Granite's governance framework for sustainability supports effective implementation of our sustainability efforts (including environmental, social, and governance or ESG) by clarifying sustainability/ESG roles, responsibilities, and lines of communication. We revised this framework in 2023 to support more efficient oversight by our Board of Directors. The Board of Directors oversees our sustainability program and how we manage sustainability and ESG-related risks, including those posed by climate change. The Board Nominating & Corporate Governance Committee (NCGC) assists the Board of Directors in its oversight of Granite's sustainability/ESG strategy, initiatives, and policies (including Granite's [Human Rights Policy Statement). The Chair of](https://www.graniteconstruction.com/sites/default/files/inline-files/GraniteHumanRightsStatement_EN.pdf) the NCGC is Climate Leadership Certified by Diligent. \n\nRoles & Responsibilities\n\n**• The Board of Directors is responsible for overseeing company** performance. The Board of Directors receives updates on sustainability/ESG performance and related risks at a minimum frequency of twice per year and provides approval for sustainability strategic plans and sustainability reports.\n\n**• The Board Nominating & Corporate Governance Committee** recommends to the Board of Directors corporate governance guidelines and oversees the evaluation of the Board of Directors and management. The NCGC assists the Board of Directors in its oversight of the company's sustainability/ESG program, receiving updates at a minimum frequency of twice per year. The NCGC reviews periodically and discusses with management the company's ESG strategy, initiatives, and policies, including communications with employees, investors, and other stakeholders. The NCGC also oversees mitigation of ESG risks faced by the company. The NCGC reports to the Board on ESG matters as it deems appropriate.\n\n**• The Board Risk Committee assists the Board of Directors in its** oversight of the company's strategic, operational, and health, safety, and environmental compliance risks. The Risk Committee also oversees management's adoption and implementation of ERM policies and procedures. The ERM system integrates consideration of ESG-related risks, including those posed by climate change. Granite's Sustainability and Risk Management teams collaborate to address ESG-related risks and provide updates to the Board of Directors.\n\n**• The Executive Committee (EC) provides executive direction and** resourcing for the sustainability program. The EC, which includes the President and CEO, receives updates on sustainability/ESG at least quarterly. The EC communicates ESG issues and risks to the Board of Directors and its Committees, either directly or as delegated to other subject matter experts such as the Sustainability Lead.\n\n**• The Sustainability Lead (SL) serves as the functional lead for the** sustainability program to engage stakeholders, develop strategic plans, implement programs, and communicate progress. The SL provides updates to the EC at least quarterly and, as delegated by the EC, to the Board of Directors and its Committees.\n\n**• Operational Leaders are charged with implementing** sustainability programs at the business unit level, supporting data collection from operations, and reporting their progress. Operational leaders are responsible for managing operational ESG risks and communicating emerging issues and risks to the SL.\n\n**• Functional Leaders are charged with implementing sustainability** programs at the level of their functional business units, supporting data collection, and reporting their progress. Functional leaders are responsible for managing ESG risks in their functional area and communicating emerging risks to the SL.\n\n**• The Sustainability Center of Excellence is a forum for** engagement and best practice sharing, open to all Granite team members—a key to effectively leveraging sustainability to create value.\n\n**• The Sustainability Council (within the Center of Excellence)** is a forum of engagement for key functional and operational leaders to collaborate and support strategic planning and implementation of sustainability initiatives. The SL serves as Chair of the Sustainability Council.\n\n**• The Climate Awareness Task Force (within the Center of** Excellence) aims to create and implement a strategic approach to integrating climate awareness into Granite's operations.\n\n**• The Sustainable Operations Task Force (within the Center of** Excellence) supports the implementation of more sustainable practices in our operations.