COMPLIANCE PATHS
Existing donations of time, product and money may be used to cover the Imperative requirements for certification, but current efforts first must be quantified and converted consistently into their respective monetary values. Calculation requirements are as follows:
- Monetary donations must all be converted to the same currency used to calculate the required donation.
- Product donations must be calculated using the list price of the product. Discounts may not be counted toward the donation, only the complete donation of product.
- Volunteer hours may be counted toward this Imperative. Manufacturers must use the US national average for hourly value of volunteer time, as calculated by Independent Sector in the Value of Volunteer Time tool to calculate the monetary value of the volunteer time donated.
Additionally, the approved breakdown of the Habitat Exchange donation is the same as for the Equitable Investment Imperative:
- A minimum of 50% of the donation must be money
- Up to 25% of the donation may be contributed through volunteer hours
- Up to 25% of the donation may be made through product donations (any product may be donated, not just the one pursuing certification)
APPROVED HABITAT-FOCUSED CHARITABLE ORGANIZATIONS AND LAND TRUSTS
The recipient of a manufacturer’s Habitat Exchange donation must be a registered charity of 501©3 organization that focuses on preservation of sensitive ecosystems or species. The beneficiaries of Habitat Exchange donations are intended to be non-human.
Manufacturers are encouraged to support organizations and prioritize habitat offsets in the same local region as the manufacturing facility or facilities that are part of the certification scope, but may donate to international charitable organizations that are based in a different country than the manufacturing facility or facilities, as long as the organization in question is active in the country of the final facility. If the selected organization has the option to designate funds by region, the manufacturer must designate its donation to the facilities’ respective regions.
Donations to organizations that do not fully meet the Charitable Organization or Land Trust qualifications may still qualify for achievement of the Imperative requirements provided the manufacturer and partner organization demonstrate that the donation directly contributes to the preservation of critical habitat for non-human and non-exploitative purposes. For example, The Nature Conservancy meets the intent, but Habitat for Humanity has a human focus and does not qualify for this Imperative. Likewise, beautification donations intended primarily for aesthetic enhancements to a place or location do not count as they are for human purposes.
APPROVED LAND TRUST
Land trusts must:
- Be accredited through the Land Trust Accreditation Commission; or
- Adhere to the Land Trust Alliance Standards and Practices (designated by an S&P icon on the Alliance’s geographically based membership list).
Teams can use the Land Trust Alliance’s tool to find approved land trusts in the United States, if applicable. These organizations are considered approved if their primary focus is habitat preservation and they are actively responsible for the purchase and/or permanent easement, as well as for ongoing stewardship and conservation, of land in contiguous tracts of at least 100 acres.
VOLUNTEER HOURS
Manufacturers must use the US national average for hourly value of volunteer time, as calculated by Independent Sector Value of Volunteer Time to calculate the monetary value of the volunteer time donated. Volunteer hours that are donated to meet the requirements of the Imperative must be Paid Time Off (PTO) hours, and must be in service to an organization that meets the LPC requirements of charitable organizations and/or land trusts.
PRODUCT DONATIONS
Product donations must be calculated using the list price of the product. Discounts to product list price may not be counted as contributions to the total donation amount, unless it is a product donation, which can be counted at list price.
DONATION TIMING
While the Imperative requires annual giving, timing of charitable contributions is flexible provided that the manufacturer issues the total calculated donation required for the 3-year certification period prior to the time of the product recertification. When budgeting for annual giving, manufacturers may use the performance period (i.e. the fiscal year prior to initial certification) to set predictions for annual giving, and at each annual check-in may “true up” to ensure that donations meet the requirement. Donations that had already been made during the performance period to qualifying charitable organizations or land trusts may be counted toward the total calculated donation required.
Manufacturers that do not make a donation covering all 3 years by the time of certification must offset at minimum the donation amount calculated from the first year of sales, and calculate the donation amount required of the total 3-year certification period to demonstrate awareness and commitment to meeting these donation requirements per the Standard.
