Ammonia Refrigeration Foundation Annual Report 2020-2021

A N N U A L R E P O RT 2020-2021

Your Ammonia Refrigeration Foundation’s mission is to support research for the safe, reliable and efficient use of ammonia and other natural refrigerants and to promote the development of industry talent through scholarships, academic alliances and outreach.

2020-2021 ANNUAL REPORT | A

E D U C AT I O N . R E S E A R C H . O U T R E A C H .

C H A R I TA B L E G I V I N G Your Ammonia Refrigeration Foundation continues to grow its services through education programs, quality research and outreach initiatives created to improve the refrigeration industry and benefit the IIAR membership. All of these valued programs rely on your charitable giving and participation in the process to achieve the Foundation’s mission.

Philanthropy offers each of you the great personal satisfaction to ensure that these programs continue to grow and to give back to your industry and invest in its future. It can also give you a current income tax deduction, let you avoid capital gains tax and reduce your potential estate tax liability.

Please consider the many ways you can contribute this next year and plan to give back to your Ammonia Refrigeration Foundation.

CONTENTS Letter from Bruce Nelson, Foundation Chairman of the Board

1

EDUCATION

2

RESEARCH

4

OUTREACH

8

5th Annual William E. Kahlert Memorial Golf Tournament

10

Letter from Joseph Mandato, Chairman of the Foundation Board of Trustees

12

Board of Trustees

14

ARF Board of Directors

15

Statement of Financial Position

16

B | AMMONIA REFRIGERATION FOUNDATION

Letter from Bruce Nelson Foundation Chairman of the Board 2020-2021 Dear Fellow IIAR Members and Friends of the Industry, It has been my privilege to have served this last year as the Chairman of the Ammonia Refrigeration Foundation (ARF).

I am humbled and grateful to have had the opportunity to work with the ARF Board of Directors, the IIAR Board of Directors, and IIAR staff to do the work of the Foundation and see our Education and Research goals met and activities expanded.

As you read this Annual Report, I am certain you will be impressed with our strong financial position, our educational activities including our Founders Scholarship program, and on the results of our recent research projects.

Through the energy and leadership of Mark Stencel, Education Committee Chair, Bob Port, Jr., and others, this year we have a record number of engineering students being supported by ARF scholarships. Many of these students have already had work experience in our industry as interns and will be ready to join IIAR member companies upon graduation. As with our educational activities, there is also great news to share with you about ARF-funded research. Recently completed research projects have directly contributed to improving the content of our Standards, Handbooks, and best practice Bulletins. The success of our research program is to the credit of our Research Committee Chairman, Wayne Wehber, and all the Research Committee members who do the hard work of writing project Work Statements, evaluating proposals, and managing these projects to completion with well-defined, high-value deliverables.

Finally, I would like to recognize and personally thank Greg Kahlert and the Kahlert Foundation for their financial support of the ARF over the last several years. Their consistent and generous giving over a long period of time have added to the financial capability and stability of the ARF and is deeply appreciated.

Sincerely, Bruce I. Nelson, P.E. 2021 ARF Chair

All the important work of the Foundation can only be accomplished with funding from you, our donors. To all of you who have contributed, thank you. Special recognition is due to our Trustee level donors who as individuals or companies have contributed at least $50,000. If you have not yet contributed, I urge you to consider doing so and if possible, becoming an ARF Trustee. Over the last three years, we have been fortunate to have had Joe Mandato serve as the Chairman of the ARF Board of Trustees, promoting ARF activities and successfully recruiting several new Trustees. Giving to the Foundation as part of an estate planning and/or tax management strategy may also be something to consider when making your donation.

2020-2021 ANNUAL REPORT | 1

E D U CATION

“

I am grateful to the Ammonia Refrigeration Foundation and IIAR for this scholarship. It has allowed me to continue my pursuit of a career in refrigeration and is an important experience in my career development. I very much look forward to being part of the solution to global challenges such as the rising demand for energy, global warming, and ozone layer depletion.”

Charleson Asibor University of Lagos (Lagos, Nigeria)

“

It’s an honor to receive the ARF Founders’ Scholarship.

Refrigeration is an essential industry and is applicable in nearly every structure being built.

And ammonia refrigeration, in particular, is well-poised to have a significant impact as consumers continue to embrace a culture of sustainability. As someone who thinks it’s important that the technologies we employ be safe, efficient, and sustainable, I’m excited to be starting my career in this area.”

Parker Bagshaw University of Maryland (College Park, MD)

Introducing new engineering talent to the natural refrigeration industry

The Founders Scholarship Your Foundation’s scholarship program has grown steadily since its inception, and continues to address our industry’s need for technically trained individuals.

The Founders Scholarships honor the legacy of George Briley, Chuck Hansen, Don Niederer and Bill Richards, who established the IIAR organization and always supported education for our industry. Each year the Founders Scholarship is awarded to students exhibiting exceptional character and interest in pursuing an engineering or related technical degree toward a career in the refrigeration field.

2019 Founders Scholars Attend IIAR Virtual Conference Every year, the new Founders Scholarship recipients are invited to attend the IIAR annual conference. Unfortunately, the 2020 IIAR Annual Conference was moved to a virtual platform due to the COVID-19 pandemic. But that didn’t stop our scholars from attending the conference education sessions and meeting the leaders in our industry, as the virtual event provided plenty of opportunities for interaction with presenters, colleagues, and exhibitors.

In April 2020, attending scholars included Savannah Augustine (Utah State University); Nicholas Vogel (Kansas State University); Samuel Koske (University of Missouri-Columbia); Adam Tilghman (University of Maryland Eastern Shore); Hugh Gaevert (California Polytechnic State University); Franklin Ragge (Massachusetts Maritime Academy); and David Rodriguez, Jr. (Purdue University - Fort Wayne).

Be on the lookout for these names as they make their way into the industrial refrigeration arena; these bright students are the future of our industry.

2020 Founders Scholarship Recipients The growing interest in education and the increased number of student applicants across the country has placed a new focus on the Founders Scholarship program.

In response to this growing demand and membership contributions, the Foundation Board of Directors has once again voted to increase the funding for scholarships.

In addition, ARF is thrilled to recognize a generous educational grant from The Kahlert Foundation. These funds will allow ARF to provide support for additional students who are eyeing careers in refrigeration, mechanical engineering, and/or fluid dynamics.

ARF and the Kahlert Foundation offer congratulations to the following students who received a 2020 Founders Scholarship grant: • Charleson Asibor (University of Lagos) • Parker Bagshaw (University of Maryland) • Erich Golden (University of Wisconsin- Milwaukee) • Caden Matson (University of Florida) • Emma Oneto (California Polytechnic State University)

2 | AMMONIA REFRIGERATION FOUNDATION

NEW JUNIORS

Caden Matson

University of Florida

NEW SENIORS

Charleson Asibor

University of Lagos, Nigeria

Parker Bagshaw

University of Maryland

Erich Golden

Emma Oneto

University of Wisconsin – Milw.

Cal Poly

RETURNING SENIORS

Sam Koske

University of Missouri – Columbia

Savannah Augustine

Nicholas Vogel

Utah State University

Kansas State University

The ARF Founders Scholarship offers recipients

In a groundbreaking development, part of the award provided to

financial support, but as

Mr. Asibor was membership in IIAR, making him the Institute’s first member in Nigeria! We have confidence that Charleson will help

importantly, the opportunity

us spread the word regarding ammonia refrigeration safety in his

to explore a career where

hometown.

Interest in the Founders Scholarship program has steadily grown and now covers a broad geographical region of applicants extending from the United States to Canada, Latin America, Asia,

“

they can positively impact the world through the environmentally-conscious

and Africa. This broad outreach to students demonstrates the

application of natural

program’s value in addressing the industry’s need for technically

refrigerants.”

trained individuals and the opportunity to bring new engineering talent to the natural refrigeration industry.

Mark Stencel Education Committee Chair

2020-2021 ANNUAL REPORT | 3

RE SE ARCH

Recently Completed Projects and Deliverables

Recent ARF-funded research has produced important new information that has already made its way into various IIAR standards and publications. Following are some examples of how the IIAR Research Committee has put ARF funding to good use.

“

A record number of attendees participated in the CFD research panel held at the IIAR conference last March.

Many indicated that this is the best research program ever initiated by the Foundation! They were impressed with the complexity of the analysis and the productive results provided in the statistical analysis methods.”

CFD Simulation of an Ammonia Dispersion Event Within Refrigerated Spaces Deliverables: Scientific justification for current ammonia detection requirements plus the addition of a new informative Appendix A to IIAR-2.

Summary: Historically, ammonia detection has been required by IIAR-2 as well as the model codes, however, specific guidance on the appropriate number and placement of ammonia detectors for a given type and size of space was not given. Applying Computational Fluid Dynamics (CFD) analysis to answer a number of questions related to the appropriate number and placement of detectors in various types of refrigerated spaces was the object of the study. Principal Researcher, William Greulich, of Kensington Consulting conducted the research and delivered the results of the work in 2020 with a wellreceived technical paper and presentation at the IIAR annual conference.

Wayne Wehber, IIAR Research Chair

than one detector in each room would not be justified. For example, an additional detector on average would reduce detection time by only a few minutes in a large room. Adding more detectors would only reduce response time by a few seconds. It was concluded that the actual leak response (action taken by either plant personnel or in some cases automatic system reaction) would not be significantly improved by the addition of detectors. In summary, the Safety Committee used the study to reinforce the requirements that are already included in IIAR-2 and made no new requirements for additional detectors.

The study also showed that detector placement is not extremely critical, but that placement can influence response time. The study is referenced in the latest IIAR-2 informative Appendix A to aid people with complying with the requirement that detectors be “mounted in a position where ammonia from a leak is expected to accumulate”.

Development of a Mechanical Insulation Installation Guideline for Refrigeration Applications Deliverables: A new currently available IIAR Guideline. The information from the project will also be included in future revisions to the Piping Handbook.

Summary: Mechanical (pipe, tank, and equipment) insulation The results of the study were used by the Standards Committee to determine if there was merit in requiring additional detectors beyond the minimum requirement of one in every room with ammonia equipment. The study showed that having additional detectors would indeed reduce detection time, however, the reduction was small enough that it was determined that the addition of more

is a critical contributor to energy efficiency and process control in cold applications. Water and water vapor intrusion into these insulation systems is their main failure mechanism.

The resistance of the insulation system to water is controlled by the materials used and the quality of the installation.

Water resistance of the insulation and vapor retarder materials is well understood but the impact of joints and terminations in these materials and the role installation plays in the water resistance of the insulation system has not been

4 | AMMONIA REFRIGERATION FOUNDATION

well studied.

Development of a Mechanical Insulation Installation Guideline for Refrigeration Applications (continued)

costs, pipe and valve installation methods, and the increased use of stainless steel pipe, to name a few, the need to revisit the economic sizing methodology proposed by Richards and to update the Piping Handbook was identified. A primary aim of this project was to provide a computer-based analysis tool that allows users to explore optimum pipe sizing based on input data that includes: piping system capital cost information, system energy cost data, piping system life expectancy, and refrigeration system operating efficiency information.

Principal Investigator, Rob Sterling, of Sterling Andrews Engineering successfully completed the project which was presented as a technical paper at the 2017 annual conference and

The Principal Investigator (PI), Gordon Hart, of

the work included in the recent revision to the Piping Handbook.

Artek Engineering visited 20 refrigerated facilities

The spreadsheet software tool is included with the purchase of the

in 14 states to examine insulation removal and

Piping Handbook.

new insulation installation at older facilities, as well as insulation installation at newly constructed facilities. The project has resulted in a number of recommended installation processes and joint treatments for insulation systems which, if followed, will increase the resistance of insulation systems to

Prediction of Pressure Drop in Ammonia Wet Suction Risers Deliverables: An improved vertical wet suction riser design method now included in the latest edition of the Piping Handbook

water vapor intrusion thus improving their lifespan.

Summary: As a contributor to the ASHRAE research project

Optimum Pipe Sizing Deliverables: Updated optimum pipe sizing calculation method and software tool now included in the Piping Handbook.

Summary: The concept of economic or optimum pipe sizing considers the trade-off between

RP-1327, which measured pressure drop in 2” and 4” ammonia wet suction risers, IIAR/ARF was given access to the data taken during the project. The RP-1327 data, originally taken at the Danish Technologic Institute (DTI) in Aarhus, Denmark, was used in a ARF-funded research project to develop an accurate method for predicting pressure drop and properly designing ammonia suction risers.

the increasing capital costs associated with

Dr. John Thome, of JJ

proportionally larger pipe sizes against the lower

Cooling Innovation in

energy costs attributable

Switzerland, was selected as

to decreased frictional

the Principal Investigator for

pressure drop afforded

the project and successfully

by the larger piping.

delivered a calculation

In 1984, Bill Richards

method to determine void

brought the concept

fraction and pressure drop

of “economic pipe

in ammonia two-phase upward flow based on the

sizing” to the industrial refrigeration community.

DTI data. The results of this work were presented by Dr. Thome at

The IIAR Piping Handbook previously included the

the 2019 annual conference. The new calculation method was then

results from Richards work as one method for pipe

incorporated into a software design tool written by Morten Stovrup

sizing in ammonia refrigeration system applications.

of Danfoss, a member of the Project Monitoring Subcommittee

Given the many changes that have taken place in the industry, including changes to electricity

(PMS). The information from the study is also included as a new manual calculation method in the latest edition of the Piping Handbook.

2020-2021 ANNUAL REPORT | 5

RE SE ARCH

Current Projects and Deliverables

ARF is currently funding three research projects with highvalue deliverables which are described below.

Machinery Room Ventilation and Ammonia Release CFD Study Principal Investigator: Dr. Scott Davis, Gexcon US Summary: The study aims to evaluate ventilation system designs and requirements for ensuring adequate fire and

Research on characterizing hydraulic shocks in ammonia

explosion protection during accidental ammonia releases

systems was carried out through two impactful projects

in machinery rooms using CFD analysis. The potential

funded by ASHRAE. The first one being RP-970 where

benefits include reduced capital cost, improved safety,

detailed experiments resulting in a database of hydraulic

and greater consistency in design practice. The study is

shock amplitudes for various operating conditions such

being performed by Gexcon US, with Dr. Scott Davis as the

as gas flow rate, residual liquid amount, and operating

Principal Investigator. Work began in March 2020 and is

temperatures were carried out. This was followed up by

expected to complete by June 2021.

RP-1569 wherein a verified and validated CFD model

Multiple ventilation arrangements are considered for two example machinery rooms containing realistic equipment and geometries, with multiple release conditions, locations, and quantities, along with multiple ventilation rates and consideration of transient conditions to represent low-charge ammonia systems. A preliminary set of runs and results analysis has been completed

was developed using the experimental data as a basis.

Application of this CFD model to a real incident predicted shock amplitude upwards of 8000 psia; such amplitudes were deemed necessary from metallurgical analysis for the kind of rupture of the pipework observed C. Narayanan, AFRY Switzerland URP – Design basis for hydraulic shock avoidance in ammonia systems in this incident.

and reviewed in a workshop with the Project Monitoring

Based on the success of this CFD model, a study is

Subcommittee, leading to decisions on the remaining

being conducted with the objective of performing a large

volume of CFD simulations.

set of simulations of generic hot gas and wet suction pipework condition in order to establish a design basis

Development of Design Guidelines for Avoidance of Hydraulic Shock in Ammonia Hot Gas Piping Using CFD Modelling Principal Investigator: Dr. Chidambaram Narayanan, AFRY Switzerland AG

for such systems and contribute significantly to the safety of ammonia systems. The comprehensive parametric study is estimated to involve 100+ three-dimensional unsteady simulations using High Performance Computing (HPC) systems. The simulation results will be analyzed to answer questions on what type of valves (fast acting or slow motorized) should be employed for hot gas

Summary: Incidents of ammonia releases due to hydraulic

defrost process, sizing of valves, dependence on suction

shock in the refrigeration pipework have been reported

temperature, risk due to trapped liquid, among other

in the past and could potentially occur in the future. Such

important drivers of hydraulic shock risk. The project is

shock events carry significant commercial risks and is a

scheduled to be completed by June 2021. It is expected

concern for health and safety of humans. Two locations

that this new design data will be incorporated into the

where hydraulic shock occurs most frequently are, (a) in

Piping Handbook and other IIAR publications. A technical

the evaporator coil headers at the beginning of a hot gas

paper on a related CFD study has been co-authored

defrost sequence, and (b) in the wet suction piping from

by Dr. Narayanan and Bent Wiencke, and submitted for

the evaporator at the end of the hot gas defrost sequence.

presentation at the 2021 annual meeting.

6 | AMMONIA REFRIGERATION FOUNDATION

A Step by Step Guide to Estimate Ammonia Releases and Reporting Principal Investigator: Bent Wiencke, Consultant Summary: The project deliverable will be an IIAR

RESEARCH PROGRAMS M O V I N G F O R WA R D The contributions that will be realized through the completion of the three current programs demonstrates the important impact scientific research

step-by-step guidance document and accompanying

can have on the refrigeration industry and the

spreadsheet calculator that will aid end-users

important benefits proved to our membership and

dealing with ammonia releases. This type of

all sectors of our industry. A challenge is presented

guidance document does not presently exist and is

to the IIAR membership and its Research Committee

expected to be of significant value to IIAR end-user members. Expected delivery date is June 2021.

“

We believe that the research projects make our industry safer. We also believe that the Foundation is a strong proponent for expanding the safe use of natural refrigerants that are not harmful to our environment unlike the un-natural refrigerants that adversely impact our environment.”

Dave Schaefer, Bassett Mechanical

to identify the next generation of programs for the Foundation to consider for funding.

The IIAR Research Committee is currently reviewing a number of excellent research proposals submitted by the IIAR Membership. Each research program will go through the vetting process to ensure all value and benefit objectives are achieved. A detailed research work scope is drafted for those programs receiving the highest priority and presented to the ARF Board of Directors for funding consideration.

One research project that has completed vetting is related to relief valve piping network design.

This project is to coordinate with the Industrial Refrigeration Consortium to study and further develop its computer based tool and user’s manual that aids designers in determining back pressure, pipe diameters and lengths used when relief valve outlets are combined into headers. The goal is to include published relief valve data in a lookup library and to allow input of non-standard data. The program is to be applicable for ammonia, CO2 and Propane.

Other projects currently being considered are those for determining pressure drop of CO2 for two phase flow in various riser sizes, development of guidelines to design for rooftop piping wind loads, and a project to determine burst pressure in multiple piping/tubing sizes and material thicknesses for use in CO2 piping networks. The Research Committee objective is to have at least three new projects approved and funded by your Foundation’s Board of Directors for work to begin in 2022.

2020-2021 ANNUAL REPORT | 7

O UTRE ACH In a year of unprecedented change, your Foundation laid the groundwork for the essential training and remote learning that bolstered safety and continuity through the many disruptions of 2020-2021. By prioritizing funding for the Academy of Natural Refrigerants, the Foundation was able to deliver training courses that helped make our industry safer and more efficient during a time of national crisis.

Online Training and Outreach During COVID

The Academy of Natural Refrigerants

IIAR’s Academy of Natural Refrigerants online learning

hours without the cost, time, or travel required to attend

platform has grown substantially since it was introduced

onsite training programs. And ANR graduates then go

ANR certificate holders earn professional development

in 2016 to deliver online professional development.

on to expand the reach and influence of the industry by

After significant funding from your Foundation, the ANR

and others who rely on a skilled workforce, to identify

now delivers a comprehensive certificate program that

qualified contractors and workers.

helps refrigeration professionals develop their skills and further their careers by offering specialized training that sets them apart from their peers. As workplaces closed and travel halted in 2020, ANR’s resources grew ever more important in maintaining the highest level of industry safety and professional development.

helping consumers, employers, government agencies,

“Investing in our own brain trust in our own workplace is one of the best ways to move our industry forward,” said IIAR President Gary Schrift. “Now that a global pandemic has changed that workplace forever, ANR is more important than ever.”

IIAR currently offers seven certificate courses funded

“Nothing is as constant as change,” said IIAR Board

by ARF through the ANR platform, including courses

Chairman Dave Schaefer. “We’re experiencing a

focused on the ANSI/IIAR Standards 2, 4, 5, 8, 6, and 9,

transition to online learning at an accelerated pace

as well as courses covering Process Safety Management

because it has been required of us." However, he said,

& Risk Management Program Guidelines, Planning and

the Foundation saw the value in funding much of the

Performing an Effective Process Hazard Analysis Program

Academy of Natural Refrigerant's course development

and IIAR's Ammonia Refrigeration Management Program.

before the pandemic.

ANR’s courses focus on the practical knowledge that

“Our industry has relied so heavily on face-to-face training over the years,” said Schaefer. “As online learning became more of an option, the Foundation saw the long-term benefit in developing it for our industry. No one could have known that investment would become so relevant so quickly.”

8 | AMMONIA REFRIGERATION FOUNDATION

industry professionals can use immediately in their work to maintain an overall high level of safety throughout the industry. Designed for easy adoption, the format includes lectures, relevant educational materials, and course quizzes. The ANR platform has also grown to include IIAR's other training resources like videos and delivery of IIAR's annual Industrial Refrigeration Workshop.

Your Foundation Board of Directors continues to support

the mission and programs we serve by providing future

ANR’s platform as a major vehicle for outreach and

support through a planned contribution. We encourage you to

training. “The limitations that used to apply to training

consult your financial advisor to explore your planned giving

events across our industry have disappeared as we’ve

opportunities or visit www.IIAR.org/Foundation/PlannedGiving

embraced the potential for online learning. Not just as a

for more information.

replacement for in-person events during the pandemic, but as an opportunity to expand our influence and outreach both now and in the future,” said Schrift.

Planned Giving The Ammonia Refrigeration Foundation is classified as a 501(c)(3) education and research organization, which means all donations are fully tax-deductible. Since it's founding in 2006, ARF has received an outpouring of support, and the ways to give to ARF have grown along with the Foundation. Whether you choose a large corporate gift, participate in our individual giving program, or set up a planned gift, it's never been easier to give back to your industry.

Foundation giving is a vital pursuit for our future, and the

As an industry pioneering natural refrigerants in a time of immense change, your support will help us define what the future looks like, for years to come.

“

I support the Foundation because Industrial Refrigeration has always been my career. It is nice to give back in a way that supports the Foundation's goals of Research first and then Education and Scholarship. For industry to remain relevant, investments must be made to continuously improve.”

Art Marshall, AAIM Controls a Danfoss Company

payoff is immediate. In the last year alone, the Foundation has expanded the industry's scholarship program, ensuring the next generation of ammonia refrigeration professionals. New research has delivered practical knowledge to our constantly evolving standards and regulatory activities. And foundation funding has directly expanded our industry outreach, including through the Academy of Natural Refrigerants.

To keep this momentum strong for the future, our Foundation needs your sustained activity and financial support. The benefit of small donations or planned giving contributions such as those made through your estate or will are just as important as the Foundation’s $50K trustee donation pledges of $10K per year for five years.

Planned giving options can also provide a current income tax deduction, let you avoid capital gains tax, and reduce the amount of tax liability for your estate.

The Foundation's Legacy Society has helped strengthen

2020-2021 ANNUAL REPORT | 9

5

TH

ANNUAL

The 5th annual William E. Kahlert Memorial Golf Tournament was off to a great start. We had over 12 volunteers work on this project and we had over 80 golfers signed up. Unfortunately, the Covid-19 situation as it was developing definitely impacted the total number of golfers that would have signed up for the tournament. We were forced to cancel the tournament which would have taken place on Saturday March 14th, 2020 due to the COVID-19 pandemic.

The golf course gratiously let us off with no charges due to the cancellation. The golf academy also refunded our outlay for the 3 golf professionals that were scheduled to work with players on the driving range. The only expenses we were out were the Hole in One policy, the water bottles, signs, and ditty bags. The bags will be useable in 2022, as well as some signage and other items that have been placed in storage.

On the positive side of things, we had 7 Presidential Bracket teams donate their $3500 fee towards the Foundation.

All of the sponsors donated their sponsorship fees totalling $52,500, to the Foundation. Individual participants rounded out this giving spree with another $16,150 in donations making the grand total of donations topping out at $93,150. With the $3,939 in expenses, the net proceeds through this "Non" Tournament yielded over $89,200.

Without the support of the generous sponsors from the membership of IIAR, this Tournament would not happen. I am happy to say that it has become a significant part of the annual IIAR conferences, and shall continue to be a major support to the Ammonia Refrigeration Foundation and its Founders Scholarship Funding.

Thank you, Dennis Anderholm ARF Golf Chair

10 | AMMONIA REFRIGERATION FOUNDATION

Greg Kahlert and Dennis Anderholm

5

TH

ANNUAL

PRESIDENTIAL BRACKET

$24,500

7 TEAMS DONATED $3,500

SPONSORSHIPS $6,000 Republic Refrigeration EVAPCO, Inc.

$4,000 Innovative Refrigeration Kahlert BAC Airfoil Cool Refrigeration General Refrigeration

INDIVIDUAL CONTRIBUTORS

34

$3,000 Logix Controls Industrial Refrigeration Vilter

$1,500 CTI Jamison Door MYCOM Independent Refrigeration Century Refrigeration

$52,500

$16,150

at $465 each

$93,150

TOTAL CONTRIBUTIONS

EXPENSES

$325

AMERICAN HOLE IN ONE

$935.85

SIGNS NOW

$1005.69

WATER BOTTLES

$1,672.64

DITTY BAG

$3,939.18

NET PROCEEDS

$89,210.82

We are excited to meet everyone in Savannah, Georgia 2022.

SAVE THE DATE: March 5th, 2022 See you at the golf course!

2020-2021 ANNUAL REPORT | 11

Letter from Joseph Mandato Chairman of the Foundation Board of Trustees Dear IIAR Members and Fellow Trustees, The purpose of this report is to provide updates on ARF’s financial position, research, scholarship programs and fund-raising activities which have taken place during the 2020/2021 fiscal year.

Financial Update I am pleased to advise you that the Foundation’s financial position continued to improve in 2020. This is the result of favorable investment returns, Trustee pledge payments and the continuing support of The Kahert Foundation. ARF’s total assets were $3.566M as of June 30, 2020.

Research Program Update ARF continues to support IIAR members and the industry at large by investing in important research projects focused on improving the safety, efficiency and cost effectiveness of industrial refrigeration systems which utilize natural refrigerants. There are currently three (3) active research projects, each of which is expected to be completed in the 2021 calendar year: 1. CFD Simulation of an Ammonia Dispersion within an Engine Room with Focus on Analyzing Ventilation Rates.

2. Step-by-Step Guide to Estimate Ammonia Releases and Reporting.

3. Development of a Design Basis for the Avoidance of Hydraulic Shock in Ammonia Pipework Systems using state of the art CFD Modeling.

Scholarship Program Update The ARF Founders Scholarship Program has extended scholarships to eight (8) students this year. This includes three (3) returning seniors and five (5) new scholarship recipients including an international recipient.

Returning Recipients Nicholas Vogel (Kansas State University) Samuel Koske (University of Missouri – Columbia) Savannah Lutz (Utah State) New Recipients Caden Matson (University of Florida) Charleson Asibor (University of Lagos, Nigeria) Parker Bagshaw (University of Maryland) Emma Oneto (Cal Poly) Erich Golden (University of Wisconsin – Milw.)

Fundraising Update The COVID-19 pandemic negatively impacted ARF’s fundraising efforts in 2020 and thus far in 2021. This included the cancellation of the traditional “in-person” 2020 and 2021 IIAR Conference & Expo, which is when the majority of the Trustee level fundraising takes place each year. Despite not having the opportunity to meet with potential donors at the annual conferences, we have raised over $200,000 in Trustee Pledges and other donations since July 1, 2020. I am pleased to report we have added three (3) new Trustees and received another generous grant from The Kahlert Foundation during the current fiscal year.

The cancellation of the annual conferences resulted in the postponement of the William E. Kahlert Golf Tournament both years. As a reminder, 100% of the proceeds from the Kahlert Golf Tournament are used to support ARF activities. I encourage all golfers, corporate sponsors, and volunteers to support ARF by participating in the William E. Kahlert Golf Tournament which will be held prior to the IIAR Conference & Expo on March 5, 2022 in Savannah, GA. Earlier this year I notified Bruce Nelson, ARF Chairman, of my decision to step down effective June 30, 2021. I appreciate the confidence the Board of Directors placed in me and I am thankful for having had the opportunity to serve the Ammonia Refrigeration Foundation in this role since 2018. Please join me in congratulating Don Fetzer who will serve as Chairman of the ARF Board of Trustees effective July 1, 2021.

I look forward to seeing you in Savannah, GA in March.

Best Personal Regards,

Joseph A. Mandato ARF Board of Trustees Chairman Cell: (410) -596-3839 Email: jamandato@outlook.com 12 | AMMONIA REFRIGERATION FOUNDATION

PUTTING FUNDS TO USE TO DRIVE INNOVATIVE SOLUTIONS FOR THE INDUSTRY Research Project Selection Process An important part of your contributions go to innovation that keeps our industry moving forward and staying safe.

Our research projects go beyond technical papers and serve to support industry standards. Research progress and results are presented during IIAR’s annual conference.

As a non-profit organization, ARF relies heavily on contributions to make research not just a goal, but a reality.

We believe in providing transparency so that you can directly benefit from the research that is performed. We encourage you to consider donating to ARF so we can continue to uncover innovation that will last a lifetime.

The Vetting Process ARF is extremely selective when determining which research proposals to fund. We have adopted a formal vetting process to achieve the results we feel are most beneficial for our members and support the advancement of natural refrigeration.

The vetting process includes a scoring sheet for each proposal received by the foundation and the IIAR Research Committee. The scoring sheet evaluates the following:

Value

Each proposal is placed into a category to determine who gains value.

These categories include: • Contractors • Designers • Equipment Manufacturers • End users

Significance

Our team wants to make sure that the research project addresses questions that are scientifically important and addresses our overall mission. In addition, we score based on whether or not the proposal’s goals and end results will have a meaningful impact for our membership and the industry.

Innovation

All proposals are evaluated for how the project will make a meaningful contribution to the industry. Innovation is scored based on whether or not the research project will help reduce costs, help with efficiency, assist with manufacturing, installation, efficiency, safety, and the reduction of manpower or material.

The Research Process Once a research project is evaluated on the vetting process criteria, budget and academic impact, our team compiles a research agreement that outlines the statement of work, the period of performance, the expected outcome and the benefit to the industry.

Do You Have an Idea for a Research Project?

Submit your research ideas to www.iiar.org/foundation/researchprojects 2020-2021 ANNUAL REPORT | 13

BOARD OF TRUSTEES

“

Stanton & Associates, Inc.

decided to support ARF because we

see the benefit of the research being

performed as well as the educational scholarship opportunities it provides to college students. The industrial refrigeration industry has provided us and many others with great career opportunities and we feel the Foundation, through the scholarship efforts, is helping to recruit young, talented people to an industry that may otherwise not have been considered.”

Brian Milnamow, Stanton & Associates, Inc.

“

Industrial refrigeration, like

many industries right now, is in need of new talented individuals, it's a

relatively small, intimate group, and the relationships being developed with academic institutions and the

tangible results of a growing number of scholarships that ARF is offering, will benefit all companies and organizations that support natural refrigerants and IIAR.”

“

Pat Strine, Evapco, Inc.

The Foundation's work is

important to our industry because the industry has a need for researchedbased answers to important

questions of safety and sustainability, as well as developing young, talented professionals to carry this work into the future.”

Jeff Rothermel, Stanton & Associates, Inc.

14 | AMMONIA REFRIGERATION FOUNDATION

Members of the Board of Trustees ORGANIZATIONS

REPRESENTED BY

Applied Process Cooling Corporation Baltimore Aircoil Company Bitzer US, Inc. BONAR Engineering, Inc. Calibration Technologies, Inc. CIMCO Refrigeration Clauger Colmac Coil Manufacturing, Inc. EVAPCO, Inc. FRICK Industrial Refrigeration Güntner U.S. LLC Innovative Refrigeration Systems, Inc. Independent Refrigeration Services, Inc. Vahterus Americas, LLC Mayekawa-Mycom Canada Midatlantic Refrigeration MRBraz & Associates, PLLC PermaCold Engineering R.E. Lewis Refrigeration, Inc. .

Refrigeration Design and Service, Inc. Republic Refrigeration, Inc. Stanton and Associates, Inc. Southern Equipment Sales Co. The Kahlert Foundation United States Cold Storage, Inc. Vilter Manufacturing LLC

Gary Dunn Don Fetzer Paul Conlon Henry B. Bonar, II Brian EuDaly, P.E David Malinauskas Jeff Nank Bruce I. Nelson, P.E. Patrick Strine Ed Milligan Neil Boucher Michael J. McGinnis, P.E. Nicholas W. Nechay Jonathan N. Pascoe Quinn Vo, P.Eng. Joseph A. Szymanski Marcos R. Braz, P.E. Steve Jackson Wayne Hanson John L. Payne Walter F. Teeter Brian Milnamow Christopher M. Dreher, P.E. Greg Kahlert Michael J. Lynch Amy Goldschmidt

INDIVIDUALS

COMPANY

Arthur J. Marshall Donal F. Ballou* Joseph A. Mandato, Jr. Jeffrey L. Sutton J. W. Bowles* Peter Spellar Rudy Nechay* Wilbert F. Stoecker* Wilson Bradley

AAIM Controls, a Danfoss Company RSC Engineered Solutions Retired Sutton and Associates, Inc. EVAPCO, Inc. Cool Refrigeration Systems & Solutions, LLC The Nechay Family University of Illinois EVAPCO, Inc.

*Deceased

Go to www.iiar.org/Foundation/Donate to discover more ways to give to the Foundation.

FOUNDATION LEADERSHIP Ammonia Refrigeration Foundation Board of Directors 2020 to 2021

Bruce Nelson Chair

Dave Schaefer Secretary

John Payne Treasurer Director-at-Large ARF Trustee

Joe Mandato Director-at-Large ARF Trustee Chair ARF Trustee

Quinn Vo Director-at-Large IIAR General Member ARF Trustee

Don Fetzer Director-at-Large ARF Trustee

Jacqueline Kirkman Director-at-Large IIAR Board Member

Mark Stencel Voting Member IIAR Education Committee Chair

Wayne Wehber Voting Member IIAR Research Committee Chair 2020-2021 ANNUAL REPORT | 15

STATEMENT OF FINANCIAL POSITION POSITION JUNE 30, 2020 AND 2019

Current YTD

Prior YTD

6/30/2020

6/30/2019

ASSETS Operating Cash

$246,921.14

$190,637.71

Investments — Cash & Equivalents

285,896.24

206,867.81

2,016,482.22

1,925,911.56

39,011.24

41,825.52

2,588,310.84

2,365,242.60

Investments — Equities & Fixed Income Investments — Charitable Remainder Trust

Pledges Receivable Accounts Receivable Other

975,000.00

930,000.00

3,125.00

1,125.00

Fixed Assets, Net

1,574.34 978,125.00

932,699.34

TOTAL ASSETS

$3,566,435.84

$3,297,941.94

LIABILITIES AND NET ASSETS

Accounts payable and accrued expenses Due to IIAR Charitable Remainder Trust Liability Total Liabilities

$26,225.00

$63,374.03

(96,833.73)

(9,485.86)

46,156.21

28,351.65

(24,452.52)

82,239.82

Beginning Net Assets (Unrestricted) Current Change in Net Assets Total Net Assets

3,215,702.12

2,438,926.74

375,186.24

776,775.38

3,590,888.36

3,215,702.12

TOTAL LIABILITIES AND NET ASSETS

16 | AMMONIA REFRIGERATION FOUNDATION

$3,566,435.84

$3,297,941.94

Your Ammonia Refrigeration Foundation is a 501(c)(3) education and research organization Supporting the Advancement of Natural Refrigeration.

All contributions are an investment in the future of sustainable refrigeration and are fully tax deductible.

I I AR.ORG /FOUNDAT ION

2020-2021 ANNUAL REPORT | 17

1001 North Fairfax Street Suite 503 Alexandria, VA 22314 (703) 312-4200 Foundation@iiar.org