What’s Dominating the Discussion on Capitol Hill in 2013?
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Transcript of What’s Dominating the Discussion on Capitol Hill in 2013?
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2013 Legislation, Regulation and Litigation
What Is At Stake for Petroleum Marketers Idaho Petroleum Marketers & Convenience Store Association Sherri Stone, Vice President Petroleum Marketers Association of America (PMAA)
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What’s Dominating the Discussion on Capitol Hill in 2013?
Pros & Cons of RFS. Some support repeal, some seek modification, others want RFS to stay intact & let the marketplace develop around it.
Immigration Reform. Senate Passed.
Farm Bill Reauthorization. Senate Passed. House Failed First Vote, Passed Second.
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Challenges with the RFSMany groups are pressing Congress to repeal or revise the RFS.
House & Senate Committees are reviewing.
PMAA Board: supports a regulatory RFS adjustment. Urging EPA to adjust the corn-based ethanol mandate to a level achievable with E10 & reasonable growth for E85. E-15 has too many infrastructure, liability & marketplace issues to significantly expand national ethanol blending volumes in the short run. PMAA does not oppose E-15 but advises marketers to obtain knowledgeable legal & regulatory counsel before offering E15 at wholesale or retail. Lastly, with nearly all the automobile manufacturers expressing misgivings about E-15, most retailers are reluctant to offer it.
We have provided significant responses to the House Energy Committee on a series of White Paper RFS related questions.
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EPA has removed most federal regulatory barriers standing in the way of bringing E-15 to retail consumers.
The “Domestic Fuels Act,” was re-introduced – H.R. 1214.
Would provide an improved legal & regulatory pathway for marketers to sell E-15.
Congress no longer views ethanol as the super fuel that it once did – an ethanol blender’s credit will not be reinstated for 2013.
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Proposed UST Regulations 2011, EPA Office of Underground Storage
Tanks announced proposed revisions to1988 UST regulations. Tremendous burden on marketers. $1.5 Billion Annual Cost.
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The Rule Would Mandate: Secondary containment for new & replaced tanks &
piping. 30-day UST system walkthrough inspections. Under dispenser containment. Integrity testing & monitoring for interstitial spaces, Regularly scheduled testing & inspection of spill &
overfill prevention equipment. Procedures for determining compatibility of UST
systems with alternative fuels. Documentation requirements for ownership transfer of
UST systems.
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Industry Response to EPA
PMAA’s UST Task Force submitted comments - cost estimates too low.
Task Force submitted our data on compliance costs.
Our data shows -- proposed rule would impose $6,960 in annual compliance costs, not the $900 EPA estimate.
Proposed rulemaking is pending.
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PMAA Leads Congressional ActionTo Mitigate
$1.5 Billion Annual Cost PMAA initiated & coordinated efforts to send congressional letters to EPA:
Senate Small Business Committee letter from your Ranking Member, Jim Risch (R-ID) & Chairwoman Mary Landriuex (D-LA).
House Small Business Committee letter. Chair, Sam Graves (R-MO) & Ranking Member Nydia Valezques (D-NY).
A House “Dear Colleague” with 58 signatures.
Small Business Committee letters ask for cost review before finalizing rule. “Dear Colleague” asks EPA to withdraw rule and start over.
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Use of Food Stamps at Convenience Stores
Proposed Change:
Senate passed a Farm bill that includes language that would give USDA authority to preclude c-stores from accepting food stamps if it accepts tobacco, hot food products & alcohol.
Not in Farm bill that passed House, but may bring up separately.
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Industry Response to Hill PMAA is working with like-minded
associations to remove this provision when it gets to House-Senate Conference Committee.
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NORA Authorization
Bipartisan legislation has been reintroduced. HR 1985 & S 913 will promote oilheat efficiency, research & education by reauthorizing & making technical corrections to the NORA Alliance Act of 2000.
To date your efforts have garnered 25 House &13 Senate cosponsors.
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PMAA Disaster Planning and Response Task Force
Genesis:The number of natural disasters is increasing.
PMAA involvement in Super Storm Sandy response.
Inefficiencies.
Need for governmental change.
Need for information and models for states.
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PMAA Created Task Force Marketers are at ground zero when a crisis
emerges. Through our combined experiences we see room for improvement in efficiencies.
Goals: Provide consumers with gasoline, diesel,
propane & heating fuel as quickly as possible in emergency situations by addressing Federal, State & local jurisdictional issues.
Help state associations have effective fuel distribution plan in place for use before, during & after a disaster hits.
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Numerous Federal changes are needed. We have submitted recommendations to the White House and have held numerous meetings with key Administrative staff.
PMAA has a seat on newly created Administration priority – Emergency Response Center.
We will staff DOE/DHS central command “war room” during a national disaster.
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Keystone XL PipelineWe Want it.
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Energy Policy Climate Change/Carbon Tax -- We don’t want $
increases. Energy Subsidies -- We want some credits. Tier 3 Gasoline -- We don’t want it. Funding for Refinery Outage Coordinator -- We want.
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Public Policy Health Insurance Swipe Fee Reform Menu Labeling Futures Market Reform