1. BE PATTERNS, BE EXAMPLES Kendal, as a leading not for profit provider of senior housing and services, has an opportunity and societal obligation to demonstrate leadership in supporting and promoting environmental stewardship. Kendal communities will strive to conduct their activities in an ecologically sound, socially responsible, and economically prudent manner. Kendal communities will support the concepts of sustainability in their operations and resident life initiatives. In serving older people, Kendal will take special care to minimize community member’s exposure to harmful substances. We will strive to function as a sustainable community, emphasizing energy conservation and responsible consumption, promoting ecological understanding and environmentally sound practices among its residents and staff, and supporting these values throughout the wider community. ­­­­­­­­­­­­­­­­­­­­­­­­­­­ July 25, 2008

3. LEED- Gold Duplex Cottages: 1250-1775 SF Sustainability initiatives: 30% energy reduction strategies, geothermal heat pump Retention basins and multiple underground storage basins Native plants, wildflower meadow, limit lawn Water conservation - high efficiency fixtures Sustainable materials, construction waste reduction Indoor air quality

4. Green Building – New Construction Passive solar design Super efficient building envelope (framing, insulation, windows, roofing, siding, foundation) Super efficient mechanical systems (type, system design, location, installation quality) Water conservation (system design, fixtures, rainwater) Indoor environmental quality (fresh air, daylight, non-toxic furnishings and finishes) Green materials (local, recycled, low embodied energy, non-toxic) Innovative techniques: ICFs, SIPs, tilt-wall, geothermal, on-site renewable energy, programmable systems

5. Kendal at Longwood and Crosslands Demand response programs which : Preserve the reliability of the regional grid Insure a quality power supply Help meet demands of peak energy needs Generator capacity to meet 100% of communities needs. Since April 2007 these two Pennsylvania communities have earned over $600,000 in payment from PJM.

6. Hanover reduced electricity 8.5% - purchased 20 electric meters to measure baseline. Crosslands energy committee – documented a $50,000 decrease in energy costs (7%) with CFLs and programmable thermostats. Ithaca composting 3.5 tons of food waste per month reduced waste stream by 35%. Lathrop reduced waste stream by 80% with recycling and composting

7. OPPORTUNITIES in the KENDAL SYSTEM Committed residents Socially conscious and concerned Energy of working as community Connections with leaders in the field Aging infrastructure provides significant opportunity for efficiency gains

8. CHALLENGES in the KENDAL SYSTEM Pressure to keep project budgets in check Staff stretched for time and resources Articulate, committed leadership important “We dole out energy as if it were free ” Education – “Someone else’s problem” Measurement Sustainability vs. aesthetics