Case Study: Installation
        of New Powder Coat
        Paint Line
        Everbrite, LLC
        Pardeeville,WI
By
Derek Gates
Everbrite, LLC

 A leading producer in indoor/outdoor
  electronic and neon advertising signs,
  menu boards, and scoreboards, etc.
     Customers include McDonalds, Pizza Hut,
      Mobil gas station, DLK, and many more
 Founded in 1927 in Milwaukee
 Grown to about 1,200 employees in 11
  different locations (5 in WI)
Project Description

 Project focus: paint line process in the
  sheet metal section of the facility
 Concerns
      Quality of paint job
      Environmental emissions
      Employee exposure to chemicals/fumes
Current Sheet Metal Paint
Process
 Parts are prepared (manually sanded
  and wiped down) to help paint adhere to
  surface better
 Parts are hung on a conveyor system
 Parts go into paint booth via conveyor
  and are painted
 Go into curing oven to bake and dry
Problem ID: Current Paint
Process
 Open-Ended Wet Spray Paint Booth
 System was grandfathered in; old equipment,
  ventilation, etc.
      Leads to inadequate paint jobs and poor air purity
 Many parts are “defective”- need to be re-
  prepped and re-painted
 Employees handle and are exposed to amounts
  of solvents, paint thinners, etc. which are
  hazardous
 Majority of Haz. Waste of facility produced here
Picture of Spray Booth
Problem ID: Current Process
(Production)
 Shipping
     Some parts need to be powder coated, so
      they are shipped out; leads to issues with
      quality and hinders productivity
     Lost time on labor-handling, inspecting,
      and inventory on shipped parts
 WIP Materials
Solution

 Implement a new
  powder coating paint
  line
     Will greatly reduce
      environmental safety
      concerns
     Will increase quality
      of product,
      productivity, and
      lead to more
      business
Solution:
Proposed New Powder Paint Line
 Preparation-5-Stage Wash system
     Parts treated with chemicals to enhance
      ability of paint to adhere to surface
 Powder Paint Booth
 Bake Oven


 Parts moved via conveyor system
What is Powder Coating?

               Applying dry paint to
                a surface
                    Paint powder is
                     applied to the
                     surface and put in an
                     oven to bake
                    Results in a durable,
                     even-coated finish
                    Preparation and
                     baking are key to a
                     good finish
Advantages of Powder
Coating
 Releases little to no VOCs and HAPs into
    environment (solvents, thinners)
   Reduces employee exposure to these harmful
    chemicals
   Reduces burden of EPA compliance for
    facilities
   Overspray of powder is easily recyclable
   Better paint quality
       No drips, runs, or other imperfections
       Reduces defected parts; less preparation time
 Durable, Non-Corrosive Finish
Problem Solution: Air Emission
Permit
 Obtain a new air
  emission permit
 Everbrite is currently
  under a Part 70 permit
      Requires extensive
       reporting and not many
       advantages
 Everbrite should obtain a
  Registration Operating
  Permit (ROP)
ROP Permit

 Allows facilities to change processes/do
  construction without obtaining other
  expensive construction permits
      Saves time and money
      Must stay within limits of ROP during construction
 Less extensive and less frequent reporting and
  recordkeeping than Part 70
 Easy application process; short waiting time
      Don’t need to hire consultant to handle permit
 Costs less than Part 70
 Doesn’t Expire
Emission Citations

 Under Part 70- Automatically considered a High
  Priority Violation (HPV)
      Forwarded to the EPA
      Possibly referred to the Department of Justice
Emission Citations

 Under ROP- not automatically HPV
     Facility is sent a Letter of Notification
      (LON)
     Facility replies on how to make sure the
      violation doesn’t re-occur
     Follow up visit

*Depends on violation for both Part 70 and
  ROP
     ROP most likely less serious than Part 70
Expected Results/Benefits

 VOC/HAP emissions will decrease
     Less employee exposure
 Less Hazardous waste produced
 Less recording/reporting to EPA
     Not as much administrative burden to keep
      records
Benefits

 Reduction in:
      Shipping costs
      Labor Costs
      Paint/Chemical Costs
 Better employee morale due to working
  with new equipment
 Better quality of product
Cost/Benefit Analysis for a New Dry Powder Coat Paint Line at Everbrite, LLC
Annual costs with current paint system in place
     Shipping out parts to be powder coated                           $717,886
     Paint Chemicals
             Solvents, Hardeners, Accelerators, Catalysts, Thinners   $15,990.76
     Preparation materials
             sanding equipment, rags                                  $6,558.29
     Paint costs                                                      $26,386.84
     Hazardous Waste Disposal                                         $12,349.12
     EPA Reporting                                                    $1,500
     Labor Costs (Shipping Employees)                                 $52,125
Total                                                                  $832,796.01
Costs to implement new System
     Paint System
             5-Stage Wash System
             Conveyor System
             Curing oven
             Stack Package (Ventilation)
             Installation
             TOTAL                                                    $580,000
     Paint Booth/Accessories                                          $73,058
     2 additional full-time employees (Paint/Prep Workers)
             $16.33/hr x 40 hrs/wk x 50 wks x 2 Workers               $65,320
     Cost of New Powder Paint (2/3 cost of Wet Paint)                 $17,679.18
     Hazardous Waste Disposal                                         $1,467.86
     EPA Reporting
             One-time $1,100 fee + $35.71 per ton emitted             $1,308.81
Benefits
     Savings (20% of annual costs above)
             Shipping                                                 $143,577.20
             Paint Chemicals                                          $3,198.15
             Preparation materials                                    $1,311.66
             Paint Costs                                              $5,277.37
             Labor Costs (Shipping Employees)                         $10,425

Total Benefits                                                         $902,623.23
NET SAVINGS FOR FIRST YEAR                                             -$69,827.22
Cost/Benefit Analysis Over 5 Years
Costs with current paint system in place over 5 years
     Shipping out parts to be powder coated                           $3,589,430
     Paint Chemicals
             Solvents, Hardeners, Accelerators, Catalysts, Thinners   $79,953.78
     Preparation materials
             sanding equipment, rags                                  $32,791.45
     Paint costs                                                      $131,934.20
     Hazardous Waste Disposal                                         $61,745.60
     EPA Reporting                                                    $7,500
     Labor Costs (Shipping)                                           $260,625
Total                                                                  $4,163,980.03
Costs to implement new System
     Paint System
             5-Stage Wash System
             Conveyor System
             Curing Oven
             Stack Package (Ventilation)
             Installation
             TOTAL                                                    $580,000
     Paint Booth/Accessories                                          $73,058
     2 additional full-time employees (Paint/Prep Workers)
             $16.33/hr x 40 hrs/wk x 50 wks x 2 Workers x 5 yrs.      $326,600
     Cost of New Powder Paint (2/3 cost of Wet Paint)                 $88,395.90
     Hazardous Waste Disposal                                         $7,339.30
     EPA Reporting                                                    $2,144.05
Benefits Over 5 Years
     Savings (20% of costs above)
             Shipping                                                 $717,886
             Paint Chemicals                                          $15,990.76
             Preparation materials                                    $6,558.29
             Paint Costs                                              $26,386.85
             Labor Costs (Shipping Employees)                         $52,125

Total Benefits                                                         $1,896,484.14
LIFETIME NET SAVINGS (5 yrs.)                                          $2,267,495.90
Cost vs. Benefits over 5-Year Period


                                        Cost        Benefit

          $2,500,000.00
                                                              $2,267,495.90
          $2,000,000.00
          $1,500,000.00
Dollars




          $1,000,000.00                                           $832,796.01
           $500,000.00
                 $0.00
          -$500,000.00 1        2        3          4         5           6

                                             Year
References
   Larry Boehm, CHMM, Senior Environmental Specialist with AlphaTerra
    Science
   Marge Erdman, Accounting/Plant Controller for Everbrite, LLC
   Kelly Tomko, Freight Claim Coordinator/EPA Administrator for
    Everbrite, LLC
   Daniel Guirl, President of G.A.T. Systems
   Kristin Hart with the Wisconsin Department of Natural Resources
   Darren Nosek with Dietz Supply Company
   Registration Permits. Wisconsin Department of Natural Resources. 23
    April 2009. Printed 17 June 2009.
    http://dnr.wi.gov/air/permits/streamlining/regpermits.html
   Powder Coating Process. Nordson Corporation. 2009. Printed
    6-17-2009.
    http://www.nordson.com/Businesses/Powder/WhyPowder/powdercoatingproce
   Benefits of Powder Coating. Nordson Corporation. 2009. Printed
    6-17-2009.
    http://www.nordson.com/Businesses/Powder/WhyPowder/benefitsofpow
    dercoating.htm

Powder Coat Pp

  • 1.
    Case Study: Installation of New Powder Coat Paint Line Everbrite, LLC Pardeeville,WI By Derek Gates
  • 2.
    Everbrite, LLC  Aleading producer in indoor/outdoor electronic and neon advertising signs, menu boards, and scoreboards, etc.  Customers include McDonalds, Pizza Hut, Mobil gas station, DLK, and many more  Founded in 1927 in Milwaukee  Grown to about 1,200 employees in 11 different locations (5 in WI)
  • 3.
    Project Description  Projectfocus: paint line process in the sheet metal section of the facility  Concerns  Quality of paint job  Environmental emissions  Employee exposure to chemicals/fumes
  • 4.
    Current Sheet MetalPaint Process  Parts are prepared (manually sanded and wiped down) to help paint adhere to surface better  Parts are hung on a conveyor system  Parts go into paint booth via conveyor and are painted  Go into curing oven to bake and dry
  • 5.
    Problem ID: CurrentPaint Process  Open-Ended Wet Spray Paint Booth  System was grandfathered in; old equipment, ventilation, etc.  Leads to inadequate paint jobs and poor air purity  Many parts are “defective”- need to be re- prepped and re-painted  Employees handle and are exposed to amounts of solvents, paint thinners, etc. which are hazardous  Majority of Haz. Waste of facility produced here
  • 6.
  • 9.
    Problem ID: CurrentProcess (Production)  Shipping  Some parts need to be powder coated, so they are shipped out; leads to issues with quality and hinders productivity  Lost time on labor-handling, inspecting, and inventory on shipped parts  WIP Materials
  • 10.
    Solution  Implement anew powder coating paint line  Will greatly reduce environmental safety concerns  Will increase quality of product, productivity, and lead to more business
  • 11.
    Solution: Proposed New PowderPaint Line  Preparation-5-Stage Wash system  Parts treated with chemicals to enhance ability of paint to adhere to surface  Powder Paint Booth  Bake Oven  Parts moved via conveyor system
  • 12.
    What is PowderCoating?  Applying dry paint to a surface  Paint powder is applied to the surface and put in an oven to bake  Results in a durable, even-coated finish  Preparation and baking are key to a good finish
  • 13.
    Advantages of Powder Coating Releases little to no VOCs and HAPs into environment (solvents, thinners)  Reduces employee exposure to these harmful chemicals  Reduces burden of EPA compliance for facilities  Overspray of powder is easily recyclable  Better paint quality  No drips, runs, or other imperfections  Reduces defected parts; less preparation time  Durable, Non-Corrosive Finish
  • 14.
    Problem Solution: AirEmission Permit  Obtain a new air emission permit  Everbrite is currently under a Part 70 permit  Requires extensive reporting and not many advantages  Everbrite should obtain a Registration Operating Permit (ROP)
  • 15.
    ROP Permit  Allowsfacilities to change processes/do construction without obtaining other expensive construction permits  Saves time and money  Must stay within limits of ROP during construction  Less extensive and less frequent reporting and recordkeeping than Part 70  Easy application process; short waiting time  Don’t need to hire consultant to handle permit  Costs less than Part 70  Doesn’t Expire
  • 16.
    Emission Citations  UnderPart 70- Automatically considered a High Priority Violation (HPV)  Forwarded to the EPA  Possibly referred to the Department of Justice
  • 17.
    Emission Citations  UnderROP- not automatically HPV  Facility is sent a Letter of Notification (LON)  Facility replies on how to make sure the violation doesn’t re-occur  Follow up visit *Depends on violation for both Part 70 and ROP  ROP most likely less serious than Part 70
  • 18.
    Expected Results/Benefits  VOC/HAPemissions will decrease  Less employee exposure  Less Hazardous waste produced  Less recording/reporting to EPA  Not as much administrative burden to keep records
  • 19.
    Benefits  Reduction in:  Shipping costs  Labor Costs  Paint/Chemical Costs  Better employee morale due to working with new equipment  Better quality of product
  • 20.
    Cost/Benefit Analysis fora New Dry Powder Coat Paint Line at Everbrite, LLC Annual costs with current paint system in place  Shipping out parts to be powder coated $717,886  Paint Chemicals  Solvents, Hardeners, Accelerators, Catalysts, Thinners $15,990.76  Preparation materials  sanding equipment, rags $6,558.29  Paint costs $26,386.84  Hazardous Waste Disposal $12,349.12  EPA Reporting $1,500  Labor Costs (Shipping Employees) $52,125 Total $832,796.01 Costs to implement new System  Paint System  5-Stage Wash System  Conveyor System  Curing oven  Stack Package (Ventilation)  Installation  TOTAL $580,000  Paint Booth/Accessories $73,058  2 additional full-time employees (Paint/Prep Workers)  $16.33/hr x 40 hrs/wk x 50 wks x 2 Workers $65,320  Cost of New Powder Paint (2/3 cost of Wet Paint) $17,679.18  Hazardous Waste Disposal $1,467.86  EPA Reporting  One-time $1,100 fee + $35.71 per ton emitted $1,308.81 Benefits  Savings (20% of annual costs above)  Shipping $143,577.20  Paint Chemicals $3,198.15  Preparation materials $1,311.66  Paint Costs $5,277.37  Labor Costs (Shipping Employees) $10,425 Total Benefits $902,623.23 NET SAVINGS FOR FIRST YEAR -$69,827.22
  • 21.
    Cost/Benefit Analysis Over5 Years Costs with current paint system in place over 5 years  Shipping out parts to be powder coated $3,589,430  Paint Chemicals  Solvents, Hardeners, Accelerators, Catalysts, Thinners $79,953.78  Preparation materials  sanding equipment, rags $32,791.45  Paint costs $131,934.20  Hazardous Waste Disposal $61,745.60  EPA Reporting $7,500  Labor Costs (Shipping) $260,625 Total $4,163,980.03 Costs to implement new System  Paint System  5-Stage Wash System  Conveyor System  Curing Oven  Stack Package (Ventilation)  Installation  TOTAL $580,000  Paint Booth/Accessories $73,058  2 additional full-time employees (Paint/Prep Workers)  $16.33/hr x 40 hrs/wk x 50 wks x 2 Workers x 5 yrs. $326,600  Cost of New Powder Paint (2/3 cost of Wet Paint) $88,395.90  Hazardous Waste Disposal $7,339.30  EPA Reporting $2,144.05 Benefits Over 5 Years  Savings (20% of costs above)  Shipping $717,886  Paint Chemicals $15,990.76  Preparation materials $6,558.29  Paint Costs $26,386.85  Labor Costs (Shipping Employees) $52,125 Total Benefits $1,896,484.14 LIFETIME NET SAVINGS (5 yrs.) $2,267,495.90
  • 22.
    Cost vs. Benefitsover 5-Year Period Cost Benefit $2,500,000.00 $2,267,495.90 $2,000,000.00 $1,500,000.00 Dollars $1,000,000.00 $832,796.01 $500,000.00 $0.00 -$500,000.00 1 2 3 4 5 6 Year
  • 23.
    References  Larry Boehm, CHMM, Senior Environmental Specialist with AlphaTerra Science  Marge Erdman, Accounting/Plant Controller for Everbrite, LLC  Kelly Tomko, Freight Claim Coordinator/EPA Administrator for Everbrite, LLC  Daniel Guirl, President of G.A.T. Systems  Kristin Hart with the Wisconsin Department of Natural Resources  Darren Nosek with Dietz Supply Company  Registration Permits. Wisconsin Department of Natural Resources. 23 April 2009. Printed 17 June 2009. http://dnr.wi.gov/air/permits/streamlining/regpermits.html  Powder Coating Process. Nordson Corporation. 2009. Printed 6-17-2009. http://www.nordson.com/Businesses/Powder/WhyPowder/powdercoatingproce  Benefits of Powder Coating. Nordson Corporation. 2009. Printed 6-17-2009. http://www.nordson.com/Businesses/Powder/WhyPowder/benefitsofpow dercoating.htm