Copyright 2007. No quotation or citation without attribution.
IR/PS CSR Case #07-16

Green Seal and the Lodging Industry

By: Savy Hak
GRADUATE SCHOOL OF INTERNATIONAL RELATIONS AND PACIFIC STUDIESUNIVERSITY OF CALIFORNIA, SAN DIEGO
Prepared for Professor Peter Gourevitch
Edited by Jennifer Cheng, MPIA 2008
Corporate Social Responsibility
Fall 2007

Executive Summary
Green Seal is a non-profit organization offering certification for lodging properties thatprove they are in compliance of effective environmental business practices. The goal of thispaper is to evaluate whether consumers and the lodging industry can have confidence in thisorganization. Through assessment of several areas, this paper identifies areas that are weak andquestionable and finds that on the whole, Green Seal can serve as an effective third-party verifier
for the lodging industry.

2

Copyright 2007. No quotation or citation without attribution.

Table of Contents
I. Introduction...........................................................................................................................3
II. The Lodging Industry: Moving Towards “Green”.............................................................3
A. U.S. Green Building Council...............................................................................................6
III. Green Seal...........................................................................................................................6
A. Method and Standards ........................................................................................................8
B. Staff ....................................................................................................................................9
C. Funding ............................................................................................................................10
D. The Standard: GS-33 ........................................................................................................10
E. Certification Process and Fees..........................................................................................11
IV. Case 1: Lake Powell Resorts and Marinas ......................................................................13
V. Case 2: Doubletree Hotel & Executive Meeting Center – Lloyd Center..........................15
VI. Program Assessment.........................................................................................................16
VII. Organizational Credibility..............................................................................................18
VIII. Conclusion......................................................................................................................19
IX. Suggested Items for Further Research ............................................................................20
X. Discussion Questions ..........................................................................................................21
XI. Works Cited ......................................................................................................................22
XII. Appendix..........................................................................................................................24

3

Copyright 2007. No quotation or citation without attribution.

I. Introduction
A growing trend among the hotel industry is to differentiate themselves by seeking thirdparty verification that they are engaging in effective environmental practices. Incentives forinvesting resources into necessary upgrades and improvements to meet a verifier’s standards
relate to various reasons. This includes the ability to validate their claims to customers and the
public. In addition, there is a return on investment created by several types of savings such asenergy cost and water cost. Customers also do actively seek lodging properties that advertises a“seal of approval.” Green Seal is one such organization that provides this label. This paper will
explore the lodging industry’s movement toward going “green” and evaluate how Green Seal
provides a solution to the demand. Their program effectiveness will be assessed in terms of thecertification process, credibility and reliability. Two recipients of the Green Seal will be
discussed followed by an overall program assessment.

II. The Lodging Industry: Moving Towards “Green”
In 2006, the U.S. lodging industry generated $133.4 billion in sales.1 As the nation’s
second largest employer,2 the lodging industry contributes to significant energy use and waste
generation. In one week, an average sized hotel buys more products than 100 families in a year.3
Waste accumulation can grow up to 30 pounds per room while 80 percent of the waste can berecycled.4 In California, the hotel and lodging industry contributes to two percent of the state’s

1

American Hotel and Lodging Association, 2007 Lodging Industry Profile:
http://www.ahla.com/products_info_center_lip_2007.asp
2
Green Seal: www.greenseal.org
3
California Green Lodging Program: http://www.ciwmb.ca.gov/EPP/GreenLodging/
4
Ibid

4

Copyright 2007. No quotation or citation without attribution.
food waste.5 Electricity use is considerably high for the industry and can make up 60 to 70
percent of the utility costs for an average hotel.6 Typical hotel rooms can use 218 gallons ofwater per day while water efficient fixtures can save 25 to 30 percent of that water usage.7
These figures show that the lodging industry significantly impacts the sustainability ofthe environment and important resources. With increasing attention to preserving natural
resources and protecting the environment, the lodging industry is hearing the call. More andmore hotels are moving toward “greening” their facilities in order to highlight their part inpreserving the environment and gain credibility. In the past, it was considered too expensive to“green” a hotel. Now it has become a myth and savings generated from important upgrades has
shown to provide a return on investment in a short period of time. Before, green hotel
development represented a 10-20 percent cost premium, which was too expensive for mostdevelopers.8 “Today the premium cost for green certification can be as low as 1-2 percent, anddevelopers can expect economic payback of that premium in as little as 12-24 months,” said Jim
Butler, chairman of JMBM’s Global Hospitality Group.
Combined with generous tax breaks on property and on sales tax for construction
material, development of new “green” hotels and buildings can even be profitable.9 Going“green” has become more than just being a responsible business leader, but also as a hip andtrendy thing to do. One such magazine highlights this trend. Green Hotelier is “a magazine forpeople who care about a more environmentally and socially responsible hotel industry and its

5

Ibid
Ibid
7
Ibid
8
No author. “JMBM lawyers announce first green hotel development conference; carbon-neutral event gives
economic reasons why today’s smart money is green.” Business Wire 15, July 2007.
9
Hotel Law Blog: www.hotellawblog.com
6

5

Copyright 2007. No quotation or citation without attribution.
contribution to sustainable travel and tourism.”10 The magazine highlights various hotels andchains that are engaging in good practices and offers solutions for implementation of effective
programs.
With the increased popularity towards the movement, the problem has been the definitionof “green.” What makes a hotel “green?” There is no nationally accepted standard for whatmakes a hotel green and there are many organizations in the U.S. offering to certify green hotels
as a third party body. Around the world, there are about 3 dozen organizations certifying
products or commercial services as environmentally friendly.11 One organization in the U.S suchas Energy Star, evaluates products based on their energy efficiency.12 Co-op America Seal of
Approval offers businesses to be listed in their “National Green Pages” directory through ascreening process that proves that they are “socially and environmentally responsible.”13 In
addition, businesses such as Green Suites International are taking advantage of the increasingneed for hotel supplies and equipment that are environmentally friendly.
The lack of a unified standard and the numerous organizations available create a problemof choice for the lodging industry. What makes a third party certification body reliable andcredible? How does one know their certification standards are good? How can consumers be
confident that hotels are actually engaging in significant environmental practices? These
questions will be explored related to Green Seal.

10

Green Hotelier: http://www.greenhotelier.org/
No author. “Green Seal Program certifies eco-friendly products, services.” Voice of America News 5, July 2007.
12
Ibid
13
Co-op America: http://www.coopamerica.org/greenbusiness/sealofapproval.cfm
11

6

Copyright 2007. No quotation or citation without attribution.
A. U.S. Green Building Council
Most popular for seeking a credible certification body has been the U.S. Green Building
Council’s LEED program. Standing for Leadership in Energy and Environmental Design, theprogram aims to serve as an independent, third-party verifier for environmentally responsiblebuildings. As well, the program has a rating system described as “the nationally accepted
benchmark for the design, construction and operation of high-performance green buildings.”14
Certification is based on environmentally friendly components that include efficient energy andwater capabilities, recycled construction materials and solar lighting. Credibility for the programis further highlighted by the fact that Governor Arnold Schwarzenegger has ordered that all new
big government buildings to be constructed must be LEED certified.15 About 800 buildings
throughout the U.S. have been certified and 6,000 more are in the process, including 30 hotels.16
Although LEED serves as the green benchmark for new and existing buildings, standards
are set for commercial buildings and not specifically for hotels. Other organizations such as theGreen Hotels Association offer membership for any hotel with a paid fee but no oversight forcompliance. Members get a booklet of how they can “green” their facilities and takes the hotel’sword for following their suggestions.
III. Green Seal
Compared to LEED, Green Seal does offer a certification program specifically for
lodging properties. It is an independent non-profit organization based in Washington D.C andestablished in 1989. Currently, Green Seal has certified 42 lodging properties in various statesthat include: Arizona, Georgia, Nevada, Oregon, Pennsylvania, Utah, Virginia, Washington, DC,

14

U.S. Green Building Council: http://www.usgbc.org/DisplayPage.aspx?CategoryID=19
Levy, Ari and Carole Zimmer. “California hotels go green with low-flow toilets, solar lights.” Bloomberg 27, Apr.
2007, http://www.bloomberg.com/apps/news?pid=20670001&refer=us&sid=afIESX3LdgnQ
16
Ibid
15

7

Copyright 2007. No quotation or citation without attribution.
Washington State and Wyoming. Currently, Green Seal expects to have an additional 20 – 30
lodging properties certified within the next year.
In addition to lodging properties, the organization certifies several types of products
considered to be environmentally friendly. Products include: cleaners, hand cleaners, electricchillers, floor care products, paints and coatings, windows, doors, papers and newsprint.
Cleaning services and fleet vehicle maintenance are also certified by Green Seal.
According to their website, “Green Seal provides science-based environmental
certification standards that are credible, transparent, and essential in an increasing educated andcompetitive marketplace.”17 Their goal is to help protect the environment and “transform themarketplace” by “promoting the manufacture, purchase, and use of environmentally responsible
products and services.”18
When a product or service gains the Green Seal mark, it means that it has undergone“rigorous evaluation, testing and a plant visit” and “evaluated without bias or conflict ofinterest.”19 The organization also insists that “The Green “Seal of Approval” has come to standfor reliability, fairness, and integrity.”20
Businesses that have gained the seal are able to use the Green Seal logo on their productpackaging and advertisements. Green Seal’s website offers testimonials from businesses thathave benefited financially from customers’ recognition of the seal.
Various incentives lie in a business’ pursuit for third-party verification. It may be for credibility,
financial gain, or to prove environmental responsibility. Whatever the incentives, Green Seal
appears to prove itself as an authoritative figure in the marketplace with the numerous products
17Green Seal: http://www.greenseal.org/about/index.cfm
Green Seal: www.greenseal.org
19
Green Seal: http://www.greenseal.org/about/power.cfm
20
Ibid
18

8

Copyright 2007. No quotation or citation without attribution.
they have certified over the years. Products with their seal can be purchased at stores such as
Office Depot, Whole Foods and Lowe’s Home Improvement Stores.21

A. Method and Standards
Green Seal works with several scientists, experts and several other organizations in
helping to form their standards. Their main research partner is the Center for Clean Products andClean Technologies at the University of Tennessee at Knoxville.22 Their standards comply withinternational standards for eco-labeling, specifically ISO 14020 and 14024. As well, Green Seal
complies with the U.S. Environmental Protection Agency’s (EPA)23 requirement for third-party
verification of environmentally friendly products and also meets “the criteria for bona fideecolabeling bodies of the Global Ecolabeling Network.”24
EPA’s criteria for a credible third-party verifier includes:25•

an open, public process that involves key stakeholders (businesses,
environmental and consumer groups, states etc.) in developing its criteria
or standards.

•

award criteria, assumptions, methods and data used to evaluate the productor product categories that are transparent (i.e., they are publicly available,
easily accessed and understandable to the lay person).

•a system of data verification and data quality.

•a peer review process (with representation of all stakeholders) for
developing standards or criteria.

21

Green Seal: http://www.greenseal.org/about/index.cfm
Green Seal: http://www.greenseal.org/about/partners.cfm
23
See Appendix 1 for the EPA’s full criteria for third-party verification.
24
Green Seal: http://www.greenseal.org/certification/international.cfm
25
Ibid
22

9

Copyright 2007. No quotation or citation without attribution.
Green Seal asserts that of great importance to their credibility is the “avoidance offinancial conflict-of-interest, use of sound scientific methods and accepted test procedures, andopenness and transparency in the setting of standards.”26

B. Staff
Green Seal has 12 staff members and several consultants. 10 people are on the board of
directors with a background in many areas of expertise that includes science, engineering,
environment, waste management, energy, environmental law, policy and academic. President
and CEO of Green Seal is Arthur B. Weissman. His experience comes from over 25 years ofworking in environmental policy, standards and regulation.27 His education includes a bachelors
degree from Harvard University, a PhD from Johns Hopkins University in physical geography
and environmental science, a masters in natural resource management from Yale School ofForestry and Environmental Studies.
The background of the board members gives confidence that they can serve as an
authority on standards for conservation and sustainability. This is also highlighted by the factthat some of the board members have been working in their specific area for several years andhave published books, reports and articles on topics related to preservation and standards. In
addition, board members demonstrate high education in their area of expertise and teach inuniversities related to their field such as environmental law.

26
27

Ibid
Specific staff information and background is not available on Green Seal’s website but was available per request.

10

Copyright 2007. No quotation or citation without attribution.
C. Funding
Green Seal is funded by donations, grants, foundations, and fees they collect forevaluation and monitoring. From 2001 to 2003, gifts, grants and contributions received totaled$605,866.28 For the same time period, “gross receipts from admissions…or services performed,
or furnishings of facilities in any activity that is related to the organization’s charitable, etc,
purpose,” totaled $807,457.29

D. The Standard: GS-33
A hotel seeking to gain certification from Green Seal must comply with their
Environmental Standard for Lodging Properties called GS-33. The standard specifies
requirements under 6 main areas that include:•

Waste minimization, reuse and recycling•

Energy efficiency, conservation and management•

Management of fresh water resources•

Waste Water Management•

Hazardous substances•

Environmentally and Socially Sensitive Purchasing Policy

Included in these guidelines are using recycled fibers with a specific minimum post-consumer
content for toilet tissue (20%), facial tissue (10%), napkins and paper towels (40%). As well,
preference is given to product and service suppliers that demonstrate environmental
responsibility. Avoidance of architectural paint with specific heavy metals or toxic substances isalso included.

28
29

Green Seal 2005 income tax statement, Form 990.
Ibid

11

Copyright 2007. No quotation or citation without attribution.
Lodging properties must also install energy efficient windows, water saving fixtures,
sensors for lighting, energy efficient equipment such as lighting, office supplies and kitchenequipment. Use of refillable amenity dispensers instead of individual containers for soap,
shampoo, lotion, etc, is required. As well, the property must maintain a recycling program and acomposting program for food waste and yard waste. Food waste is also decreased with therequirement for donating leftover food to a local shelter or food bank where programs areavailable. Not included under these standards are swimming pools, golf courses or restaurants.
Green Seal is able to measure results of their standards to show benefits of cost savings.
For example, installing an energy efficient system can reduce significant energy costs. Green
Seal states that “a 120 room hotel at 85% occupancy paying 8 cents per kilo watt hour could save
$5,360 annually.” Another example includes a composting program implemented at the Hilton
San Francisco. The hotel was able to reduce the number of dumpster usage that required
emptying it only two times a week instead of the past seven a week.30 In addition, “a 300-room
hotel switching to a bath tissue with 100% post-consumer content would save approximately 4
tons of virgin paper, 48 trees, 16,400 kwh of electricity, 28,000 gallons of water and 240 poundsof air pollutants annually.”31
E. Certification Process and Fees
A company that wants to get their product or service certified starts out by filling a shortpreliminary application online. Once that is complete, a staff member will contact the company
and provide a formal application with a confidentiality agreement. Green Seal will also sign theconfidentiality agreement. When the application process is complete, a staff member contacts

30

Green Seal document: “Environmental Pollution Prevention and Savings Opportunities for the Hospitality
Industry,” June 1, 2007.
31
Ibid

12

Copyright 2007. No quotation or citation without attribution.
the company to explain the evaluation process and provide a check sheet of required information.
From then on, a staff member assigned to manage the evaluation maintains contact and alerts theclient of additional information required, further testing or product samples needed.
According to Green Seal, the process takes about three months and only when the service
or product meets all the requirement for certification is when the company is awarded the Green
Seal Certification Mark. Use of the logo must comply with specific requirements as well. If the
product or service fails to meet the requirements for certification, reasons will be provided. All
tests results and products or services submitted for evaluation are kept confidential. Green Seal
states that “in many cases, companies are able to modify their original submission in order toachieve certification.”
Companies pay an evaluation fee and a monitoring fee. The first monitoring fee isrequired 12 months after certification. Fees for certification are based on the number of rooms
broken down into three tiers.32

Certification Fee Schedule

32

Tier I (300 rooms or more)
Evaluation Fee:
Monitoring Fee:

$3,000$3,000Tier II (75 - 299 rooms)
Evaluation Fee:
Monitoring Fee:

$2,500$2,500Tier III (fewer than 75 rooms)
Evaluation Fee:

$1,950Fee schedule is not provided on Green Seal’s website but was made available per request.

13

Copyright 2007. No quotation or citation without attribution.
Monitoring Fee:

$1,950IV. Case 1: Lake Powell Resorts and Marinas
Lake Powell Resort and Marinas in Arizona was certified by Green Seal in 2003 and was
the first property of the Aramark Harrison Lodging group to gain the seal. In total, there areseven certified lodging properties and a national conference center spread through out various
states. Aramark Harrison Lodging properties are typically set in scenic areas and natural
surroundings such as national parks or forests. Currently, there are three more Aramark resorts
in the process of gaining certification.
Vice President of Operations, Dean Crane, over saw the certification process for all the
Aramark resorts and worked with VP of Certification for Green Seal for all the property audits.
Crane stated their incentives for getting certification is to have a third-party organization that was
unbiased and could properly ensure implementation of an effective environmental program. He
also said they have confidence in Green Seal because they have “a long track record of being an
unbiased non-profit organization that utilizes a scientific basis for its standards that can bemeasured to show environmental
impacts.”33
Lake Powell Resort has 400 rooms and offers a getaway for those who enjoy the outdoors
and fishing. The process for certification for the resort took about nine months. Green Sealscheduled a property audit after reviewing their GS-33 application form. Based on the property
audit, deficiencies were identified and certification was still pending.

33

From interview with Dean Crane on November 28, 2007.

14

Copyright 2007. No quotation or citation without attribution.
“Once we provided documentation to them that the deficiencies had been corrected, we
received the certification,” Crane said. “The deficiencies were primarily related to the amount of
post-consumer recycled content in the paper products we were purchasing, so a second site visit
was not required after we provided documentation that we purchased the correct products,” hestated.34
Upgrades averaged about $150 per guest room in which majority of the equipment
purchases had already been completed. Most significant in terms of cost were the installation of
bulk amenity dispensers and retrofitting all toilets to 1.6 gallons per flush. These items cost
about $100 per guest room.
By choosing to seek certification a few years earlier, the resort benefited from cheaper
fees. Crane stated that the cost for the initial site audit was about $2000 followed by $500
annual certification fees. He also said annual renewal is contingent on required documents
proving compliance. “The documentation has to be submitted prior to receiving the certification,
it is not an automatic renewal as you would find with other organizations such as the Green
Hotels Association who renew as soon as your annual membership dues are paid,” Crane stated.
In addition, follow up on-site inspections take place every two to three years depending
on Green Seal’s staff availability, Crane said. He also stated that Green Seal makes every effort
to schedule around their busy demands and peak periods to minimize disruption by giving a 30
day advance notice.
In terms of providing information about staff background, Crane said Green Seal wasvery open about sharing staff information. A background sheet on the auditor listing education,
certifications and experience was provided to Crane prior to site visits. He also knew that the

34

Ibid

15

Copyright 2007. No quotation or citation without attribution.
Green Seal staff were very educated and had degrees relating to environmental sciences andchemistry as well as PhDs.
Overall, Crane believes that Green Seal has helped business and customer perceptions of
the hotel. Part of this comes from their ability to advertise that they have a third party verifying
their environmental program is comprehensive and effective, he said. They receive many
positive comments from guests and receive a number of bookings from guests who locate theirproperty on the Green Seal’s website.

V. Case 2: Doubletree Hotel & Executive Meeting Center – Lloyd Center
The Doubletree Hotel & Executive Meeting Center in Portland Oregon is part of the
Hilton chain and is the largest hotel west of the Mississippi River to be certified by Green Seal.
The hotel has 476 rooms and was certified in 2006. According to General Manager ofDoubletree, Steve Faulstick,35 Green Seal was chosen as the preferred certifier because it is themost relevant organization related to hotels. Faulstick stated that the organization gives
credibility in an environment where a definition for a “green hotel” is hazy and undefined. His
confidence in Green Seal is also attributed to knowing that their staff members have abackground in science and other related areas that show expertise.
The process took about six months and total costs for upgrades and changes totaled from
$10,000 to $15,000. Most significant in terms of cost required retrofitting a composting systemthat cost about $4000. With all the changes and upgrades combined, Faulstick said the hotel has
been able to reduce their overall landfill waste from 10 percent to 70 percent. Savings is also

35

From interview with Steve Faulstick on November 30, 2007.

16

Copyright 2007. No quotation or citation without attribution.
shown by the replacements of 300 older toilets with 1.6 gallons per flush, reducing water usageby 308,000 gallons of water and saving$1,163.36
The hotel has also been able to reduce its energy consumption by 32% and water usage
by 15%.37 As well, the hotel engages in a food purchase policy where 65% of food purchased
originates within a 500 mile radius. The hotel makes sure that all employees work together toreduce waste and contribute to sustainability. For example, an employee paper-saving program
has cut paper usage by 20% a year.38 Also, staff members are active in separating their left overfood and waste into compost bins and recyclables.
Overall, Crane states that Green Seal serves a good purpose financially and morally. The
organization is able to help the hotel create and implement a strong environmentally sensitive
program. Although the hotel chooses not to increase their rates, Faulstick believes theinvestment is worth it when looking at the overall savings and accomplishments they haveachieved. The hotel has earned about $2 million in extra revenue from new businesses looking
for green hotels for rooms and events.39 Also especially important are customers’ perceptions of
the Green Seal. Faulstick stated that customers do notice the Green Seal which is displayed in
the lobby and have received positive comments regarding their environmental practices.

VI. Program Assessment
Overall, Green Seal stands to serve as a legitimate third-party organization for

36

Green Seal document: “Environmental Pollution Prevention and Savings Opportunities for the Hospitality
Industry,” June 1, 2007.
37
Doubletree Hotel Portland: http://www.doubletreeportlandgreen.com/
38
Ibid
39
Green Seal document: “Environmental Pollution Prevention and Savings Opportunities for the Hospitality
Industry,” June 1, 2007.

17

Copyright 2007. No quotation or citation without attribution.
lodging properties that want to engage in good environmental practices and need help withdefining and implementing a program. Savings and reduction in waste, energy use and water use
can be measured to prove that the program is effective. The process for certification has a clear
set of standards that must be met in order to obtain the seal and companies are given theopportunity to correct deficiencies in order to satisfy necessary criteria under GS-33. Monitoring
appears to be strong based on required documentation of compliance before certification ofrenewal is given.
However, there are areas that are weak. The fact that certification and monitoring fees
comes directly from the target means there is always a possibility for unethical agreements. The
target must also pay out-of-pocket cost for audits such as travel.40 These cost guidelines calls
into question of how money factors into making decisions. Can Green Seal be truly independentwhen significant revenue comes directly from the targets? Some organizations avoid thispossible conflict of interest by contracting a separate third-party organization to do the auditing.
As well, although monitoring is annual through documented proof, on-site inspection isnot. This may not be possible due to limited resources and staff. However, an on-site audit thattakes place 2-3 years following certification leaves open the possibility for some cheating tooccur. In addition, all documentation relating to application, certification and testing are notavailable for public review and are kept confidential. Allowing for public access to evaluation
documents would make the certification process more transparent and credible.

40

Out-of-pocket cost requirement stated in Green Seal’s documented fee schedule provided per request.

18

Copyright 2007. No quotation or citation without attribution.
VII. Organizational Credibility
Overall, Green Seal can be viewed as a credible third-party verifier for the lodging
industry. Consumers looking for a hotel that engages in good environmental practices can rely
on properties certified by the organization. However, there are areas for some concern.
An area that calls into question of accountability is the fact that no information on staff
background and structure is provided on Green Seal’s website. Although information on theboard of directors was provided upon request and was extensive, the website’s lack of thisimportant information for the public view gives them less credibility. The website did not havespecific names of key staff members. Green Seal uses strong word to describe themselves.
These include “reliable, fair, integrity” and “without conflicts of interests.” If this is the case,than Green Seal should stand by their word and allow the public to easily view staff informationand make their own judgment. Based on a background review of the board of directors provided
by Green Seal, it is determined that conflicts of interests could not be identified. It also showsthat the board of directors are very knowledgeable, educated and experienced in areas related tosustainability, science, law and environment in addition to many other related areas. Including
staff background on their website would help to increase accountability and credibility.
Other information that was not available relate to specifics of staff training. How are theauditors trained? How long is the process? How does Green Seal ensure the auditor is always
fair but stringent in their work? What is the work code of conduct? The answers to thesequestions are not known.
As well, information on whether any property has failed certification or lost renewal ofcertification is not available. Green Seal allows for the target to make necessary corrections
when a criteria has not been met. This system may mean that all properties get certified given
they are willing to make all the necessary improvements. In addition, information on whether

19

Copyright 2007. No quotation or citation without attribution.
there are any sanctions for non-compliance was not provided. It is assumed that a sanctionmeans the lost of certification only.
Information also not available relate to specific percentages in terms of funding. Their
Form 990 income tax gives a good idea of how much money is free and how much comes fromtheir services. However, specifics of funding sources would help to give a better idea of how
Green Seal operates and whether if in fact there are no financial conflicts of interests.
Overall, despite unanswered questions, Green Seal stands to serve as a legitimate andcredible organization to turn to for verification. They have worked with state and city
governments such as California and Pennsylvania in helping develop appropriate standards forgreening the lodging industry. In addition, Green Seal is currently helping Los Angeles County
to develop a green purchasing policy.

VIII. Conclusion
Overall, Green Seal is an effective third-party organization to verify that a lodging
property is engaging in good environmental practices. Although there are some areas forconcern, Green Seal has become a legitimate verifier for the lodging industry, governments andconsumers. Standards are very transparent in that they are open to the public, are clear andsubject to a peer review process. Credibility is an area that can be increased by providing
information related to specific funding sources, staff background and certification to the public.

20

Copyright 2007. No quotation or citation without attribution.
IX. Suggested Items for Further Research
1. Exploration of the certification process for other products such as cleaners and paper.
2. Exploration of Green Seal’s work with various governments (CA, LA County, PA) andaccomplishments achieved. Why do the governments have confidence in Green Seal andwhy were they chosen to serve as the benchmark?

21

Copyright 2007. No quotation or citation without attribution.
X. Discussion Questions
1. What areas of Green Seal give it credibility or lesson it?
2. What part of the certification process is strong and what may be weak?
3. How can consumers and the lodging industry have confidence in Green Seal?
4. What information was not available about Green Seal and how does this affect its credibility?
5. How are the standards created and are they transparent?
6. What are the benefits for having a “Green Seal?”
7. What are the costs and savings involved for meeting GS-33 requirements? Is it worth it?
8. Green Seal suffers from an array of transparency issues, yet it is claimed to be an effective
third party organization in this case. Do you agree with the author’s claim? Can Green Seal besafely considered an effective third party-organization because their work generates increased
profits for its clients?
9. What value proposition does Green Seal offer to the lodging industry? Why can’t hotels justadopt ISO 14020-14024 standards and the EPA’s requirements for third-party verification? Whatvalue proposition do Green Seal-certified facilities offer to its guests (if any)?
10. With a staff of ten people, Green Seal certifies lodging facilities an array of consumer
products. Can certification be safely assured given its staff size and resources?

22

Copyright 2007. No quotation or citation without attribution.
XI. Works Cited
American Hotel and Lodging Association, 2007 Lodging Industry Profile:
http://www.ahla.com/products_info_center_lip_2007.asp.
Audi, Tamara. “Hotel chains grapple with meaning of green.” The Wall Street Journal 11,
Sept. 2007.
California Green Lodging Program: http://www.ciwmb.ca.gov/EPP/GreenLodging/.
Co-op America: http://www.coopamerica.org/greenbusiness/sealofapproval.cfm.
Doubletree Hotel Portland: http://www.doubletreeportlandgreen.com/.
Green Hotelier: http://www.greenhotelier.org/.
Green Seal: www.greenseal.org.
Green Seal 2005 income tax statement, Form 990.
Green Seal document: “Environmental Pollution Prevention and Savings Opportunities
for the Hospitality Industry,” June 1, 2007.
Green Seal Environmental Standard for Lodging (GS-33) Certification Fe Schedule, Oct
1, 2007.
Goldman, Abigail. “Green labels come with a shade of doubt; With no unified standard,
what goes for being a nature-friendly product varies depending on the group certifying it.
Buyers can be fooled.” Los Angeles Times 5, Sept. 2007: C1.
Hotel Law Blog: www.hotellawblog.com.
Hotel Online: http://www.hotel-online.com/
Interview with Dean Crane on November 28, 2007.
Interview with Steve Faulstick on November 30, 2007.
Lake Powell Resort and Marinas: http://www.lakepowell.com/default.html.

23

Copyright 2007. No quotation or citation without attribution.
Levy, Ari and Carole Zimmer. “California hotels go green with low-flow toilets, solar
lights.” Bloomberg 27, Apr. 2007,
http://www.bloomberg.com/apps/news?pid=20670001&refer=us&sid=afIESX3LdgnQ
Mitchell, Barbara. “Doubletree is an evergreen: Sustainability joins hospitality at top of
hotel’s to do list.” Portland Tribune 9 Jan. 2007.
No author. “JMBM lawyers announce first green hotel development conference; carbon
neutral event gives economic reasons why today’s smart money is green.” Business Wire
15, July 2007.
No author. “Green Seal Program certifies eco-friendly products, services.” Voice ofAmerica News 5, July 2007.
U.S. Green Building Council: http://www.usgbc.org/DisplayPage.aspx?CategoryID=19.
No author. “Pennsylvania Department of Environmental Protection: 22 PA hotels receive
Green Seal Environmental Certification. PR Newswire 25, Nov. 2002.

24

Copyright 2007. No quotation or citation without attribution.

XII. Appendix
Appendix 1

Income Tax Form 990, 2005

Gifts, grants,
contributions
Services performed,
furnishings offacilities

2001

2002

2003

Total

$316,483$269,383$20,000$605,866$163,167$141,501$502,789$807,457

Appendix 2
Environmental Protection Agency’s criteria for a third-party certifier(Quoted from Green Seal’s website)
•
•

•
•
•
•

•
•
•

an open, public process that involves key stakeholders (businesses, environmental andconsumer groups, states etc.) in developing its criteria or standards.
award criteria, assumptions, methods and data used to evaluate the product or productcategories that are transparent (i.e., they are publicly available, easily accessed andunderstandable to the lay person).
a system of data verification and data quality.
a peer review process (with representation of all stakeholders) for developing thestandards or criteria.
criteria which are developed based on a "systems" or life cycle approach (i.e., "cradle tograve").
an outreach program to educate the consumer, which includes clear communications to
consumers that provide key information concerning environmental impacts associatedwith the product.
an established goal of updating standards or criteria as technology and scientificknowledge advance.
authority to inspect the facility whose product is certified to ensure compliance with thestandards or criteria.
testing protocols for the products that are certified which ensure testing is conducted by acredible institution.

25

Copyright 2007. No quotation or citation without attribution.
••access to obtaining the seal by small and medium sized companies (e.g., the cost of theseal is not so high as to prevent access by companies).
compliance with the Federal Trade Commission's (FTC) Guides for the Use ofEnvironmental Marketing Claims.

Appendix 3
Lake Powell Resort and Marinas, Arizona

26

Copyright 2007. No quotation or citation without attribution.

Appendix 4

Doubletree Hotel & Executive Meeting Center Portland – Lloyd Center

27

Copyright 2007. No quotation or citation without attribution.
Appendix 5

GS–33 Green Seal Environmental Standard for Lodging Properties.
Third Edition, August 19, 2002.
PLEASE SEE SEPARATE PDF DOCUMENT: Appendix5_lodgingproperties.pdf