1. National Environmental Performance Track Program: An Opportunity for Leadership Reginald Barrino EPA Region 4 Flexible Air Permitting Workshop May 25, 2006

2. Voluntary partnership program Recognizes and rewards top environmental performers Compliance is the baseline Strive for collaboration with accountability Provides another avenue to approach pollution prevention Goal is to continually improve performance What Is Performance Track?

3. Performance Track: Key Facts Facility based, for private & public sectors Launched in June 2000 Currently 404 members (74 in EPA Region 4) Two application periods annually (Apr 1 – May 31 and Sep 1 – Oct 31) Work in close collaboration with States Application & reporting systems are online Involves benefits & obligations for members Site visits with a sample of members each year

4. Environmental management system (EMS) Commitment to continuous improvement –set four goals for the three-year period –report annually on results Record of sustained compliance Commitment to public outreach Criteria for PT Membership

5. Submit annual performance report Certify compliance Report progress on environmental commitments Implement community outreach Maintain EMS Cooperate with facility site visit efforts Obligations of Membership

6. Performance Track has 404 members across the country

7. Facilities of all sizes are members of Performance Track Number of Members More than 1,000 500 - 1,000 50 - 99 Fewer than 50 100 - 499 Number of Employees 61 29 128 75 111

8. Chemical Products Electronic and Electrical Equipment Wood Products, Paper, and Printing Medical Equipment and Supplies Transportation Equipment and Supplies Rubber and Plastics Products Metal Products Machinery Equipment Mining and Construction Textile Products Miscellaneous Manufacturing PrimarySecondaryTertiaryQuaternary Members’ Relationship to Sector: Miscellaneous Non-manufacturing Arts, Recreation, and Entertainment Research and Education Wholesale, Retail, and Shipping Energy, Utilities, and Sanitary Services Manufacturing Non-Manufacturing Manufacturing: 300 Non-manufacturing: 104 Members in Each Sector Private Sector: 375 Government Facilities: 29 Federal: 23 Local: 6 Members represent diverse sectors and industries 57 55 37 33 32 31 Pharmaceutical Products 28 26 13 11 10 8 43 34 22 19 14

9. Performance Indicators Upstream - supplier’s performance; material procurement Inputs -energy, water, & materials use; habitat conservation Downstream -product impacts Non-product outputs -air & water discharges; wastes generated

10. Material Procurement Performance Suppliers' Environmental Accidental Releases Noise Other Products Discharges to Water Land and Habitat Performance Track Members Commitments Material Use Air Emissions Water Use Energy Use Waste Number of Members Performance Commitment Category Odor 324 239 188 176 175 54 48 17 11 8 4 2 0

11. PT Member Results Through 2004 Water Use: reduced by more than 1.3 billion gallons Solid Waste: amount generated has declined by nearly 600,000 tons Energy Use: Decreased by over 8.4 trillion British Thermal Units (BTUs) Habitat Conservation: set aside 7,871 acres of land, an area larger than 7,000 football fields NOx: reduced by almost 3,900 tons

12. Why Join Performance Track? Recognition for environmental results A different relationship with government Lower regulatory transaction costs More regulatory flexibility

13. Criteria for PT Corporate Leaders An organization must have at least five facilities that are Performance Track members At least 25% of a company’s U.S. operations (based on number and type of facilities, or employees), or 25 facilities in PT and/or similar state performance-based programs A strong record of compliance with environmental regulations A robust corporate management of environmental issues Past and future commitments to environmental performance improvement Public outreach and reporting on environmental achievements

14. PT Corporate Leaders Johnson & Johnson -40 of Johnson & Johnson’s 49 major U.S. facilities (82%) are PT members -Work with suppliers and external manufacturers to improve environmental performance Baxter Healthcare -8 of Baxter’s 18 major U.S. facilities (44%) are PT members, plus 2 smaller facilities -Pioneered addition of healthcare/pharmaceutical sector to Green Suppliers Network Rockwell Collins -8 of Rockwell Collins’ 14 major U.S. facilities (57%) are PT members, plus 2 smaller facilities -Established Lean Supply Chain system to encourage suppliers to eliminate waste

15. Working with States Joint effort with ECOS MOAs set terms for close collaboration Annual conference and regular consultation Advise on application reviews

16. States With EPA Agreements CA - 26 DE - 2 MD - 1 NJ - 15 CT - 5 RI - 1 MA - 12 HI - 0 PR - 15 OR - 7 WA - 9 NV - 3 MT - 0 ND - 0 SD - 4 WY - 2 NE - 2 KS - 1 OK - 4 NM - 4AZ - 6 UT - 3 ID - 1 MN - 4 IA - 10 MO - 2 AR - 5 LA - 6 CO - 10 WI - 2 MI - 8 IN - 8 TN - 6 AL - 7 SC - 7 FL - 13 GA - 15 NC - 3 KY - 6 OH - 14 PA - 15 NY - 15 VT - 1 NH - 8 WV - 1 VA - 10 AK - 0 MS-4 TX-24 AL - 7 Existing MOAs MOAs in Progress

17. States With Performance Based Programs Active State Program Developing State Program No State Program # - # of PT Members CA - 26 ME - 6 DE - 2 MD - 1 NJ - 15 CT - 5 RI - 1 MA - 12 HI - 0 PR - 15 OR - 7 WA - 9 NV - 3 MT - 0 ND - 0 SD - 4 WY - 2 NE - 2 KS - 1 OK - 4 NM - 4 TX - 24 AZ - 6 UT - 3 ID - 1 MN - 4 IA - 10 MO - 2 AR - 5 LA - 6 CO - 10 WI - 2 MI - 8 IL - 15 IN - 8 TN - 5 MS - 4 AL - 9 SC - 11 FL - 15 GA - 15 NC - 8 KY - 7 OH - 14 PA - 15 NY - 15 VT - 1 NH - 8 WV - 1 VA - 10 AK - 0

18. PT Regulatory and Non-regulatory Incentives Low Priority for Routine inspections RCRA Extended Hazardous Waste Accumulation RCRA Reduced Self-Inspections MACT Reduced Reporting for Air Sources Clean Water State Revolving Fund

19. Future Incentives Air - Flexible Permits RCRA - Streamline hazardous waste permitting RCRA - Performance-based tank standards RCRA - Standardized permits Water – Expedited permits

20. Where Do We Want to Go? Growth in number and range of members Increased environmental value Enhanced business value Transform relationships Institutionalize in EPA and State programs

21. Visit the Performance Track Web site: www.epa.gov/performancewww.epa.gov/performance track Or Contact: Reginald Barrino Performance Track Coordinator EPA Region 4 404.562.9635 barrino.reginald@epa.gov To learn more