HORIZONS
REGULATORY AFFAIRS UPDATE
Thirteenth Issue
Spring 2001

INTRODUCTION
HORIZONS is a communications vehicle published by Sun Chemical’s Regulatory Affairs Department to address issues related to both Sun’s and our customers’ businesses. It regularly explores subjects related to the impact of regulatory conformance and product data outputs.

This issue, focuses on current regulatory activities that may impact our businesses. We have been through several years of relatively little new regulatory activity. However, we see two issues that have come into focus over the past months that could affect us and, at the very least, raise questions from our customers. They are the new Lead Regulations and the definition of Cyanides within the United States Environmental Protection Agency (EPA). Our first HORIZONS for the year 2001 reviews their likely impact on the printing industry.

Emergency Planning and Community Right to Know Act, Section 313
On January 17, 2001, the EPA promulgated a final rule lowering the reporting threshold for lead and lead compounds to 100 pounds per year for these chemicals, which are subject to reporting under EPCRA Section 313. Currently, the reporting thresholds are 25,000 pounds for facilities that manufacture or process and 10,000 pounds for facilities that otherwise use. This final rule was to take effect February 16, 2001 with the first reports at the lower threshold due by July 1, 2002 for calendar year 2001.

On January 20, 2001, the new administration requested that all agencies delay implementation of the new rules by 60 days. As a result, the effective date of this final rule was delayed from February 16, 2001 to April 17, 2001. On April 17, 2001, EPA Administrator Whitman announced this rule will go forward as promulgated.

In the final rule, the EPA classifies lead and lead compounds as highly persistent and at least bioaccumulative. The criteria for classifying a chemical as persistent and bioaccumulative were defined in the final rule EPA promulgated on October 29, 1999, which enhanced reporting requirements for a unique group of toxic chemicals that persist and bioaccumulate in the environment. These chemicals are commonly referred to as persistent bioaccumulative toxic chemicals or PBT chemicals.

The final rule states that EPA would charge its Scientific Advisory Board (SAB) with reviewing the rate at which lead bioaccumulates in the environment. The result of this review could impact the 100 pound reporting threshold just finalized. A determination that lead is highly bioaccumulative as well as highly persistent would place lead in the sub-set of PBT chemicals that require a 10 pound per year reporting threshold. On the other hand, industry continues to argue that metals, such as lead, should not be classified as PBT chemicals and that the SAB review should have been completed before this final rule was promulgated.

The final rule, as promulgated on January 17, 2001, lowers the reporting threshold for lead and lead compounds to 100 pounds per year, eliminates the de minimus exemption for threshold reporting determinations, eliminates range reporting and eliminates the half-pound rule.

Prior to the promulgation of this final rule, the de minimus level for lead and lead compounds was 0.1%. Any mixture that did not contain lead or lead compounds above this de minimus level was exempt from consideration in a facilities determination of meeting the reporting threshold. It was also exempt from the supplier notification requirement under EPCRA Section 313.

EPA, however, did not modify the de minimus exemption to the supplier notification requirements under EPCRA 313. The Agency believes there is sufficient information available to the regulated community to make threshold determinations. EPA has stated that regulated facilities can rely on the information available from suppliers and do not have to implement additional information gathering processes in order to comply with this rule.

In the "response to comments" section of this final rule, EPA discusses the use of trace contaminant levels of lead and the statistical accuracy of these contaminant levels. Where such data exist, they are to be applied to a facilities threshold reporting determinations.

In the Fall 1999 HORIZONS (Tenth Edition), Sun Chemical reviewed the impact of the proposed rule for lowering the reporting threshold for lead and lead compounds to 10 pounds per year. Information on the trace contaminant level of lead in printing ink products was discussed. The background contaminant levels of lead in organic pigments supplied from all sources is a reality, and is not going away. As stated then, Sun Chemical has had a program to analyze random batches of manufactured printing ink for lead in order to have statistical data on which to base CONEG compliance. Elemental lead has consistently been non-detectable. Based on our data and dilution factors, Sun Chemical can conservatively report that lead content in our printing inks is less than 10 ppm. (In its "response to comments," EPA assumes lead is present at the detection limit in determining reporting threshold.)

Using the 10 ppm detection limit as the lead contaminant level in a printing ink product, only those customers who convert 10,000,000 pounds or more of printing ink supplied by Sun Chemical will reach the reporting threshold. Therefore few, if any, printing ink customers would be required to file a Form R for lead and/or lead compounds for calendar year 2001.

Since the EPA has not modified the de minimus reporting exemption under the supplier notification requirement of EPCRA Section 313, printing ink manufacturers are not required to provide information on lead levels below 0.1% in a product. Since all of Sun Chemicals products have statistical lead levels of 10 ppm (none detected) maximum, this final rule does not require any changes to our EPCRA Section 313 notification processes.

Cyanides
Both suppliers and customers in the printing industry tend to pay little attention to the topic of cyanide chemistry. Cyanides are generally regarded as a toxic class of chemicals that are usually felt to be outside of our mutual raw materials, so, we do not closely monitor regulatory issues related to them.

However, we tend to forget that the pigment Iron Blue is a ferric ferrocyanide (FFC) complex. We don’t focus on it as being a cyanide because pigments are insoluble as they must be in order to function as colorants. Most health, safety or environmental concerns for cyanides have to do with their water solubility.

During the latter half of 1995, an environmental contamination incident involving Iron Blue pigment raised the question of whether it should be defined as one of the "cyanides" within the meaning of the list of toxic pollutants under the Clean Water Act guidelines. The EPA was asked to rule on that issue in the latter part of that year. An administrative determination document was issued on January 25th. of this year by EPA, thus starting a commentary period that ended on March 13, 2001. EPA ruled that Iron Blue pigment is a "cyanide" under the Clean Water Act because it contains the hexacyanoferrate (HCF) complex as part of its makeup. Under appropriate pH conditions, the (HCF) complex can be freed from the pigment and then can further degrade under the influence of sunlight to release free cyanide. The question that remains is under what conditions the HCF can be released from the insoluble pigment. The commentary period has been extended to June 10th by the EPA.

Iron Blue is one of the least expensive of the workhorse blue pigments available to our industry. While not having the cleanliness of the preferred phthalo blues that are copper based chemistries, it is often used where cost is a factor. It is the alternate pigment of choice in the corrugated industry when "low or no" copper content blue inks are often required. It would seem more prudent than ever now for the corrugated printers to take precautions not to discharge any inks or wash waters directly into sewerage systems. In general, we feel that the recent EPA decisions in no way affect the proper usage of this important pigment.

CONCLUSION
Based on an evaluation of the background information on these two different regulatory issues, we expect the impact to our mutual interests to be minimal.