Bill Text: HI HB2631 | 2010 | Regular Session | Amended
Bill Title: Petroleum Industry; Information
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2010-05-28 - (H) Act 152, on 5/28/2010 (Gov. Msg. No. 369). [HB2631 Detail]
Download: Hawaii-2010-HB2631-Amended.html
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HOUSE OF REPRESENTATIVES |
H.B. NO. |
2631 |
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TWENTY-FIFTH LEGISLATURE, 2010 |
H.D. 2 |
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STATE OF HAWAII |
S.D. 1 |
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A BILL FOR AN ACT
RELATING TO ENERGY INDUSTRY REPORTING.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 486H-13, Hawaii Revised Statutes, is amended as follows:
1. By amending subsection (l) to read:
"(l) The suspension of the maximum pre-tax wholesale gasoline price shall suspend the commission's duty to calculate and publish the maximum pre-tax wholesale gasoline price that would have been in effect but for the suspension, but shall not suspend or affect:
(1) Any duty to register, timely provide information, make a report, or file a statement under chapter 486J; or
(2) Any duty of the commission to[:
(A) Timely obtain, analyze, or
publicly disclose or report information under chapter 486J; and
(B) Enforce] enforce chapter
486B."
2. By amending subsection (n) to read:
"(n) The commission shall have the power
to determine the extent to which a manufacturer, wholesaler, or jobber is
complying with any requirement imposed or rule adopted under this section,
including the power to compel a manufacturer, wholesaler, or jobber to submit
documents, data, and information necessary and appropriate for the commission
to determine [such] compliance. [The commission may use data
collected pursuant to chapter 486J in determining such compliance.]"
SECTION 2. Section 486J-1, Hawaii Revised Statutes, is amended as follows:
1. By adding two new definitions to read:
""Inventory" means the volume, in barrels, of reserve that is normally maintained by the reporting entity on a monthly basis.
"Storage capacity" means the maximum volume, in barrels, of used and useful facility capacity for storage."
2. By repealing the definitions of
"competitively priced", "corporate overhead expenses",
"dealer tank wagon price", "major fuel user", "major
marketer", "major oil producer", "major oil storer",
"major oil transporter", "nonrefiner wholesale price",
"refiner wholesale price", and "wholesale liquid fuel
prices". [""Competitively priced" means fuel-grade
ethanol for which the wholesale price, minus the value of all applicable
federal, state, and county tax credits and exemptions, is not more than the
average posted rack price of unleaded gasoline of comparable grade published in
the State.
"Corporate overhead expenses"
means the expenses or costs allocated by the refiners that reflect their Hawaii
business units' share of corporate staff costs, such as legal, finance,
accounting, information technology, and similar costs.
"Dealer tank wagon price" means
the wholesale price at which liquid fuel is sold to any retail outlet by any
distributor priced on a delivered basis to a retail outlet.
"Major fuel user" means any person
who uses fuel in the manufacture of products or for the generation of power in
amounts determined by the commission as having a major effect on energy
supplies.
"Major marketer" means any person
who sells natural gas, propane, synthetic natural gas, or oil in amounts
determined by the commission as having a major effect on energy supplies.
"Major oil producer" means any
person who produces oil in amounts determined by the commission as having a
major effect on energy supplies.
"Major oil storer" means any
person who stores oil or other petroleum products in amounts determined by the
commission as having a major effect on energy supplies.
"Major oil transporter" means any
person who transports oil or other petroleum products in amounts determined by
the commission as having a major effect on energy supplies.
"Nonrefiner wholesale price" means
the wholesale price at which liquid fuel is sold by any distributor, not a
refiner, to any other distributor, not a refiner, for resale at any subsequent
wholesale or retail transaction.
"Refiner wholesale price" means
the wholesale price at which liquid fuel is sold by a refiner to any
distributor, not a refiner, for resale at any subsequent wholesale or retail
transaction.
"Wholesale liquid fuel prices" means
the prices at which liquid fuel is sold at wholesale for resale at wholesale or
retail, typically but not limited to gasoline and diesel for motor vehicles,
and include "dealer tank wagon price", "nonrefiner wholesale
price", and "refiner wholesale price"."]
SECTION 3. Section 486J-3, Hawaii Revised Statutes, is amended to read as follows:
"§486J-3 Statements. [(a)]
Each [week] month every refiner and distributor [and
major fuel user shall file with the commission, on forms prescribed, prepared,
and furnished by the commission, a certified statement showing on a statewide
consolidated basis, and] on the reporting date established by the
director, shall file on forms furnished by and to the department showing
separately for each county and for the islands of Lanai and Molokai within
which and whereon fuel is sold or used during the last preceding reporting [week,]
month, the following:
[(1) The total number of gallons or units of
fuel, by type or grade, refined, manufactured, or compounded by the distributor
within the State and, if for ultimate sale or consumption in another county or
on another island, the number of gallons or units of fuel, by type or grade,
sold, exchanged, or otherwise transferred or used by the distributor in each
county or island;
(2) The total number of gallons or units of
fuel, by type or grade, imported or exported by the distributor; the total
volumes of fuel, by type or grade, sold, exchanged, or otherwise transferred or
used by the distributor; and if for ultimate sale or consumption in another
county or on another island, the number of gallons or units of fuel, by type or
grade, sold, exchanged, or otherwise transferred or used by the distributor in
each county or island;
(3) The total number of gallons or units of
fuel sold as liquid fuel, aviation fuel, diesel fuel, and other types of fuel
as required by the commission;
(4) The total number of gallons or units of
fuel, by type or grade, and their respective sales prices for all fuel sold to
federal, state, and county agencies, ships stores, or base exchanges,
commercial agricultural accounts, commercial nonagricultural accounts, retail
dealers, and other customers as required by the commission;
(5) Weekly weighted average acquisition
cost per barrel and volumes of foreign or domestic crude oil or other liquid
fuels, finished or unfinished, imported to Hawaii, including information
identifying the source of the crude oil or other liquid fuels;
(6) The effective date and time, and the
amount of change in cents per gallon, of any increase or decrease in wholesale
price occurring during the week and the weekly weighted average wholesale
prices and sales volumes of finished unleaded regular and premium motor
gasoline, and of each other grade of gasoline sold, by island, to retail
outlets, by classes of retail trade, and to wholesale distributors;
(7) Weekly weighted average retail prices,
and sales volumes of finished unleaded regular and premium motor gasoline, and
of each other grade of gasoline sold, by island, by retail distributor outlets
of all classes of retail trade and by any distributor to other end-users;
provided that the commission may purchase retail price data from data service
companies that the commission may use to substitute some or all data to meet
the reporting requirement for retail price data under this paragraph;
(8) The effective date and time, and the
amount of change in cents per gallon, of any increase or decrease in wholesale
price occurring during the week and the weekly weighted average wholesale
prices, and sales volumes of No. 2 diesel fuel and No. 2 fuel oil, by island,
to retail distributor outlets, by classes of retail trade, and to all other
wholesale distributors. Weighted average wholesale prices and sales volumes
shall be reported by type of wholesale liquid fuel price;
(9) Weekly weighted average retail prices,
and sales volumes of No. 2 diesel fuel and No. 2 fuel oil sold, by island, by
retail distributor outlets of all classes of retail trade and by any
distributor to other end-users. The commission may purchase retail price data
from data service companies that the commission may use to substitute some or
all data to meet the reporting requirement for retail price data under this
paragraph;
(10) Weekly weighted average prices, and sales
volumes for retail sales and wholesale sales, by island, of No. 1 distillate,
kerosene, finished aviation gasoline, kerosene-type jet fuel, No. 4 fuel oil,
residual fuel oil, and consumer grade propane;
(11) For each distributor that is a refiner,
the gross margins or spreads between a refiner's average weighted acquisition
price for each gallon of crude oil and blendstock refined within the State and
the average weighted prices for each gallon or unit of fuel sold, by county or
island, to another distributor, a retail dealer, end-user, and consumer;
(12) For each distributor that is not a
refiner, the gross margins or spreads between the distributor's average
weighted price for each gallon or unit of fuel acquired by the distributor and
the average weighted prices for each gallon or unit of fuel sold, by county or
island, to another distributor, a retail dealer, end-user, or consumer; and
(13) Revenues, expenses, profits and losses,
and any other financial or operating information as may be required by the
commission.
The commission shall prescribe applicable
standards and practices for reporting to facilitate uniformity, consistency,
and comparability of the data to be submitted.]
(1) The total volume of fuel imported into and exported from Hawaii, and if for ultimate sale or consumption in another county or on another island, the total volume of fuel, in barrels, by import location (foreign and domestic), by specific crude oil imported, and by liquid fuel type, aviation fuel, diesel fuel, biofuels, and other types of fuel as required by the department, that is sold, exchanged, or otherwise transferred or used by the distributor;
(2) The total volume of fuel refined, manufactured, or compounded by refineries, in barrels, by company, and by specific crude oil and by liquid fuel type, aviation fuel, diesel fuel, biofuels, and other types of fuel as required by the department, including No. 2 diesel fuel, No. 1 distillate, No. 2 fuel oil, No. 4 fuel oil, kerosene, finished aviation gasoline, kerosene-type jet fuel, residual fuel oil, consumer grade propane, gasoline (regular, midgrade, and premium);
(3) The total volume of fuel distributed, in barrels, by company, by island, and by liquid fuel type, aviation fuel, diesel fuel, biofuels, and other types of fuel as required by the department, and by:
(A) Classes of retail trade; and
(B) Federal, state, county agencies, ships stores, or base exchanges, commercial agriculture accounts, commercial non-agriculture accounts, retail dealers, and other customers as required by the department; and
(4) The total volume of inventory and storage capacity, in barrels, by reporting entity, by specific crude oil, and by liquid fuel type, aviation fuel, diesel fuel, biofuels, and other types of fuel as required by the department.
[(b) Each major marketer shall submit to
the commission, at a time and in a form as the commission shall prescribe,
information, including petroleum and petroleum product receipts, exchanges,
inventories, and distributions.
(c) The commission may require additional
information as and when the commission deems necessary to perform the
commission's responsibilities under this chapter.
(d) Information in the statements filed
pursuant to this section shall be collected and maintained for the purpose of
facilitating the analysis required by this chapter; provided that the
commission shall make the information available to the public, to the extent
permitted under sections 486J-6 and 486J‑8.]"
SECTION 4. Section 486J-6, Hawaii Revised Statutes, is amended to read as follows:
"§486J-6 Confidential information. (a) Confidential commercial information provided to the commission at any time pursuant to this chapter that is exempt from public disclosure under section 92F-13 shall be held in confidence by the commission or aggregated to the extent necessary in the commission's discretion to ensure confidentiality as required by chapter 92F.
(b) No data or information submitted to the commission at any time shall be deemed confidential if it is shown that the person submitting the information or data has made it public.
(c) Unless otherwise provided by law, with
respect to data that the commission [obtains] obtained or [is]
was provided pursuant to section 486J-3, 486J-4, 486J-4.5, or 486J-5[,]
prior to their repeal, neither the commission nor any employee of the
commission may do any of the following:
(1) Use the information furnished or obtained for any purpose other than the purposes for which it is supplied;
(2) Make any publication whereby the data furnished by any person can be identified; or
(3) Permit any person other than the commission, the department of taxation, the attorney general, the consumer advocate, the department of business, economic development, and tourism, and the authorized representatives and employees of each to examine the individual reports or statements provided."
SECTION 5. Section 486J-7, Hawaii Revised Statutes, is amended to read as follows:
"§486J-7 Confidential information obtained by another state agency. Any confidential information pertinent to the responsibilities of the commission or the director specified in this chapter that is obtained by another state agency, including the department of taxation, the attorney general, and the consumer advocate, shall be available only to the attorney general, the attorney general's authorized representatives, the department of business, economic development, and tourism, and the commission and shall be treated in a confidential manner."
SECTION 6. Section 486J-4, Hawaii Revised Statutes, is repealed.
["§486J-4 Informational reports. (a)
Each major oil producer, refiner, marketer, oil transporter, and oil storer
shall submit to the commission, in a form as the commission shall prescribe,
information that includes the following:
(1) Major oil transporters shall report on
petroleum by reporting the capacities of each major transportation system, the
amount transported by each system, and inventories thereof. The provision of
the information shall not be construed to increase and decrease any authority
the commission may otherwise have;
(2) Major oil storers shall report on
storage capacity, inventories, receipts and distributions, and methods of
transportation of receipts and distributions;
(3) Refiners shall report on facility
capacity and utilization and method of transportation of refinery receipts and
distributions; and
(4) Major oil marketers shall report on
facility capacity and methods of transportation of receipts and distributions.
(b) The commission may require additional
information as and when the commission deems necessary to perform the
commission's responsibilities under this chapter."]
SECTION 7. Section 486J-4.5, Hawaii Revised Statutes, is repealed.
["§486J-4.5 Informational
cost reports. (a) Each refiner, on a semi-annual basis, at reporting
dates as the commission may establish, shall file with the commission, on forms
prescribed, prepared, and furnished by the commission, a certified statement of
operating and overhead costs for the refiner's Hawaii operations that shall
include but not be limited to the following:
(1) Crude oil costs and sources;
(2) Other feedstock costs and sources;
(3) Refinery operating expenses;
(4) Marketing operating expenses by
petroleum product;
(5) Distribution expenses by petroleum
product; and
(6) Corporate overhead expenses.
(b) In addition to the reporting required
under subsection (a), each distributor shall file with the commission all
Securities and Exchange Commission Forms 10-K, 10-Q, annual reports, quarterly
reports, and earnings supplements published by the distributor.
(c) Each distributor, except a distributor
who is so defined solely by criteria in paragraph (4) of that definition in
section 486J-1, who sells liquid fuel only at retail and is not a refiner,
shall file with the commission, on a semi-annual basis at reporting dates as
the commission may establish, on forms prescribed, prepared, and furnished by
the commission, a certified statement of operating and overhead costs that shall
include the following:
(1) Gasoline purchases and exchanges and
sources;
(2) Diesel purchases and exchanges and
sources;
(3) Marketing expenses; and
(4) Distribution expenses."]
SECTION 8. Section 486J-5, Hawaii Revised Statutes, is repealed.
["§486J-5 Analysis of information;
summary reports. (a) The commission, with the commission's
own staff and other support staff with expertise and experience in, or with,
the petroleum industry, shall gather, analyze, and interpret the information
submitted to it pursuant to sections 486J-3, 486J-4, and 486J-4.5 and other
information relating to the supply, prices, margins, and profits of petroleum
products, with particular emphasis on motor vehicle fuels, including but not
limited to all of the following:
(1) The nature, cause, and extent of any
petroleum or petroleum product situation or condition affecting supply, price,
margins, or profits;
(2) The prices, with particular emphasis on
wholesale and retail motor vehicle fuel prices, and any significant changes in
prices charged by the petroleum industry for petroleum or petroleum products
sold in Hawaii and the reasons for the changes;
(3) The income, expenses, margins, and
profits in Hawaii, both before and after taxes, of each distributor and the
income, expenses, margins, and profits, both before and after taxes, of major
oil companies in other regions of the United States and other countries; and
(4) The emerging trends relating to supply,
demand, price, margins, and profits.
(b) The commission shall analyze the
effects of state and federal policies, rules, and regulations upon the supply
and pricing of petroleum products.
(c) The commission shall publish annually
and submit to the governor and the legislature twenty days prior to the first
day of each regular legislative session a summary, including any analysis and
interpretation of the information submitted to it pursuant to this chapter, and
any other activities taken by the commission, including civil penalties imposed
and referrals of violations to the attorney general under section 486J-9. Any
person may submit comments in writing regarding the accuracy or sufficiency of
the information submitted."]
SECTION 9. Section 486J-5.3, Hawaii Revised Statutes, is repealed.
["[§486J-5.3] Use and analysis of
information by the department of business, economic development, and tourism.
The department, with its own staff and other support staff with relevant
expertise and experience, shall use the information obtained under this chapter
to effectuate the purposes of chapters 125C, 196, and other relevant laws."]
SECTION 10. Section 486J-5.5, Hawaii Revised Statutes, is repealed.
["[§486J-5.5] Petroleum industry
monitoring, analysis, and reporting program. The commission shall
establish the petroleum industry monitoring, analysis, and reporting program
that includes development and maintenance of an automated petroleum industry
information reporting system that meets the requirements of government,
industry, and the public while promoting sound policy making and consumer
information and protection. The purpose of the petroleum industry monitoring,
analysis, and reporting program is to conduct and facilitate the efficient
analysis and reporting of all information and data provided by the petroleum
industry pursuant to this chapter. The commission shall develop the petroleum
industry monitoring, analysis, and reporting program in a manner that will
result in greater market transparency and provide useful information to the
general public and those agencies that are authorized to conduct oversight of
the petroleum industry and ensure compliance with all relevant laws."]
SECTION 11. Section 486J-5.6, Hawaii Revised Statutes, is repealed.
["[§486J-5.6] Petroleum industry
monitoring, analysis, and reporting special fund. (a) There
is established a petroleum industry monitoring, analysis, and reporting special
fund to be administered by the commission.
(b) The legislature may make appropriations
from the general revenues of the State of Hawaii, not to exceed $2,000,000 in
any fiscal year, for the petroleum industry monitoring, analysis, and reporting
special fund.
(c) Moneys in the special fund shall be
used to:
(1) Administer the petroleum industry
monitoring, analysis, and reporting program pursuant to this chapter; and
(2) Establish
full-time staff positions in the commission to
implement and maintain the petroleum industry monitoring, analysis, and
reporting program, including the automated petroleum industry information
reporting system established by section 486J-5.5."]
SECTION 12. Section 486J-8, Hawaii Revised Statutes, is repealed.
["§486J-8 Sharing of
information obtained by the commission. (a) Except as provided in
subsections (b) and (c), the commission shall make any information
obtained by the commission under this chapter, including confidential
information, available only to the attorney general, the department of
taxation, the consumer advocate, the department of business, economic
development, and tourism, an appropriate legislative committee, and the
authorized representative of each, who shall safeguard the confidentiality of
all confidential information received.
(b) The commission shall disclose to the
public, using the best readily available technology, the information contained
in the statements that are filed pursuant to section 486J-3, except to the
extent that disclosure is prohibited under section 486J-6. The commission
shall publicly report this information within fourteen days pursuant to the
reporting dates established by the commission under section 486J-3.
(c) Nothing in this section shall be
construed to prohibit the implementation of the petroleum industry monitoring,
analysis, and reporting program under section 486J-5.5 or the public disclosure
of the analysis of information and reports described in section 486J-5."]
SECTION 13. Section 486J-9, Hawaii Revised Statutes, is repealed.
["§486J-9 Failure to timely provide
information; failure to make and file statements; false statements; penalties;
referral to the attorney general. (a) The commission shall notify
those persons who have failed to timely provide the information specified in
section 486J-3, 486J-4, or 486J-4.5 or requested by the commission under
section 486J-3, 486J-4, or 486J-4.5. If, within five business days after being
notified of the failure to provide the specified or requested information, the
person fails to supply the specified or requested information, the person shall
be subject to a civil penalty of not less than $50,000 per day nor more than
$100,000 per day for each day the submission of information is refused or
delayed.
(b) Any person, or any employee of any
person, who wilfully makes any false statement, representation, or
certification in any record, report, plan, or other document filed with the
commission shall be subject to a civil penalty not to exceed $500,000 and shall
be deemed to have committed an unfair or deceptive act or practice in the
conduct of a trade or commerce and subject to the penalties specified in
chapters 480 and 486B.
(c) The commission shall refer any matter
under subsection (a) or (b) to the attorney general, who may exercise any
appropriate legal or equitable remedies that may be available to the State.
(d) For the purposes of this section,
"person" means, in addition to the definition contained in section
486J-1, any responsible corporate officer."]
SECTION 14. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 15. This Act shall take effect on July 1, 2010.
Report Title:
Petroleum Industry; Information
Description:
Repeals the Petroleum Industry Monitoring, Analysis, and Reporting Program, and its special fund; requires refiners and distributors to report monthly to the Department of Business, Economic Development, and Tourism, on fuel imported, exported, transferred, used, refined, manufactured, compounded, and distributed. Effective July 1, 2010. (SD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
