HOUSE BILL No. 6160

 

May 22, 2008, Introduced by Reps. Nitz, Calley, Meltzer, Horn and Moore and referred to the Committee on Transportation.

 

     A bill to require refiners and distributors of motor fuel to

 

submit monthly reports to the director of the department of

 

agriculture regarding motor fuel shipped into, used in, and

 

exported from this state; to require retailers of gasoline to

 

submit a written notice to the director if the retailer increases

 

the price of gasoline sold at the pump by 7 cents or more during a

 

calendar week; to create and establish the powers and duties of the

 

gasoline practices oversight commission; and to repeal acts and

 

parts of acts.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. As used in this act:

 

     (a) "Calendar week" means the time period beginning at 12

 

midnight on Sunday and ending at 12 midnight on the Sunday

 


immediately following that initial Sunday.

 

     (b) "Commission" means the gasoline practices oversight

 

commission created in section 7.

 

     (c) "Department" means the department of agriculture.

 

     (d) "Director" means the director of the department.

 

     (e) "Motor fuel" means that term as defined in section 2 of

 

the motor fuel distribution act, 1990 PA 134, MCL 445.1802.

 

     (f) "Refiner" means that term as defined in section 2 of the

 

motor fuel distribution act, 1990 PA 134, MCL 445.1802.

 

     (g) "Retailer" means that term as defined in section 2 of the

 

motor fuel distribution act, 1990 PA 134, MCL 445.1802.

 

     (h) "Wholesaler" means a distributor, as that term is defined

 

in section 2 of the motor fuel distribution act, 1990 PA 134, MCL

 

445.1802.

 

     Sec. 3. (1) Each refiner of motor fuel and each distributor of

 

motor fuel doing business in this state shall prepare and submit to

 

the director on a monthly basis a report that specifies all of the

 

following amounts that are attributable to the activities of the

 

refiner or distributor:

 

     (a) The amount of unrefined and refined motor fuel that the

 

refiner or distributor had brought into this state during the

 

previous calendar month.

 

     (b) The amount of the motor fuel described in subdivision (a)

 

that was consumed in this state during the previous calendar month.

 

     (c) The amount of the motor fuel described in subdivision (a)

 

that was exported from this state during the previous calendar

 

month.

 


     (2) Each refiner and distributor shall submit the report

 

required under subsection (1) to the director by the tenth day of

 

the month immediately following the month covered in the report.

 

     (3) The director shall post a copy of each refiner and

 

distributor's report on the department's website.

 

     Sec. 5. If a retailer increases the price of a motor fuel sold

 

directly to consumers at a retail location in this state during a

 

calendar week, and the total amount of any increases occurring in

 

that week equals or will equal an increase of 7 cents or more in

 

the price of a motor fuel sold as compared to the price of that

 

motor fuel sold on the previous Sunday of that calendar week, the

 

retailer shall submit a written notice to the director informing

 

the director that the retailer has or will increase by 7 cents or

 

more the price of that motor fuel sold during that calendar week.

 

The retailer shall include in the notice the reason for that price

 

increase. The retailer shall submit the notice at any time during

 

the time period beginning 24 hours before the time the price

 

increase that results or will result in an increase of 7 cents or

 

more in the price of the motor fuel during that calendar week takes

 

effect and ending 24 hours after the time the price increase takes

 

effect.

 

     Sec. 7. (1) The gasoline practices oversight commission is

 

established.

 

     (2) The commission shall consist of 9 members appointed as

 

follows:

 

     (a) Three members of the senate appointed by the majority

 

leader of the senate, at least 1 from the minority party.

 


     (b) Three members of the house appointed by the speaker of the

 

house of representatives, at least 1 from the minority party.

 

     (c) Two members appointed by the governor.

 

     (d) One member appointed by the attorney general.

 

     (3) Each member of the committee shall serve at the pleasure

 

of the person who appointed the member. A vacancy shall be filled

 

in the same manner as the original appointment for the balance of

 

the unexpired term.

 

     (4) The term of office of each member of the commission

 

appointed by the governor or attorney general is 2 years, and the

 

governor or attorney general may reappoint an individual for

 

additional terms. The term of a member appointed from the

 

legislature expires at the end of the legislative session in which

 

he or she is appointed and that member may only be reappointed if

 

he or she is a current member of the legislature.

 

     (5) The commission shall conduct its business at public

 

meetings held in compliance with the open meetings act, 1976 PA

 

267, MCL 15.261 to 15.275. Any writing prepared, owned, used, in

 

the possession of, or retained by the commission when performing

 

business of the commission is subject to the freedom of information

 

act, 1976 PA 442, MCL 15.231 to 15.246.

 

     (6) The commission shall elect from among its members a

 

chairperson and a vice-chairperson. The commission shall appoint a

 

secretary.

 

     (7) Five members of the commission constitute a quorum, and

 

the affirmative vote of 5 members is necessary for any action taken

 

by the commission. A vacancy in the membership of the commission

 


does not impair the rights of a quorum to exercise all the rights

 

and perform all the duties of the commission.

 

     Sec. 9. (1) The commission shall do all of the following:

 

     (a) Examine and review the existing infrastructure that

 

delivers and distributes motor fuel to and within this state.

 

     (b) Examine the availability of motor fuel, current motor fuel

 

pricing practices, alternative fuels for motor vehicles, and

 

government laws, rules, and regulations that affect the supply,

 

delivery, and distribution of motor fuel generally and in

 

particular to and within this state.

 

     (c) Conduct hearings on the issues described in subdivisions

 

(a) and (b) and after those hearings formulate and recommend a

 

state motor fuel policy, to ensure consumer confidence in this

 

state's motor fuel supply and delivery infrastructure and ensure a

 

continuing and affordable supply of motor fuel for residents of

 

this state.

 

     (2) In the discharge of its duties under this act, the

 

commission may administer oaths and affirmations, certify to

 

official acts, issue subpoenas, and compel the attendance and

 

testimony of witnesses and the production of papers, books, and

 

documents. If a person fails to comply with a subpoena issued under

 

this section or refuses to testify on any matter concerning which

 

he or she may lawfully be questioned, the commission or its

 

authorized representative may invoke the aid of a court of general

 

jurisdiction. The court may order the witness to comply with the

 

requirements of the subpoena or give evidence concerning the matter

 

in question and may punish a failure to obey that order as

 


contempt.

 

     (3) Beginning on the effective date of this act, within 30

 

days after the end of each calendar quarter through the third

 

calendar quarter of 2009, the commission shall issue an interim

 

report to the legislature concerning its activities and duties

 

under this act. The commission shall issue a final report

 

concerning its activities and duties under this act during the

 

final calendar quarter of 2009.

 

     Enacting section 1. This act does not take effect unless

 

Senate Bill No.____ or House Bill No. 6161(request no. 04689'07) of

 

the 94th Legislature is enacted into law.

 

     Enacting section 2. This act is repealed effective December

 

31, 2009.