HOUSE BILL No. 6018

 

June 15, 2004, Introduced by Reps. Amos, LaJoy, Vander Veen, Nitz, Garfield, DeRossett, Meyer, Hart, Caul, Pappageorge, Rocca, Hune, Sheen, Taub, Middaugh, Gaffney, Van Regenmorter, Pastor, Nofs and Cheeks and referred to the Committee on Agriculture and Resource Management.

        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to amend 1984 PA 44, entitled                                              

                                                                                

    "Motor fuels quality act,"                                                  

                                                                                

    by amending sections 4, 5, 10, 10a, and 10b (MCL 290.644,                   

                                                                                

    290.645, 290.650, 290.650a, and 290.650b), section 4 as amended             

                                                                                

    by 2003 PA 116 and sections 5, 10a, and 10b as amended by 2002 PA           

                                                                                

    13.                                                                         

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1       Sec. 4.  (1) A retail dealer shall not transfer, sell,                      

                                                                                

2   dispense, or offer gasoline for sale in this state unless the               

                                                                                

3   pump dispensing the gasoline is posted with a notice, as provided           

                                                                                

4   in subsection (2), that indicates the grade of gasoline and the             

                                                                                

5   additives in the gasoline that are dispensed from the pump.  If             

                                                                                

6   the gasoline contains at least 1% alcohol by volume, the notice             

                                                                                

7   shall state:  "Contains (indicate the type of alcohol such as               

                                                                                

8   methanol, and if methanol the label shall state "alcohol:                   

                                                                                


                                                                                

1   methanol", followed, in the same size type, by the concentration            

                                                                                

2   to the nearest whole percent)".  If the gasoline contains                   

                                                                                

3   alcohols or ethers that have a molecular weight greater than                

                                                                                

4   ethanol and are not mixed with methanol, those alcohols or ethers           

                                                                                

5   are not subject to the notice requirement of this section.                  

                                                                                

6   Gasoline that contains 10% or less ethanol is not subject to the            

                                                                                

7   notice requirement of this section.                                         

                                                                                

8       (2) The director shall design a uniform means of providing                  

                                                                                

9   the notice required by subsection (1).  The notice shall be                 

                                                                                

10  designed in such a manner that the consumer can readily identify            

                                                                                

11  the grade of gasoline and the additives in the gasoline.  The               

                                                                                

12  notice shall include a statement indicating that the gasoline               

                                                                                

13  dispensed from the pump meets the quality and purity standards              

                                                                                

14  established by the laws of this state and indicating the number             

                                                                                

15  of the 24-hour toll free consumer hot line maintained pursuant to           

                                                                                

16  section 7(2).                                                               

                                                                                

17      (3) The director shall include the design for the uniform                   

                                                                                

18  notice required by this section in a rule promulgated under the             

                                                                                

19  administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to           

                                                                                

20  24.328.                                                                     

                                                                                

21      (4) A person who violates this section or rules promulgated                 

                                                                                

22  pursuant to this section is liable for a civil fine not  to                 

                                                                                

23  exceed $1,000.00  less than $5,000.00 or more than $10,000.00 for           

                                                                                

24  each day of the continuance of the violation.  A civil fine                 

                                                                                

25  ordered pursuant to this section shall be submitted to the state            

                                                                                

26  treasurer for deposit in the gasoline inspection and testing fund           

                                                                                

27  created by section 8.                                                       


                                                                                

1       (5) Subsection (1) shall not apply until 90 days after the                  

                                                                                

2   rule required by subsection (3) is promulgated.                             

                                                                                

3       Sec. 5.  (1) Except as provided by federal law or                           

                                                                                

4   regulation, in the manufacture of gasoline at any refinery in               

                                                                                

5   this state, a refiner shall not manufacture gasoline at a                   

                                                                                

6   refinery in this state unless the gasoline meets the requirements           

                                                                                

7   in section 3.  Except as provided by federal law or regulation, a           

                                                                                

8   blender shall not blend gasoline unless the finished blend meets            

                                                                                

9   the requirements in section 3.                                              

                                                                                

10      (2) Except as provided by federal law or regulation, a                      

                                                                                

11  distributor shall not sell or transfer to any distributor, retail           

                                                                                

12  dealer, or bulk purchaser-end user any gasoline unless that                 

                                                                                

13  gasoline meets the requirements in section 3.                               

                                                                                

14      (3) A carrier or an employee or agent of a carrier, whether                 

                                                                                

15  operating under contract or tariff, shall not cause gasoline                

                                                                                

16  tendered to the carrier for shipment or transfer to another                 

                                                                                

17  carrier, distributor, or retail dealer to fail to comply, at the            

                                                                                

18  time of delivery, with the requirements in section 3.                       

                                                                                

19      (4) A person shall not knowingly sell, dispense, or offer                   

                                                                                

20  for sale gasoline unless that gasoline meets the requirements in            

                                                                                

21  section 3.                                                                  

                                                                                

22      (5) A refiner or distributor shall not transfer, sell,                      

                                                                                

23  dispense, or offer gasoline for sale in this state to a                     

                                                                                

24  distributor unless the refiner or distributor indicates on each             

                                                                                

25  bill, invoice, or other instrument evidencing a delivery of                 

                                                                                

26  gasoline, the name of the wholesale distributor who received                

                                                                                

27  delivery of the gasoline.                                                   


                                                                                

1       (6) A distributor or refiner shall not transfer, sell,                      

                                                                                

2   dispense, or offer gasoline for sale in this state to a retail              

                                                                                

3   dealer unless the distributor indicates on each bill, invoice, or           

                                                                                

4   other instrument evidencing a delivery of gasoline, the name and            

                                                                                

5   license number issued pursuant to this act, of the retail dealer            

                                                                                

6   who received delivery of the gasoline.                                      

                                                                                

7       (7) A bill, invoice, or other instrument evidencing a                       

                                                                                

8   delivery of gasoline issued by a refiner or distributor for                 

                                                                                

9   deliveries of gasoline to purchasers who are not required to hold           

                                                                                

10  a license issued pursuant to the motor fuel tax act, 2000 PA 403,           

                                                                                

11  MCL 207.1001 to 207.1170, or this act shall clearly indicate the            

                                                                                

12  name and address and other information necessary to identify the            

                                                                                

13  purchaser of the gasoline.                                                  

                                                                                

14      (8) A bill, invoice, or other instrument evidencing a                       

                                                                                

15  delivery of gasoline required by subsection (5), (6), or (7)                

                                                                                

16  shall include a guarantee that the gasoline delivered meets the             

                                                                                

17  requirements in section 3 and shall indicate the concentration              

                                                                                

18  range of alcohol in the gasoline, except for alcohols or ethers             

                                                                                

19  that have a molecular weight greater than ethanol and are not               

                                                                                

20  mixed with methanol or ethanol, or both, and shall indicate the             

                                                                                

21  possible presence, without regard to concentration range, of any            

                                                                                

22  alcohols or ethers that have a molecular weight greater than                

                                                                                

23  ethanol and are not mixed with methanol or ethanol, or both.                

                                                                                

24      (9) A refiner, distributor, bulk purchaser-end user, or                     

                                                                                

25  retail dealer shall not transfer, sell, dispense, or offer                  

                                                                                

26  gasoline for sale unless that gasoline is visibly free of                   

                                                                                

27  undissolved water, sediments, and other suspended matter and is             


                                                                                

1   clear and bright at an ambient temperature or 70 degrees                    

                                                                                

2   Fahrenheit, whichever is greater.                                           

                                                                                

3       (10) A person who violates this section or rules promulgated                

                                                                                

4   under this section is liable for a civil fine not  to exceed                

                                                                                

5   less than $5,000.00 or more than $10,000.00 for each day of the             

                                                                                

6   continuance of the violation.  A civil fine ordered pursuant to             

                                                                                

7   this section shall be submitted to the state treasurer for                  

                                                                                

8   deposit in the gasoline inspection and testing fund created by              

                                                                                

9   section 8.                                                                  

                                                                                

10      Sec. 10.  A person who hinders or obstructs in any way, or                  

                                                                                

11  assaults or commits a bodily injury upon the director or an                 

                                                                                

12  authorized representative of the director while in the                      

                                                                                

13  performance of his or her official duties, knowing that person to           

                                                                                

14  be the director or an authorized representative of the director,            

                                                                                

15  shall be guilty of a misdemeanor, punishable by imprisonment for            

                                                                                

16  not more than 2 years, by a fine of not less than $5,000.00 or              

                                                                                

17  more than  $5,000.00  $15,000.00, or both.  In addition, any                

                                                                                

18  license issued or applied for pursuant to this act by a person              

                                                                                

19  convicted under this section shall be revoked or denied for 2               

                                                                                

20  years.                                                                      

                                                                                

21      Sec. 10a.  (1) A person who individually, or by the action                  

                                                                                

22  of his or her agent or employee, or as the agent or employee of             

                                                                                

23  another violates this act or a rule promulgated under this act is           

                                                                                

24  subject to an administrative fine.  Upon the request of a person            

                                                                                

25  to whom an administrative fine is issued, the director shall                

                                                                                

26  conduct a hearing  conducted  pursuant to the administrative                

                                                                                

27  procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328.  A               


                                                                                

1   fine authorized by this section shall be as follows:                        

                                                                                

2       (a) For a first violation, not less than  $100.00  $200.00 or               

                                                                                

3   more than  $500.00  $1,000.00, plus actual costs of the                     

                                                                                

4   investigation and double the amount of any economic benefit                 

                                                                                

5   associated with the violation.                                              

                                                                                

6       (b) For a second violation within 5 years after the first                   

                                                                                

7   violation, not less than  $500.00  $1,000.00 or more than                   

                                                                                

8   $1,000.00  $2,000.00, plus actual costs of the investigation and           

                                                                                

9   double the amount of any economic benefit associated with the               

                                                                                

10  violation.                                                                  

                                                                                

11      (c) For a third violation within 5 years after the date of                  

                                                                                

12  the first violation, not less than  $1,000.00  $2,000.00 or more            

                                                                                

13  than  $2,000.00  $4,000.00, plus actual costs of the                        

                                                                                

14  investigation and double the amount of any economic benefit                 

                                                                                

15  associated with the violation.                                              

                                                                                

16      (2) A decision of the director under this section is subject                

                                                                                

17  to judicial review as provided by law.                                      

                                                                                

18      (3) The director shall advise the attorney general of the                   

                                                                                

19  failure of any person to pay an administrative fine imposed under           

                                                                                

20  this section.  The attorney general shall bring an action in                

                                                                                

21  court of competent jurisdiction to recover the fine.                        

                                                                                

22      (4) Any administrative fine, costs, and the recovery of any                 

                                                                                

23  economic benefit associated with a violation collected under this           

                                                                                

24  section shall be paid to the state treasury and deposited into              

                                                                                

25  the gasoline inspection and testing fund.                                   

                                                                                

26      Sec. 10b.  (1) A person who individually, or by the action                  

                                                                                

27  of his or her agent or employee, or as the agent or employee of             


                                                                                

1   another, performs any of the following is guilty of a misdemeanor           

                                                                                

2   punishable by imprisonment for not more than 90 days, or a fine             

                                                                                

3   of not less than  $1,000.00  $5,000.00 or more than  $2,000.00              

                                                                                

4   $15,000.00, or both:                                                        

                                                                                

5       (a) Renders less effective or inoperable any part of a stage                

                                                                                

6   I or stage II vapor-recovery system.                                        

                                                                                

7       (b) Makes a false statement, representation, or                             

                                                                                

8   certification on an application, report, plan, label, or other              

                                                                                

9   document that is required to be maintained under this act or                

                                                                                

10  rules promulgated under this act.                                           

                                                                                

11      (c) Fails to disclose to the department any knowledge or                    

                                                                                

12  information relating to or observation of any modification of a             

                                                                                

13  stage I or stage II vapor-recovery system which makes the system            

                                                                                

14  less effective or inoperable, or falsification of records                   

                                                                                

15  required to be maintained under this act or rules promulgated               

                                                                                

16  under this act.                                                             

                                                                                

17      (d) Removes a tag, seal, or mark placed on a dispensing                     

                                                                                

18  device by the director.                                                     

                                                                                

19      (e) Violates this act or a rule promulgated under this act                  

                                                                                

20  for which a specific penalty is not prescribed.                             

                                                                                

21      (2) A person who individually, or by the action of his or her               

                                                                                

22  agent or employee, or as the agent or employee of another,                  

                                                                                

23  performs any of the following acts is guilty of a misdemeanor               

                                                                                

24  punishable by imprisonment for not more than 90 days, or a fine             

                                                                                

25  of not less than  $2,000.00  $5,000.00 or more than  $10,000.00             

                                                                                

26  $15,000.00, or both:                                                        

                                                                                

27      (a) Violates a prohibited act listed in this section within                 


                                                                                

1   24 months after another violation of this section that results in           

                                                                                

2   a conviction.                                                               

                                                                                

3       (b) Impersonates in any way the director or any department                  

                                                                                

4   inspector.                                                                  

                                                                                

5       (3) A person who individually, or by the action of his or her               

                                                                                

6   agent or employee, or as the agent or employee of another,                  

                                                                                

7   performs any of the following acts is guilty of a felony                    

                                                                                

8   punishable by imprisonment for not more than 2 years, or a fine             

                                                                                

9   of not less than $10,000.00 or more than $15,000.00, or both:               

                                                                                

10      (a) Intentionally commits a prohibited act under this                       

                                                                                

11  section.                                                                    

                                                                                

12      (b) Violates a prohibited act listed in this section within                 

                                                                                

13  24 months after 2 previous violations of this section that result           

                                                                                

14  in convictions.                                                             

                                                                                

15      (4) If a violation of this section results in a conviction,                 

                                                                                

16  the court shall assess against the defendant the costs of the               

                                                                                

17  department's investigation, and these costs shall be paid to the            

                                                                                

18  state treasury and deposited in the gasoline inspection and                 

                                                                                

19  testing fund to be used for the enforcement of this act.