Integrating Environmental Sustainability into Airport Contracts (2013)

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5 OBJECTIVE The objective of this synthesis is to provide airports with effective practices and tools to integrate sustainability into their contracts. BACKGROUND Airport operators are required by FAA, and national, state, and local legislation to operate and manage their airports in an environmentally sound way. This requires complying with a number of regulations; for example, ensuring waste from the airports and airlines is stored, transported, and disposed of correctly; that surface water run-off is directed through appropriate drainage systems; that toxic materials are not emitted to air, water, or land. Grant requirements and permits can also require that airport operators comply with specific environmental conditions. Environmental management at airports has evolved over the decades. Today it is more than just compliance and reaches into proactive initiatives that can reduce operating costs as well as mitigate risks to the environment beyond the legal standard. This proactive approach to environmental man- agement, driven partly by the public’s growing awareness of global environmental, social, and economic conditions, and the demand from the communities in proximity to airports, as well as a concerted effort by airport staff to improve perfor- mance, is referred to throughout this synthesis as environ- mental sustainability. Airport operators are major buyers and users of diverse products and services. With this volume of purchasing comes the opportunity to influence and drive positive change in how and what airport operators buy. Every airport contract for the delivery of goods and services influences environmen- tal impacts, ranging from low to significant and can be both positive and negative. Aligning procurement methods with the environmental sustainability goals of an airport opera- tor in many instances can provide immediate benefits. Driv- ing environmental sustainability improvements at an airport through contracts is a powerful way to implement positive change and be seen as a leader in the community. STUDY METHODS The methods used to gather information for this synthesis included: • A literature review of published and publicly available material on how airports and other sectors are currently using procurement methods to drive enhancements in environmental sustainability and to identify example contract language that incorporates environmental sus- tainability criteria and specifications. • Outreach to airports known for environmental sus- tainability leadership was undertaken to determine a willingness to provide information through interviews. Thirteen of 14 airports contacted responded to an ini- tial survey, and 11 of 13 airports (85% response rate) provide experience in integrating sustainability through airport contracts. • Telephone interviews with airport staff from around the world including: – Boston Logan International Airport (BOS) – Chicago O’Hare International Airport (ORD) and Midway International Airport (MDW) – Hartsfield–Jackson Atlanta International Airport (ATL) – Incheon International Airport (ICN) – Portland International Airport (PDX) – San Francisco International Airport (SFO) – Seattle–Tacoma International Airport (SEA) – Toronto Pearson International Airport (YYZ) – Vancouver International Airport (YVR) – Zurich Airport (ZRH). • Interviews with each airport operator involved discus- sions with a variety of airport personnel to ensure a broad perspective. The following types of airport per- sonnel were surveyed as part of this study: – Construction services manager – Contracts administrator – Contract manager – Environmental manager – Property manager – Purchasing manager – Services manager – Sustainability program manager – Terminal concessions manager. • Airport operators received a discussion guide in advance of the interview so they could prepare the appropriate individuals and information. Following each interview, participants were e-mailed a summary of additional infor- mation requested during the call [this included airport contract and Request for Proposal (RFP) examples, which are provided in the appendix]. • Collecting and summarizing example airport contracts. chapter one INTRODUCTION

6 The synthesis’s intended audience includes airport manage- ment; more specifically, those managers with responsibili- ties tied to the environment, sustainability, procurement, and contracts. This synthesis will provide practical information to air- port operators and, as a result, increase activity across the industry as airports continue to use contracts as an effi- cient mechanism for delivering environmental sustainabil- ity improvements across an airport’s planning, operations, and management. SYNTHESIS ORGANIZATION • Chapter one is the introduction. • Chapter two presents a review of the airport contract types. This includes a summary of the different types of airport contracts and an overview of where sustain- ability considerations may best be integrated. • Chapter three is a summary of the current trends in air- port contracts. It explores what the incentives are for airport operators to integrate environmental sustain- ability considerations into airport contracts and high- lights the key components for successfully integrating sustainability considerations, as well as some of the primary obstacles. • Chapter four provides a summary of the opportunities for integrating sustainability considerations into airport contracts. It includes a generic overview of a typical air- port procurement process and then evaluates the scope of each procurement phase for integrating environmental considerations into airport contracts. • Chapter five presents a review of the common airport con- tracts that drive environmental sustainability improve- ments. It provides contract language from excerpts of airport contracts that have incorporated environmental sustainability requirements or conditions. • Chapter six reviews information on contract management and performance monitoring. It provides a summary of monitoring trends and examples airport operators are deploying to manage contracts. • Chapter seven is the synthesis’s conclusions, including a summary of the key findings and suggestions for further research. • The appendix (A) is a collection of sustainability clauses and conditions from actual airport contracts provided primarily by the airport operators interviewed for this project. The contract language examples are organized by airport contract type to provide the reader with an easy-to-use resource to reference example contract lan- guage. A matrix is included that allows airport operators to search the appendix by the environmental goals of the contract language.