Bill Text: CA SB1074 | 2017-2018 | Regular Session | Introduced


Bill Title: Motor vehicle fuel: disclosure of government-imposed costs.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2018-04-13 - Set for hearing April 23. [SB1074 Detail]

Download: California-2017-SB1074-Introduced.html


CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Senate Bill No. 1074


Introduced by Senator Moorlach

February 12, 2018


An act to amend Section 13651 of, and to add Section 13654 to, the Business and Professions Code, and to add Chapter 4.7 (commencing with Section 25370) to Division 15 of the Public Resources Code, relating to vehicular fuel.


LEGISLATIVE COUNSEL'S DIGEST


SB 1074, as introduced, Moorlach. Motor vehicle fuel: disclosure of government-imposed costs.
Existing law prohibits a person from selling at retail to the general public any motor vehicle fuel from any place of business in the state, unless there is displayed on the dispensing apparatus in a conspicuous place at least one sign or price indicator showing the total price per gallon, liter, or other unit of measurement of all motor vehicle fuel sold from the dispensing apparatus, including applicable fuel taxes and all sales taxes. Existing law requires every service station in the state to display, at a conspicuous place on, at, or near the dispensing apparatus or at or near the point of sale, at least one clearly visible sign showing a list of applicable state and federal fuel taxes per gallon of motor vehicle fuel sold from the dispensing apparatus.
This bill would recast these provisions, requiring that every service station display, at a conspicuous place on, at, or near the dispensing apparatus or at or near the point of sale, at least one clearly visible sign showing a list of applicable state and federal fuel taxes per gallon of motor vehicle fuel sold from the dispensing apparatus, and would additionally require the sign to display the state sales tax, refinery reformatting costs, state underground storage fee costs, cap-and-trade program compliance costs, Low-Carbon Fuel Standard program compliance costs, and federal renewable fuels standard program compliance costs per gallon of motor vehicle fuel sold from the dispensing apparatus.
The Warren-Alquist State Energy Resources Conservation and Development Act establishes the State Energy Resources Conservation and Development Commission. The act requires the commission to serve as a central repository within the state government for the collection, storage, retrieval, and dissemination of data and information on all forms of energy supply, demand, conservation, public safety, research, and related subjects. The Petroleum Industry Information Reporting Act of 1980 requires refiners, among others, to provide periodic reports to the commission containing designated information regarding petroleum supplies and price.
This bill would require the commission to maintain a page on its Internet Web site that contains a concise breakdown of the following information relative motor vehicle fuel: (1) the federal fuel tax per gallon, (2) the state fuel tax per gallon, (3) the state sales tax per gallon, (4) refinery reformatting costs per gallon, (5) state underground storage fee costs per gallon, (6) cap-and-trade program compliance costs per gallon, (7) Low-Carbon Fuel Standard program compliance costs per gallon, and (8) renewable fuels standard program compliance costs per gallon. The bill would require that the costs be displayed both as a percentage, where applicable, and on a total cost per gallon basis for an average priced gallon of the type of motor vehicle fuel. The bill would require the commission to regularly update, not less than monthly, the breakdown of costs to adjust for fluctuations in the retail costs of motor vehicle fuels. The bill would authorize the commission to include any other government-imposed costs that are reflected in the price of motor vehicle fuel to the extent these may be reasonably calculated. The bill would require the commission to develop an edit ready dynamic or quick read code that is to be displayed on each dispensing apparatus at service stations that will enable a consumer with a smartphone to readily access information on the commission’s Internet Web page while at the dispensing apparatus. The bill would require that the Internet Web page include a readily accessible cost calculator that enables a consumer to enter the gallons of gasoline or diesel pumped and the retail price per gallon, and obtain a calculation of the total government-imposed costs and the percentage of government-imposed costs of the total amount charged. The bill would require every service station to display, at a conspicuous place on each dispensing apparatus, a notification to consumers of the availability of information relative to government-imposed costs and the means to readily access this information on the Internet Web site of the commission. The bill would require the commission, in consultation with representatives of the motor vehicles fuel industry, to establish guidelines for service stations to comply with the signage and notification requirements of the bill.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 13651 of the Business and Professions Code is amended to read:

13651.
 (a) (1) On and after January 1, 2000, every service station in this state shall provide, during operating hours, and make available at no cost to customers who purchase motor vehicle fuel, water, compressed air, and a gauge for measuring air pressure, to the public for use in servicing any passenger vehicle, as defined in Section 465 of the Vehicle Code, or any commercial vehicle, as defined in Section 260 of the Vehicle Code, with an unladen weight of 6,000 pounds or less.
(2) Every service station in this state shall display, at a conspicuous place on, at, or near the dispensing apparatus, at least one clearly visible sign which shall read as follows: “CALIFORNIA LAW REQUIRES THIS STATION TO PROVIDE FREE AIR AND WATER FOR AUTOMOTIVE PURPOSES TO ITS CUSTOMERS WHO PURCHASE MOTOR VEHICLE FUEL. IF YOU HAVE A COMPLAINT NOTIFY THE STATION ATTENDANT AND/OR CALL THIS TOLL-FREE TELEPHONE NUMBER: 1 (800) ___ ____.” This sign shall meet the requirements of Sections 13473 and 13474 with regard to letter size and contrast. As used in this paragraph, automotive purposes does not include the washing of vehicles.
(b) (1) On and after January 1, 1990, every service station in this state located within 660 feet of an accessible right-of-way of an interstate or primary highway, as defined in Sections 5215 and 5220, shall provide, during business hours public restrooms for use by its customers. Service stations shall not charge customers separately for the use of restroom facilities.
(2) The public restroom shall not be temporary or portable but shall be permanent and shall include separate facilities for men and women, each with toilets and sinks suitable for use by disabled persons in accordance with Section 19955.5 of the Health and Safety Code and Title 24 of the California Code of Regulations. However, a service station not located along an interstate highway and in a rural area, as defined by Section 101 of Title 23 of the United States Code, and where the annualized average daily traffic count is 2,500 vehicles or less, is only required to provide a single restroom to be used by both men and women unless the local legislative body or, upon designation by the local legislative body, the local building official determines and finds, based upon traffic studies and local or seasonal tourist patterns, that a single restroom would be inadequate to serve the public. In that event, the single restroom exemption shall not apply. The single restroom shall contain a toilet, urinal, and sink suitable for use by disabled persons as required by the Americans With Disabilities Act and Title 24 of the California Code of Regulations. The single restroom shall be equipped with a locking mechanism to be operated by the user of the restroom and the restroom shall be maintained in a clean and sanitary manner.
(3) This subdivision does not apply to service stations that are operational prior to January 1, 1990, and that would be obligated to construct permanent restroom facilities to comply with this subdivision.
(4) For the purposes of this subdivision, “customer” means a person who purchases any product available for sale on the premises of the service station, including items not related to the repairing or servicing of a motor vehicle.

(c)Every service station in this state shall display, at a conspicuous place on, at, or near the dispensing apparatus or at or near the point of sale, at least one clearly visible sign showing a list of applicable state and federal fuel taxes per gallon of motor vehicle fuel sold from the dispensing apparatus. The sign may display the federal excise tax rate as “up to $.184.”

(d)

(c) (1) The Division of Measurement Standards of the Department of Food and Agriculture shall, no later than January 1, 2001, establish a toll-free customer complaint telephone number. The toll-free telephone number thereby established shall be printed on the sign required pursuant to paragraph (2) of subdivision (a).
(2) Notwithstanding any other provision of law, employees of the Division of Measurement Standards, upon inspection, or upon notice of a complaint forwarded pursuant to this section, are empowered to investigate a complaint against a service station for lack of free air and water and issue a citation to the station, and to collect a fine of two hundred fifty dollars ($250) per valid complaint, unless the citation is challenged in court. No citation shall be issued if the air and water equipment is in good working order upon initial inspection, or if they are repaired to the satisfaction of the inspecting entity within 10 working days of the initial inspection. In addition, no citation based on nonfunctional air and water equipment shall be issued if the service station can establish that the equipment has been the target of repeated vandalism, substantiated by three or more police reports within six months detailing the vandalism.

SEC. 2.

 Section 13654 is added to the Business and Professions Code, to read:

13654.
 (a) For purposes of this section “cap-and-trade program,” “federal fuel tax,” “Low-Carbon Fuel Standard,” “refinery reformatting costs,” “renewable fuels standard,” “state sales tax,” “state fuel tax,” and “state underground storage fee” have the same meanings as defined in Section 25370 of the Public Resources Code.
(b) Every service station in this state shall display, at a conspicuous place on, at, or near the dispensing apparatus or at or near the point of sale, at least one clearly visible sign showing each of the following with respect to motor vehicle fuel sold from the dispensing apparatus:
(1) The federal fuel tax per gallon of motor vehicle fuel sold from the dispensing apparatus. The sign may display the federal excise tax rate as “up to $0.184.”
(2) The state fuel tax per gallon of motor vehicle fuel sold from the dispensing apparatus.
(3) The state sales tax per gallon of motor vehicle fuel sold from the dispensing apparatus.
(4) Refinery reformatting costs per gallon of motor vehicle fuel sold from the dispensing apparatus.
(5) State underground storage fee costs per gallon of motor vehicle fuel sold from the dispensing apparatus.
(6) Cap-and-trade program compliance costs per gallon of motor vehicle fuel sold from the dispensing apparatus.
(7) Low-Carbon Fuel Standard program compliance costs per gallon of motor vehicle fuel sold from the dispensing apparatus.
(8) Renewable fuels standard program compliance costs per gallon of motor vehicle fuel sold from the dispensing apparatus.
(c) The signs required by subdivision (b) shall use the percentages or costs per gallon determined by the State Energy Resources Conservation and Development Commission pursuant to Chapter 4.7 (commencing with Section 25370) of Division 15 of the Public Resources Code. For gasoline, the amounts shown shall be for regular grade gasoline. If the commission determines that costs differ for branded or unbranded service stations, a branded service station shall display the amounts determined by the commission for branded regular gasoline, while an unbranded service station shall display the amounts determined by the commission for unbranded regular gasoline.
(d) Every service station in this state shall display, at a conspicuous place on each dispensing apparatus, a notification to consumers of the availability of information relative to government-imposed costs and the means to readily access this information on the Internet Web site of the State Energy Resources Conservation and Development Commission pursuant to Chapter 4.7 (commencing with Section 25370) of Division 15 of the Public Resources Code. The notification to consumers shall include an edit ready dynamic or quick read code developed by the commission to enable a consumer with an advanced mobile telephony handset, commonly known as a smartphone, to readily access the information while at the dispensing apparatus.

SEC. 3.

 Chapter 4.7 (commencing with Section 25370) is added to Division 15 of the Public Resources Code, to read:
CHAPTER  4.7. Motor Vehicle Fuel Pricing

25370.
 For purposes of this chapter, the following terms have the following meanings:
(a) “Cap-and-trade program” means the market-based compliance mechanism developed by the State Air Resources Board pursuant to the California Global Warming Solutions Act of 2006 (Part 5 (commencing with Section 38570) of Division 25.5 of the Health and Safety Code).
(b) “Federal fuel tax” means the rates of tax imposed on gasoline and diesel pursuant to Section 4081 of the Internal Revenue Code (26 U.S.C. Sec. 4081).
(c) “Low-Carbon Fuel Standard” means the requirements of the low-carbon fuel standard regulations adopted by the State Air Resources Board (Subarticle 7 (commencing with Section 95480) of Title 17 of the California Code of Regulations).
(d) “Refinery reformatting costs” means the additional cost to refine petroleum to meet the California Reformatted Gasoline Regulations adopted by the State Air Resources Board (Article 1 (commencing with Section 2250) of Chapter 5 of Division 3 of Title 13 of the California Code of Regulations).
(e) “Renewable fuels standard” means the federal program that requires transportation fuel sold in the United States to contain a minimum volume of renewable fuels (42 U.S.C. Sec. 7545).
(f) (1) “State sales tax” with respect to gasoline means the rate of tax imposed on gasoline as a motor vehicle fuel, calculated in light of subdivision (b) of Section 6357.7 of the Revenue and Taxation Code and any other applicable law.
(2) “State sales tax” with respect to diesel means the rate of tax imposed on diesel as a motor vehicle fuel, calculated in light of subdivision (b) of Section 6357.7 of the Revenue and Taxation Code and any other applicable law, and the tax imposed on retail sales of diesel pursuant to Section 6051.8 of the Revenue and Taxation Code.
(g) (1) “State fuel tax” with respect to gasoline means the rate of tax imposed on gasoline pursuant to Chapter 2 (commencing with Section 7360) of Part 2 of Division 2 of the Revenue and Taxation Code.
(2) “State fuel tax” with respect to diesel means the rate of tax imposed on diesel pursuant to Chapter 2 (commencing with Section 60050) of Part 31 of Division 2 of the Revenue and Taxation Code.
(h) “State underground storage fee” means the fee imposed upon the owner of an underground storage tank based upon each gallon of petroleum placed in the storage tank pursuant to Section 25299.41 of the Health and Safety Code and paid to the State Board of Equalization pursuant to Part 26 (commencing with Section 50101) of Division 2 of the Revenue and Taxation Code.

25371.
 (a) The commission shall maintain a page on its Internet Web site that contains a concise breakdown of the following information relative to government-imposed costs upon the price of motor vehicle fuel sold in California:
(1) The federal fuel tax per gallon.
(2) The state fuel tax per gallon.
(3) The state sales tax per gallon.
(4) Refinery reformatting costs per gallon.
(5) State underground storage fee costs per gallon.
(6) Cap and trade program compliance costs per gallon.
(7) Low-Carbon Fuel Standard program compliance costs per gallon.
(8) Renewable fuels standard program compliance costs per gallon.
(b) (1) The costs shall be displayed both as a percentage, where applicable, and on a total cost per gallon basis for an average priced gallon of the type of motor vehicle fuel. The commission shall regularly update, not less than monthly, the breakdown of costs to adjust for fluctuations in the retail costs of motor vehicle fuels. The commission shall include information on how each cost item was determined or calculated by the commission. The commission may make this information available through use of a Uniform Resource Locator (URL) point and click connection.
(2) The commission shall determine if there are any differences in government-imposed costs based upon the grade of gasoline for those grades that are commonly sold in California. If the commission determines that differences exist, and the commission determines that those differences may be of interest to consumers, the commission’s Internet Web site page shall note those differences. If the commission determines that any differences would be of little or no interest to consumers, the costs displayed shall be for regular grade gasoline. The information displayed for diesel shall be for ultra low-sulfur diesel.
(3) The commission shall determine if there are any differences in government-imposed costs based upon whether gasoline or diesel is branded or unbranded. If the commission determines that differences exist, and the commission determines that those differences may be of interest to consumers, the commission’s Internet Web site page shall note those differences. If the commission determines that any differences would be of little or no interest to consumers, the costs displayed shall be for branded gasoline and diesel.
(4) The commission may include any other government-imposed costs that are reflected in the price of motor vehicle fuel, including, but not limited to, underground storage tank fees (Sections 25287 and 25404.5 of the Health and Safety Code), expenses associated with the Lempert-Keene-Seastrand and Oil Spill Prevention and Response Act (Section 8670.1 of the Government Code), or occupational health and safety measures that are unique to the refinery industry, to the extent these costs may be reasonably calculated.
(c) The commission shall develop an edit ready dynamic or quick read code that is to be displayed on each dispensing apparatus that will enable a consumer with a smartphone to readily access information on the commission’s Internet Web site page while at the dispensing apparatus. The Internet Web site page shall include a readily accessible cost calculator that enables a consumer to enter the gallons of gasoline or diesel pumped and the retail price per gallon and that will calculate the total government-imposed costs and the percentage of government-imposed costs of the total amount charged. The calculator shall enable the consumer to readily obtain a breakdown of each of the taxes (paragraphs (1), (2), and (3) of subdivision (b)), separate from the environmental-protection-related costs (paragraphs (4), (5), (6), (7), and (8) of subdivision (b)).

25372.
 The commission, in consultation with representatives of the motor vehicles fuel industry, shall establish guidelines for service stations to comply with the signage and notification requirements of Section 13654 of the Business and Professions Code.

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