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Case Study: Installation of New Powder Coat Paint LineEverbrite, LLCPardeeville,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, LLCAnnual 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) $52,125Total $832,796.01Costs 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 $1,308.81Benefits 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 $902,623.23NET SAVINGS FOR FIRST YEAR -$69,827.22
Cost/Benefit Analysis Over 5 YearsCosts 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) $260,625Total $4,163,980.03Costs 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 $2,144.05Benefits 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 $1,896,484.14LIFETIME NET SAVINGS (5 yrs.) $2,267,495.90
Cost vs. Benefits over 5-Year Period
$832,796.01
$2,267,495.90
-$500,000.00
$0.00
$500,000.00
$1,000,000.00
$1,500,000.00
$2,000,000.00
$2,500,000.00
1 2 3 4 5 6
Year
Dol
lars
Cost Benefit
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/powdercoatingprocess.htm
Benefits of Powder Coating. Nordson Corporation. 2009. Printed 6-17-2009. http://www.nordson.com/Businesses/Powder/WhyPowder/benefitsofpowdercoating.htm