Thanks....I decided to add one more coat of epoxy and then sand again. This afternoon I taped off the waterline (+/-) and applied the first cost of primer. I will need to sand w/ 220 between coats and then apply the second coat. The primer I used is a two part epoxy based primer. I was really surprised how thick the base material was. Once you mix it with the reactant, it is still really thick but then it is supposed to be thinned 20-25%. After adding the thinner, it rolled on and tipped easily. However, I may have thinned a little too much; I'll have to see how the second coat goes. If you zoom in on the photos, you can see how think the first coat went on. Since I have never used something like this, I have nothing to compare it too. Who knows, maybe I did it just right.
In order to mark the paint line, I read lots of peoples posts and looked at lots of examples. Since there were lots of variations out there, I didn't sweat it too much. A nice horizontal line across the transom (about 4 inches above the bottom - or below the top when upside down

), then stretched the tape from the transom line toward the front til it 'looked about right'. Tried to mirror that to the other side. Taping took about 25 minutes. Primer took about an hour. I had to lock myself in the garage to keep anyone from opening the door. It was a pretty windy day and I didn't want to kick up any dust. The only problem with that was the two part primer really stinks!