MILWAUKEE, Wis.—Earth Day is Saturday, marking the anniversary of the birth of the modern environmental movement that began in 1970. Forty-seven years later, it is being felt in credit unions in many ways, including an overall reduction in office size and how branches are used.
To mark Earth Day, design/build firms shared their insights with CUToday.info regarding the ins and outs of being green, as well as some ideas on what it can mean for member relationships.
There is a direct correlation between the size of a branch and its carbon footprint, noted La Macchia Group. Building a smaller branch leads to a reduction in construction materials and resources, as well as the energy consumption required to build and sustain the facility. These factors, along with overall cost, in turn impact branching strategies, said Director of Design Joshua Schoenemann.
“These influences are a big reason why we are seeing more adaptation and varying branch sizes across the country,” said Schoenemann. “There seems to be a new emphasis on compact branches, both retail buildouts as well as standalone facilities. To make these smaller spaces possible, we look for ways to achieve efficiency by planning versatile, shared-use spaces wherever possible. For example, the use of hoteling offices reduces the number of private meeting spaces needed. It also provides for more variety in seating arrangements and privacy, allowing users to choose the space that best suits their needs.”
Modular Furniture
The use of modular furniture and partitions creates flexibility within the floor plan, and makes managing branch configuration simpler as needs change, Schoenemann noted.
“While the upfront cost of the furniture may be slightly higher, the versatility allows for a more practical manner of reconfiguring space to meet future growth and changing needs. This ability to repurpose and update quickly pays for itself when compared to hard wall construction, and in good practice, minimizes the amount of waste contributed to landfills,” said Schoenemann.
Real estate is expensive and it is important to make sure the CU is using it efficiently and in a cost-effective manner, reminded Cincinnati-based DEI. Smaller facilities help.
“For instance, large branches that aren’t fully occupied and oversized offices waste HVAC and lighting,” said Danielle Havliceck, design manager. “However, smaller branches can be designed with multi-functional space to cut down on square footage but not on amenities.”
Havliceck said that DEI currently finds that its clients receive the best value for a new branch that is about 2,500 square feet.
“At the onset of each new project, whether it’s new construction or a renovation, we design an energy efficient environment that takes building materials and construction methods into account,” said Havliceck. “For instance, using LED lighting is a standard recommendation.”
Connect The Dots
Atlanta’s Level 5 said it’s not difficult to connect the dots between the size of the branch and the impact on the environment.
“Especially when you consider fossil fuels, but it is not necessarily a direct correlation,” said Customer Experience Director Anthony Burnett. “Branch solutions are continuing to be consumer focused, so the footprint rises and falls based on the business case for consumers.”
Lighting strategies are a popular, sustainable initiative for any size branch, said La Macchia’s Schoenemann.
“By opening the retail lobby with abundant and well-placed glazing, we can maximize exposure to daylight,” he said. “This passive solution paired with light harvesting LED fixtures—they regulate their own light output based on the daylight available—is an effective strategy to improve building efficiencies. In addition to providing a well-lit, open feel, this planning strategy increases visibility of the branch interior from the street which can support marketing initiatives and enhance branding opportunities.”
The experts say, too, that solar power is becoming much more affordable, and will likely be adopted in more CU buildings in the future.
“The good news is solar is becoming more realistic every day,” said Schoenemann. “The three biggest factors are all trending in the right direction, meaning it will be easier to justify this investment: The upfront cost of installation is decreasing, energy cost savings are increasing, and available incentives are also increasing.”
Schoenemann said certain areas of the country offer greater solar intensity, but that in any location across the country a solar installation will deliver a return on investment throughout its 20- to 25-year lifespan.
“Unfortunately, when put in the terms of a five, 10 or even 15-year payback, many users are still shying away from the added up-front cost,” said Schoenemann. “For credit unions that place a high value on sustainability and highlight that commitment as part of their branding strategy, this is a long-term commitment that will prove to be advantageous to their image and impact on the community.”
Solar Inquiries Up
DEI said that CU inquiries about solar have increased, due in part to the energy source becoming more affordable.
“I think we will see the use of solar in credit unions expand in the future,” said Erin Jackson, interior designer at DEI. “Like LED lighting was a decade ago, solar is getting more obtainable every day. The idea of solar ‘shingles’ will transform the commercial industry one day and it’s only a matter of time before this technology becomes a cost-effective, widely available option. There are many other options that are great alternatives as well, such as daylighting systems that conserve or turn off lights when they sense enough sunlight.”
But Level 5 insists that while green is good, all decisions on sustainable materials, and fueling sources for a building, need to be tied to a business solution.
“The environment is such a noble cause, which can go beyond nobility into implementation with the right business case,” Burnett said. “For example, net new loans and deposits can certainly support a sustainable fuel source like solar, especially, if this is important to the credit union.”
What can CUs do for Earth Day?
Schoenemann suggested creating a Green Shopping Guide.
“This resource could list local businesses with specials that highlight their green products,” he said. “This may be a great opportunity to advertise any existing member businesses or local relationships to the membership while solidifying the bond they all have through their credit union. It would also be an incentive for new accounts, giving them exposure to the mutually beneficial relationships developed through their credit union.”
DEI said that Earth Day is simply a great time to begin reducing paper waste.
“Take the opportunity to confirm with each member that they want to receive paper statements and offer paperless statements, brochures, and receipts,” Havliceck said. “Offering a water refill station and reusable water bottles with your logo, instead of bottled water, keeps plastic out of the landfill and continues to market your credit union.”
Level 5 said that credit unions on Earth Day should consider making the decision to go coinless.
“Here are some of the savings: power consumption, support resources, fuel for armored cars, maintenance, and the expense of the coin machine,” said Burnett. “Another idea would be go paperless. Certainly paper is a tremendous renewable resource but paper also has a downstream effect on landfills, fossil fuels and manpower. Perhaps both of these are substantial philosophical changes, but the fruit definitely is good for the environment.”