Bill Text: IA HF629 | 2021-2022 | 89th General Assembly | Introduced


Bill Title: A bill for an act relating to renewable fuel used to power motor vehicles, including by providing for standards and restricting the sale of gasoline not blended with ethanol, making penalties applicable, and including effective date provisions.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced - Dead) 2021-02-23 - Introduced, referred to Agriculture. H.J. 499. [HF629 Detail]

Download: Iowa-2021-HF629-Introduced.html
House File 629 - Introduced HOUSE FILE 629 BY B. MEYER and OLSON A BILL FOR An Act relating to renewable fuel used to power motor vehicles, 1 including by providing for standards and restricting the 2 sale of gasoline not blended with ethanol, making penalties 3 applicable, and including effective date provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 1088YH (3) 89 da/ns
H.F. 629 Section 1. NEW SECTION . 214.2A Disciplinary action. 1 The department may refuse to issue or renew and may suspend 2 or revoke a license issued to a retail dealer pursuant to 3 section 214.2 for a violation of this chapter, or chapter 214A, 4 including rules adopted by the department pursuant to section 5 214A.2. 6 Sec. 2. Section 214A.1, Code 2021, is amended by adding the 7 following new subsections: 8 NEW SUBSECTION . 11A. “Dispensing unit” means the equipment 9 connected to a motor fuel pump located at a retail motor fuel 10 site, if the equipment includes a nozzle to control the flow of 11 motor fuel discharged from the motor fuel storage tank to an 12 end point including the fuel supply tank of a motor vehicle. 13 NEW SUBSECTION . 26B. “Restricted use gasoline” means 14 gasoline that meets the standards of section 214A.2 and is 15 subject to restrictions based on classifications provided in 16 section 214A.31. 17 NEW SUBSECTION . 30B. “Standard gasoline” means ethanol 18 blended gasoline that meets the standards of section 214A.2 and 19 is classified as provided in section 214A.31. 20 Sec. 3. Section 214A.1, subsection 16, Code 2021, is amended 21 to read as follows: 22 16. “Gasoline” means any liquid product prepared, 23 advertised, offered for sale , or sold for use as, or 24 commonly and commercially used as, motor fuel for use in a 25 spark-ignition, internal combustion engine, and which if it 26 meets the specifications standards provided in section 214A.2 . 27 Sec. 4. Section 214A.1, subsection 30, Code 2021, is amended 28 by striking the subsection. 29 Sec. 5. NEW SECTION . 214A.1A Disciplinary action. 30 The department may refuse to issue or renew and may suspend 31 or revoke a license issued to a retail dealer pursuant to 32 section 214.2 for any violation of this chapter, including 33 rules adopted by the department pursuant to section 214A.2. 34 Sec. 6. Section 214A.2, subsection 3, paragraph b, Code 35 -1- LSB 1088YH (3) 89 da/ns 1/ 8
H.F. 629 2021, is amended by striking the paragraph and inserting in 1 lieu thereof the following: 2 b. If the motor fuel is advertised for sale or sold as 3 ethanol or ethanol blended gasoline, the motor fuel must 4 comply with departmental standards which shall meet all of the 5 following requirements: 6 (1) (a) Ethanol must be a fuel grade agriculturally 7 derived ethyl alcohol and must meet the requirements 8 of 27 C.F.R. pts. 20 and 21 and A.S.T.M. international 9 specification D4806 for blending with gasoline for use as 10 automotive spark-ignition engine fuel, or a successor A.S.T.M. 11 international specification, as established by rules adopted 12 by the department. 13 (b) Ethanol shall be classified as E-100. 14 (c) Gasoline containing no ethanol or trace amounts of 15 ethanol shall be classified as E-0. 16 (2) Gasoline blended with ethanol must meet requirements 17 based in part or in whole on A.S.T.M. international 18 specification D4814, or a successor A.S.T.M. international 19 specification, as established by rules adopted by the 20 department. 21 (3) Except as otherwise provided in this subparagraph, 22 ethanol blended gasoline shall be classified as E-xx where 23 “xx” is the volume percent of ethanol in the ethanol blended 24 gasoline. However, all of the following shall apply: 25 (a) Ethanol blended gasoline with a percentage of at least 26 nine but not more than ten percent by volume of ethanol shall 27 be classified as E-10. 28 (b) Ethanol blended gasoline with a percentage of fifteen 29 percent by volume of ethanol shall be classified as E-15. 30 (c) Ethanol blended gasoline with a percentage of at least 31 seventy but not more than eighty-five percent by volume of 32 ethanol shall be classified as E-85. E-85 gasoline must meet 33 A.S.T.M. international specification D5798, or a successor 34 A.S.T.M. international specification, as established by rules 35 -2- LSB 1088YH (3) 89 da/ns 2/ 8
H.F. 629 adopted by the department. 1 (4) In ensuring that ethanol blended gasoline meets the 2 classification requirements of this section, the department 3 shall take into account reasonable variations due to testing 4 and other limitations. 5 (5) Ethanol blended gasoline classified as higher than 6 E-20, other than E-85, must conform to A.S.T.M. international 7 specifications adopted by the department. 8 Sec. 7. Section 214A.2, subsection 3, paragraph c, Code 9 2021, is amended by adding the following new subparagraph: 10 NEW SUBPARAGRAPH . (3) (a) Biobutanol blended gasoline 11 shall be classified as Bu-xx where “xx” is the volume percent 12 of biobutanol in the biobutanol blended gasoline. 13 (b) In ensuring that biobutanol blended gasoline meets the 14 classification requirements of this section, the department 15 shall take into account reasonable variations due to testing 16 and other limitations. 17 Sec. 8. Section 214A.2, subsection 4, paragraph b, 18 subparagraph (1), Code 2021, is amended by adding the following 19 new subparagraph divisions: 20 NEW SUBPARAGRAPH DIVISION . (a) Biodiesel shall be 21 classified as B-100. 22 NEW SUBPARAGRAPH DIVISION . (b) Diesel fuel containing no 23 biodiesel or trace amounts of biodiesel shall be classified as 24 B-0. 25 Sec. 9. Section 214A.2, subsection 4, paragraph b, Code 26 2021, is amended by adding the following new subparagraph: 27 NEW SUBPARAGRAPH . (04) (a) Biodiesel blended fuel shall be 28 classified B-xx where “xx” is the volume percent of biodiesel 29 in the biodiesel blended fuel. 30 (b) In ensuring that biodiesel blended fuel meets the 31 classification requirements of this section, the department 32 shall take into account reasonable variations due to testing 33 and other limitations. 34 Sec. 10. Section 214A.2, subsection 5, Code 2021, is amended 35 -3- LSB 1088YH (3) 89 da/ns 3/ 8
H.F. 629 by striking the subsection. 1 Sec. 11. Section 214A.3, subsection 2, Code 2021, is amended 2 to read as follows: 3 2. For a renewable fuel, all of the following apply: 4 a. A person shall not knowingly falsely advertise that a 5 motor fuel for sale is a renewable fuel or is not a renewable 6 fuel. 7 b. (1) Ethanol blended A person shall not knowingly 8 falsely advertise that gasoline sold by a dealer shall be 9 designated according to its classification as provided in 10 section 214A.2 for sale is or is not restricted use gasoline . 11 However, a person advertising E-9 or E-10 gasoline may only 12 designate it as ethanol blended gasoline. A person advertising 13 ethanol blended gasoline formulated with a percentage of 14 between seventy and eighty-five percent by volume of ethanol 15 shall designate it as E-85. A person shall not knowingly 16 falsely advertise ethanol blended gasoline for sale by using 17 an inaccurate designation in violation of this subparagraph 18 classification as provided in section 214A.2 . 19 (2) A person shall not knowingly falsely advertise 20 biobutanol blended gasoline for sale by using an inaccurate 21 designation classification as provided in section 214A.2 . 22 (3) A person shall not knowingly falsely advertise 23 biodiesel fuel for sale by using an inaccurate designation 24 classification as provided in section 214A.2 . 25 Sec. 12. Section 214A.16, subsection 1, Code 2021, is 26 amended to read as follows: 27 1. a. If ethanol blended a retail dealer advertises for 28 sale or sells restricted use gasoline is sold from a motor fuel 29 pump dispensing unit , the motor fuel pump dispensing unit shall 30 have affixed a decal identifying the ethanol blended gasoline 31 is restricted use gasoline . 32 b. If the motor fuel pump dispenses a retail dealer 33 advertises for sale or sells ethanol blended gasoline 34 classified as E-11 to E-15 for use in gasoline-powered vehicles 35 -4- LSB 1088YH (3) 89 da/ns 4/ 8
H.F. 629 not required to be flexible fuel vehicles from a dispensing 1 unit , the motor fuel pump dispensing unit shall have affixed 2 a decal as prescribed by the United States environmental 3 protection agency , including as provided in 40 C.F.R. pt. 80 . 4 c. If the motor fuel pump dispenses a retail dealer 5 advertises for sale or sells ethanol blended gasoline 6 classified as higher than standard ethanol blended gasoline 7 pursuant to section 214A.2 E-85 from a dispensing unit , the 8 dispensing unit shall have affixed a decal shall contain 9 language that identifies the ethanol blended gasoline is for 10 use in flexible fuel vehicles as prescribed by the United 11 States environmental protection agency . 12 d. If a retail dealer advertises for sale or sells 13 biobutanol blended gasoline is sold from a motor fuel pump 14 dispensing unit , the motor fuel pump dispensing unit shall have 15 affixed a decal identifying the biobutanol blended gasoline. 16 e. If a retail dealer advertises for sale or sells biodiesel 17 blended fuel is sold from a motor fuel pump dispensing unit , 18 the motor fuel pump dispensing unit shall have affixed a decal 19 identifying the biodiesel blended fuel as provided in 16 C.F.R. 20 pt. 306. 21 Sec. 13. NEW SECTION . 214A.31 Renewable fuel requirements 22 —— standard gasoline and restricted use gasoline. 23 1. a. A retail dealer may advertise for sale or sell 24 standard gasoline classified as E-10 or higher as provided in 25 section 214A.2 from any number of dispensing units located at a 26 retail motor fuel site. 27 b. Except as provided in subsection 2, a retail dealer 28 shall not advertise for sale or sell restricted use gasoline 29 classified as E-0 from more than one dispensing unit located at 30 a retail motor fuel site. 31 2. A retail dealer may advertise for sale or sell restricted 32 use gasoline from one or more dispensing units located at 33 a restricted retail motor fuel site. For purposes of this 34 section, a restricted retail motor fuel site is limited to any 35 -5- LSB 1088YH (3) 89 da/ns 5/ 8
H.F. 629 of the following: 1 a. An airport as defined in section 328.1. 2 b. A facility primarily used to support motor vehicles that 3 are not registered for highway use, including but not limited 4 to a location dedicated to motor vehicle racing. 5 c. A marina that provides a secured mooring or dry dock 6 storage for watercraft as defined in section 462A.2. 7 d. A location that is primarily used to store or sell any 8 of the following: 9 (1) Motor vehicles manufactured before 1985. 10 (2) All-terrain vehicles or motorcycles, as those terms are 11 defined in section 321.1, or snowmobiles as defined in section 12 321G.1. 13 Sec. 14. NEW SECTION . 214A.32 Renewable fuel —— restricted 14 use gasoline waiver. 15 1. The secretary of agriculture may issue or renew an 16 administrative order temporarily waiving a requirement that a 17 retail dealer comply with section 214A.31. 18 2. The order shall allow the retail dealer to advertise 19 for sale and sell restricted use gasoline from any number of 20 dispensing units at the retail dealer’s retail motor fuel site. 21 3. The order must be supported by credible evidence that the 22 retail dealer has not been able to reasonably obtain standard 23 gasoline to offer for sale or sell at the retail dealer’s 24 retail motor fuel site. 25 4. An order shall not apply to more than one retail motor 26 fuel site. 27 5. The department shall publish a copy of the order on the 28 department’s internet site within ten days after its issuance. 29 6. The order shall expire six months from the date of its 30 issuance, unless a shorter period is stated in the order. 31 Sec. 15. EFFECTIVE DATE. This Act takes effect January 1, 32 2022. 33 EXPLANATION 34 The inclusion of this explanation does not constitute agreement with 35 -6- LSB 1088YH (3) 89 da/ns 6/ 8
H.F. 629 the explanation’s substance by the members of the general assembly. 1 STANDARDS. This bill provides for the regulation of 2 motor fuel, which provisions are administered and enforced 3 by the department of agriculture and land stewardship (DALS) 4 (Code chapter 214A). This includes two types of motor fuel, 5 including gasoline, and specifically ethanol blended gasoline 6 beginning with an ethanol percentage of between 9 and 10 7 percent by volume (E-10). It also includes diesel fuel, and 8 specifically biodiesel blended fuel beginning with a minimum 9 biodiesel percentage of 1 percent (B-1). The bill amends 10 standards governing motor fuel and classifications of motor 11 fuel including nonblended gasoline (e.g., E-0) and blended 12 formulations (e.g., E-10). 13 RESTRICTED USE GASOLINE PROHIBITED. The bill designates 14 nonblended gasoline classified as E-0 as restricted use 15 gasoline (amended Code section 214A.1 and new Code section 16 214A.31), and prohibits its sale in this state. The bill 17 expressly allows the sale of standard gasoline which is ethanol 18 blended gasoline classified as E-10 or higher. The bill does 19 recognize two types of exceptions. A single dispensing unit 20 may be reserved at a site to dispense restricted use gasoline. 21 A restricted site may be used to dispense restricted use 22 gasoline from any number of dispensing units. Such restricted 23 sites include an airport, a facility servicing motor vehicles 24 engaged in racing, a marina, or a location used to store 25 or sell older model motor vehicles, all-terrain vehicles, 26 motorcycles, or snowmobiles. 27 ADVERTISING AND NOTICE PROVISIONS. The bill requires that 28 when advertising gasoline for sale, a dealer must designate its 29 restricted status (amended Code section 214A.3). It eliminates 30 a provision that requires that a decal be placed on a motor 31 fuel pump that notifies the traveling public that gasoline is 32 blended with ethanol. It provides that a decal must identify 33 gasoline as restricted (amended Code section 214A.16). 34 WAIVER AND SUSPENSION. The bill authorizes the secretary of 35 -7- LSB 1088YH (3) 89 da/ns 7/ 8
H.F. 629 agriculture to issue an order temporarily waiving a requirement 1 that a dealer comply with the restricted use requirements if 2 there is credible evidence that the dealer has not been able to 3 reasonably obtain standard gasoline (new Code section 214A.32). 4 PENALTY. A person who violates a provision of Code chapter 5 214A is guilty of a serious misdemeanor (Code section 214A.11). 6 A serious misdemeanor is punishable by confinement for no more 7 than one year and a fine of at least $430 but not more than 8 $2,560. Alternatively, the state may initiate an alternative 9 civil proceeding against the person for at least $100 but not 10 more than $1,000 for each violation. 11 EFFECTIVE DATE. The bill takes effect January 1, 2022. 12 -8- LSB 1088YH (3) 89 da/ns 8/ 8
feedback