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HOUSE DOCKET, NO. 2396         FILED ON: 1/20/2011

HOUSE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 2605

 

The Commonwealth of Massachusetts

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PRESENTED BY:

Antonio F. D. Cabral

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To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
              Court assembled:

              The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:

An Act to reduce gasoline prices.

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PETITION OF:

 

Name:

District/Address:

Antonio F. D. Cabral

13th Bristol

David B. Sullivan

6th Bristol

Martin J. Walsh

13th Suffolk

Denise Andrews

2nd Franklin


HOUSE DOCKET, NO. 2396        FILED ON: 1/20/2011

HOUSE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 2605

By Mr. Cabral of New Bedford, a petition (accompanied by bill, House, No. 2605) of Antonio F. D. Cabral and others relative to requiring disclosure by refiners and distributors of wholesale motor fuel pricing policies.  Telecommunications, Utilities and Energy. 

 

[SIMILAR MATTER FILED IN PREVIOUS SESSION
SEE HOUSE, NO. 3063 OF 2009-2010.]


The Commonwealth of Massachusetts
 

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In the Year Two Thousand Eleven

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An Act to reduce gasoline prices.
 

              Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
 

              Chapter 94 of the General Laws is hereby amended by inserting after section 295CC the following section:-

              Section 295DD.  For the purposes of this section, the following words shall have the following meanings:

              “Affiliate”, any entity whose stock is more than fifty percent owned by or who, regardless of stock ownership, is controlled by or is under common control with any other person or entity.

              "Motor fuel", as defined in Section 295A of this Chapter.

              "Refiner", any entity who produces and stores or exchanges motor fuel at a terminal facility and who sells or transfers motor fuel through the loading rack at such terminal facility, and includes an affiliate of such refiner with respect to such affiliate's sale of motor fuel.

              "Retail dealer", as defined in Section 295A of this Chapter.

              "Sale" or "sell", any retail transfer, gift, barter, sale, offer for sale, or advertisement for sale in any manner or by any means whatsoever.

              "Supplier", any entity who conveys, transports, or otherwise causes motor fuel to be delivered to another entity or person, except that any entity or person who conveys, transports, or otherwise causes motor fuel to be delivered as part of a retail sale shall not be considered a supplier.

              "Wholesaler" means any entity, other than a refiner or dealer, who purchases motor fuel at a terminal facility and supplies motor fuel to retail dealers.

              It shall be a violation of this section for an owner or operator of a terminal facility to sell motor fuel from the terminal facility to any person at a price in excess of the price it charges any other person, including a distributor or retailer which it owns or with which it is affiliated.

              For purposes of this section, the price an owner or operator of a terminal facility charges a distributor or retailer which it owns or with which it is affiliated shall be the price determined pursuant to the regulations issued under this section.

              A sale shall not be a violation of this section if it is made pursuant to the terms of a franchise or sales contract entered into before the date of the enactment of this section.

              The commissioner of the division of standards, in conjunction with the commissioner of the division of energy resources, shall promulgate rules and regulations requiring full disclosure by refiners and distributors of their wholesale motor fuel pricing policies, with a separate listing of each component contributing to prices, including the cost of crude oil, refining, marketing, transportation, equipment, overhead, and profit, along with a description of any rebates, incentives, and market enhancement allowances. Such rules and regulations shall establish procedures for determining the price an owner or operator of a terminal facility charges a distributor or retailer which it owns or with which it is affiliated.

              All information acquired pursuant to these regulations shall be made available to the general public.  Such information shall be disseminated to the public through the division of energy resources. Such information shall be conspicuously posted at all retail motor fuel facilities in a manner clearly available and understandable to retail consumers. Such information shall be included in or with each invoice for the wholesale sale of motor fuel.  

              In  addition to any other remedies provided by law, whenever there shall be a violation of this section, an injunction may be made by the Attorney General, and, upon notice to the defendant of not less than five days, to enjoin and restrain the continuance of such violations; and if it shall  appear to the satisfaction of a court that the defendant has, in fact, violated this section, an injunction may be issued by said court, enjoining or restraining any further violation, without requiring proof that any person has, in fact, been injured or damaged thereby.  Whenever the court shall determine that a violation of this section has occurred, the court may impose a civil penalty of not more than ten thousand dollars for each violation.

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