy, realizing that efficiency leads to profits. The advantage lies in taking the leap towards sustainability.
The Bottom Line: Frito-Lay Beloit took on the efficiency challenge, focusing on their EMS to reduce energy use in their baking and cooking procedures. Engineers looked to the naturalgas powered engines of the cooking process to make a drastic change. Upon observation, they found that valuable amounts of heat were escaping the system.
A heat exchange was installed to recover the loss, resulting in a return of 15-20 percent on investments, annually, and a 50 percent reduction in energy use. The Frito-Lay Beloit plant recently earned LEED certification, bringing them one step closer to the plant’s net-zero energy use goal.
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ADVANCING BUSINESS Economic recovery and a bright future As Wisconsin struggles to regain some of the 170,000 manufacturing jobs that have been lost in the last decade, Green Tier companies represent a bright spots in the state’s economy. Green Tier companies put an emphasis on green, and as a result, most of them keep growing. It should not be surprising to note that even though we are experiencing one of the most trying economies in memory, not a single Green Tier company has been lost through bankruptcy. Green Tier status has become a symbol for companies that are well managed and successful, anchored by their commitment to superior environmental performance. As Wisconsin redefines its manufacturing expertise and positions itself for the future, Green Tier companies are leaders that other companies will be emulating. The partnership that is created between DNR and these companies not only benefits these companies, but benefits the entire population of the state and its resources. In cooperation between state and business, we see stronger communities emerge ready to take this century’s newer, more complicated challenges. As John Torinus, CEO of Serigraph, a Green Tier company in West Bend said, “The central idea behind Green Tier is that it takes cooperation among the government, industry and environmentalists to produce economic growth and environmental progress.” Green Tier is a bold demonstration of how job growth, profitability and environmental leadership can work hand in hand.
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The Bottom Line: ABB focused on their own energy consumption, specifically heating, ventilation and air-conditioning (HVAC), as well as recycling. New Berlin facility manager Rick Kegel realized ABB’s HVAC could only be turned on or off, even though it was responsible for heating and cooling the entire facility. ABB built variable speed drivers for the fan, allowing it to operate between minimum and maximum capacity.
The result was a 30 percent saving in energy, and dramatic decrease in CO2 emissions. For recycling, ABB began shipping plastic to Material Recovery, Inc. in Milwaukee, rather than sending the plastic to a landfill. They recycled over 2000 pounds in the first year of the program, saving money and the environment in the process.
The Bottom Line: Serigraph in West Bend focused on eliminating volatile organic chemicals from their specialty printing process. Inspired by a subsidiary in India, CEO John Torinus built a device known as the Biofilter for the plant. The Biofilter collects excess water from the printing process, and treats it so it can be reused. The amount of city water used by Serigraph was drastically reduced.
With the Biofilter, Serigraph did not need additional control technology to treat VOCs. They also reduced the amount of energy needed for heating and cooling in the Serigraph facility. Serigraph saves 40,000 gallons of city water using the Biofilter, as well as $10,000-16,000 annually on water sampling costs.
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For many, th e term green job simply re of blue-collar fers to a categ jobs in green ory businesses or collar jobs wi even “blue th a green pu rpose” (2009 ance). Howe Blue Green Al ver, these jo bs lireally do repr tant new categ esent an impo ory of work rforce opportu they are high nities becaus quro in aligr s ty es jo bs e (w P ly ith ders to en lot,w an some posses barri sing relativevestmaren try), in secto e related to m rs of the econ Employment, In inimizing ou y om m no co E r Fo im en r pact on the en y that those that do re G ’s in ns ha co vironment. ve low barri Wis have been ou ers to entry, t of the labor pe op le who market for an of time, or wh extended pe o were form rio ally incarcer possess limite ated, or whom d d education or skills, may supporting oc What is a gr find a family cupation (200 een job? 8 Apollo Allia nce). Green jobs ar e the kind of According to fa Wisconsin Go once anchor mily- suppor ed the Amer ting jobs that vernor Jim Do energy techn ican middle ology and hi industries of yle, ““Clean class, but in gh-e the Wisconsin’s the future… anyo nd manufacturing are manufacturin future; industries like wi nd turbine ne who says g, solar pane jobs in the cle ther l installation, retrofits, and an energy ec energy efficien onomy had be e aren’t green buildin eyes.” (2010 cy g (2008 Apol tter open their State of the “Green jobs lo Alliance). State speech ” “green-col economy is ). Creating a lar jo perhaps one notoriously green of the greates ambiguous ter bs” or “cleantech jobs” opportunitie t challenges are ms. Defined s the than occupa and more by indu tion, these jo ing jobs while nation has faced in a ge stry bs reside prim neration. Crea tors that mak re arily in the se te up the gree preventing po ducing emissions, saving cn economy. of this report, verty in the For the purp time of a seve energy and green jobs ar perhaps a do oses re recession e jobs related uble dip rece efficiency (in (and ssion) is goin to energy cluding gree foresight and g n to bu (including tra will. take politica ilding), rene l nsportation fu wable energy els), alternativ (including ele e transportatio ctric cars an Just about ev d mass trans n ery plan to he recycling an it), water use, d waste min lp revive the and im American ec iza an tio y n. ne wly introduce Even then, ju onost like d word, the de the perspectiv finition is su e of the indi bject to vidual refere ncing the ter m. In 2007, mor e than 22 diffe rent sectors economy we of the U.S. re providing workers with except for th green jobs an e co d, disproportion nstruction sector, which has ally hard durin g the recessio been hit of these secto n, every one rs was expecte d to continue The City of Berkeley Of fice of Energy to grow (2007 Developmen and Sustainab t). le A project of: il Gr unc Co ee n ess jobs may als Busin ble ina sta Su o n be referred to as Cleantech is The Wisconsi cleantech jo shor r Porgram rces bs. The Green Tie Natural Resou nology is a ne t for Clean Technology. n Department of Clean Techw ter m th at at the Wisconsi covers a dive innovative pr Business of ool Sch rse n oducts and se range of The Wisconsi rvices that op natural resour timize the us ces or reduce e of the negative ronmental im t, Esq. ger Eg as en om vi Th -
en Wisconsin Gre
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Jobs Report 20
Sarah Keller
For more For more information:
October, 2010
The Wisconsin Sustainable Business Council was developed in 2008 to bring businesses interested in sustainability together to learn from each other. The Council’s focus is on educating businesses, facilitating information exchange and supporting businesses that are interested in incorporating sustainability into corporate decision making. In 2009, the Council worked with the Green Tier program to cosponsor the annual conference, and this partnership blossomed in 2010 with the joint issuance of the State of Wisconsin Sustainability Report and the Green Jobs 2010 report. Go online for more information on the Wisconsin Sustainable Business Council and the annual reports: www.bus.wisc.edu/sustainability/council/
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GREENING THE BOTTOM LINE Greening the bottom line Measurement has been fundamental to Wisconsin’s performance based programs since the Environmental Cooperation Pilot Program began in 1996. That measurement tradition has continued throughout the history of the program and is addressed in summary here. Commitments depict not only the proactive nature of the program, tapping into the potential of participants, but also the breadth of the program with multiple commitments beyond compliance standards and addressing unregulated environmental issues. Surprisingly few measures are available that would allow universal comparison of participants and non-participants in environmental performance programs. Equally important, imposition of universal measures and rigid standards for those measures runs contrary to statutory directives to hold down administrative overhead. In lieu of a universal reporting scheme, work is done with each participant to secure metrics which depict progress on commitments and utilize the limited amount of universal information* available as indicator data rather than an overall measure. On this page is a table summarizing the commitments from the Pilot Program, Tier 1 and Tier 2 participants. The table indicates the number of companies with commitments in the generic environmental categories. Some will have multiple commitments, and several have multiple facilities with commitments in a generic category, but it is simply entered as one point so as not to give the impression of overstating the work.
Given energy expenses and the corresponding environmental benefits, energy is clearly one of the major recipients of participant interest and resources. Similarly, air emissions, waste and water continue to receive considerable attention as one would expect given both the regulatory attention and operational costs.
“For
Northern Engraving Corporation, Green Tier offers a valuable tool for competing in an ever changing and highly competitive marketplace.” —Randy Nedrelo
What is important is that each participant will be measuring and managing their results where they have made those commitments and transparently sharing their performance information, not just with the department, but with other participants as well.
Environmental Committments: Pilot Program Water Air Waste Energy Transportation Conservation & Restoration Employees & Communities Hazardous Waste Other
4 3 3
Northern Engraving
METRICS Tier 1 10 5 23 25 5
Tier 2 1 1 1
Total 10 10 27 29 5 4
4 1
8
1
10
3
5
1
9
1
4
5
*Environmental commitments are agreements by Green Tier companies to improve a particular part of their operation. This table only reflects data from Green Tier companies that disclosed their committments.
* Even universal data has limitations since many participants and non-participants fall below reporting thresholds
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Measuring environmental performance Statutorily, Green Tier is tasked to increase the amount of environmental risk that is systematically managed by those committed to superior environmental performance. In each of the seven indicator measures our goal has been to see overall downward trends in pollutant volumes and to have the participants outperform the rest of the state in making those reductions. You will note in the tables that levels have gone down in all but one category, hazardous air pollutants (HAPs), and the group has outpaced the rest of the state in five of the seven indicator areas. The reason that these are used as indicators and not as absolute measures is that sometimes the raw numbers don’t tell the full story. For example, the reductions in hazardous waste for the program participants would have been even greater had it not been for
a significant increase in hazardous waste at one facility. The increase occurred strictly because a production byproduct, previously treated on site and therefore not reported, was shifted to off site processing to create more and better product that could be reused and transported quite economically by rail. Similarly, the trends are used as indicators to know where discussion and collaboration can occur. For the one area in which an increase has been seen since the 2004 base year, HAPs, almost all of the change was a single facility and work was already underway, evidenced in the 2008 to 2009 reduction, to reverse the upward trend. As we look to the future, we would expect to have a greater percentage of these indicator risks covered by facilities with a public commitment to superior environmental performance and managing that commitment with environmental
management systems. Longitudinal tracking of environmental management systems shows that 27 percent of facilities reporting indicator information to DNR have some form of EMS—potential participants already invested in the key component for participation. The goal is to double that percentage in the next five years to increase the pool of potential participants for Green Tier and other sustainability programs. For the indicators that we are tracking, participants total between 3.5 percent (SOx) and 13.0 percent (CO) of the total tons for each indicator. In each indicator area we would hope to approach 30 percent of the total over the course of the next four years. Several applications are currently pending which will have a significant impact on the percentage of risk that is managed through formal environmental management systems, moving us much closer to the goal of superior performance rather than compliance being the performance norm.
TOTAL HAZARDOUS WASTE
IN TONS NOTE: Non ProgramY Participants NON-PROGRAM PARTICIPANTS ACCESS IS ON A Program Participants PROGRAM PARTICIPANTS LOG SCALE (10X) 1,000,000 100,000 10,000 1,000 2004
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2005
2006
2007
2008
2009
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GREENING THE BOTTOM LINE SULFER OXIDE
IN TONS NON-PROGRAM PARTICIPANTS PROGRAM PARTICIPANTS
Hutchinson Technologies, Inc.
NOTE: Y AXIS IS ON A LOG SCALE (10X)
1,000,000
reduced CO2 emissions by almost 15,000 tons and energy use by almost 10,000,000 kWhs over a three year period.
100,000 10,000 1,000 2004
2005
2006
2007
2008
2009
REACTIVE ORGANIC GASSES
IN TONS NON-PROGRAM PARTICIPANTS PROGRAM PARTICIPANTS 100,000
NOTE: Y AXIS IS ON A LOG SCALE (10X)
Roundy’s Distribution Center
10,000
reduced CO2 emissions by 258 tons.
1,000 100 2004
2005
2006
2007
2008
Progressing beyond compliance goals Each of these reports contains a disclaimer about attribution. Correlation does not imply causation: stating that a change is specifically attributable to the pilot program, Green Tier or even the compliance audit program is not prudent or possible. Too many variables lead to business goals, business decisions and business analysis to suggest that one element yielded a given change or to accurately apportion some part of the change to one or more actions under the participation programs. Resources are limited for the program, limiting oversight, rigid reporting requirements, comprehensive data analysis and testing, etc. Work continues to develop new data which can be used as indicators, water data in particular. Work also continues to create data that can be used consistently between participants without adding administrative overhead.
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2009
CARBON MONOXIDE IN TONS NON-PROGRAM PARTICIPANTS PROGRAM PARTICIPANTS 100,000
NOTE: Y AXIS IS ON A LOG SCALE (10X)
10,000
1,000 2004
2005
2006
2007
2008
2009
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NITROGEN OXIDE
IN TONS NON-PROGRAM PARTICIPANTS PROGRAM PARTICIPANTS 100,000
R. Stresau Labs
NOTE: Y AXIS IS ON A LOG SCALE (10X)
implemented an industrial recycling program, as well as a solvent recycling system. They reduced overall energy consumption by almost 100,000 kWh since 2007.
10,000
1,000 2004
2005
2006
2007
2008
2009
PARTICULATE MATTER
ATC
IN TONS NON-PROGRAM PARTICIPANTS PROGRAM PARTICIPANTS
reduced the amount of storm water runoff from a new corporate headquarters facility by 55 percent through the use of bio-swales and three retention ponds.
NOTE: Y AXIS IS ON A LOG SCALE (10X)
100,000
10,000
1,000 2004
2005
2006
2007
2008
2009
HAZARDOUS AIR POLLUTANTS IN TONS NON-PROGRAM PARTICIPANTS PROGRAM PARTICIPANTS 100,000
NOTE: Y AXIS IS ON A LOG SCALE (10X)
Donaldson Company, Inc. reduced water use by 30,000 gallons per month in one of their quench tanks.
10,000 1,000 100 2004
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2005
2006
2007
2008
2009
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WORKING TOGETHER Working Together The idea of working together is certainly not a novel concept. However working together to achieve the common purpose of increased job growth and environmental performance is novel in Wisconsin. Green Tier works on the fundamental philosophy that successful businesses are businesses that set the bar for growth in both job creation and environmental performance. Green Tier takes a traditionally contentious relationship and
turns it into one where business and environment work together to grow. The principle that good business is good for the environment is not new. Wisconsin’s own Senator Gaylord Nelson once said “the economy is a wholly owned subsidiary of the environment.” The new principle behind Green Tier recognizes that the environment is also wholly owned by the economy. Therefore, advantage business equals advantage environment.
Part of the green job revolution is a result of this new transformative approach to working together. Individual companies have shown an ability to grow their businesses while reducing their overall environmental footprint. For example, Johnson Controls is planning for an additional 17,000 jobs in the coming years. At the same time they are reducing their energy consumption, greenhouse gas emission and reaching out to help others reduce energy consumption. They are also working with communities to help reduce environmental footprints.
PHOTO COURTESY ROUNDY’S DISTRIBUTION CENTER
Roundy’s promotes environmental stewardship amongst employees, giving out trees to be planted throughout the community.
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Greening Relationships Continuing to work together to achieve superior environmental performance, the Green Tier program fosters relationships with specific business sectors. This new relationship is being created to build upon existing successes within business sectors that are looking to take their environmental commitments to the next level. Growth in a particular sector is not only supported but enhanced through this unique business to regulation relationship.
Green Tier participants. Given the number of printers in the state, it is important to also note paper maker’s environmental potential. The most recent data compiled by the paper industry, and verified by DNR, reveals an impressive record of accomplishment. The industry has continuously improved environmental conditions over the past nine years: •
From 1992 to 2000, the paper industry
• •
reduced process-related releases by over 60 million pounds. During that same period, production increased an estimated 1,099,000 tons, or almost 13 percent. Calculated on a per ton of production basis, the paper industry’s process related releases to the environment declined from 11.67 pounds per ton of production in 1992 to 4.27 pounds in 2000. This is a decrease of 7.4 pounds, or 63.4 percent.
“Businesses
and organizations report that developing an EMS pushes them to examine processes at every level of the organization. If done well, this helps focus all parts of the organization on the goal, and almost always results in improved environmental performance.” —Fred Clark Wisconsin State Representative
For example, DNR and the Paper Council worked together to develop an effective method for annual progress reports showing industry releases. The results have shown Wisconsin’s paper makers are national leaders in production and their effects can be felt throughout the state. While only one paper company is in the Green Tier Program, the ECPP participant Packing Corporation of America, they supply paper to a number of
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Owner and employees at Winsert, Inc. of Marinette celebrate acceptance into the Green Tier program, a sign of Winsert’s commitment to the environment as well as the community.
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WORKING TOGETHER Green Tier taking the lead Green Tier companies are leaders in every aspect of their businesses, and they extend this relationships across lines of commerce. Roundy’s Distribution Center has gone above and beyond Green Tier commitments, and the state of Wisconsin is the benefactor. Last year, Roundy’s reduced gas emissions and saved fuel by implementing a 3-minute idling restriction with all of their delivery vehicles. This initiative, along with a ride-sharing program and retrofitting trucks, reduced CO2 emissions by over 250 tons and other gas emissions by over three tons.
Perhaps the most important thing Roundy’s is doing, though, is helping other companies accomplish similar goals for the good of the stakeholders. Roundy’s works with vendors and employees to ensure sustainability remains a top priority throughout the production chain. Other Wisconsin groups have followed suit, making commitments to superior environmental performance and taking on a larger role in their communities. This year, the Wisconsin Army National Guard entered into a Tier 1 agreement where they will achieve superior environmental performance for all 85 of their statewide facilities. The reductions in waste, energy use, emissions and water
pollution will be continuous without negatively affecting the National Guard’s ability to meet their missions.
Strengthening Wisconsin’s industries The Green Tier program continues to develop relationships in multiple sectors throughout the State. We fully anticipate helping to create growth within those sectors that will realize increases in jobs and decreases in environmental impacts. For example, the printing sector has several members in the Green Tier program. One of those printers, Ripon Printers, reduced energy consumption, by changing 497 metal halide fixtures to more efficient T8 high-intensity fluorescent lights. The environmental initiative immediately cut power usage by over 50 percent in the production areas and eliminated 12,750 tons of carbon dioxide, 3,475 tons of carbon, 55.2 tons of sulfur dioxide and 26.9 tons of nitrogen oxides over a 20-year period. In addition, Ripon Printers uses 100 percent digital workflow as well as source reduction efforts and recycling of materials ranging from printing plates to paper waste. Customer education programs also deliver important information about how marketers and publishers can make their print materials more environmentally friendly. As a Green Tier company, Ripon Printers targets continued reduction in volatile organic compounds (VOCs) emissions, seeking to continually reduce energy consumption and Forest Stewardship Council certification.
Yaggy-Colby, a multi-dimensional consulting firm, focuses on sustainability for their Delafield office and also helps customers to build and develop with the environment in mind.
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Ripon Printers hosted a communitywide electronic waste drive and collected 18,773 pounds of electronic waste. Ripon Printers worked with a company that is a true processor. All items collected will be reused, refurbished, reclaimed as raw material, re-engineered into a new commodity for manufacturing or recycled. Items collected included: computers, laptops, monitors, scanners, printers, speakers, television sets, microwaves, washing machine and a variety of other home electronics. By working together, we have begun the process of enhancing the entire life cycle of products within industries. Over the long run this will produce a sustainable business and a sustainable environment. This will help Wisconsin businesses position themselves for future growth within our State. That means advantage business and advantage environment.
Green Tier participants pride themselves in being helpful members of the greater community. Affinity Health Systems has 27 facilities participating in the Green Tier program, each one making a difference in their community. Pictured here, a rooftop garden at St. Elizabeth’s Hospital, an Affinity facility, in Appleton.
The Bottom Line: Improving energy efficiency should be the cornerstone of any corporate sustainability strategy. It is the most cost-effective way to reduce energy use and greenhouse gas emissions while reducing operating costs and minimizing the impact of future energy price increases. Our research shows that organizations that set public energy and/or carbon reduction goals and
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that track energy use on a weekly or shorter basis implement more efficiency improvement projects and achieve much greater cost savings than other organizations. Setting goals and tracking energy use are great starting points for any organization beginning on the path to increased sustainability. —Clay Nesler
See wha to Tier comther Green are doin panies commu g for their nities Faceboo on k: faceboo k greenti.ecom/ r
VP Global Energy and Sustainability Johnson Controls
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BUILDING RELATIONSHIPS Building relationships Green Tier is about collaboration and building better relationships to tackle tomorrow’s problems. There are many advantages to working with the Green Tier program and the Department of Natural Resources, including a built in environmental network and the resources to accomplish conservation goals. Green Tier stresses collaborative solutions, and works with companies to negotiate contracts that empower maximum environmental performance potential. Businesses often get better strategies for more efficient environmental monitoring, record keeping and reporting, as well as forward thinking and progressive permit and decision streamlining. Companies also use the Green Tier logo, a logo that boosts environmental performance recognition throughout Wisconsin. The Green Tier program has brought about a revolution—one where the DNR takes on a role vastly different than that of a traditional regulatory agency. This change in culture allows both the company and the Department to be the most effective in finding and implementing solutions, as well as removing barriers to environmental stewardship. Participants do not sit opposite each other in a state of competition, but rather, participants sit together and envision a future beneficial to all stakeholders. The collaborative environment, where trust is assumed and expected allows for quicker action on meaningful activities that produce results. It’s how we build meaningful relationships for a better future.
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The bottom line: It is often confusing for a company who holds many permits to know exactly who they should be communicating with to get one certain task done. The single point of contact (SPOC) benefit is a surefire way to get in touch with the right people as
soon as possible, expediting the permit process and answering questions on the go. Working with SPOCs eliminates multiple phone calls and streamlines company interactions with DNR.
Green Tier stresses cooperation and interaction. Here, associates from Kimberly-Clark and DNR get ready to celebrate Kimberly-Clark Experimental Mill’s entrance into the Green Tier program.
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The SPOC advantage Each company that chooses to be part of Green Tier is assigned a single point of contact (SPOC). The SPOC is often the most valuable asset for building new relationships. SPOCs are appointed employees of DNR who work closely with their assigned Green Tier company to achieve superior environmental performance. The SPOC takes on the role of advocate— improving communication between a company and the agency. A great resource inside DNR as well, SPOC’s often work with regulatory staff in addition to the participating company. Regulatory staff may be missing compliance
information outside of their own program. The SPOC, having worked with the company will be up to speed on the efforts and can communicate that to program regulators, ensuring they understand how their program enhances the relationship and overarching environmental gains. The Green Tier program makes a point of building a strong environmental community. Before Green Tier, a company doing business in Wisconsin would have a network of businesses with whom they interacted. Those relationships and ties were often the product of being in a trade association, region or supply chain. Those relationships are invaluable.
“What
makes the process work smoothly are the relationships. If you get people together and get to know who they are, working with them becomes easier. There’s trust there.” —David Siebert
DNR, Director of Energy and Environmental Analysis and Green Tier SPOC
Frito-Lay Beloit took another large step towards sustainability, becoming LEED certified in September, 2010.
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BUILDING RELATIONSHIPS A built-in environmental network When a company chooses to join Green Tier their network suddenly expands. Now, they have access to all of the companies who are also part of Green Tier, blurring conventional lines and building new relationships based on environmental commitments. Companies can work in between trades and environmental performance, greening Wisconsin as a whole. Green Tier members are unique, coming from all different industries. This diversity enriches the interactions between participants. A manufacturing company can glean many ideas from a transportation company even though they are not in the same business, because businesses tackle many of the same issues independent of industry. Topics range from EMS practices to contractors, from product substitutes to water conservation and beyond. Companies that excel at energy efficiency share their knowledge across the board, reaching out to other Green Tier companies making a sound commitment to the environment.
environmental performance. That commitment represents a higher hurdle after having addressed some of the obvious areas of improvement. At that point, it is beneficial to have access to others who are moving in the same direction and can offer ideas, ward off pitfalls or even brainstorm next steps.
New research out of Notre Dame’s Mendoza College of Business finds that even a job that includes duties such as manure management can be rewarding if workers see the benefits of the greater good. The greater good can include the environmental benefits of fueling a methane digester, or other similar developments.
An advantage at all levels
Notre Dame University, assistant professor of management Ante Glavas, who studies dairy farms and sustainability, says that early results suggest that productivity goes up as much as 40 percent when workers feel their jobs contribute to the greater good.
Building important relationships doesn’t begin and end with Green Tier and Green Tier companies. The Green Tier advantage can be felt at every level of production. For companies truly concerned about the environmental bottom line, companyemployee relations are where environmental commitment begins.
Recognizing the need for a sustainable future is the first step to building stronger relationships across Wisconsin.
These improvements are not specific to any single industry or business. The opportunity to interact with other companies on topics such as these can directly improve a business’s bottom line, along with the environment. The ability to reach out beyond an industry network can foster new ideas, as well as provide insulation from a less open, competitor versus competitor discussion. In addition, companies in Green Tier have committed to systemizing their
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The Green Tier flag flies proudly at Phillips Plastic’s medical supply manufacturing facility in New Richmond. Phillips has made the most of the Green Tier advantage, enrolling multiple facilities in the program.
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SPOCS
The bottom line: American Transmission Company (ATC) was one of the first companies to join Green Tier in 2005. Since their accptance into the program, ATC has been exemplary in their dedication to sustainability. ATC has taken on a role as a leader in their field, and the positive environmental impacts can be felt throughout Wisconsin. “ATC always worked toward the benefit of the environment,” said David Siebert, director of the DNR’s Office of Energy and Environmental Analysis and ATC’s SPOC. “ATC knows what they need to do, and Green Tier has helped them set the bar higher.” ATC’s relationship with the DNR is indicative of many across the board. SPOCs are helping to engage companies to build sustainable infrastructure and enduring environmental management systems. But they’re also building something equally important; trust.
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“I would have to say communications with Donaldson have been honest,” said John Stoffel, the DNR representative to the Donaldson Company. “[Donaldson is] on point with regard to meeting environmental standards.” Because of these relationships, Green Tier companies and DNR have made lasting contributions to Wisconsin. A recent contamination issue in Door County was resolved quickly and efficiently because of Boldt Construction’s cooperation with their SPOC, DNR hydrogeologist Annette Weissbach. “As a Green Tier participant, we feel that this collaborative working relationship with the DNR has benefited our customer and allowed this project to move forward,” said Bob DeKoch, Boldt’s president and chief operating officer.
Relationships like these help the Green Tier program grow along with Wisconsin’s business. As the network grows, everyone learns and shares their experiences, and Wisconsin is better off for it. “What makes the process work smoothly are the relationships,” said Siebert. “If you get people together and get to know who they are, working with them becomes easier. There’s trust there.”
Go onl ine more i to find out nf about ormation S the co POCs and mpani e repres s they ent:
www.g Click o reentier.wi.c n “Par ticipanom ts”
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LOOKING FORWARD Making decisions for a more sustainable
tomorrow. SPEAKING WITH BILL MITCHELL
If the future
of business is sustainability, how do we plan for it? Economic developer Bill Mitchell of the Waukesha County Economic Development company lends insight to innovation.
Q
Can you define what you mean when you use the term sustainability?
It’s a really simple definition for us. Sustainability is efficiency; more specifically the “efficient use of diminishing resources.” We go beyond the environmental definitions. Resources could be natural resources, a lot of different things. We think sustainability is really an efficiency issue.
Q
Why are you so committed to the idea of sustainability?
I’m an economic development person whose role is to facilitate or be a catalyst for growing the business base. Without strong small and medium-sized business bases, the ball game is
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over. Who is going to fund charitable works and community building? How will we build stronger communities? We think the future economic development model will include sustainability as a key strategy. My daughter would say this is fairly “probusiness,” but I’m willing to take that hit if “pro-business” means helping these businesses succeed—not just to create wealth, but to do good for current and future generations. If it’s to generate wealth for shareholders, that’s good motivation for business. But that’s not enough.
Q
Are businesses in Waukesha County interested in sustainability? Why?
We’re in the 10-15 percent range of total businesses focusing on sustainability. It’s a small percentage compared to the total number of businesses in Waukesha County, but it’s growing. Since we started this about 18 months ago we’ve doubled the number of companies we have found are working at some level of sustainability. There are 9600 businesses in
Waukesha County, and just under 400,000 people—lots of opportunities. There’s a web site (www.choosemilwaukee. com) for the seven counties of Milwaukee, Waukesha included. We’re using it as a business retention and expansion tool with this economy. Businesses are looking for ways to save money and survive. We’ve lost some very important businesses. Firms with really solid niche’s are doing extremely well. Why? We’ve discovered that companies are looking to save money. And there’s a talent component that we don’t quite have our hands around yet. A lot of companies ask “Where is the talent to assemble green teams?” They are trying to get their hands around the idea of sustainability as an employee attraction and retention strategy. Should there be a green team? Should there be a director of sustainability? These are questions we’re working to answer. One of our goals for 2011 is to build a job description for a “Sustainability Advisor.” We want to help companies identify skill-
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I’m willing to
take that hit if “probusiness” means helping these businesses succeed—not just create wealth, but to do good for current and future generations. If it’s to generate wealth for shareholders, that’s good motivation for business. But that’s not enough.
sets that would help build a sustainability function and/or department. I often meet business leaders who view sustainability as “tree-hugging.” Hopefully I get time to talk more and show businesses what we’re doing. We just finished a project where we saved a business $144,000 just by identifying resource reductions and energy efficiency. We have learned this business-led initiative goes well beyond “tree-hugging.”
Q
You launched Partnerships for Sustainability, which became Smart Business Forum. Why did you change the name?
Simple answer, legalities. A solar company in Denver had already taken a similar name. More complicated answer, our economic development work relies on a three-driver strategy. Sustainability is the first, which
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will be followed by innovation and new market development—helping companies do business internationally. We want to show what smart businesses do. Smart businesses practice sustainability. Smart businesses innovate.
Q
What does your web site, www.smartbizforum.com, offer companies in Waukesha County?
Something many companies are missing is a tool-kit to get started. A lot of people call me and ask, “How do we get started in sustainability? We’ve heard about it, but we don’t really know what we have to do.” It’s kind of a ‘put your toe in the water’ sort of thing. We have built a comprehensive sustainability guide. It’s just a starting point for small and medium-sized businesses. 80 percent of Waukesha County is composed of small businesses, which generally is true of most SE Wisconsin counties. We want to help them out.
Q
What one thing could be done to get more businesses interested in sustainability?
We tell businesses that energy and lighting are the low hanging fruit. It has the largest pay-off. But really, what businesses need are success stories from other companies. We’re building the Smart Business Forum web site based on these success stories. Companies want to hear about the work we do with other companies, so we’re integrating that into our website. I have a company headquartered in my county who called last week and said, “I have a co-worker who wants to hire someone to
do sustainability work.” Instead of handling the call on my own, I was able to pass the request on to our web site because of the content. I’ve always just talked, but to go one person at a time is inefficient. Now I send them to the site. The next phase of the Smart Business Forum will expand the ‘forum’ concept by helping businesses communicate directly with each other. This site is 100 times more powerful than talking directly with me or another advisor.
Q
From your experience, how can developing a more sustainable business affect companies’ bottom lines?
Right now for us, it’s the efficiency I mentioned earlier in terms of reducing cost. For Waukesha County in particular, water is becoming an issue. We have radiumcontaminated wells throughout the county. We have a depleting water supply, so efficient use of water by businesses is very important.
Our economic
development work relies on a three-driver strategy. Sustainability is the first, which will be followed by innovation and new market development...We want to show what smart businesses do. Smart businesses practice sustainability. Smart businesses innovate.
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LOOKING FORWARD
Also, putting together a green team can help build new relationships within your company. We worked with the Milwaukee Public Museum. They have a green team that consists of 16 people from 15 different departments, all-talking about the same strategies for sustainability. It’s really cool.
Q
What is the difference between small , mid-sized and large companies in their uptake of sustainability ideas?
Large companies have the capacity to formalize initiatives within the company, and they may have considered creating departments to handle sustainability. Small businesses need to integrate sustainability directly into their business plan, but many of them are just trying
to survive. Many small businesses are very direct, “we don’t really have time for [sustainability].” We flip that around and say if you make time for it, you can save a lot of money in the long run.
Many small
businesses are very direct, “we don’t really have time for [sustainability].” We flip that around and say if you make time for it, you can save a lot of money in the long run.
For more information: Bill Mitchell is the executive director of the Waukesha County Economic Development Corporation. You can find out more about WCEDC and the Smart Business Forum online at: www.waukeshacountyedc.com www.smartbizforum.com
Q
What role does sustainability play in your vision for Wisconsin over the next 20 years?
Sustainability is a significant business driver for growth. But it’s really just one of the three parts of our vision. A strong company will make good use of technology. With the Smart Business Forum, we built a technology platform to let companies exchange ideas themselves. It’s no longer me making a pitch, but technologybased outreach—a network of ideas. We’re building a forum for user-generated content to share experiences. Businesses prefer to talk to other businesses, and we want to network them. Then residents and employees and individuals can get involved in that forum, and we have the necessary discussions taking place.
ACKNOWLEDGEMENTS:
GREEN TIER 2010 BIENNIAL REPORT
Cover photo and company photos taken by Shelley Heilman, unless otherwise noted. All other photos taken by Shelley Heilman and Anthony Cefali, except “Advancing Business” banner, “Greening the Bottom Line” banner and “Looking Forward” banner (photos courtesy of Flickr under the “Creative Commons” license). Green Tier 2010 Biennial Report designed by Anthony Cefali.
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STATUTORY REPORTING: Eleven Environmental Compliance Audits were received between April 1, 2009 through June 30, 20101.
Total violations by type2: • • • • •
Air violations disclosed: 14 Water violations disclosed: 57 Solid waste violations disclosed: 7 Potentially hazardous waste violations disclosed: 242 Other environmental violations disclosed: 1 (sec. 292.11 Wis. Stats.)
COMPLIANCE AUDITS Reports were received from the following counties: Ashland, Dane, Fond du Lac, Jefferson, Kenosha, Marathon, Milwaukee (4) and Wood.
Violations include each of the following:
1. Failure to have a required permit or approval. Four facilities reported a need to obtain an air permit. The average time to correct this violation was 41 days. 2. Failure to have a required plan. One facility disclosed needing a contingency plan as required by facilities having large quantity generator status (hazardous waste). The average time to correct this type of violation was 48 days. 3. Violation of a condition of a permit or other approval. Two facilities reported failures to adhere to conditions of storm water permit. The average time to correct this type of violation was 3.5 days. 4. There were no incidences of releases reported. However many of the potential violations reported, especially under the water and hazardous waste categories, without attention to the practice identified as deficient could lead to a potential release. 5. Failure to report. Three facilities disclosed a need to report air emissions. The average time to correct this type of violations was 19 days. Three facilities reported a need to change hazardous waste generator status. The average time to correct this type of violation was 50 days. One facility failed to report site contamination and site closure after a leaking underground tank was removed. The time needed to correct this violation was 46 days. The average time to correct the reported violations and the number of violations not yet corrected by category above: • No corrective actions took longer than 90 days to complete. For the categories listed above, the average time to correct was as follows: • Failure to have a required permit – Four reported incidences took an average of 41 days to correct. • Failure to have a required plan- One reported incident required 48 days to correct • Violation of a condition of a permit or other approval- Two reported incidences required and average of 3.5 days to correct. • Release of a substance to the environment-No incidences were reported. • Failure to report-Seven reported incidences took and average of 38 days to correct. 1. For purposes of this report, the environmental compliance audit was counted after the corrective action had been closed out. 2. Under the ECAA by and between the Wisconsin Association of Independent Colleges and Universities (WAICU) participating institutions and DNR,it was not uncommon for a potential violation to have more than one regulation that applied to the situation or location that was described in the reports. Therefore the total number of violations disclosed under these reports is likely skewed higher than reports just reporting a non-compliance of a regulation.
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Bureau of Cooperative Environmental Assistance WI Department of Natural Resources 101 S. Webster Street 路 PO Box 7921 Madison, Wisconsin 53707-7921 Phone: 608-267-3125 E-mail: CEA@wisconsin.gov PUB CO-572 12/2010
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