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e e u c Sustainable Spirits: e A Look Into Sustainable Practices of Kentucky’s Distilleries and Breweries e Air Qual·it·y:•noun•\er•kwä-l -tē\ a measurement of the pollutants in the air; a description of healthiness and safety of the atmosphere• INTRODUCTION Example: Since air is necessary for all living beings to survive, it is important to protect its quality. Members of the Kentucky distilling industry have implemented a variety of ways to prevent air pollution, which is a major contributor to serious health issues. From offering incentives for carpooling to buying grain locally to using biomass, the Commonwealth’s distillers are striving to keep the air clean. PAGE 5 entucky is the home of beautiful landscapes and bourbon, but it is the connection to the land and its people that makes the spirits industry

in Kentucky so special. Part of this uniqueness is how Kentucky’s bourbon and beer industries work together to protect and preserve

e Kentucky’s natural resources. e Com·mun·it·y Out·reach:•noun•\ k -myü-n -tē• aůt-`rēch\ a unified body of individuals; the extending of services or assistance be- KFormed in 2011, the Sustainable Spirits Initiative grew out of a growing demand from industry experts to get together and share their yond current or usual limits • Example: In Kentucky, members of the spirits industry have shown their concern and community-minded attitude in experiences on environmental issues. What resulted from these early meetings was the realization that the spirits industry as a whole is committed many ways. From gathering neighborhood opinions about proposed projects to restoring historic buildings to teaching students about the importance

to and actively participates in projects that benefit Kentucky’s environment. These untold stories of environmental stewardship led to the of recycling, distillers and brewers are acting as good corporate citizens. PAGES 10-11

development of an idea – to collaborate and document the best practices that the spirits industry in Kentucky offers.

e In the following pages, you will experience all that this industry offers to Kentucky citizens through their environmental stewardship actions. In the e end, we hope you will see that Kentucky’s spirits industry is intimately connected to the land, air and water, and by protecting these resources, they Con·ser·va·tion:•noun • \ kän(t)-s r-vā-sh n\ a careful preservation and protection of something; especially: planned management of a natu- are ensuring sustainability for their businesses, communities and our environment. ral resource to prevent exploitation, destruction, or neglect• Example: Members of the Kentucky distilling industry appreciate the beauty, value and abundance of natural resources in the Commonwealth. For that reason, they have taken measures to carefully preserve and protect the environment through planned management of resources, implementing natural methods of insect control and protecting the habitat of wildlife. The facilities are reclaiming materials and avoiding exploitation of natural resources. PAGE 4

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m e corporate citizens and use the latest technology to cut out unnecessary usage and waste. PAGES 6-7

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R n distillery by-products to wastewater. What can be reused or repurposed can be kept out of landfills and save precious natural resources. PAGES 12-13 H

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e e u ce 3 CONSERVATION A Jim Beam- Jim Beam- Woodford Clermont Old Grand Reserve I Dad Woodford Reserve is focused The most convenient on maintaining the quality of parking lot at the Jim its water supply, as well as the Beam-Clermont facility is Jim Beam–Old Grand Dad R quality of nearby Glenn’s Creek. specially designated for Plant purchased two electric Ponds located at the distillery are employees who car pool or utility carts to replace two stocked with grass carp to control drive fuel-efficient vehicles. gasoline-powered security Woodford weed growth without the use of It is estimated that about 70 Wild vehicles. Using these chemicals. Woodford Reserve is percent of the air pollution electric carts has decreased Reserve also moving forward with a habitat in modern cities is tied Turkey carbon dioxide emissions by Maker’s Mark Jim Beam- At Woodford Reserve, all restoration pilot project, which will directly to traffic. Research more than 32,000 pounds, Q corn used in production is restore a portion of the creek bed Boston shows that air pollution When natural gas prices based on driving 12,000 Maker’s Mark is involved in several locally sourced, which limits using native vegetation designed to actually causes physical were very high, Wild Turkey miles annually per vehicle. projects on its 684 acres to provide the cost of transporting the support birds and wildlife, as well Jim Beam-Boston uses eco-friendly changes to the brain and had options, but switched a habitat for wildlife and natural methods of keeping the insect grain as well as reduces the U as filter stormwater that runs off is linked to a list of health to using wood waste in controls for insects. The facility air pollution emitted from parking lots on the site. population under control by problems, including the boiler, which is more has established a wetlands area scattering nesting boxes for bats, memory loss, depression sustainable because it is a the trucks. All distillation near Hardin’s Creek. In an effort wood ducks and Eastern Bluebirds and learning disabilities. product that can be reused. by-products are given to A to forego chemical spraying in the around the wastewater lagoons. Using biomass can have local farmers for animal lake watershed, several purple Just one bat can eat more than 1,000 some pollutant reductions feed, which also reduces martin houses were hung near the mosquitoes in an hour. Wetlands compared to using other transportation costs and lake to promote the population between the lagoons and Mud types of sources. Biomass emissions. Additionally, L of the birds, which are a natural Run Creek are a popular location systems can reduce waste the company purchased an control for insects. In nearby fields, for wildlife. Three on-site lakes energy from 66 percent electric cart to move small native grasses and wildflowers were are stocked regularly, and native to 25 percent compared groups of visitors around I planted, whose seeds provide food grasses were planted on a hillside to traditional fossil fuels, the site instead of using the for deer, turkeys and birds. Native and only need to be mown once using a smaller amount of larger tour bus, reducing grasses are more drought-tolerant a year. This has been certified as input material or biomass. air emissions related to its than fescue and provide nesting a wildlife habitat project by the visitor operations. T areas for the bobwhite quail, which Kentucky State Department of Fish have diminished in number due and Wildlife. to the destruction of their native habitat. Y

4 5 ENERGY

Jim Beam-Boston Heaven Hill Wild Turkey Woodford Reserve

Jim Beam-Boston has been seeking ways to cut energy usage at the facility and began with an energy audit. As a result, the facility is now on an electric demand system and paying $39,000 per month, which will save $130,000 due to the billing process. The E company has also replaced metal halide lights with W/T-8 lights and motion sensors. LED lighting now lines the driveway. Any N Jim Beam-Clermont extra lights will be removed or switches will Heaven Hill- be placed on them. Bardstown The Jim Beam-Clermont American Stillhouse Heaven Hill replaced 662 metal halide, E visitor center, which is LEED-gold certified, mercury vapor and fluorescent tube lights Heaven Hill is installing occupancy Wild Turkey has changed to more is designed to be sustainable while reflecting with four-lamp, F54T5HO High Bay Woodford Reserve has invested in sensors throughout the Bardstown energy-efficient lighting, such as T-8 the history of the Jim Beam Distillery in its fluorescent fixtures at its Bardstown location. energy-efficiency improvements, facility and replacing all T-12 fluorescents, compact fluorescents R physical appearance. A geothermal heating As a result, there has been a 55-60 percent including energy-efficient lighting fluorescent fixtures with efficient and metal halide lamps, and has and cooling system uses heat energy from load reduction for lighting in the warehouse, in production and maintenance LED lighting. This new project will sensors and high-efficiency pumps. deep underground to heat or cool the which translates to an approximate annual areas. The company has also further reduce the facility's energy They also purchased programmable building. Geothermal technology is 50 to savings of $70,000 and offers a more efficient installed high-efficiency burners on G demand by 1,816,537 kWh. These lighting panels to turn lights off 70 percent more efficient than furnaces or source of lighting. the natural gas steam boilers and lighting efficiency improvements when the plant is not operating. boilers and 20 to 40 percent more efficient automated production processes to translate to annual savings and offer For the new packaging facility than most air conditioners. Geothermal is reduce the amount of steam required a safer, cooler and brighter source of under construction, they are using Y renewable and environmentally friendly, for production. lighting. T-5 lamps and fixtures. The newer with no need for fossil fuels or generation of buildings have better insulation, pollution. and everything is automated in the three main buildings. The distillery operation is more efficient due to increased use of computers for process control.

6 7 WATER

Jim Beam-Clermont Wild Turkey Maker’s Mark W Most low-flush toilets use 1.6 gallons Often people don’t realize that Every day, more than three billion per flush as opposed to the usual 3.5 temperature can be a pollutant, as gallons of water wash down gallons and motion sensors on sinks well. To address this issue, Wild the drains of American homes, A Woodford Reserve can save as much as 30–50 percent of Turkey has a closed loop cooling businesses and industries' drains, Jim Beam-Boston the water normally used. Together system for its facility, where the according to an EPA estimate. This A win for water quality all around, wetlands act as As part of its environmental sustainability targets, with water-conserving urinals, these city water they use is recycled. In wastewater carries sediment and T filters to prevent chemicals and sediment from flowing Woodford Reserve is working to improve water technologies resulted in more than a five months’ time, the facility used other pollutants. Manmade wetlands into nearby streams, therefore ensuring the quality efficiency by 30 percent from a 2012 baseline within 30 percent water-use reduction at the 130 million gallons of water. This serve as natural wastewater of on-site springs, creeks and lakes. As part of its 10 years. Water-efficiency projects planned or in new Jim Beam American Stillhouse system eliminates pulling water treatment systems, which is why watershed protection program, the Jim Beam plant in process include replacement of fixtures and toilets in visitors’ center in Clermont. from the Kentucky River and then Maker’s Mark has established a E Boston established wetlands between the wastewater the remodeled Visitor Center with low-flow models, returning it to the river at elevated wetlands area near Hardin’s Creek lagoons and Mud Run Creek, with an added benefit reuse of reverse osmosis reject water for make up temperatures. to help filter stormwater runoff from of increasing the wildlife diversity of the area. Not water to its cooling tower and process improvement the watershed. R only good for the environment, water conservation changes to mashing and sanitation to reduce the saves money. Each gallon of water reused to replace amount of water required in each batch. potable water saves on both the costs of the potable water replaced and fees for discharging the process Heaven Hill-Louisville water to the sanitary sewer. The Jim Beam plant in Boston has devised several ways to conserve water. Heaven Hill completed a water conservation project at its Louisville site. A water basin Employees have been instructed to sweep, rather than was constructed to collect water overflow from various distillery processes that previ- wash, floors in the plant. Also, the facility recirculates ously went to the sewer. The basin feeds recycled water to the cooling tower. This process process water to cooling towers to conserve water reduces cooling tower water intake by 60 percent, and in turn, reduces flow to the city and save on treatment capacity. sewer system.

8 9 COMMUNITY OUTREACH C O Woodford Reserve M Wild Turkey Woodford Reserve reaches out to the community in a M variety of ways. All of the corn for production is sourced from local farmers, supporting the local economy. The Wild Turkey is involved in various company also restored five historic stone buildings on- U charitable causes. One such charity is site. Using these buildings adds charm to the oldest Operation Once in a Lifetime, which and smallest working bourbon distillery in Kentucky, N was created to make the dreams of and allows these National Landmark buildings to U.S. soldiers come true by providing be put back into daily use. Additionally, Woodford I free financial and moral support to Reserve educates its employees on the importance U.S. service members, their families West Sixth Brewing of appropriate recycling for common items, such as and veterans, regardless of rank, batteries, fluorescent light bulbs and electronic waste T deployment, physical condition Company (e-waste). To help its employees recycle these items, Jim Beam or branch or service. Wild Turkey Maker’s Mark Woodford Reserve has established collection boxes Y is working to raise $101,000 for West Sixth Brewing Company, in Lexington, is a craft on-site for employees to bring these materials in for Operation Once in a Lifetime recycling. Jim Beam representatives visit Maker’s Mark and its employees brewery located in a former brownfield property, the by matching any donation up to middle and high schools to teach give back to the community on Rainbo Bread Company building. The redeveloped $50,500. students about the importance of a regular basis and are active in two-story building, which also has a basement and O recycling and how to use water more community outreach in two ways. dates back to 1880, is now called The Bread Box and is effectively to curb waste. Students The company makes monetary located in the historic Northside Neighborhood. The U also learn how to treat wastewater donations to Habitat for Humanity, 90,000-square-foot structure hosts other companies and reuse it. The goal of these visits and employees are given two paid and community organizations with like-minded views is to encourage students to create eight-hour days a year to volunteer and commitments to the community. The presence T meaningful behaviors that will carry for the charity of their choice. of the brewery has revitalized the community and into adulthood. encouraged development of nearby sites. West Sixth R even donates some of the profits from the brewery to neighborhood charities. E A C H 10 11 Maker’s Mark is examining everything going to the landfill in an effort to cut its waste throughout the plant. Due to this, the plant has been able to cut office waste dramatically through recycling. Maker’s Mark also sells two or three truckloads of distillery by- W WASTE MANAGEMENT products materials daily from the slop tank to farmers for animal feed, which makes an excellent source of protein for the cattle; solids from the anaerobic digester are given away as fertilizer. Estimates are that 57.4 percent of paper used in 2008 was recovered through A Jim Beam-Boston Heaven Hill- recycling. S Jim Beam–Boston recycles its used barrels Bardstown

by sending them to other distillers to use Wild Turkey for scotch and other spirits. The facility While Heaven Hill-Bardstown planned T also recycles office paper, cardboard, glass, to implement a structured waste Maker’s Mark management program to be in compliance metal, aluminum, plastic and wood. The Wild Turkey recycles 55,000 used barrels annually to be used for aging scotch. regarding aerosols, solvents, batteries E distillery also sells 8-10 truckloads of spent Spent grain from the distillery goes to farmers for high-protein cattle feed. The and spent lamps, a large recycling project grains daily to local farmers for animal feed. plant also recycles cardboard, cans, plastic bottles, plastic straps and office stemmed from the project. In 2013, 771 By selling the distillery by-products locally, paper, and encourages its employees to bring their recyclables to work. Every tons of materials were recycled and kept transportation costs and the potential for year in this country, 25 billion plastic bottles are used. If each home in the U.S. Jim Beam-Clermont out of landfills. This included baled and air pollution are minimized and tons of recycled just 10 percent of its plastic bottles, 200 million pounds of plastic would loose cardboard, newspaper, film, barrels, waste are kept out of landfills. The U.S. has During the construction of the Jim Beam be saved each year. M 3,091 active landfills and over 10,000 old American Stillhouse, more than 78.5 plastic bottles, bottle caps, green banding, municipal landfills. Landfills eventually percent of the materials left from the aerosols and more. The outdoor recycling leak, creating more environmental issues. construction, or 43.27 tons, were diverted center for employees is complete, and A This country generates more waste every from the landfill. Old asphalt was torn employee enthusiasm for the project has As part of its environmental sustainability targets, Woodford Reserve has set a zero- year, growing from 247 million tons of up and sent to an asphalt company to led them to bring their recyclables from waste-to-landfill target to be achieved by 2020. In support of these efforts, production N nonhazardous waste in 1990, to 409 million be reused, and fly ash was reused in the home to be picked up. and office materials are recycled throughout the site, including the Visitor Center. As concrete that was poured. Additionally, part of the Visitor Center remodel, Woodford Reserve constructed tables using wood trees that had to be removed were ground A reclaimed from an old barn that was deconstructed as part of the distillery expansion, into mulch, the wood floors were reused instead of sending the material to the landfill. from an old barn, the reception desk was made with leftover pickle vat wood from G Heaven Hill a project at a nearby site and a lot of Reserve Woodford furniture, fixtures and old library ladders Bardstown E were repurposed. When the local wastewater treatment plant neared its capacity and faced having to limit new customers, Heaven Hill refurbished an existing, non-operational, M on-site lagoon system. The system is equipped with three ponds that are aerated, treated with nutrients and then discharged to the City of Bardstown. By doing this, the distillery reduced its sewer costs significantly and also allowed growth E in the Bardstown community. In a dramatic contrast, Heaven Hill's BOD and TSS loading to the city's wastewater treatment facility are now minimal. N

12 13 T A special thanks goes to the Kentucky Distillers Association and the distilleries and breweries who allowed us to highlight their efforts to protect and improve the environment.

The Sustainable Spirits Initiative is managed by KY EXCEL, Kentucky’s environmental leadership program. Housed in the Kentucky Division of Compliance Assistance, we strive to connect industry leaders and provide a space for these leaders to be recognized. For more information about going green and becoming an environmental leader, please visit http://dca.ky.gov/LGGS/Pages/default.aspx.

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