July 14, 2017

The Honorable Lisa Murkowski, Chairman The Honorable Ken Calvert, Chairman Senate Appropriations Subcommittee on House Appropriations Subcommittee on Interior, Environment, and Related Agencies Interior, Environment, and Related Agencies Room S-128, The Capitol 2007 Rayburn House Office Building Washington, D.C. 20510 Washington, D.C. 20515

The Honorable The Honorable Betty McCollum Senate Appropriations Subcommittee on House Appropriations Subcommittee on Interior, Environment, and Related Agencies Interior, Environment, and Related Agencies Room S-128, The Capitol 2007 Rayburn House Office Building Washington, D.C. 20510 Washington, D.C. 20515

Re: Businesses in Support of EPA’s SmartWay Program

Dear Appropriations Subcommittee Members:

The 24 undersigned businesses represent a total of $640.8 billion in annual revenue, are based in 11 states (Arkansas, California, Colorado, Indiana, Mississippi, New Hampshire, New York, Oregon, Pennsylvania, Texas and Wisconsin) and employ 1.7 million people in the U.S. and beyond. We are committed to efficiency gains in freight movement as a means of realizing significant economic and environmental benefits, and are writing to request that you continue funding for EPA’s effective and innovative SmartWay program in FY2018 and beyond. SmartWay is one of several voluntary programs proposed for elimination in the administration’s budget.

SmartWay was created in 2004 as a partnership between shippers and the EPA to reduce emissions and save fuel in the movement of goods. The voluntary program has grown from fifteen companies at its start to nearly 4,000 companies today. It attracts strong private sector participation because it offers a clear and compelling value proposition: freight shippers gain access to information that enables them to differentiate between freight carriers based on emissions performance. This saves shippers money and reduces the environmental impacts from moving their products. Freight carriers participate in the program to gain access to large shippers.

The SmartWay program has delivered savings of 8 billion gallons of fuel and $27.8 billion in fuel costs to date.1 The value of the aggregate fuel savings is more than three times the annual budget of the entire EPA and orders of magnitude higher than the cost of SmartWay itself.2 SmartWay has done more: it is a core strategy for companies to reduce their emissions. Since the start of the program, SmartWay partners have eliminated a total of 84 million metric tons of carbon emissions from freight operations. They have reduced emissions of NOx by 1.7 million tons and PM2.5 by 70,000 tons.3

1 https://www.epa.gov/smartway/how-smartway-advances-sustainable-transportation-supply-chains 2 The FY2013 budget identified the cost of SmartWay as $2.8 million, and it is our understanding that program funding has remained roughly level since then. 3 http://fuelmarketernews.com/penske-truck-leasing-collects-fifth-straight-u-s-epa-smartway-affiliate-challenge-award/ SmartWay complements the heavy-duty vehicle emission regulations that are critical in protecting human health and the environment. Our support for SmartWay should not be taken in any way as a signal that it should be prioritized over EPA’s core regulatory efforts, including the crucial work on development and implementation of vehicle standards conducted at the National Vehicle and Fuel Emissions Laboratory. All of these programs are complementary and essential to promoting U.S. freight efficiency.

The efficiency and sustainability of our growing freight sector is a strategic imperative for the nation. We urge you to ensure that the highly successful SmartWay program will have the resources to support U.S. businesses in the future.

Sincerely,

Walmart Dell HP Kimberly-Clark Corporation Waste Management DanoneWave IKEA Purchasing Services, Inc. The North Face Evans Delivery Company, Inc. Stonyfield Sierra Nevada Brewing Co. New Belgium Brewing Califia Farms Happy Family Brands Kane is Able Nutiva Outpost Natural Food Mountain Rose Herbs L'Oreal USA Monadnock Food Co-op Kuli Kuli, Inc. Orchid Holistic Search North American Council for Freight Efficiency Makers 7

CC: Senator Thad Cochran Representative Mike Simpson

Senator Lamar Alexander Representative Tom Cole

Senator Representative David Joyce

Senator Representative Chris Stewart

Senator Mitch McConnell Representative Mark Amodei

Senator Representative Evan Jenkins

Senator Representative Chellie Pingree

Senator Representative Derek Kilmer

Senator Representative Marcy Kaptur

Senator Jack Reed Representative Rodney P. Frelinghuysen, Chairman

Senator Representative Nita Lowey, Ranking Member

Senator Administrator

Senator