Engineering a Sustainable Future - Sustainability and Corporate

Engineering a Sustainable Future
2003/2004 Sustainability Report
CH2M HILL designed a plant-based
system to halt the migration of
contaminated groundwater at Beale
Air Force Base.
On the Cover
To control the flow of water around a highly
contaminated area at Beale Air Force Base in northern
California, CH2M HILL and U.S. Air Force employees
designed a sustainable solution involving more than
5,000 plants (primarily native cottonwood trees, oak
trees, and grasses). The solution combined a slurry
wall with a phytoremediation (plant-based) system to
halt further migration of contaminated groundwater.
In contrast to standard technologies, such as excavating
and removing the soil or using electric pumps to
control water movement, this solution saved more than
$12 million in up-front costs.
To maximize the benefits to the ecosystem and
provide extended habitat along the realigned channel,
CH2M HILL and Beale Air Force Base partnered with
regulators to reconstruct the streambank. This included
planting an additional 7,000 new plants and using more
than 30,000 pounds of recycled coconut fiber matting
along both sides of the new stream channel. This
approach improved erosion control and water-holding
capacity, and promoted the growth of native grasses
seeded beneath the mat.
Joseph A. “Bud” Ahearn,
Vice Chairman of the Board
Ralph R. Peterson, Chairman
of the Board, President and CEO
From the Office of the CEO
Dear clients, employees, community partners, and industry peers:
We are pleased to present CH2M HILL’s first Sustainability Report, which describes our company’s
commitment to and progress toward visioning, designing, and building a legacy we can be proud
of—delighting our clients, inspiring our employees, and protecting the integrity of the natural
systems upon which all life depends.
With so many pressures endangering the planet’s ecological systems and its peoples, our
industry’s professional responsibility to serve the public health, safety and well-being takes on
new urgency. Indeed, the engineering profession has a powerful role to play. As scientists, we
are uniquely qualified to understand the delicate and complex relationships between ecological
systems, the built environment, and social frameworks. As designers, we are challenged to
innovate—to protect natural resources while meeting the cost and performance expectations
of clients and consumers. As members of society, we are called to improve our communities,
promote fairness, and educate the young. And as leaders, we must inspire others by turning the
resources of our company to solving some of the world’s most daunting challenges.
This report documents the progress CH2M HILL is making, not only in how we operate our
businesses, but—perhaps more importantly—in how we collaborate with and advise our clients on
sustainable solutions. We invite you to read about our extraordinary people, who are delivering
landmark projects around the world to a variety of clients. Learn about the steps we’ve taken
in developing sustainability policies, programs, and new technologies, as well as methods for
accounting for our progress (such as the implementation of a North American environmental
management system and the publication of this report). As a signatory of the UN Global Compact,
we are committed to support its ten principles in the areas of human rights, labor, environment,
and anti-corruption. We are proud to convey our participation in organizations that influence
sustainability policies locally and globally—the Design-Build Institute of America, the Civil
Engineering Research Foundation, the World Economic Forum, and the World Business Council for
Sustainable Development. In addition, we are delighted to announce the appointment of Nicholas
Sonntag to the newly created position of Senior Vice President of Sustainable Development.
Sustainability is an ongoing process that requires the continued sharing of our experiences,
regular evaluation of progress, and careful adaptation to new insights. This report represents a
milestone in which we commit to sharing our accomplishments and challenges with all of you.
We invite you to follow our progress and join us in this exciting and worthy quest!
Sincerely,
Ralph R. Peterson
Chairman of the Board, President
and Chief Executive Officer
CH2M HILL
Joseph A. “Bud” Ahearn
Vice Chairman of the Board
CH2M HILL
About this Report
This is CH2M HILL’s first sustainability report, covering the calendar
years 2003 and 2004. We have used the 2002 Global Reporting
Initiative (GRI) guidelines as they apply to our company. (An Index
to GRI Indicators is included on page 30, and cross-references appear
throughout the report. For example, [EN33] on page 5 refers to the
“environmental performance of suppliers” GRI indicator.) We have
found that some modification of the GRI approach was necessary to
reflect the nature of the service business we operate. For example, our
company’s material consumption and through-put are small compared
with the impact and scope of the work we do for thousands of clients in
designing water treatment systems, building industrial plants, cleaning
up toxic wastes, or planning transportation systems.
Sustainable management of our internal operations will always be
important as a natural expression of our culture and the deeply rooted
values of our employees. Beyond that, we believe that our greatest
opportunity for sustainable impact is in our role as a leader in sustainable
engineering practices. Thus, we have structured this report to address
both internal operations and the work we are doing for our clients.
The scope of our report encompasses two of CH2M HILL’s
legal entities: CH2M HILL, Inc., and CH2M HILL Canada,
Ltd. (See the Company Profile section for details.) Unless noted
otherwise, “CH2M HILL,” “the firm,” and “the company” are used
interchangeably in reference to the two companies covered by this
report. As we progress down the path of sustainability reporting,
we plan to include other CH2M HILL subsidiaries and affiliates in
future reports.
Contents
Inside CH2M HILL
..............................1
Meet CH2M HILL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Company Profile . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Environmental Stewardship . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Environmental Management System . . . . . . . . . . . . . . . . . . . . . . 4
Materials and Equipment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
The Supply Chain
Federal Projects
Johnston Atoll Environmental Restoration and Closure . . . . . . . 18
Marine Corps Air Station New River Low-Impact
Development Stormwater Retrofit . . . . . . . . . . . . . . . . . . . . . . . 18
Climate Leaders Program . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
Redevelopment at a Former Military Facility . . . . . . . . . . . . . . . 19
Industrial Projects
....................................5
Suncor Energy Greenhouse Gas Management . . . . . . . . . . . . . . 20
..................................5
Advanced Materials Research Lab . . . . . . . . . . . . . . . . . . . . . . . . 20
Recycling and Reuse
Facilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
Business Travel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
Nike Model Sustainable Factory . . . . . . . . . . . . . . . . . . . . . . . . . 21
Silverhawk Power Station . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
Employee Commuting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
Regulatory Compliance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Looking Forward . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
Corporate Citizenship . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Business Ethics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
Progress Report . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
Employee Well-Being . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
Economic Progress . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
Career and Leadership Development
Creating a Culture of Inclusion .
Health and Safety
.......................8
...........................9
....................................9
Environmental Progress . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
Products and Procurement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
Facilities and Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25
Industry Leadership . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Renewable Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Greenhouse Gas (Carbon) Emissions . . . . . . . . . . . . . . . . . . . . . 26
. . . . . . . . . . . . . . . . . . . . . . . . . 11
Fleet Emissions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26
Influencing Policy
Inspiring Tomorrow’s Engineers
. . . . . . . . . . . . . . . . . . . . . . 11
Regulatory Compliance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
Community Partnerships. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
Social Progress . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
Workforce . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
. . . . . . . . . . . . . . . . . . . . . . . . . 13
Business Ethics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
Honoring Environmental Leadership .
Charitable Giving
Teaming Up for the Environment
Learning and Development . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
Sustainable Solutions in Practice . . . . . . . . . . . . . . . . . . 15
Civil Infrastructure Projects
Whittier Access Highway . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
Toronto Waterfront Revitalization . . . . . . . . . . . . . . . . . . . . . . . . 16
NEWater Plants and Visitor Centre . . . . . . . . . . . . . . . . . . . . . . . 17
The Geysers Recharge Project . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Diversity and Opportunity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
Health and Safety . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
Working with Policy Makers . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
Index to GRI Indicators . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30
Founding Partners: Holly Cornell, Jim Howland, T. Burke Hayes, and Fred
Merryfield. CH2M eventually merged with Clair A. Hill and Associates to
form CH2M HILL.
Inside CH2M HILL
When three young engineers returned from
World War II to launch CH2M HILL with their
CH2M HILL today differs considerably in size and capability
from its roots, but our commitment to environmental stewardship and community involvement is as strong as ever.
civil engineering professor, they could scarcely have
Meet CH2M HILL
imagined that by the turn of the century the tiny,
The enterprise now serves clients and communities on every
continent, offering more than 700 services in the engineering,
construction, and operations disciplines. We are dedicated
to being a responsible corporate citizen and sustainability
leader wherever we do business and have adopted formal
sustainability policies and processes to ensure that we “walk
our talk.” CH2M HILL is known for tackling the toughest
technical and management assignments, working side-byside with clients as partners, and delivering sustainable
solutions that outperform our clients’ expectations. As such,
we have grown to become the number one environmental
engineering firm in the United States (Environmental Business Journal, Volume XVI, Number 7/8, 2003).
Oregon-based firm would grow to 15,000 employees
and more than 200 offices worldwide. What they
did clearly see was an imminent need to clean up the
Willamette River, and they proceeded to develop
wastewater treatment technologies to help Oregon
cities do so.
Our Values
• Honesty, integrity, and trust
• Responsive client service
• Respect for people
• Quest for innovation and continuous improvement
• Collaborative and enjoyable work environment
• Commitment to safety, health, and environmental
protection
• Profitable, long-term growth
• Commitment to community
• Challenging work opportunities and a strong work ethic
Our commitment to sustainability runs deep. As an
employee-owned firm, CH2M HILL fosters a culture of selfmotivation and personal responsibility—and our employees
value and support sustainability, both inside and beyond
the firm. Our “Green Team” program is a robust, grassroots
initiative that promotes sustainable action through recycling,
environmental cleanup, peer education, bike commute
advocacy, and commuter trip reduction projects. As professional advocates for sustainable practices, our people devise
innovative, yet practical solutions to complex problems and
promote this know-how through professional societies.
Company Profile
CH2M HILL Companies, Ltd. (CH2M HILL) was established
in 1974 to encompass the firm’s growing services offered
through subsidiary companies, which now include Operations Management International, Inc. (OMI), Industrial
Design and Construction (IDC), and Lockwood Greene.
CH2M HILL adopted its sustainability policy in 2000. This policy voices our commitment to provide the best expertise on
sustainable practices to our clients. We pursue new technologies and methods to make sustainable solutions feasible and
practical, and we monitor the results of sustainable practices within our organization. We are committed to helping our
community partners teach and advance the principles and practices of sustainability.
1
“Embracing the tenets of good corporate social responsibility,
environmental commitment, and sound economics not only
benefits our clients, our employees, and the communities in which
we work, it also makes good business sense.”
— John Murray, President, CH2M HILL Canada, Ltd.
In 2004, CH2M HILL Companies, Ltd., had more than
15,000 employees, earned
gross revenues of US
$3.1 billion, and maintained
more than 200 offices in
40 countries.
The firm serves municipal,
state, and federal governments as well as privatesector organizations around
the world. Our principal
markets include environment, water and wastewater,
nuclear services, transportation, power and energy,
industry and manufacturing,
federal and military facilities,
telecommunications and
information solutions,
and security.
CH2M HILL Canada, Ltd.,
is the Canadian division
of CH2M HILL Companies,
The reporting compaLtd. The firm was formed
nies in this document
in 1995 through the merger
are CH2M HILL, Inc., and
of CH2M HILL Engineering
CH2M HILL Canada, Ltd.
Limited and Gore & Storrie
Limited, a 75-year-old CanaCH2M HILL, Inc., is a fullservice, global U.S. company dian company with a strong
providing complete program history of success across
Canada. CH2M HILL Canada
management; planning;
offers unique solutions for
engineering design, techsustainable development
nology, and construction;
and is a diversified, full-serfinancing; operations; and
project development services vice engineering solutions
provider.
to public and industrial-sector clients. CH2M HILL, Inc.
These reporting companies
serves three major client
represent most of the compagroups: civil infrastructure,
ny’s North American operafederal, and industrial.
tions and a large portion of
CH2M HILL’s total operations,
employing 6,299 people
in 2004 and representing
approximately 30 percent of
CH2M HILL Companies’ total
revenue. This report does
not include other CH2M HILL
organizations, wholly-owned
subsidiaries, or joint ventures
located in North America and
elsewhere.
More information on subsidiary companies, operations,
and CH2M HILL’s full range
of services is available at
www.ch2mhill.com and
www.ch2mhillcanada.com.
CH2M HILL has offices in 40 countries and has worked on every continent.
2
This section provides a
snapshot of our company’s
current programs and
accomplishments—as well
as challenges and future
objectives—in both environmental and social arenas.
Detailed performance data
and metrics are provided in
the Progress Report section
later in this report.
program, and outdoor trips
and community cleanup
events. The idea caught on,
and other volunteer Green
Teams soon sprang up in
more than 30 CH2M HILL
offices around the U.S.,
winning over employees and
communities alike. Several
Green Teams have been
recognized for outstanding
community service by local
organizations.
CH2M HILL’s in-house
sustainability effort began
humbly in 1996 with the
formation of the firm’s first
“Green Team” in Portland,
Oregon. On their own
initiative and time, a handful of employees set out
to raise awareness about
sustainability issues among
fellow employees through
informal talks, enrollment in
a commuter trip reduction
In 2000, the Green Team
program gave rise to the
Corporate Environmental
Performance (CEP) Program,
CH2M HILL’s formal structure for the sustainability
of U.S. operations. Almost
simultaneously, the Canadian
Sustainable Development
Program (CNR SD) took
shape through the leadership of the Canadian regional
manager and the Canadian
Green Team
Environmental
Stewardship
The First Green Team
“In 1996, the Northwest Earth Institute in Portland, Oregon,
challenged us to start the first Green Team. In the beginning, I was reluctant; but the first meeting of the Green Team
changed that! Our team’s first major undertaking was a success.
With just a bit of volunteer energy, we
arranged for reduced-price annual bus
passes for all of our Portland employees. I think that’s what inspires other
people to form Green Teams in their
own offices: the idea that you can make
a positive difference, even with limited
resources.”
— Andrea Ramage, Director, Sustainable Solutions
CH2M HILL’s Progress Toward Sustainability
CH2M HILL started by founders
Cornell, Howland, Hayes, and
Merryfield, in Corvallis, Oregon.
Clair A. Hill Associates formed in
Redding, California.
First urban sustainability/
regional planning and first
interstate highway work
1946
3
1953
1964
Developed mixed media
filtration water treatment
process and variable speed
pump. Led to the first advanced
waste treatment (AWT) plant at
Lake Tahoe, California.
1970
Developed
aquifer
storage and
recovery
technique
Awarded first of many
EPA “Superfund”
remediation contracts
1975
Began work on Denver Water
Board successive reuse project
Landed Trinidad water
project—first significant
international project
1981
1982
Decided to enter largescale hazardous waste/
toxic waste market
1992
Participated in
the “Rio Summit”
on Sustainable
Development
Corporate Headquarters LEED™ Certified
CH2M HILL’s new corporate headquarters, located in Denver, was designed
and constructed to meet LEED™ green-building certification standards for
reducing energy, water use, and waste. Energy efficiency drove the choices
for air conditioning systems, indirect lighting, high-efficiency window
glazing, and automated lighting controls. Buildings were also commissioned
to optimize energy performance and achieve a LEED™ Certified rating from
the U.S. Green Building Council.
Green Teams. Together, these
two programs shape the
policy and plans for sustainable operations and keep
the firm’s “feet to the fire”
with regard to sustainability
goals. They are the stewards
of the firm’s Sustainability
Policy, the newly formed
environmental management
system (described below),
and various communication
and education programs.
In addition to increasing
performance, one of our
ongoing challenges is to better integrate these corporate
sustainability programs.
Because environmental
engineering is our business,
this report places a strong
emphasis on what we know
best—the environmental
aspects of sustainability.
We are strengthening our
expertise in the social and
economic components as
we address them within the
organization.
Started Rocky Flats
Nuclear Waste Cleanup
1993
Formed Small
Business Mentoring
Program
Started Diversity
Program
1995
Environmental
Management System
For many years, CH2M HILL
has helped clients manage
environmental impacts using
environmental management
systems (EMSs). When it
came time to improve our
own practices, an EMS
seemed the obvious choice.
An EMS is used to evaluate
the ways in which business
activities impact the environment, identify areas with
the greatest potential for
environmental “return” on
investment, and include an
action plan complete with a
feedback/adjustment loop.
This prioritized approach
ensures that the time and
money invested delivers
meaningful and continuous
improvement. In addition,
the EMS recognizes the need
to work with CH2M HILL’s
partners in environmental
stewardship—from clients to
vendors and from office managers to purchasing agents.
The goals of CH2M HILL’s
EMS are to reduce the
company’s environmental
footprint and increase
operating efficiencies in the
North American companies
included in the scope of this
sustainability report. In the
future, we plan to expand the
EMS to include the environmental impacts of subsidiary
companies, international
offices, and the projects we
deliver.
Our initial EMS action plan
focuses on five key areas for
measurement and improvement, selected to reflect
the primary environmental
impacts of our serviceoriented businesses:
force behind CH2M HILL’s
sustainability programs. In
every case that I can think
of—the Sustainability Policy,
the LEED™ certification of our
Denver campus, the Green
Teams, and the North American
environmental management
system—our employees’
initiatives made it happen. Our
responsibility as executives
is to encourage and support
such initiatives wherever and
whenever needed. Our people
will get the job done if we don’t
stand in their way.”
—David Miller, Senior Vice
President, Corporate Affairs
• Materials and equipment
• Facilities
• Business travel
• Employee commuting
• Regulatory compliance
Firm’s first Leadership in Energy and Environmental
Design (LEED™) certification project at the Whitehead
Animal Research Center, Emory University
Initiated annual Sustainable Communities Awards with
Federation of Canadian Municipalities members
CH2M HILL Canada received GLOBE 2002
Environmental Competitiveness Award
2000
“Our people are the driving
2002
Formed
Hired first VP of Sustainable Development
Sustainable
in Canada
Development
Adopted CH2M HILL Sustainability Policy
Practice Group
Initiated CH2M HILL Corporate
Environmental Performance program
Board endorses CH2M HILL
as a signatory to the UN
Global Compact
Formed the knowledge
network of Sustainable
Solutions professionals
2003
Hired Corporate EMS
Manager
Hired Senior Vice
President of Sustainable
Development
Prepared first
Sustainability Report
2004
Developed environmental management system
(EMS) for North American office operations
Denver Campus (3 buildings) receive LEED™
certification
Launched Canadian Commuter Challenge
event to address climate change
2005
4
Wind-Powered Computers
CH2M HILL Canada is helping to support clean energy by powering its
more than 500 computers and laptops with wind-generated electricity
purchased from the Pembina Institute. By purchasing wind power
certificates, CH2M HILL is helping to diversify Canada’s energy sources,
reduce harmful greenhouse gas emissions, and support a clean renewable
source of energy. The company will also be offsetting approximately 250
tonnes of carbon dioxide (C02) emissions each year.
“With others in the Pew Center’s
Business Environmental
Leadership Council, CH2M HILL
believes that climate change is
a serious issue that demands
serious solutions. They have
shown that it is possible to
reduce or offset emissions
and still remain economically
competitive; and they are
giving others the opportunity
to learn from their experience.
CH2M HILL recognizes that
being a leader on a tough issue
makes good business sense.
We need more companies
like them.”
— Eileen Claussen,
President, Pew Center
on Global Climate Change
5
The Supply Chain
With approximately 27,000
vendors supplying goods
and services to CH2M HILL
companies, we can use the
company’s purchasing power
to drive the market toward
environmentally preferable
choices. We have launched
several initiatives to bring us
closer to this goal: [EN33]
• Computer and Printer
Equipment—To reduce
electronic equipment
waste disposal, we rewrote
contracts with our U.S.
computer and printer
leasing and manufacturing
vendors, specifying that all
of CH2M HILL’s computer
equipment in the U.S.
be released for resale or
disposed of responsibly.
In addition, we have
Green Team
Pew Center on Global Climate
Change
As a member of the Business
Environment Leadership Council of
the Pew Center on Global Climate
Change, CH2M HILL is seeking
constructive, cost-effective solutions
to the climate change challenge.
CEO Ralph Peterson represents
CH2M HILL as the only engineering
firm on the council.
Materials and Equipment
adopted formal “green”
procurement guidelines
for both the leasing and
purchase of computer and
printer equipment.
• Paper—Since 2000, we
have worked to reduce
paper consumption by
leasing laser printers that
print double-sided, using
electronic fax systems
that integrate with e-mail,
increasing the use of online
forms and transactions,
and discouraging printed
newsletters in favor of
electronic distribution.
We have developed paper
procurement guidelines
that encourage all of our
paper purchasers to buy
recycled paper. As a
result, the percentage of
recycled paper purchased
has increased from
approximately 70 percent in
2003 to 84 percent in 2004.
• Cleaning Products—For
the company’s corporate
campus in Denver, we
developed environmentally
friendly specifications
for cleaning products; for
example, no persistent
or toxic chemicals,
carcinogens, or ozonedepleting chemicals; low
levels of volatile organic
compounds; and resourceefficient packaging. We
are currently working to
write these standards
into national contracts for
janitorial services.
Recycling and Reuse
We are committed to
reducing the use of office
materials and waste through
reuse, reduction, recycling,
and “rethinking” our choices.
CH2M HILL currently recycles
materials in most of its
facilities, but there is always
room for improvement.
Building from their award-winning success in sustainability
on the Barrie Landfill Project in 2002, the six-person office of
CH2M HILL in Ontario, Canada, continues to stride toward
greener office practices. In April 2004, Jacqueline Trumpe began
engaging CH2M HILL suppliers in Ontario’s green initiatives by
requesting space-efficient CD catalogs instead of paper ones. According to Jackie, “Every year or two we were recycling these 1,000-page
supply binders and it seemed like such a waste.” Nearly 75 percent of the suppliers
she contacted were willing to provide their information on CDs instead of paper, and now the supplier
library uses less than 10 percent of its original shelf space.
Green Team
Most often, the levels
of recycling are driven
by the extent to which
building owners provide
facilities and systems for
doing so. That said, we
are working to establish
paper, glass, plastic,
aluminum, and printer
toner recycling programs
in all offices. Participation
in recycling programs is
generally enthusiastic and
comprehensive, often led
by the company’s volunteer
Green Teams. One of our
goals is to reduce the
waste associated with
correspondence by reusing
packaging and promoting
the recycling of interoffice
envelopes. In addition to
increasing the amount
of recycling within our
operations, we are dedicated
to improving our ability to
quantify the types of waste
generated.
lords. In addition, the financial rewards of sustainable
practices often are not easily
captured through existing
leasing arrangements.
Facilities
Despite these two hurdles,
however, CH2M HILL’s office
managers and employees
strive to implement best
practices. For example,
83 percent of our offices
encourage employees to turn
off lights in vacant rooms,
and 16 percent have installed
automatic light sensors
in conference rooms and
common areas; 16 percent
of the offices surveyed have
performed office energy
assessments. In 2003, we
conducted a baseline energy
audit and greenhouse gas
inventory for all North
American offices covered in
the scope of this report. In
addition, we plan to establish
energy conservation programs in offices with more
than 50 employees.
As a service company,
CH2M HILL generally locates
its offices in commercial
office spaces, and as a rule,
these facilities are leased.
Efforts to make operations
more sustainable—through
energy conservation, recycling, water conservation,
and green tenant improvements—must be conducted
in collaboration with land-
One very important aspect
of our environmental commitment is to support the
development of renewable
energy choices. In several
office locations, we purchase
renewable energy or buy
“Green Tags” (renewable
energy certificates). In fact,
CH2M HILL was the first
commercial enterprise to
buy Green Tags through the
Boise’s 10-year-old Green
Team received the City of
Boise’s EnviroGuard Environmental Protection Award for
its recycling and sustainability
efforts. Because the award
came from one of the Boise
office’s largest clients, it was
especially meaningful. The
Boise City Mayor Dave Bieter
recognized CH2M HILL
for its good neighbor ethic
and caring about the environment in his State of the City address
in 2004. Shortly thereafter, CH2M HILL was selected as the
consultant to develop the City of Boise’s Strategic Plan.
Bonneville Environmental
Foundation in 1999. [EN17]
In 2003, the U.S. Environmental Protection Agency
(EPA) included CH2M HILL
in its Green Power Partners
program because of our
commitment to purchase
10 percent of the energy for
our Northwest Region offices
from renewable sources,
starting in 2004.
Business Travel
Because we have clients all
over the world, CH2M HILL
employees do a lot of traveling to serve their needs—via
airplane, rental car, fleet car,
train, and other modes. For
example, the 6,035 employees of CH2M HILL, Inc., and
CH2M HILL Canada, Ltd.,
collectively flew 44,053,167
miles in 2004. This includes
domestic and international
flights and represents
7,300 miles per employee for
the year. Because air travel is
a significant environmental
impact of our company, we
promote common-sense
approaches to reducing
the number of miles flown.
This is a challenging area
for reducing environmental
impacts, one for which we
need to develop options.
In addition to looking at air
travel, we are implementing an initiative to reduce
the size of the company’s
fleet, and we are working to
establish green preferences
and national agreements
with eco-friendly hotels and
rental car companies that,
for example, offer hybrid
vehicles.
Employee Commuting
Employees commuting to
work consume fuels, create air and greenhouse gas
emissions, and contribute to
traffic congestion. To reduce
these impacts, CH2M HILL
supports a variety of commuting alternatives, which
are most often implemented
at the local level.
6
CH2M HILL Canada’s Commuter Challenge
In 2004, 107 staff in our Canadian offices took a one-week
Commuter Challenge. By leaving their single-occupant
cars at home and walking, biking, or taking mass transit,
these employees avoided driving 9,320 vehicle miles.
“We are excited that
CH2M HILL’s efforts helped
secure support for the new
pedestrian crossings. When
complete, these bridges will
allow our employees and
other commuters to safely
access the Denver light
rail line.”
— Brian Bellfi, CH2M HILL
Senior Transportation
Design-Build Manager
and participant on Denver
area urban steering
committees
Green Team
7
This includes promoting trip
reduction programs, subsidizing annual bus passes
and FlexCar memberships,
promoting carpooling and
vanpooling, and providing facilities for bicyclists.
Employees in our Atlanta
office, for example, have the
opportunity to participate in
a commuter rewards program by carpooling, taking
transit, walking, bicycling,
and teleworking. Active
participants are included in a
monthly drawing for gift certificates to local businesses.
In the Seattle office, which
subsidizes transit passes,
55 percent of employees use
transit, carpool, bike or walk,
ride with a vanpool, or take a
train or ferry to work, rather
than drive alone. Many of
our employees support trip
reduction goals by working
at home and taking advantage of the company’s
telework policy. In addition,
several employees in the
Denver office held leadership positions on local urban
steering committees that
It must be a company record: 90 percent of the Philadelphia office
employees leave their cars at home and get to work with a commuting alternative. They take the train, ride a bike, walk, or telecommute. In doing so, they’ve reduced their commuter mileage
by 76 percent—saving an estimated 162,989 gallons of gas and
eliminating 484 pounds of smog-forming pollution every year.
successfully lobbied for three
additional pedestrian
bridges at future light rail
stations near the
headquarters campus.
Regulatory Compliance
Regulatory compliance,
while important, is a
minimum requirement for
sustainable operations. The
regulatory issues that affect
CH2M HILL’s operations (and
client work) most directly
include environmental
incidents (for example, spills)
and management of hazardous materials.
CH2M HILL’s target is zero
environmental incidents
per year. Our long-standing
Health, Safety, and Environment (HS&E) program develops, maintains, and enforces
best practices with our staff
and subcontractors. When
environmental incidents do
occur, they are reported,
recorded, and assessed to
determine whether improvements in systems or procedures are required.
Because of the nature of our
business, our staff handles
and transports hazardous
materials (hazmat) on a daily
basis. To minimize the risk of
exposure, protect our staff,
and comply with regulations,
a rigorous hazmat program
establishes handling and
shipping procedures and
conducts staff training.
Corporate Citizenship
CH2M HILL is more than
a collection of technically
skilled individuals. As a
company, we become a
collective force capable of
solving difficult challenges
for our clients, while advancing the technologies and
improving the welfare of the
communities in which we live
and work. When we combine
technical capabilities with
strong business ethics, a
good corporate citizen
emerges. That is what we
aspire to be. In this section,
we describe our accomplishments and challenges with
respect to the many facets of
corporate citizenship at local,
national, and global levels.
United Nations Global
Compact.
“Integrity is the all-important prerequisite to employment. We need
to be interested in pleasant people of unimpeachable character.”
— Jim Howland, one of CH2M HILL’s founders, in his
“Little Yellow Book” of guidance and inspiration
Business Ethics
CH2M HILL’s culture of
conducting honest, ethical
business was firmly established by the company’s
founders and is now carried
forward by a well-defined,
strongly endorsed code of
conduct. Revised in 2004,
the Ethics Code and Business Conduct Policy guides
employees and decision
making by addressing topics
such as bribery, corruption,
conflicts of interest, discrimination, and harassment.
Adherence to this policy is
a condition of employment
at CH2M HILL. Staff with
concerns about how the Business Conduct Policy applies
or who observe coworkers
not following the policy can
consult with one of the firm’s
lawyers through a confidential hotline.
To extend this commitment
internationally, in 2004,
CH2M HILL CEO Ralph
Peterson signed the World
Economic Forum’s ZeroTolerance Policy to Combat
Corruption and Bribery. [SO2]
Employee Well-Being
CH2M HILL’s success
depends on the knowledge,
skills, and innovation of our
employees; the fact that our
firm is employee owned
underscores this reality. The
company’s founders placed
a high premium on hiring
people of integrity and on
encouraging personal initiative and responsibility, values
that continue to this day. The
quality and character of our
staff and corporate commitment to employees make
CH2M HILL one of the most
sought-after employers in the
industry. In fact, CH2M HILL
was named one of Fortune®
magazine’s “100 Best Places
to Work.”
We are determined to
maintain a workplace popu-
lated by people who hold
themselves accountable to
high ethical standards and
who lead others in doing
so. The company is, in turn,
committed to providing
ample opportunities to keep
our employees challenged,
rewarded, and satisfied with
their jobs. In this report, we
highlight three aspects of our
commitment to employees:
investing in career development, creating a culture of
inclusion, and promoting
health and safety.
Career and Leadership
Development
In a rapidly globalizing and
complex world, great people
are CH2M HILL’s smartest
investment. Our goal is to
hire, develop, and retain the
technical experts, nimble
thinkers, and thought leaders who will give CH2M HILL
its competitive advantage
in the industry. Toward this
end, we support a variety
In 2003, CH2M HILL’s
Board of Directors
formally endorsed the
UN Global Compact, an
international commitment
to advance responsible
corporate citizenship
and promote a more
sustainable and inclusive
global economy.
of enterprise-wide education, training, and assignment opportunities. These
include online and traditional
classroom courses, tuition
reimbursement, leadership
development, mentoring,
career development models
and assessment tools, and
performance evaluations
linked to career development
plans. Future leaders with
outstanding promise are sent
to Foundations of Leadership, an executive leadership
program developed and
delivered by CH2M HILL
executives and the University
of Michigan Business School.
Foundations of Leadership. We partner with the University of Michigan Business School to offer
the CH2M HILL Foundations of Leadership program. Three or four times a year, 35 leaders from
offices around the world convene for this intensive 3 ½-day program to gain greater understanding
of the firm’s business strategies and to develop their own leadership capabilities. Participants
continue in the program for at least 6 months.
“At the University of Michigan we have worked with many large companies over the years, but
this is the best example, by far, of a serious commitment to leadership development and to a
leadership culture.”
— Dr. Kim Cameron, University of Michigan
8
Since 1999, CH2M HILL has provided financial support and
executive leadership to the Hispanic Engineers National
Achievement Awards Corporation, a resource for recruiting
talented and motivated young professionals.
Creating a Culture
of Inclusion
“We applaud CH2M HILL
for generously supporting
National Engineers Week. Their
leadership, volunteer support,
and overall contributions give
students the opportunity to
learn about engineering and
technology—and help build
interest and enthusiasm for the
profession.”
—Leslie Collins, Executive
Director, National Engineers
Week Foundation
CH2M HILL strives to promote an environment of
inclusion, equal opportunity, and appreciation for
diversity. We are committed
to establishing a diverse
workforce and have been
working hard to recruit and
develop women and underrepresented minorities for
managerial positions. For
example, in 2003, CH2M HILL
implemented a policy placing renewed emphasis on
increasing the percentage
of women and minorities
in mid- and senior-level
managerial and professional
positions. As we continue to
grow and increase our global
market share, the goal is to
improve our performance
through diversity and to
mirror our diverse client
base. [HR4]
Health and Safety
CH2M HILL places a high
premium on safety, both in
the office environment and
on clients’ job sites. This
commitment is backed by
a strong health and safety
organization that develops operating standards,
monitors performance, and
conducts ongoing employee
training. Furthermore, the
Health, Safety & Environment
program is integrated with
our business and project
delivery systems, resulting in
one of the lowest recordable
incident rates in our industry,
both on client projects and
within our offices.
illness, property damage,
fire or explosion, spill,
release, potential violation/
permit exceedance, and
near misses. [LA5]
The reporting process is
designed to ensure that
injured workers get the care
they need quickly. It also
helps CH2M HILL identify
why an incident happened,
what can be learned from
it, and how we can improve
our programs. The process
exceeds federal and state
requirements for occupational safety and health
recordkeeping, and conforms
to the International Labor
Organization Code of Practice (with the exception of
CH2M HILL records all
commuting accidents, which
workplace incidents using
our Incident Report Form. We the U.S. Occupational Safety
and Health Administration
track subcontractors as well
requirements exclude).
as employees, all injuries
regardless of severity,
CH2M HILL is proud to be affiliated with the Hispanic Engineers National Achievement
Awards Corporation (HENAAC) established in 1989. HENAAC’s mission is to seek out,
recognize, honor and document Hispanic excellence in science, engineering
and technology.
Each year, HENAAC recognizes the best and brightest stars among the Hispanic
engineering and scientific community in the U.S. They receive more than
300 nominations each year, and only 20 professionals are selected for recognition.
Len Martinez, winner of the
HENAAC Executive Excellence
in Government Award
9
In 2004, Kaiser-Hill Vice President and Chief Financial Officer Len Martinez was
honored with a HENAAC award in the category of Executive Excellence in Government.
He is the first non-engineer/scientist to be selected for this notable award.
“As president of the Junior Engineering Technical Society, I’m very proud of JETS programs,
particularly UNITE, a national program that introduces minority high school students to
engineering. More than 86 percent of the students in the program enrolled in college in 2003.
That’s pretty impressive.”
— Bob Allen, CH2M HILL Senior Vice President, Human Resources
The company conducts its
operations according to
written safety programs.
In nearly 60 percent of our
North American offices,
these programs are administered by safety committees
and, in the remainder, by
office safety coordinators.
Site safety coordinators fulfill
similar functions on our project sites. [LA6] These committees and coordinators are the
primary channel for employees to voice and resolve
health and safety concerns.
Other channels include direct
contact with HS&E management, regularly conducted
all-employee surveys, and
semi-annual survey probes
with smaller groups of randomly selected staff.
Industry Leadership
To advance the practice
of engineering—and
sustainability—within the
industry as a whole, engineering companies such
as ours must step up and
provide leadership. As part
of that mission, CH2M HILL is
an active corporate member
of the organizations that are
shaping the future of engineering and sustainability.
We engage in policy-making
dialogues and are frequently called on to provide
policy makers with technical
expertise. We also recognize
and honor other companies
that demonstrate leadership
in sustainable practices,
and invest in the future
generation of engineers
through various programs.
Influencing Policy
CH2M HILL actively engages
with policy makers to support
issues and legislation that
help move the engineering
industry forward and support
client and company interests alike. Members of the
executive staff and numerous
employees hold positions
on the boards of directors of
policy-making organizations,
many of which have a strong
agenda for sustainable business practices. We work with
legislators, policy leaders,
CH2M HILL Leaders in Action
Ralph Peterson, Chairman, President, and CEO: Holds a position on the World Economic Forum (WEF) committee
for transparent business conduct and anti-corruption; Member, World Business Council for Sustainable Development
(WBCSD); Member, Business Environmental Leadership Council, Pew Center on Global Climate Change.
Don Evans, President and Client Group Chief Executive, Civil Infrastructure and EPC Client Groups: Board member,
Design-Build Institute of America (DBIA); Board Member, Center for the New West; Member, Water Environment
Federation; Member, American Water Works Association.
Joseph A. (“Bud”) Ahearn, Vice Chairman of the Board: Chairman, Corporate Advisory Board, American Society
of Civil Engineers (ASCE); Board Director, Engineers Without Borders—USA.
Nicholas Sonntag, Senior Vice President of Sustainable Development: Member of Science, Technology and
Environment Advisory Board, Royal Roads University, Canada; Member, Board of Councilors for China-U.S. Centre
for Sustainable Development; Member of the Earth Council Institute, Costa Rica.
Peter Hughes, Vice President and Chief Legal Officer, CH2M HILL Constructors, Inc.: Active participant in the WEF; Director
and Assistant Secretary of the newly created Engineering & Construction Risk Institute, Inc.; Legislative Committee, DBIA.
Jan Dell, Vice President, Industrial Client Group: Liaison Delegate to WBCSD.
Andrea Ramage, Director, Sustainability Solutions: Member, Governor’s Panel for a Sustainable Washington.
Ann Duffy, Vice President, Sustainable Development, CH2M HILL Canada: Board member, International Centre
for Sustainable Cities.
10
Ralph Peterson presenting CH2M HILL’s
“Building A Better World” award to
Chad Holliday, CEO of DuPont, in 2003.
CH2M HILL Corporate
Citizenship Honors and
Awards [SO4]
2004
• Human Rights Campaign of
Colorado Corporate Award
of Excellence—for supporting
an open and diverse
workplace
2003
• “100 Best Places to Work,”
Fortune®
• “Great Place For Women,”
Chemical Engineering
Progress
• Business of the Year
in: Redding, California;
Gainesville, Florida; and
Corvallis, Oregon
• Company of the Year,
Southeast Business
Partnership (Denver,
Colorado)—for outstanding
community and
environmental stewardship
• 14th among Top 50
Companies to Work For,
Woman Engineer
• Company of the Year,
Denver’s Coloradobiz
—for commitment to the
community
• Corporate Telework Award,
The Telework Coalition—for
commitment to teleworking
and telecommuting
• Martin Luther King Award
for Corporate Social
Responsibility
11
and other stakeholders
to pave the way to more
effective and sustainable
solutions. Some of the
federal organizations we
engage regularly are the U.S.
Department of Transportation, Department of Energy,
Environmental Protection
Agency, and the Department
of Defense. We also engage
similar organizations at the
state and local government
level.
Public policy creates business opportunities and
challenges that affect
CH2M HILL and our clients.
Our government affairs staff
promotes the business and
professional interests of
CH2M HILL, its employees,
and its clients at federal,
state, and local levels.
Government affairs professionals are responsible for
handling firmwide legislative
affairs, supporting
business development,
assisting clients, managing the company’s Political
Action Committee, and
working with and leading
professional societies and
organizations.
Inspiring Tomorrow’s
Engineers
employees in 32 U.S.
CH2M HILL offices shared
their knowledge with
K-12 and college students
through engineering
competitions, technology
fairs, and classroom
presentations. In 2004,
employees from 43 offices
participated in Engineers
Week outreach programs.
In partnership with engineering societies, nonprofit
organizations, and other
engineering companies, our
employees are working to
educate future engineers. We
believe this work is important, not only to counter
declining enrollment in
engineering programs, but to
inspire young people to help
design the future.
• Less than 10 percent of
the current engineering
workforce, industry-wide,
is made up of women and
minorities. With a strong
commitment to diversity,
CH2M HILL is working to
change this by supporting
local programs aimed at
improving these numbers.
• For more than a decade,
CH2M HILL has been
a leading sponsor of
Engineers Week. In 2003,
As one of the largest environmental engineering firms in
North America, CH2M HILL
Honoring Environmental
Leadership
“Increasingly, our clients seek solutions that make sense for the long
term. Many of our employees love to solve problems and enjoy
collaborating to devise practical, innovative solutions. It’s gratifying
to see them contribute to projects, provide value to clients and
communities, and get paid to do it!”
— Ann Duffy, Vice President, Sustainable Development,
CH2M HILL Canada
CH2M HILL’s Ann Duffy receiving a Tree Canada
Foundation carbon offset certificate from Herb Brett,
President of Newfoundland and Labrador Federation of
Municipalities and Deputy Mayor, Arnold’s Cove, NL.
The Tree Canada Foundation partners with volunteers to
improve quality of life by planting and caring for trees.
recognizes other organizations that are working to
improve and protect the
environment. In May 2003,
CH2M HILL presented its
Building a Better World
Award to Charles (Chad) Holliday, Jr., Chairman and CEO
of DuPont, for his company’s
exceptional contributions to
sustainable development,
social responsibility, and
workplace safety. CH2M HILL
presents the award periodically to recognize leadership,
vision, and actions that make
a significant difference in
improving the lives and prospects of people and society.
In recent years we granted
awards to the founder of the
EPA and to the Chairman and
CEO of British Petroleum.
We are co-sponsors, with
the Federation of Canadian
Municipalities, of the
FCM-CH2M HILL Sustainable Communities Awards.
Through this program of
biannual awards, more than
100 municipal governments
of all sizes have received
financial awards to recognize
environmental responsibility
and help advance sustainable development objectives
in their communities. In
2003, seven communities
won awards. Among them
were Vancouver, B.C., which
produces electricity from
landfill gas, and Moncton,
New Brunswick, whose
residential recycling program
has achieved 83 percent
participation.
Also in Canada, CH2M HILL
supports the Union of British
Columbia Municipalities’
Community Excellence
Awards program, which
recognizes municipalities and
regional districts that demonstrate leadership in improving ways of doing business.
CH2M HILL sponsors the
“Leadership and Innovation”
award category to recognize
municipalities with demonstrated excellence in incorporating sustainability into an
engineering or infrastructurebased project.
Green Team
The new Los Angeles Green Team, led by Jeff Friesen and
Ileana Ruiz, is already making an impact in the heart of
downtown. So far, the five-member team, along with coworkers, family, and friends, has joined efforts with other
Los Angeles organizations like Heal the Bay, which sponsors beach cleanups, and Le Gran Limpieza, a volunteer
organization that picks up trash along the Los Angeles
River, to help make LA a greener place. “These efforts not
only make CH2M HILL a good neighbor, but also provide
opportunities for good business,” says Friesen.
Since 2002, employees from CH2M HILL offices across the U.S. have taken part in the
largest national fundraiser for the American Red Cross—the Fat Tire Classic. In 2003,
CH2M HILL won the event’s Team Spirit Award for the second consecutive year, was
recognized as the largest corporate team, and raised the largest corporate donation.
“We are so very grateful to CH2M HILL and their ongoing commitment to supporting the Red
Cross. We appreciate the tremendous help they provide through volunteerism, financial
support and youth leadership.”
— Susan Gillespie, Special Projects Coordinator, American Red Cross Mile High Chapter
12
CH2M HILL is committed to doing everything it can to support the recovery
and reconstruction of the nations impacted by the December 26, 2004 tsunami.
In fact, CH2M HILL professionals provided expertise in assessing local needs
and reconstruction priorities in Indonesia, Sri Lanka and Thailand. With seniorlevel professionals working “on the ground,” CH2M HILL teamed with global
and local governments, corporations and NGOs to provide a wide range of
critical relief services, including managing a water treatment plant. CH2M HILL
engineers have assessed the damage to water and wastewater treatment
systems as well as sanitation and transportation infrastructure.
Community Partnerships
Shared Values
In 2003/2004, CH2M HILL was a member of numerous
organizations whose values align with ours, including:
• American Council of Engineering Companies
• American Society of Civil Engineers
• American Water Works Association
• Boston College Center for Corporate Citizenship
• Canadian Business for Social Responsibility
• CEO Coalition to Advance Sustainable Technology
• Civil Engineering Research Foundation
• Construction Industry Round Table
• Engineers Without Borders—USA
• Federation of Canadian Municipalities
• National Academy of Construction
• National Conference of Black Mayors
• National League of Cities
• Pew Center on Global Climate Change
• Society of American Military Engineers
• The Conference Board
• The Keystone Center
• U.S. Conference of Mayors
• U.S. Green Building Council
• World Business Council for Sustainable
Development
• World Economic Forum
• World Resources Institute
13
Contributing to communities through financial
gifts, in-kind services, and
volunteering is a vital part
of CH2M HILL’s corporate
culture. [EC10]
We are investigating ways
to improve our ability to
accurately track
and report charitable
contributions.
Teaming Up for the
Environment
CH2M HILL’s partnerships
with nonprofit organizaThe CH2M HILL Foundation
tions have grown over time,
was established in 1991 to
in large part through the
continue the founders’ legacy
initiative of our employees.
of community service and
Many of these partnerships
dedication to engineering
have evolved into long-term,
technology and education.
mutually supportive relationEach year, the Foundation
ships. For example, the firm
awards five founder awards,
partners with Water For
financial gifts to more than
People, a nonprofit organiza60 colleges and universities
tion that helps impoverished
and periodic capital grants
communities all over the
that support engineering,
world gain access to locally
architecture, and science
sustainable drinking water,
programs at institutes of
sanitation, and hygiene. In
higher education. The
2003, our employees supFoundation awarded contriported Water For People
butions of $425,000 in 2003
through financial grants,
and $480,000 in 2004.
volunteer board service, and
Other charitable giving
an annual workplace giving
through CH2M HILL is highly campaign that contributed
decentralized; contributions
$15,000. Employees in 56
are made on regional and
offices worldwide increased
local levels. For this reason,
their contributions to Water
accurately documenting
For People to $21,000
community contributions
in 2004.
companywide is difficult.
Charitable Giving
“CH2M HILL has been one of Water For People’s major supporters; they’ve
helped us expand our work around the world. Since our inception, CH2M HILL
staff have served as key volunteers in their communities, helping generate
even more support for our mission.”
— Steve Werner, Executive Director, Water For People
In 2004, CH2M HILL became
actively involved with Engineers Without Borders-USA
(EWB-USA), an organization
that brings engineering
students and professionals
together to design and build
infrastructure in developing
communities. In addition to
hosting the 2004 EWB-USA
national conference at our
headquarters in Denver,
CH2M HILL employees
also volunteer their time to
serve as student advisors
on EWB-USA projects. Bud
Ahearn, Vice Chairman of
CH2M HILL, is the Board
Director of EWB-USA.
Green Team
CH2M HILL teamed up
with America’s Clean
Water Foundation to
support World Water
Monitoring Day, a program
designed to help raise
awareness about water
quality. Nearly
300 CH2M HILL employees
from 53 North American
offices partnered with
clients and local community groups to report
on the water quality of an
estimated 400 water bodies
for World Water Monitoring
Day in October 2003, and
continued these efforts
in 2004.
Working with the Wisconsin
Department of Transportation,
the Milwaukee Green Team has
sponsored an Adopt-A-Highway
cleaning crew since 2002. The
crew cleans a three-mile stretch
of Highway 100 in Milwaukee
County three times a year.
Highway 100 is a major arterial
running along the west side of
town. The signs posted at each end of this stretch of highway let
passers-by know that CH2M HILL is actively involved in greening the community.
“Participating on a cleaning crew is an excellent opportunity to
get to know people from other business groups and find out what
types of services they provide. It is also a great way to get to
know co-workers outside of the work environment while getting
a little exercise.”
— Mike Holmquist, Milwaukee Green Team
Adopt-A-Highway Coordinator
“Reliable data from volunteer
monitors, like the professionals
from CH2M HILL, can help fill
the gap by establishing a
baseline for a water body’s
health.”
— Roberta Savage, President,
America’s Clean Water Foundation
Since 2001, employees in the Toronto, Ontario,
office have volunteered their time, energy, and
talents to the CANstruction competition—a
friendly design-build competition in which
teams create imaginative structures built
entirely out of packaged food to increase
awareness about the issues of homelessness
and hunger. The food is then donated to a
local food bank.
14
Sustainable Solutions in Practice
While making better choices within
CH2M HILL is important, it is our work with
clients that can have exponential impacts on
global sustainability. Our clients are among the
organizations that set policy, protect homeland
security, drive the economy, and build and
operate the infrastructure that is the backbone of
our society: the roads and bridges, water supply
and wastewater treatment systems, manufacturing
plants, airports and ports, military bases, and
technologies that protect our air, water, and soil.
15
As engineers, planners, scientists, architects, and technical professionals, we have
opportunities—every day—to
redesign the blueprint for
how systems are created and
operated. By changing the
way we think about planning,
design, and construction,
we can literally change the
environmental, social, and
economic “footprints” we
leave on our world.
stimulate the systems-based
thinking that is the hallmark
of sustainable design. This
group serves as a sustainable
resource “hub” for clients
and CH2M HILL staff through
one-on-one consulting,
online tools, and training.
The projects described on
the following pages exemplify sustainable solutions
in practice. No longer within
the realm of the conceptual,
More than a single techthese projects show that
nology, sustainability is a
sustainable solutions are
framework and approach
creative and cost-effective,
that seeks to add value, keep enabling us to outperform
present as well as future gen- our clients’ expectations
erations in mind, and create
while providing multiple
tangible benefits for people,
benefits.
our clients, and the planet. As
The firm’s services that
such, it is a yardstick that can
support sustainability extend
be applied to any technical
beyond these examples—to
area and problem-solving
ecosystem management,
method—and anyone can
context-sensitive solutions
use it.
in transportation, compostHarnessing CH2M HILL’s taling and waste management,
ent to develop breakthrough water resources, brownfield
sustainable technologies is
recovery, industrial ecology,
the goal of the Sustainable
and training and education.
Solutions Community of
We invite you to visit
Practice. This dynamic netwww.ch2mhill.com to learn
work of more than 150 staff
more about the full range of
links practitioners across
our sustainability-oriented
a broad range of techniservices.
cal disciplines, helping to
Whittier Access Highway
Toronto Waterfront Revitalization
Seeing the Mountain for the Road
From Liability to Sustainable Opportunity
Opening highway access to the isolated Whittier, Alaska community involved the familiar conflict between modern mobility
and preservation of natural assets—in this case, unobstructed
views of pristine glacial streams, mountains, and lakes. Often
referred to as the “gateway to Prince William Sound,” Whittier
is located in the heart of the Chugach National Forest, an area
replete with glaciers, fjords, mountains, and wildlife.
Like many waterfront cities in North America, the city of Toronto
recognizes the opportunity in restoring neglected waterfront
areas to the more vital role of fueling the city’s economic activity. By 2002, one such area—a 1,000-hectare (2,500-acre) site
bordering Lake Ontario—was characterized by abandoned and
contaminated lands with poor lake access. The local, provincial,
and federal governments changed all of that by creating a coalition dedicated to renewing the Toronto waterfront: the Toronto
Waterfront Revitalization Corporation. The coalition took on
the challenge of transforming this neglected area into vibrant,
sustainable shoreline communities.
Whittier, Alaska, USA
As originally conceived, the Whittier Access project placed a
major roadway and bridges just a stone’s throw from the local
visitor’s center, blocking views of Begich Peak, Portage Creek,
and Portage Lake. CH2M HILL worked with the Alaska Department of Transportation and Public Facilities to design a solution that, instead, preserved the stunning views and protected
flora while making Whittier accessible—for the first time—by
highway.
The solution involved redesigning the alignment to incorporate
a 500-foot tunnel that would hide the road view and, once the
road emerged from the tunnel, “hiding” it behind such natural
features as rock outcrops and a glacial moraine (the ridge of
debris left by receding glaciers). In addition, alignments and
creek crossings were designed to minimize impacts on sensitive
plants, salmon spawning grounds, and other environmental
features.
The project included three bridges, a 500-foot tunnel, 4 miles
of roadway, conversion of a 2.5 mile rail tunnel into a combined
rail/highway tunnel (designed by others), and a bridge over
Whittier Creek. In addition to aesthetic and environmental
benefits, the project has stimulated a small economic boom in
local tourism and commerce. Ecotourism, a new hotel, a cruise
ship dock, a private marina, and attendant facilities have sprung
up since the project was completed in the summer of 2000.
Toronto, Ontario, Canada
With help from CH2M HILL and two other joint-venture partners,
the Corporation worked with a range of stakeholders to create
an integrated, “systems-based” plan for development. Rather
than settle for the usual solutions, this group leveraged the
opportunity to showcase sustainable planning and technology.
The revitalization effort represents an anticipated $17 billion
in private-sector and public-sector investment over the next
30 years. This includes 40,000 residential units, extensive public
transit expansion into the area, restoration of large tracts of
natural lands for parks and habitat improvement, planning that
maximizes the potential for energy efficiency and renewable
energy use, and an extensive public art and heritage program.
Major infrastructure development, such as a district energy
system for heating and cooling, is also underway.
As a program management and engineering consultant,
CH2M HILL led the formation of the sustainable development
framework and is currently building an innovative soils and
groundwater management plan for the site. The firm is also
working with community, business, and government stakeholders to develop a series of practical sustainability implementation tools. This includes sustainability checklists for planning,
design, and construction and a “triple-bottom-line” (social,
economic, and environmental) process for tracking progress
toward the leading-edge sustainability goals.
Civil Infrastructure Projects • Water — Transportation — Operations
16
NEWater Plants and Visitor Centre
The Geysers Recharge Project
Winning Minds to Water Reuse
Converting Recycled Water to Energy
To meet the burgeoning water demand of its 4.2 million
people, Singapore’s Public Utilities Board (PUB) looked beyond
conventional answers to find creative and sustainable water
supply solutions. The PUB decided to take advantage of the
latest technologies and contracted with CH2M HILL to design a
demonstration project and “water reclamation” plants in Bedok
and Kranji to produce potable water (NEWater) from reclaimed
secondary effluent. CH2M HILL subsequently designed a third
NEWater plant in Seletar.
The City of Santa Rosa was looking for an environmentally
responsible and cost-effective way to dispose of excess recycled
water. On the other hand, an energy company, Calpine Geothermal, was looking for more water to recharge The Geysers,
its “dry” steam generating plant. By matching up needs, both
projects—and the environment—benefit.
Public Utilities Board, Republic of Singapore
CH2M HILL’s design incorporated the latest ultrafiltration/microfiltration and reverse osmosis membrane technologies, followed
by ultraviolet disinfection, to treat reclaimed water to standards
higher than the drinking water standards of the World Health
Organization and the U.S. Environmental Protection Agency.
Today, NEWater goes to high-tech industries requiring ultrapure
water, and a small percentage is blended with reservoir water
for indirect potable use.
The Singapore PUB, with CH2M HILL as its consultant, also
built a NEWater Visitor Centre at the Bedok site to help create
community understanding about the water recycling and supply
issues and technologies. The Centre explains the technologies
that support the manufacture of NEWater from treated, used
water and builds awareness and acceptance for the product and
the process that manufactures it. The Centre showcases a new
way of thinking about water management, which helps local
people overcome any fears and prejudices about water reuse.
As a result of this groundbreaking community educational
effort, Singapore citizens accept and appreciate the NEWater in
their reservoirs.
The Geysers Recharge Project Awards
• California League of Cities Helen Putnam Award
• Association of Clean Water Agencies (ACWA)
Clair Hill Award
• Consulting Engineers and Land Surveyors of
California (CELSOC) Honor Award
Santa Rosa, California, USA
The win-win solution was a 40-mile pipeline that transports
Santa Rosa’s recycled water across the Santa Rosa plain and
Alexander Valley, up 3,300 feet into the Mayacamas Mountains, to Calpine Geothermal’s steam field. Calpine injects the
recycled water into a 4,000- to 11,000-foot-deep aquifer, where
it is heated to produce clean “dry” steam that is used in nearby
electrical power plants as an environmentally friendly, reliable,
and renewable source of energy. Because it runs through an
area with the potential for seismic activity, the pipeline was
designed with sensors and isolation valves that allow for immediate shutdown in the event of an earthquake. (These systems
are common in small piping systems carrying chemicals, but not
typical for high-pressure water transmission lines.)
In addition to providing an environmentally friendly solution to
reclaimed water disposal, this project produces “green” electricity. Compared with electricity generated by natural gas-fired
power plants, the additional 85 megawatts of geothermal electricity generated by The Geysers reduces emissions of carbon
dioxide by 570 million pounds and nitrous oxides by 253,000
pounds annually. It provides enough “green” power to meet the
energy needs of 85,000 households in the Bay Area.
The Geysers’ steam field is currently the world’s only geothermal system to use recycled water to replenish its steam fields.
• WateReuse Association Annual Award—WateReuse
Project of the Year
• American Council of Engineering Companies (ACEC)
Honor Award
• American Academy of Environmental Engineers
(AAEE) Honor Award
Civil Infrastructure Projects • Water — Transportation — Operations
17
Johnston Atoll Environmental Restoration
and Closure
Johnston Atoll, Pacific Ocean, USA
Marine Corps Air Station New River
Low-Impact Development Stormwater Retrofit
Jacksonville, North Carolina, USA
Back to the Birds
Rolling Back Curbs and Gutters
After 75 years of use as a military staging area and testing site,
Johnston Atoll, a group of four small Pacific islands 700 miles
southwest of Hawaii, suffered from significant environmental
contamination. The U.S. government had used the atoll to conduct atmospheric nuclear testing and to stockpile and destroy
chemical weapons.
Instead of the same old “curb and gutter” approach, this Marine
Corps base looked to nature for ways to better manage and treat
stormwater. High stormwater flows were overloading pump
stations and there was concern that runoff from areas where
maintenance activities were performed could potentially impact
the environment. After studying the problem, CH2M HILL developed three low-impact development demonstration projects to
reduce the flow and intensity of runoff going to sanitary sewer
and stormwater systems:
CH2M HILL supported the U.S. Department of Defense in cleaning up the contamination and restoring the atoll for use as a bird
and marine mammal sanctuary. This included the cleanup of
contaminated groundwater and soil at eight major sites, including a site that had 6 acres of soil contaminated with dioxin.
Rather than ship the waste to another location, we successfully
employed a thermal desorption system never before used for
dioxin remediation on this scale. We also demolished
235 facilities, many of which contained lead-based paint,
asbestos, and ceiling tile with arsenic. Demolition was strategically completed on three islands in a timeframe that avoided
disturbing 400,000 nesting birds. CH2M HILL packaged and
shipped more than 29 million pounds of waste off the atoll for
disposal, including 6,000 tons of scrap metal for recycling. We
also planted more than 160,000 indigenous plants to revegetate
the islands.
Bioswales/Rain Gardens—Existing storm drains were cut and
water was routed from the drains to planted “bioswales” or
“rain gardens.” Water-tolerant native vegetation, including
trees and flowering plants, absorb runoff and provide a visual
amenity. Water that cannot be absorbed by vegetation is
siphoned off through a layer of gravel and soil and a drain pipe
that runs beneath plantings. In addition to providing natural
beauty, plant leaves break down pollutants as they decay into
humus, acting as a natural treatment filter for runoff.
Roof Drain Planters—Using the same technology as the bioswales, stormwater is routed from officers’ club roof drains to
planters with water-tolerant native vegetation.
Man-Made Stream—The concrete drainage channel that drains
Today, the islands and surrounding reef host a myriad of tropical
the parking lot was removed and replaced by a man-made
reef fish, 12 species of seabirds, and 33 species of coral. The reef
stream that meanders through the property. The streambed is
community also supports three endangered species.
stabilized with appropriate vegetation and—in addition to slowing runoff flow—provides a visual and recreational amenity.
“The team is leaving a legacy of uncontaminated land…, and for
that they should be strongly congratulated.”
— Colonel Ray Torres, 15th Airlift Wing Commander
When compared with the traditional approach of funneling
water directly into storm drains, these low-impact development projects are greatly reducing stormwater flow, speed, and
potential for polluting the environment, while enhancing the
quality of life at this Marine Corps base.
Federal Projects • Military Facilities — Nuclear — Environmental Services
18
Climate Leaders Program
Redevelopment at a Former Military Facility
What is Measured Can Be Managed
Green Deconstruction Saves Money, Reuses Resources
The U.S. Environmental Protection Agency’s Climate Leaders
Program helps companies develop greenhouse gas reduction
goals and data to identify opportunities and track performance.
From the beginning, CH2M HILL has provided the technical support needed to build and implement this successful program.
CH2M HILL is working with Lennar Communities to reclaim
225 acres of property at the former site of Marine Corps Air
Station Tustin for residential development. CH2M HILL had
previously done environmental remediation at the site under the
SOUTHWESTDIV Navy CLEAN program to close the base. With
Lennar, CH2M HILL completed environmental due diligence for
the project, demolished all residential structures and roads onsite, and performed abatement of asbestos-containing materials
and lead-based paint.
U.S. Environmental Protection Agency, USA
Drawing on our experience in providing energy and environmental management support to many of the world’s largest
corporations, CH2M HILL helped EPA create accurate, credible
reporting tools for Climate Leader partners. Work has also
included helping such companies as AEP, Holcim, International
Paper, General Motors, Alcan, SC Johnson, Kodak, and AMD
develop greenhouse gas inventories. Future plans are to assist
EPA with building a Web-based information management system to help track partners’ best-in-class strategies for inventory
development and management.
To date, more than 50 companies representing leaders in most
major industrial and commercial sectors have committed to
reporting and reducing their greenhouse gas emissions through
the Climate Leaders Program.
Former Marine Corps Air Station, Tustin, California, USA
A comprehensive, innovative recycling program reduced development costs, significantly exceeded state recycling requirements, and generated a “green” redevelopment image for the
project. More than 80 percent of the site materials were reused
or recycled, cutting overall costs by half over a traditional waste
landfilling approach. The recycling program included:
• Resource recovery using profit/nonprofit organizations
• Tree recovery and green waste composting
• Environmental abatement (waste materials)
• Separation of recyclable scrap metal during facility demolition
“CH2M HILL has been a tremendous technical resource for us in
developing our inventory and inventory management plan as part
of the Climate Leaders Program.”
— Kristin Zimmerman, General Motors Energy and Policy Manager
• Recovery of asphalt and concrete for reuse
CH2M HILL and Lennar set up an aggressive resource recovery
program by engaging local for-profit companies and nonprofit
organizations, including Habitat for Humanity, in the recovery of
reusable fixtures. Recovered items included appliances (dishwashers, refrigerators, and stoves), cabinetry, windows, and
doors. The recovery program put reusable items back into good
use, reduced the volume of items that needed to be landfilled,
and generated positive publicity for the project.
Federal Projects • Military Facilities — Nuclear — Environmental Services
19
Suncor Energy Greenhouse Gas Management
Advanced Materials Research Lab
Meeting the Global Warming Challenge
Raising the Bar for Sustainable Research Facilities
As members of the World Resources Institute/World Business Council for Sustainable Development, both Suncor and
CH2M HILL are committed to long-term sustainability and
exploring innovative and comprehensive ways to prevent global
warming. Over the last four years, Suncor has sought expertise
and input from CH2M HILL to help improve its greenhouse gas
(GHG) measurement and reporting practices.
When Clemson University wanted to demonstrate leadership in sustainable facility design, it turned to CH2M HILL/IDC
Architects. The University was interested in creating flexible,
cutting-edge research space that would attract the industry’s
best and brightest. To achieve that goal, considerable emphasis
was placed on sustainable and aesthetic values and the use of
quality construction materials.
To help identify further GHG reduction opportunities, Suncor
needed to develop a corporate-wide understanding of where
they were occurring. CH2M HILL conducted a data gap analysis
to get a clearer picture. What additional data were needed?
What tools needed to be put in place to measure emissions?
Using some of the most stringent standards and measurement
criteria in the industry, a team of diverse technical experts
crafted a comprehensive GHG Management Program that
integrated with Suncor’s Environment, Health, and Safety
Management System.
The resulting facility—the Advanced Materials Research
Lab—was designed from the inside out to conserve natural
resources, optimize air quality, and present a world-class image.
The design, for example, incorporated sustainable materials and
used passive, natural air flow to heat and cool. The design also
emphasized infrastructure that would conserve energy, deliver
high-quality indoor air, and achieve superior water efficiency.
Technical design considerations emphasized control of vibration, electromagnetic interference, and noise to support highly
sophisticated equipment research activities while building
sustainability and flexibility into the design.
Calgary and Alberta, Canada
The integrated solution wove together input from air quality,
energy management, GHG policy, information solutions, and
management specialists. CH2M HILL also evaluated Suncor’s
business and GHG information requirements and identified the
best option for implementing an automated, enterprise-wide
GHG emissions management information system.
As part of their commitment to thorough, “transparent” reporting for stakeholders, employees, and the investment community, CH2M HILL has also assisted Suncor in preparing the
company’s annual report on its GHG planning, management,
and performance, which earned industry awards.
Clemson University, Anderson, South Carolina, USA
This state-of-the-art research facility recently achieved Silver
LEED™ certification, a first for the University. LEED™ is a green
building certification program developed and managed by the
U.S. Green Building Council. Certification is based on a point
system that scores each of six categories: sustainable sites, water efficiency, energy and atmosphere, material and resources,
indoor environmental quality, and process and innovation.
Suncor Status and Awards
• Leadership Award for the Gold Champion Reporter
Status, Voluntary Challenge and Registry (2003)
• Gold Champion Reporter Canadian Standards
Association Climate Change and Greenhouse Gas
Registries (2004)
Industrial Projects • Process & Manufacturing — Power & Energy — Communications
20
Nike Model Sustainable Factory
Silverhawk Power Station
Facility Design Works with Nature
Preserving a Fragile Environment
Rather than rely on energy-consuming methods, Nike’s factory
in Ho Chi Minh City, Vietnam, uses sustainable architectural
design elements to help cool and light the interior.
Owned by Pinnacle West Energy and the Southern Nevada
Water Authority and located 20 miles north of Las Vegas, the Silverhawk Generating Station is a 570-megawatt combined-cycle
power plant that is ideally situated to meet the area’s rapidly
growing energy demands.
Ho Chi Minh City, Vietnam
Apex, Nevada, USA
CH2M HILL/IDC Architects designed this 101,200-square-foot
footwear factory to be an exemplary Asian model of environmentally responsible manufacturing. Nike’s goal was to provide
a safe and comfortable work environment using sustainable
building practices. The idea was to demonstrate the benefits of
cost-effective, sustainable applications and their resulting positive impact on productivity, quality, and standards of living.
A natural ventilation system cools the factory by drawing airflow
from adjoining landscape zones into the facility; as it moves
through the factory, warm air is accelerated and eventually expelled through roof-mounted venturi ventilation towers. Natural
ambient daylighting is achieved with open mesh side walls that
have continuous clerestory glazing and strategic skylighting.
The design also incorporates deep shading roof overhangs and
light-colored reflecting and heat-rejecting materials. In addition
to providing the traditional functions of lighting and cooling,
these design approaches also enhance the working environment
with natural lighting and fresh air.
CH2M HILL Lockwood Greene was the engineering, procure­
ment, and construction contractor for this $400 million power
plant, providing engineering, procurement, and delivery of all
specified equipment, construction, startup, testing and operator
training services. CH2M HILL Lockwood Greene also shared in
the responsibility for plant permitting.
Because the Silverhawk project is located in the desert, the generating station was designed to use an air-cooling condenser,
a technology that consumes 90 percent less cooling water than
traditional combined-cycle wet cooling technology. It includes a
zero liquid discharge system (ZLD) to meet Nevada Department
of Environmental Quality wastewater discharge requirements.
The ZLD system uses waste concentration systems and evaporation ponds to eliminate any water discharge, including the
high brine concentration waste resulting from the cooling and
evaporation of wastewater. The project fully meets the most
stringent water use and air quality requirements in Nevada.
The project’s permitting process involved 19 different environmental areas and carefully preserved the minimal vegetation
onsite as well as the habitat of the desert tortoise, which dwells
in the area.
Industrial Projects • Process & Manufacturing — Power & Energy — Communications
21
Looking Forward
While we are now quite familiar with
the challenges and benefits of becoming a
sustainable organization, we recognize that
more is needed. More to learn. More to do.
More ways to lead the industry and serve our
clients and communities.
LEARNING—In listening to our employees, clients, and other
partners who help to shape the science, policies, and practices
around sustainability, we’ve learned where to focus our efforts.
Our clients tell us that CH2M HILL’s history as an environmental
firm provides a strong foundation of environmental stewardship, but that we are less familiar with the social dimension of
sustainability. Social issues are vitally important to the success
of clients’ projects in developing countries, where local communities and livelihoods can be significantly affected by infrastructure and industrial projects. And while we address business
ethics and anti-corruption through policy and practice, the firm
has yet to develop a separate human rights policy designed
specifically for work in developing countries.
Our employees are quick to say that the integrated nature
of sustainable solutions requires more collaboration among
technical disciplines than ever before. This is especially crucial
in urban settings, where whole-systems solutions are necessary to address the interrelated issues of traffic congestion, air
and water quality, energy, and quality of life. One answer to
the challenge of multi-disciplinary collaboration is CH2M HILL’s
Sustainable Solutions Community of Practice, an international
knowledge network that crosses organizational boundaries to
share information. We continue to look for better ways to leverage this network of experts, for the benefit of our clients and the
professionals involved. In addition, as the firm moves toward
alternative project delivery methods, we have an opportunity
to integrate sustainable approaches that can reduce risk and
provide long-term cost savings to our clients.
DOING—Some of our firm’s best learning occurs by experimenting and perfecting approaches along the way. Consequently,
one top priority is to successfully implement the North American environmental management system (EMS), designed to
foster continuous improvement. This system will eventually expand to include subsidiaries and affiliates within the CH2M HILL
enterprise, both in the U.S. and internationally. In addition, we
plan to prepare an EMS that applies to client project work.
We also need to improve our systems for sustainability performance tracking and reporting, as the process of compiling
this report revealed. Three main areas of focus are to: (1) refine
metrics that are more relevant to our professional service-oriented businesses, (2) strengthen tracking systems to document
metrics with greater ease and efficiency, and (3) build accountability for meeting sustainability metrics into job responsibilities
at various levels throughout the organization.
LEADING—We believe that the engineering and design community is uniquely qualified to create the systems and infrastructure that will help protect the planet’s ecosystems, while
raising the quality of life for millions of people around the globe.
A tremendous responsibility is thus imparted upon the industry
to solve some of the world’s most daunting challenges—from
urban land use to global fresh water supply. While CH2M HILL
is frequently at the leading edge of innovative design,
our leadership mandate now includes our role as a global
corporate citizen.
As a global citizen, we must help inform and guide the global
dialogue on climate change, fresh water supply, energy supply,
and a myriad of other issues that affect economies and societies
around the world. Our work in this area has begun with organizations such as the World Business Council for Sustainable
Development, the World Economic Forum, Engineers Without
Borders—USA, the American Society of Civil Engineers, and
others, but we can do more. We also have a unique opportunity—and responsibility—to inspire and inform our clients about
solutions that will meet their performance criteria and budgets,
while delivering long-term benefits for their businesses or
organizations, people, and natural systems alike.
We are excited by the challenges and prospects that the future
holds and look forward to sharing our journey with you.
22
Progress Report
We can manage what we measure. From grade
school progress reports to preflight checklists,
recording performance against established
standards is a time-tested method for improving
performance. With the goal of motivating
continuous improvement, this section presents
baseline data on the sustainability of our internal
operations—from cost of goods and services
to energy consumption to workforce diversity
and training.
The metrics selected and
reported here represent a
combination of our internal
environmental management system (EMS) targets
and the Global Reporting
Initiative (GRI) performance
indicators that are relevant to
CH2M HILL operations. (See
page 30.) Some of the GRI
criteria are not applicable to
CH2M HILL’s service-oriented
businesses. The selected
metrics encompass economic, environmental, and
social indicators to provide
a comprehensive look at
the company’s sustainable performance for the
2003/2004 reporting period.
Over time, the progress
report will help CH2M HILL
improve and direct resources
more efficiently toward
problem areas.
GRI at a Glance
The Global Reporting Initiative (GRI) is a multi-stakeholder process and independent
institution whose mission is to develop and disseminate globally applicable
sustainability reporting guidelines. These guidelines are for voluntary use by
organizations for reporting on the economic, environmental, and social dimensions of
their activities, products, and services. The GRI incorporates the active participation of
representatives from business, accounting, investment, environmental, human rights,
research, and labor organizations from around the world.
23
Economic Progress
The gross revenue of all CH2M HILL companies in 2004 was US $3.1 billion. By comparison, the 2004 gross revenue
of the companies covered by this report was $928.5 million, or approximately 30 percent of the total.
CH2M HILL, Inc., and CH2M HILL Canada, Ltd. Financial Data, 2003 and 2004 (Million US$)
956.3
913.2
928.5
873.3
55.2
43.1
03
04
Gross
revenue
[EC1]
912.4
870.4
42.0
868.7
817.7
51.0
03
04
Cost of goods and
services (direct
plus indirect costs)
486.3
461.6
14.9
0 4.7
4.3
0 4.3
03
Total
debt
106.3
99.7
6.6
135.1
127.7
7.4
03
04
04
100.6
100.1
0.5
130.0
129.7
24.7
0.3
04
Total
payroll and
benefits
[EC7]
[EC5]
[EC3]
CH2M HILL Canada, Ltd.
CH2M HILL, Inc.
28.3
03
03
04
Retained
earnings
Total
shareholders’
equity
508.5
480.2
Total
Environmental Progress
Products and Procurement
As a service firm, we rely heavily upon paper to communicate with each other, share information, and deliver the final products of our work to clients. Paper is also one of the most visible materials consumed in our day-to-day operations. Consequently, paper consumption was selected as a representative metric for total material consumption of our service-oriented
business.
The paper consumption shown below includes primarily white paper for use in copiers and printers. It was purchased
through a national master contract with OfficeMax Enterprise Solutions, which represents approximately 80 percent of total
paper consumption within the scope of this report. The remaining 20 percent is obtained from a myriad of regional and local
vendors and is not yet tracked systematically for reporting.
2003/2004 Paper Consumption (Metric Tonnes)
Country/Source
Recycled
paperb
Virgin
papera
Total paper
consumed
% Recycled
paperc
Recycled
materiald
[EN2]
[EN1]
U.S./master contract
Canada
Total
2003
2004
2003
2004
2003
2004
2003
2004
2003
2004
109.3
60.3
250.2
308.8
359.5
369.1
69.6
83.7
60.6
72.5
18.4
27.4
0.5
1.4
18.9
28.8
0.0
0.0
0.0
0.0
127.7
87.7
250.7
310.2
378.4
397.9
69.6
83.7
60.6
72.5
a Paper containing no recycled material.
b Paper containing 10 to 100 percent recycled material.
c Percent of total paper containing recycled material. (Total = virgin + recycled)
d Total mass of post-consumer material contained in recycled paper.
24
Facilities and Energy
CH2M HILL’s principal facilities are office buildings. In 2003/2004, the company owned one building in West Palm Beach,
Florida, and leased the remainder of the 90 U.S. and Canadian offices of CH2M HILL, Inc., and CH2M HILL Canada, Ltd. Other
leased spaces include project trailers and approximately 10 warehouses; these are not included in the scope of this report.
CH2M HILL uses several direct sources of energy in its facilities. Electricity is the primary source, used to power lighting,
equipment, and heating systems. Minor energy sources include fuels such as natural gas, diesel, and propane for heating
and emergency generators. For 2003, we account for electrical consumption in facilities only. [EN3] Facilities energy audits are
conducted biannually; no data were collected for 2004.
2003 Direct Energy Use in Facilitiesa
Office
floor area
Total energy
consumption
Canada leased offices
Normalized
energy consumption
GJ
MWh
ft 2
GJ/ft 2
MWh/ft 2
13,838
3,844
212,588
0.065
0.018
U.S. owned offices
2,732
759
45,000
0.061
0.017
U.S. leased offices
112,475
31,243
1,541,844
0.073
0.020
---
---
---
---
---
35,846
1,799,432
0.072
0.020
Data not available
129,045
Total
GJ = gigajoules,
MWh = megawatt-hours,
ft 2 = square feet
a Represents approximately 90 percent of CH2M HILL’s total electrical consumption related to facilities: 69 out of 90 offices, and 5,183 CH2M HILL, Inc.
and 336 CH2M HILL Canada employees. These offices also house approximately 480 employees of other CH2M HILL companies. Data for 21 offices
(comprising 642 Inc. and Canada employees) were not available, and the data do not include any offices rented for specific projects.
Renewable Energy
CH2M HILL invests in renewable energy because it aligns with our company values and client services. CH2M HILL was
the first commercial enterprise to buy Green Tags (renewable energy certificates) through the Bonneville Environmental
Foundation in 1999, and our commitment continues to this day. [EN17]
2003/2004 Renewable Energy Investment a
Renewable Energy Total (GJ)
Renewable Energy Total (MWh)
Renewable Energy Percent of Total
Energy Consumptionb
2003
2004
2,296.8
5,457.3
638.0
1,515.9
1.8
4.2
GJ = gigajoules, MWh = megawatt-hours
a Based on known renewable energy purchases for the following office locations: Seattle, Spokane, and Richland
Washington; Portland and Corvallis, Oregon; Boise and Idaho Falls, Idaho; Helena, Montana; Anchorage and
Juneau, Alaska; Honolulu, Hawaii; Denver, Colorado; and Salt Lake City, Utah.
b Based on 2003 total energy consumption as shown in the chart above, “2003 Direct Energy Use in Facilities”.
25
Greenhouse Gas (Carbon) Emissions
Our primary contribution to greenhouse gas emissions derives from the energy used in the facilities we occupy. Approximately 4 percent of these emissions come from our fleet of vehicles, discussed below. Greenhouse gas emissions data are
collected biannually, in concert with the facility energy audits; no data were collected in 2004. [EN8, EN30]
2003 CO2 Emissions Based on Facility Electricity Consumptiona
Normalized CO2
Emissions,
metric tonnes/ft 2
Number
of offices
CO2 Emissions,
metric tonnes
Office Floor
Area, ft 2
Canadian leased offices
4
1,139
212,588
0.005
U.S. owned offices
1
479
45,000
0.011
U.S. leased offices
64
15,965
1,541,844
0.010
Data not available
21
---
---
---
Total
90
17,583
1,799,432
0.010
a Emissions were calculated using the World Resources Institute/World Business Council for Sustainable Development
Greenhouse Gas Protocol (www.ghgprotocol.org). Data reflect the combined emissions from owned and leased facilities.
Please refer to data limitations described above for direct energy consumption.
Fleet Emissions
CH2M HILL employees commute to work and travel to
conduct both client and internal business—by personal
vehicle, fleet and project vehicle, rental car, airplane, bus,
train, subway, light rail, bicycle, and on foot.
While many of these transportation modes present challenges for accurate tracking and reporting, we can measure
our fleet emissions with relative ease. [EN8, EN30]
CH2M HILL’s pool of fleet vehicles consists of owned
and leased trucks, SUVs, vans, automobiles, and hybrid
gas-electric vehicles. In 2003, the fleet of pool vehicles
numbered 112 and was reduced to 109 by the end of the
year; in 2004, the fleet was further reduced to 85 vehicles
by the end of the year. The fleet included 4 hybrid vehicles
in 2003; as part of our overall fleet reduction program, only
one hybrid vehicle remained in 2004. Vehicles owned or
leased expressly for client projects are tracked separately
and are not included in this report.
2003/2004 Fleet Emissionsa
717.7
1.8
1.1
508.5
03
04
C02,
metric
tonnes
03
26.5
1.6
04
Hydrocarbons,
metric
tonnes
1.0
03
04
Oxides of
nitrogen,
metric
tonnes
15.7
03
04
Carbon
monoxide,
metric
tonnes
a CO emissions were calculated using the World Resources Institute/World
2
Business Council for Sustainable Development Greenhouse Gas Protocol.
Other compounds were calculated according to EPA’s 1995 AP-42 guidance
26 (assuming vehicles did not run air conditioners; actual emissions may be
slightly higher) and EPA’s 2004 Annual Certification and Test Results Report
for cars and light trucks.
26
Regulatory Compliance
We track all environmental incidents that occur in our offices and on field projects where CH2M HILL is responsible for
environmental performance, including spills, releases, and permit violations. Some of these incidents result from the actions
of other organizations such as subcontractors, but in keeping with our commitment to project excellence, CH2M HILL investigates and implements corrective action for all incidents. Within the scope of this report, we had three environmental incidents at work locations or project sites in 2003, and six environmental incidents in 2004. [EN16]
2003/2004 Environmental Incidents
Type of Incident
Date
Location
Incident
Near Miss
June 1
San Francisco, CA
Hazardous waste shipment (soil) was delivered to a non-hazardous facility.
The shipment was reloaded and sent to hazwaste landfill. Environmental
agency was notified.
Spill
July 13
Texas City, TX
Truck backed into another, damaging the radiator and spilling approximately
2 gallons of antifreeze. **
Spill
September 5
Hinkley, CA
Groundwater with low levels of chromium contamination was released when
re¬mediation well pump was left on. Sampling confirmed that remediation
was not warranted. Incident was reported to environmental agency.
Spill
September 30
Corvallis, OR
A 4-liter jug of methylene chloride spilled from solvent cabinet. **
Hazmat Shipping
October 12
Sacramento, CA
Diesel generator declaration for cylinder shipment was lost during shipment.
Incident remedied by providing copy of declaration to shipper.
Spill
October 28
US 95, Idaho
Mobile drill rig tipped over into creek bed, spilling less than 1 pint hydraulic
fluid. Spill reported to environmental agency. **
Spill
Mar 7
Corvallis, OR
In laboratory, reaction between sample and liquid waste split container and
spilled contents. **
Spill
May 12
Troutdale, OR
Broken hydraulic line on drill rig spilled fewer than 5 gallons of hydraulic
fluid. **
Permit Violation
October 22
Oakland, CA
Wells abandoned without completing proper forms. Paid $5,000 fine.
2004
2003
* All incidents are associated with CH2M HILL, Inc.
** Spill cleaned up; quantity did not exceed reportable limits.
27
Social Progress
Workforce
The employees covered by the scope of this report numbered 6,161 in 2003 and 6,299 in 2004, or just under half of
CH2M HILL Companies, Ltd.’s total workforce. The employee counts shown below include 51 full-time, 2 part-time,
and 6 temporary employees of CH2M HILL Companies, Ltd., who work in CH2M HILL, Inc.’s offices and who perform
administration and management for CH2M HILL’s enterprise inclusive.
2003/2004 Employee Distribution
[LA1]
Company/Country
Full-Time
2003 2004
CH2M HILL, Inc./U.S.
4,911 5,003
308
338
504
441
5,723
5,782
384
453
13
15
41
49
438
517
5,295
5,039
321
336
545
660
6,161
6,299
CH2M HILL Canada, Ltd.
Total
2003/2004 Net Employment Creation and Turnover
Company/Country
CH2M HILL, Inc./U.S.
CH2M HILL Canada, Ltd.
Total
Employee count
2003
2004
Part-Time
2003 2004
Temporary
2003 2004
Total
2003 2004
[LA2]
Net change
in employee
count
%
Involuntary
turnover
%
Voluntary
turnover
5,723
5,782
+59
12.21
5.15
438
517
+79
14.12
.97
6,161
6,299
+138
---
---
Business Ethics
2003/2004 Learning and Development through Corporate Programs
New CH2M HILL employees agree
to follow the Business Conduct
Policy. An effort is underway to have
all existing employees review and
sign the agreement. In 2004, all U.S.
domestic employees except for three
had signed the agreement. [SO2]
Training categories
Business development
and client service
Design-build &
construction
Total hours of traininga
5,152
18,643b
21,131c
IT and finance
3,955
1,152
Leadership
development
3,252
3,562
Online
learning
7,280
8,811
Project delivery
4,230
1,967
Staff
development
Technology
Total hours 2003 = 51,708
2004 = 55,027
1,844
3,698
Health & safety
Learning and Development
In 2003/2004, the firm’s employees
logged over 50,000 hours annually
in formal corporate learning programs. This includes training tracked
through the corporate Learning and
Development group and through
the Health, Safety, and Environment
program. Additional decentralized
training takes place through regional
and business group programs and is
not formally tracked or reported. [LA9]
2003
2004
2,280
5,780
6,635
4,444
2,919
a Includes only training conducted through
the corporate Learning and Development and
Health, Safety, and Environment programs.
Additional training is conducted through our
regional and business group management and is
not tracked centrally. CH2M HILL Constructors,
Inc. employees are included in these data.
b Comprises 5,764 hours of health and safety
training accumulated under the corporate Learning and Development program, as well as 12,879
hours of specialized training conducted by the
Health, Safety, and Environment group.
c Comprises 5,344 hours of health and safety
training accumulated under the corporate Learning and Development program, as well as 15,787
hours of specialized training conducted by the
Health, Safety, and Environment group.
28
Diversity and Opportunity
To support a culture of inclusion, CH2M HILL developed its Equal Employment Opportunity and Affirmative Action Policy and
programs. Annually, U.S. offices develop Affirmative Action Plans, which monitor the diversity of our workforce compared
with the available workforce and that of our clients.
We have three strategies to diversify our workforce: [LA10]
• Participate in university
minority engineering
programs and the National
Association of Minority Engineering Program
Administrators.
• Recruit through professional
minority engineering societies such as the Society
of Women Engineers, the
National Society of Black
Professional Engineers,
and the Society of Hispanic
Professional Engineers.
2003/2004 Employee and Board of Directors Demographics
Categorya
Board members
Employeesb
% of Board
% of Employees
[LA11]
2003
2004
2003
2004
2003
2004
2003
2004
10
9
77
69
3803
3552
61.7
56.3
Female
3
4
23
31
2358
2230
38.3
35.4
Caucasian
9
9
69
69
5324
4976
86.4
79.0
African American
2
2
15
15
225
222
3.7
3.5
Asian or Pacific Islander
1
1
8
8
317
327
5.1
5.2
American Indian
0
0
0
0
22
22
0.4
0.3
Hispanic
1
1
8
8
224
235
3.6
3.7
Male
a The Caucasion, African American, Asian or Pacific Islander, American Indian, and Hispanic data is only tracked
and reported for U.S. employees.
b Employees working within the boundaries of this report totaled 6,161 in 2003 and 6,299 in 2004.
• Support programs that
educate youth about career
opportunities in science,
engineering, and technology such as the Junior
Engineering Technical Society.
Health and Safety
In 2004, 99 employees of CH2M HILL, Inc., and CH2M HILL
Canada, Ltd., were injured on the job. Thirty-five of these
incidents were classified as recordable according to U.S.
Occupational Safety and Health Administration criteria.
The resulting 2004 recordable incident rate for CH2M HILL,
Inc., was 0.66 incidents per 200,000 hours worked, our
lowest ever and almost 59 percent lower than the industry
average of 1.6. No CH2M HILL company had any occupational fatalities in 2003/2004. [LA7]
2003/2004 Injury Rates
43
35
.87
04
03
Recordable
incidents
.66
03
04
Recordable
incidents
ratea
.20
.21
0
0
03
04
03
04
Lost work day Occupational
incident
fatalities
rateb
a Incidents per 200,000 hours worked.
b Lost work days per 200,000 hours worked.
Recordable incidents and lost workdays apply only to the United States; no
such designations exist in Canada. These data do not include subcontractor
performance, although subcontractor incidents are tracked.
Working with Policy Makers
CH2M HILL contributes to political causes, organizations, and candidates that reflect the firm’s goals and further the business interests of our clients and the engineering industry. [SO3] CH2M HILL makes U.S. federal political contributions in strict
accordance with U.S. law and company policy, primarily through contributions from the CH2M HILL Companies, Ltd., Political
Action Committee (PAC). All U.S. state and local contributions must be approved by the regional managers or the appropriate business unit presidents.
CH2M HILL Canada, Ltd., has a separate and equally rigorous reporting structure concerning political lobbying and contributions for all levels of government in Canada.
29
Index to GRI Indicators
In preparing this report, we have used the Global Reporting Initiative (GRI) framework as it applies to our professional
services company. We chose indicators to report using the following criteria:
• The GRI indicator applies to our business in a meaningful way.
• CH2M HILL seeks improvement in the area addressed by the indicator.
• CH2M HILL has a system for collecting the relevant data. If not, the report describes the firm’s initiatives
or partial systems for doing so.
• For indicators that meet none of the criteria above but are important to our stakeholders, we have reported
to the extent possible.
GRI Indicator
GRI Indicator Topic
Page Reference
Economic Performance
EC1
Net sales
Page 24
EC3
Cost of goods, materials, and services
Page 24
EC5
Total payroll and benefits
Page 24
EC7
Retained earnings
Page 24
EC10
Donations to community and civil society
Page 13
Environmental Performance
EN1
Total materials use
Page 24
EN2
Percentage of materials used that are wastes
Page 24
EN3
Direct energy use
Page 25
EN8
Greenhouse gas emissions
Page 26
EN16
Noncompliance with environmental regulations
Page 27
EN17
Renewable energy use and efforts to increase
energy efficiency
Page 6, 25
EN30
Other indirect greenhouse gas emissions
Page 26
EN33
Environmental performance of suppliers
Page 5
Social Performance
LA1
Workforce status and employment type
Page 28
LA2
Net employment creation and turnover
Page 28
LA5
Recording of occupational accidents and diseases
Page 9
LA6
Health and safety committees
Page 10
LA7
Injury, lost day, absentee, fatality rates
Page 29
LA9
Hours of employee training
Page 28
LA10
Equal opportunity policies or programs
Page 29
LA11
Composition of the Board
Page 29
HR4
Nondiscrimination policies and programs
Page 9
SO2
Policies on bribery and corruption
Page 8, 28
SO3
Policies on political lobbying and contributions
Page 29
SO4
Awards received relevant to social, ethical,
and environmental performance
Page 11
30
Contact Us
We welcome your feedback.
Please e-mail us at sdinfo@ch2m.com
For more information, please contact:
Andrea Ramage
Director, Sustainable Solutions
CH2M HILL
1100 112th Avenue NE, Suite 400
Bellevue, WA 98004
425.453.5000
David Miller
Senior Vice President,
Corporate Affairs
CH2M HILL
9191 South Jamaica Street
Englewood, CO 80112
303.771.0900
CH2M HILL
9191 South Jamaica Street
Englewood, CO 80112
United States of America
Phone: 303.771.0900
Fax: 720.286.9250
www.ch2mhill.com
CH2M HILL Canada, Ltd.
255 Consumers Road
North York, Ontario M2J-5B6
Canada
Phone: 416.499.9000
Fax: 416.499.4687
www.ch2mhillcanada.com
This document consists of Forest
Stewardship Council-certified
100% recycled paper made from
post-consumer waste using
wind-generated energy.
Sustainability Report Team
Executive Sponsors: Bud Ahearn, Vice Chairman of the Board
David Miller, Senior Vice President, Corporate Affairs
Project Manager: Andrea Ramage, Director, Sustainable Solutions
Production Manager: Judy Wolff
Advisors: Antonette DeLauro and Patty Keck
© 2005 CH2M HILL
Primary Writers: Ann Hovland and David S. Smith
Data Researcher: Joanna Monahan
Graphic Designers: Kathy Mullen and Nicole Trousdale
C032005036BDS