2007-2008 Best Practices Award Winners

POLICY
NYS Office of General Services Procurement Services Group
The Evolution and Greening of The Aggregated PC Purchase Program

Best Practices Policy Award for The Evolution and Greening of The Aggregated PC Purchase ProgramIn 2005 the New York State Office of General Services' (OGS) Procurement Services Group (PSG) initiated an Aggregate Personal Computer (PC) Purchase program. Each year since inception the Aggregate PC Purchase initiative has reduced the price of desktop and laptop computers, and increased our commitment to a sustainable purchase program. This year, NYS OGS PSG answered the call from our governor's office to create even greener, safer and more sustainable procurement choices. By working directly with the Green Electronics Council, the NY OCIO/OFT and NY authorized contract users (IT Purchasers), OGS specified and required all machines quoted be EPEAT silver, and further, desktop PCs were required to be EPEAT silver and satisfy six specific optional EPEAT environmental criteria (the more stringent EPEAT criteria related to toxins). These stringent requirements pushed the participating microcomputer contractors to offer EPEAT gold for 6 out of the 9 categories.

Best Practices Policy Award for The Evolution and Greening of The Aggregated PC Purchase ProgramNew York State has achieved outstanding savings and increased benefits to the environment. While we have in the past contracted for Energy Star and EPEAT, the natural evolution of our IT Aggregate PC Purchase and our desire to be better environmental stewards meant upping the anti in the PC area. The finished product is a stream-lined set of specifications that fit the needs of the many and varied users of New York State contracts and one which is transferable to others interested in not only saving money but increasing their commitment to environmental stewardship. In May of 2008, the Green Electronics Council utilizing the EPEAT calculator estimated that New York's statewide of purchases of PCs under the program in 2007 will save 177,319,464 kilowatt hours of electrical power, and reduce greenhouse gas omissions by the equivalent of 13,155 metric tons. In July the program was recognized in the June/July issue of Government Procurement as one of the most significant NY green purchases, and was characterized as "purchases that have influenced other government purchasers throughout the country." Clearly, the greening of New York's Aggregate PC Purchasing program is consistent with Governor Paterson's Executive Order #4.

Background

Best Practices Policy Award for The Evolution and Greening of The Aggregated PC Purchase ProgramIn 2005, the OGS PSG established an Aggregated IT Procurement Program aimed at maximizing cost savings for purchases of Information Technology (IT) hardware, software and services. The program is a comprehensive approach to applying best practices in the areas of spend analysis, spend management, strategic sourcing, cooperative purchasing, contract negotiation and management, and inter-agency and inter-government collaboration. The program is available to all users of NY state contracts, which include state and local government entities. In the past three years the program has saved over $235 million off already reduced contract prices. The core of the program has been the Aggregate PC Purchase initiatives.

Since 2005, PSG has completed three Aggregate PC Purchase Initiatives and is currently conducting our 4th initiative. With each aggregate PC Purchase, PSG has been able to continually drive the cost of the PCs to the lowest price paid by any similar sized entity nationally, at the same time demanding more robust technology staying ahead of the curve of industry trends and standards.

Best Practices Policy Award for The Evolution and Greening of The Aggregated PC Purchase ProgramIn the past three years New York State aggregate pricing has been driven down $80 per unit while the technology continues to be more robust with each initiative. The volume of purchases has increased ten fold since the original initiative and participation has reached all users of NYS contracts to the point were state government is no longer the primary participant. New York State schools (K - Higher Ed) now represent over 50% of all purchases through the initiatives and local governments that purchase small amounts of technology are realizing discounts never offered to them in the past. The purchase price, terms and conditions apply whether purchasing one machine or 1,000 machines. The actual purchasing process has become more sophisticated, with contractors hosting websites specific to our aggregate initiatives.

The Most Recent Aggregate PC Purchase Initiatives

Best Practices Policy Award for The Evolution and Greening of The Aggregated PC Purchase ProgramThe development of the 2008 Aggregate PC Purchase Initiative brought the most progressive change to-date, as we aggressively addressed serious environmental issues. Working directly with the Green Electronics Council in response to NYS Executive Order 4, which requires "Establishing a State Green Procurement and Agency Sustainability Program", PSG included EPEAT registration requirements in the specifications for the 2008 Aggregate PC Purchase Initiative. As part of the requirements, all machines quoted must be EPEAT registered silver and desktops had to be EPEAT silver and satisfy six specific optional EPEAT criteria. These stringent requirements {4.1.2.1 Elimination of intentionally added cadmium, 4.1.5.1 Elimination of intentionally added hexavalent chromium, 4.1.6.2 Large plastic parts free of certain flame retardants classified under European Council Directive 67/548/EEC, 4.1.7.1 Batteries free of lead, cadmium and mercury (not applicable for Monitors), 4.1.8.1 Large plastic parts free of PVC, 4.8.2.2 Packaging 90% recyclable and plastics labeled } pushed the participating microcomputer contracts to offer EPEAT gold for 6 out of the 9 categories.

Environmental advocacy groups have indicated that this level environmental requirement is among the highest in the nation. New York's experience has demonstrated that incorporating the stringent green requirements has not undermined the desired technical configuration or acquisition cost savings realized.

Dollar Cost Reduction & EPEAT Standards Environmental Impact

During the past three years PSG has been able to offer to NYS contract users the latest technology in the PC market at the same time providing pricing at an average of 40% off of already reduced contract pricing. Savings off of contract pricing total over $230 million. Under the current PC Purchase initiative, a desktop PC with 19" flat panel display was quoted and awarded for $549.00.

Best Practices Policy Award for The Evolution and Greening of The Aggregated PC Purchase ProgramUtilizing the EPEAT calculator, the Green Electronics Council assisted OGS PSG in determining that based on the estimated quantities to be purchased under the 2008 Aggregate PC Purchase Initiative, New York State will save a total of 177,319,464 kilowatt hours by specifying EPEAT registered gold and silver PC configurations. This is a reduction of 21.5 million kilowatt hours from the PCs purchased during our 2007 initiatives. These energy savings equate to the energy needed to power 15,637 US households for an entire year, and reducing greenhouse gases equivalent to removing 10,440 passenger cars from the road for one year.

With the 2008 Aggregate PC Purchase Initiative, PSG has raised the bar further than ever, offering New York State outstanding environment impact savings. With the inclusion of the higher level of EPEAT registered specifications, we believe New York State has now taken a giant step toward leading the green IT movement.

Contact:

Jerry J. Gerard
Acting Director
NYS Office of General Services Procurement Services Group
Empire State Plaza
38th Floor, Corning Tower
Albany, NY 12242
(518) 474-3695
jerry.gerard@ogs.state.ny.us