Bill Text: NY A00979 | 2017-2018 | General Assembly | Introduced

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Bill Title: Relates to zone pricing of gasoline.

Spectrum: Slight Partisan Bill (Democrat 15-5)

Status: (Engrossed - Dead) 2018-04-18 - REFERRED TO CONSUMER PROTECTION [A00979 Detail]

Download: New_York-2017-A00979-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________
            S. 1618                                                   A. 979
                               2017-2018 Regular Sessions
                SENATE - ASSEMBLY
                                    January 10, 2017
                                       ___________
        IN  SENATE  --  Introduced  by  Sens.  LAVALLE, GRIFFO -- read twice and
          ordered printed, and when printed to be committed to the Committee  on
          Consumer Protection
        IN  ASSEMBLY  --  Introduced  by M. of A. THIELE, BRINDISI, COOK, GALEF,
          JAFFEE, JENNE, McKEVITT, RAIA, SALADINO,  SANTABARBARA,  ZEBROWSKI  --
          Multi-Sponsored  by -- M. of A.  ABBATE, BLANKENBUSH, CUSICK, DenDEKK-
          ER, HAWLEY, HOOPER, PALUMBO, RA --  read  once  and  referred  to  the
          Committee on Economic Development
        AN ACT to amend the general business law, in relation to zone pricing of
          gasoline,  and  to amend chapter 579 of the laws of 2008, amending the
          general business law relating to zone pricing of gasoline, in relation
          to zone pricing for retail motor fuel based on geographic location
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section  1.  Paragraph  (a)  of subdivision 1 of section 399-ee of the
     2  general business law is relettered paragraph (a-1) and a  new  paragraph
     3  (a) is added to read as follows:
     4    (a)  "Additional costs" means all replacement and transportation costs
     5  and taxes incurred.
     6    § 2. Paragraph (g) of subdivision 1 of section 399-ee of  the  general
     7  business law, as added by chapter 579 of the laws of 2008, is amended to
     8  read as follows:
     9    (g)  "Relevant geographic market" means the geographic area [of effec-
    10  tive competition] which is supplied by the same terminal facility.
    11    § 3. Paragraph (m) of subdivision 1 of section 399-ee of  the  general
    12  business law, as added by chapter 579 of the laws of 2008, is amended to
    13  read as follows:
    14    (m)  "Zone  pricing"  means  the  [arbitrary]  establishment  of price
    15  differences based on the geographical  location  of  the  retail  outlet
    16  within  the relevant geographic market, [based on] without regard to the
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD02092-01-7
        S. 1618                             2                             A. 979
     1  posted terminal price [or] and any additional costs where the effect  is
     2  to injure competition.
     3    §  4.  Subdivision 2 of section 399-ee of the general business law, as
     4  added by chapter 579 of the laws of 2008, is amended to read as follows:
     5    2. No wholesaler or dealer shall engage in zone pricing  with  respect
     6  to  any motor fuel of like grade or quality, which is supplied to dealer
     7  operated retail outlets.
     8    § 5. Subdivision 3 of section 399-ee of the general  business  law  is
     9  amended by adding a new undesignated paragraph to read as follows:
    10    Notwithstanding  any  right  of  action  to  the  attorney  general as
    11  provided in this section, a wholesaler or dealer who has been injured by
    12  reason of a violation of this section may bring an action in his or  her
    13  own  name to enjoin such unlawful act, however, no damages of any nature
    14  shall be recoverable in such action.
    15    § 6. Section 2 of chapter 579 of the laws of 2008, amending the gener-
    16  al business law relating to zone pricing of gasoline, is amended to read
    17  as follows:
    18    § 2. Legislative findings and intent. The legislature hereby finds and
    19  declares that for the past several years motor fuel prices have  greatly
    20  fluctuated.  In  some  cases,  price  fluctuations are caused by natural
    21  market conditions. In other cases, fluctuations result  from  artificial
    22  manipulation  of the market. One such artificial pricing manipulation is
    23  zone pricing. Zone pricing is the setting of different wholesale  prices
    24  for retail motor fuel [that operate in different geographic areas] based
    25  on geographic location. Zone pricing increases the price of retail motor
    26  fuel  for  certain  consumers, leading to inequities among consumers and
    27  regions around the state.   Therefore, the legislature  hereby  declares
    28  that  while  natural  market occurrences may lead to price fluctuations,
    29  artificial changes in motor fuel prices  unfairly  harm  many  consumers
    30  around the state.
    31    §  7.  This  act shall take effect on the thirtieth day after it shall
    32  have become a law.