Spruance Nuisance

A former producer of coatings and paints for commercial applications. Once employing numerous people in a neighborhood already struggling with de-industrialization. Now an eyesore on the hood's main drag.

A nice morning. While inside, two dude's where inspecting the exterior fence (or what was left of it). The buildings are a wreck, with many windows open. In the offices anyone walking by is right on eye level with anyone on the first floor, as is the traffic. But it was a problem free, enjoyable day.

"Cox was the CEO of the Gilbert Spruance Company, a successful family business headquartered in Philadelphia. Since 1906 the company had been producing industrial coatings for the furniture and kitchen cabinet industries. Clients included Bassett Furniture and Wood-Mode Kitchens. Spruance averaged $3 to $5 million in annual sales and had 45 to 50 employees. In short, Spruance was the quintessential successful all-American small business.

Cox is comfortable being labeled a "progressive" with regard to his political and business philosophy. He was involved in the first Earth Day celebration and is an admirer of the late Robert F. Kennedy. His company was committed to a "proactive position" toward recycling and waste disposal practices.

Cox's faith in the ability of his government to do the right thing was badly shaken when he collided with the federal juggernaut known as Superfund."

1.

"When I started working in my business, I felt that an environmentalist in the paint and wood-finish coatings industry could co-exist with the federal environmental regulations so prevalent over the past 20 years. My experiences, however, proved me incorrect"
2.

The soft-spoken Cox explains that "under Superfund, joint-and-several liability means that companies can be held accountable and responsible for the cleanup of an entire waste site, even if their contributions were only a fraction of the total. Actions that were legal at the time they took place are now viewed as criminal."
4.

Spruance, decreed the feds, was involved with eleven Superfund sites. At one dump--GEMS landfill in Gloucester Township in New Jersey--the company's waste contribution was estimated at .023 percent. Cox and his company were sued for a de minimis (minor) settlement of $150,000 to get the first phase of the cleanup of this dump completed. But the legal wrangling was only beginning. In 1990, the EPA notified Spruance that the company was a potentially responsible party at another New Jersey landfill, and Spruance was asked to pay a settlement of $1.3 million.
6.

Large corporations with deep pockets can afford Capitol Hill lobbyists and contingency plans (like shifting factories overseas). Cox had no such recourses. The beleaguered CEO made several trips to Washington, D.C., to plead his case. "They [the Senators] always had sympathy for the small guy, but as soon as I left, it was back to business as usual," remembers Cox.
7.

"The Superfund legislation came about because of misunderstanding surrounding the Love Canal waste site in Niagara Falls, New York. People thought that every waste site was a 'ticking time bomb' that would cause disaster. That was wrong, but the law was passed. Then, like many government programs, it faded from public consciousness. So, Americans have lost some of their freedom, and some individuals, such as Bob Cox, have suffered severely. But it's difficult to turn these facts into policy change."
8.

"If you look at a Superfund dollar, 45 to 65 percent is going toward legal and administrative costs. They don't have enough in the coffers to do the cleanups," says Cox. Indeed. The Philadelphia Inquirer recently reported that the GEMS landfill in New Jersey remains a dump due to a gridlock between the EPA and the New Jersey Department of Environmental Protection over "court negotiations."
9.

"In the end, Spruance did not have the financial resources to cope with the regulatory suits. Nor did it have the capital to remain competitive and continue to supply wood finishes to loyal customers. After spending over $300,000 in legal fees, Cox's "entrepreneurial dream" died. In 1993, he sold his beloved business at a "bargain-basement price." At age 46, the married father of two was forced to find new professional opportunities."
10.

"They [the federal government] threw a lot of dirt on me, but they didn't bury me."