Vol. 2008   #25
December 22, 2008

In This Week's Newsletter

icpa financial assistance guidance for marketers
ICPA ON BROADER CONTRACT GUIDANCE
ICPA RELEASES STATE LEGIS/REGULATORY AGENDA FOR 2009
hARTFORD - STATE BUDGET DEFICIT AND THE SPECIAL SESSION - again
IN MEMORIAM-MICHAEL D. CASEY
NATION'S FIRST FUEL OIL CONSERVATION FUND OPERATING
ICPA SPEAKING ENGAGEMENTS
clean/tune/test program underway
HEATING ASSISTANCE FOR CONSUMERS IN 2008/09
WASHINGTON NEWS - FEDERAL ISSUES OF CONCERN TO ICPA IN 2009
WASHINGTON NEWS - OBAMA PICKS NEW CFTC CHAIR
Washington news- HIGH VISIBILITY SAFETY VESTS AND OIL DRIVERS
washington news - officials MEET ON LOW SULFUR HEATING OIL
washington news - cftc begins rulemaking implementing closing the enron loophole
WASHINGTON NEWS - OIL SPILL LIABILITY TAX GOES UP 1/1/09
WASHINGTON NEWS - FED CRACKS DOWN ON CREDIT CARD PRACTICES
washington news - bio fuel notices compliance
ICPA MEMBER AFFINITY PROGRAMS - OILWELL
ENERGY COST COMPARISONS
DEGREE DAY COMPARISONS
ITEC

What's Happening at ICPA? Click on the Calendar For All ICPA Meetings, Events, Seminars & Classes


ICPA Staff Contacts

Gene Guilford, Executive Director gene@icpa.org
Chris Herb, Associate Director chris@icpa.org
David Chu, Director of Member Services chu@icpa.org
Kate Lennon, ITEC Business Development kate@icpa.org
Kylie Faircloth, Executive Assistant kylie@icpa.org
Phyllis Stickler, Book Keeper books@icpa.org
Chris Jordan, ITEC B-License Instructor jordyn@icpa.org
Bill McDermott, ITEC S-License Instructor bill@icpa.org

Sign Up for Free Weather Alerts



Members needs to sign up on our website for access to the Member's Only Section of the website.

Start by going to icpa.org/regform.htm and sign-up for the site, selecting your own unique username and password. Please write it down. Hit submit after filling out the form and we'll approve it and then you're set. You will be notified by email automatically when your access has been approved.

If you ever forget your username and password, simply go here > icpa.org/lost_password.htm enter your email address and the software finds you and automatically emails you the username and password you selected. Very easy.

FMI contact gene@icpa.org



 






\


 

ICPA ASSISTANCE PACKAGE FOR MEMBERS - IT'S NOT TOO LATE

It's not too late to take advantage of the Small Business Development Centers that ICPA worked to establish with the Hartford office of the Small Business Administration. Any marketer who is having cash flow problems or lack of credit is strongly encouraged to work with the SBDC and the resources ICPA has set up for you.

ICPA's Financial Assistance website is here http://www.icpa.org/icpa_sbdc/index.html

It's not too late!  If anyone is having any difficulty with borrowing, let us know.

For more information contact Gene at gene@icpa.org or David at chu@icpa.org or Chris at chris@icpa.org or call ICPA toll free at 1-866-521-ICPA

Return to Top


ICPA is undertaking a new guidance package for members to assist them with dealing with issues surrounding consumer compliance with contracts. Below are the areas that are in development with ICPA staff, two legal counsel and marketing assistants.

  • what notice to consumers or legal recourse do retailers have with consumers or other suppliers breaching their contracts by using another supplier?
  • can retailers post a cover or notice at the fill that the consumer is under a supply contract?
  • if retailers want to use the courts against consumers breaching contracts what is the most effective approach?
  • what does tortious interference in a business relationship really mean to a retailer who finds another retailer inducing a consumer to break a contract and what recourse does a retailer facing that really have?
  • if you find a contract consumer who should be taking "normal" deliveries actually taking far less under an automatic delivery schedule what can you do?
  • how do you handle a contract consumer who refuses you entry to the property to make deliveries required under a contract?
  • ICPA has distributed 200,000 "Its A Promise" bill stuffers free of charge to members to deliver to consumers - is there some other piece that would be helpful? [http://icpa.org/ad/contract_stuffer.pdf]

Expect to see a package on these topics, with drafts of notices you can review on your own, if you choose to, within a week or ten days.

For more information contact Gene at gene@icpa.org or David at chu@icpa.org  or call ICPA toll free at 1-866-521-ICPA

Return to Top


ICPA released its 2009 state legislative and regulatory agenda last week after presentation to the ICPA the Board of Directors. Among the issues ICPA intends to pursue for members in the next session of the General Assembly are;

  • Bringing back the clarification of the state's gouging laws to protect marketers, this bill passed out of the General Law Committee in the last session but we had to defeat it as it was amended in the Senate with anti-marketer gasoline issues;

  • Rewriting the existing Connecticut Heating Oil and Propane Dealer contracts law, including electronic and telephonic contracts;

  • Raising the minimum delivery on fuel oil deliveries from 100 to 150 gallons;

  • Eliminating the requirement to provide free air at service stations and convenience stores;

  • Raising the minimum mark-up on cigarettes;

  • Eliminating the need for Stage II vapor recovery at gasoline dispensing locations;

  • Replacing the gross earning tax on gasoline and replacing it with a flat, fixed cents per gallon excise tax;

  • Increase the commissions for lottery ticket sales;

See the agenda here > 

http://www.icpa.org/icpa_board/2009 ICPA State Legislative Agenda.pdf


Governor Jodi Rell issued a “deficit mitigation plan” http://www.ct.gov/governorrell/lib/governorrell/final_decdeficitmitigationplan.pdf that includes several proposed budget cuts totaling over $356 million across several programs that effect dozens of industries and several state departments. The Governor has called the legislature into a Special Legislative Session on Friday January 2nd to consider her proposed cuts.  Several legislators have expressed doubt that the General Assembly will take any action at all before the regular session that begins on January 7th.  ICPA is scheduling meetings with legislative leaders to address the importance that these programs have on the environment, consumers and Connecticut businesses.  We will be asking members to contact their local legislators to solicit their support to protect these programs in the event that the legislature decides to act on the 2nd.  To read a copy of the Governors press release click here http://www.ct.gov/governorrell/cwp/view.asp?A=3293&Q=430044. Among the issues ICPA is concerned about in the budget cuts the Governor has recommended are;

  • Taking $3 million from the Commercial Tank Fund, reducing funding in 2009 from $9 million down to $6 million

  • Eliminating $35 million from low income energy assistance funding provided by the state as the state chooses to rely solely on the federal grant

  • Taking $7.5 million from the Connecticut Fuel Oil Conservation Fund

For more information contact Chris at chris@icpa.org or call ICPA toll free at 1-866-521-ICPA

Return to Top


We are saddened to inform ICPA members of the passing of Michael Casey of Casey Fuel in Ridgefield. A U.S. Army veteran, he was a first lieutenant with the Green Berets during the Vietnam War. He joined the family business of Casey Fuel and Casey Real Estate in 1972, and at the time of his death was the owner of Casey Fuel, for which his son, Shane, serves as president. In 2003, the University of Connecticut honored Casey Fuel as a Family Business of the Year.

Mr. Casey had also served as clerk of the Board of Finance; was a director of the Ridgefield Bank (previously the Ridgefield Savings Bank); was a director of the Berkshire Broadcasting Corp., a radio station holding company; and served on the Capital Campaign for the Ridgefield Boys & Girls Club.

In 2007, he retired from the Police Commission on which he had served for more than six years. Our condolences go out to the Casey family and everyone at Casey Fuel

Return to Top


In 2007 ICPA's legislation creating the nation's first state fuel oil conservation program was passed by the General Assembly and signed into law.  The Connecticut Fuel Oil Conservation Board received $10 million in funding for the period July 1, 2008 through June 30, 2009 and this week the fund received its first $2.5 million to begin work.

The CT FOCB's focus is on working through the state's community action agencies to replace the least efficient, oldest oil heat systems among those who qualify for low income energy assistance, with new, high efficiency oil heat systems that save $3 for every $1 invested. Congratulations go out to former FOCB Vice Chair Peter Carini of Champion Energy, current Chair Robert Barrieau of Barrieau Oil in West Hartford, current Vice Chair Tom Devine of Devine Brothers in Norwalk, Kevin McKenna of Sprague Energy, Bill Bussmann of Seaboard, and Craig Snyder of Wesson Energy in Waterbury. This has been a long year setting up a new 501 [c] [3] corporation, establishing corporate documents, hiring an administrator and then working out all the arrangements to transfer funds and develop a state plan for both 2008 and 2009 - much of that work occurring between July and December of this year.  ICPA Executive Director Gene Guilford also sits on the FOCB Board representing ICPA.

The Board's website is at > http://ctfocb.com/

If we can keep the politician's hands of the money long enough to get something done with it, we may just be able to actually reduce the need for LIHEAP funding among the poorest of our citizens as for the first time their heating systems and home energy conservation measures will be among the best - not the worst. 

For more information contact Gene at gene@icpa.org or call ICPA toll free at 1-866-521-ICPA

Return to Top


In the last month ICPA's Executive Director Gene Guilford has spoken with the Niantic Rotary in Niantic at the invitation of Dick Gada of Guy's Fuel - and the Exchange Club of West Hartford at the invitation of Jim O'Toole of Barrieau & O'Toole.

If you are a member of a Rotary, Kiwanis, Exchange Club, Chamber of Commerce or other civic organization and need a speaker please give Gene a call. We do a great many speaking engagements and its a good opportunity to talk about energy issues, contract issues, gas prices - you name it!

For more information contact Gene at gene@icpa.org or call ICPA toll free at 1-866-521-ICPA

Return to Top


Last week Governor Rell issued a press release touting the first 14 heating oil retailers that had signed up for the new clean-test-tune program that ICPA was instrumental in passing in the last session of the legislature and funding for $7 million. 

In November ICPA hosted an information session conducted by the Office of Policy & Management (OPM) that provided information on how to participate in a new program to help Connecticut oil heat consumers save money by making their heating systems and homes more energy efficient.  The new program, which began on November 15th, starts with a clean, tune and test of a customer’s heating system and then the efficiency of the system is audited.  Once the clean, tune and test is complete, the customer will be referred to the Home Energy Solutions (HES) program, which performs a whole-house energy audit.  To qualify for the program, consumers need to contact their licensed HVAC contractor to schedule a clean, tune and test between November 15th and June 30, 2009.  HVAC contractors will be required to bill their customer $75 and balance bill the state $125 to pay for the clean, tune and test.  For more information and to register for the program click here http://www.ct.gov/opm/cwp/view.asp?a=2994&q=428502.  For oil dealers who are interested in becoming HES certified ICPA will be announcing dates for training shortly.

For more information contact Chris at chris@icpa.org or call ICPA toll free at 1-866-521-ICPA

Return to Top


Meeting the energy needs of the most vulnerable of our citizens is a challenge made easier by ensuring those consumers know about a variety of important assistance programs available to them. ICPA has assembled a document that allows everyone in your company to easily convey this information to your customers. Every heating oil and propane retailer is encouraged to download this document is it describes the different aid programs that are available to your customers.

See > http://icpa.org/protect/heating_asst_consumers_icpa.pdf

For more information contact Gene at gene@icpa.org or Chris at chris@icpa.org or call ICPA toll free at 1-866-521-ICPA

Return to Top


 

FEDERAL ISSUES OF CONCERN TO ICPA IN 2009

Last week ICPA Executive Director Gene Guilford outlined some of the federal issues ICPA is concerned about in the coming new session of Congress as well as from the new Administration.  From energy policy to tobacco taxes to climate change to capital gains, small business and petroleum marketers will be challenged as never before. To read the report on the coming issue concerns out of Washington please click here. [ICPA]

Return to Top


OBAMA PICKS NEW CFTC CHAIRMAN

On Thursday, President-elect Barack Obama picked Gary Gensler, a former Undersecretary of the Treasury during the Clinton Administration, to lead the Commodity Futures Trading Commission (CFTC). Gensler also spent 18 years with Goldman Sachs Group Inc., making partner at the age of 30 and was also Senator Hillary Clinton’s (D-NY) economic adviser.

Gensler will lead an agency that has been under scrutiny for failing to effectively regulate energy and agriculture markets. He will replace CFTC Acting Chairman Walter Lukken, a Republican, who has served since June 2007. In November, Lukken said that he would step down when Obama became President. [PMAA]

Return to Top


HIGH VISIBILITY SAFETY VESTS AND OIL DRIVERS

PMAA COMPLIANCE BULLETIN

_____________________________________________________________________________

NEW HIGH VISIBILITY SAFETY VEST REQUIREMENTS FOR DRIVERS
_________________________________________________________________________
____

BACKGROUND: The compliance deadline for the Federal Highway Administration’s (FHWA) new rule requiring workers within the right-of-way of any federal aid highway to wear high visibility safety vests was November 24, 2008. Congress required the FHWA to adopt the new rule pursuant to Section 1402 of the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU) enacted in 2005. The purpose of the rule is to decrease the likelihood of fatalities or injuries to workers on foot who are exposed to traffic while working within the rights-of-way of federal-aid highways. Up until now, it was unclear whether the rule applied to only emergency responders and highway crews on federal aid highways or also included drivers of cargo tank vehicles who parked on certain roads while delivering product. The FHWA confirmed last week that the rule applies to all workers on foot who are in the right-of-way of a federal-aid highway while performing their duties including drivers of cargo tank vehicles delivering product.

COMPLIANCE DATE: Any worker standing within the right-of-way of any federal-aid highway must wear high visibility safety vest effective November 24, 2008.

APPLICABILITY: While the rule was primarily written to protect emergency responders, maintenance employees and highway construction workers, it also applies to any worker on foot within the right-of-way of a federal-aid highway. This includes petroleum cargo tank truck drivers who park on federal aid highways in order to unload product, such as heating oil, for delivery.

TYPE OF VESTS REQUIRED: The rule requires high-visibility safety vests that meet the Performance Class 2 or 3 requirements of the ANSI/ISEA 107-2004 (“American National Standard for High-Visibility Safety Apparel and Headwear'').

REQUIRED WEARING - Vests must be worn both during the day and night whenever a driver is on foot in the right-of-way of a federal-aid highway.

PURCHASING VESTS - Compliant ANSI Class 2 reflective vests cost about eight dollars each. Vests are available from many online commercial and public safety equipment vendors.

FEDERAL AID HIGHWAY - A federal aid highway is any road that receives federal funds for construction, repair or maintenance. A federal-aid highway is typically a major thoroughfare such as a limited access interstate highway, but may also include secondary roads. FHWA is advising that a list of federal-aid roads is available from individual state Departments of Transportation.

THE BOTTOM LINE - The vest requirement does not apply to any driver who is not standing in the right-of-way of a federal-aid highway. The most likely scenario is that the rule will apply to heating oil delivery drivers and maintenance trucks that park vehicles in the road while delivering product or to drivers delivering product to road maintenance and construction sites. Even in these cases, the road must be a federal-aid highway in order for the vest requirement to apply.

Return to Top


AIR QUALITY OFFICIALS MEET ON LOW SULFUR HEATING OIL

Industry groups and representatives met with regional air quality officials in Baltimore, Maryland this week to discuss the near-term phase-in of lower sulfur heating oil. The Northeast States for Coordinated Air Use Management (NESCAUM) and the Mid-Atlantic/Northeast Visibility Union (MANE-VU), which includes air quality officials from six New England states, New York, Pennsylvania, Maryland, Delaware, New Jersey and the District of Columbia, have advocated for a proposed "Northeast Low Sulfur Initiative" for years that would see a reduction of heating oil in the region to 500 parts per million (ppm), or "low sulfur," and then a move to 15ppm ("ultra-low sulfur") several years later. Industry groups including the New England Fuel Institute, Petroleum Marketers Association of America and representatives from the National Oilheat Research Alliance, several state groups and heating oil retailers from around the region were present at the meeting. The representatives of the oilheat industry noted that the lower sulfur fuels would be a significant benefit to the consumers of heating oil. It will reduce maintenance costs, improve efficiency, and lead to a new generation of ultra-efficient heating oil equipment. Representatives of the refining industry and retailers described the supply picture into the region and how important it is to give adequate time to ensure that such a standard is adopted without a significant increase in price. Terminals and suppliers, including Global and Irving, were also instrumental in providing their insight on the supply and storage issues that might arise with a lower sulfur mandate. More on this issue as it develops. [NEFI]

Return to Top


CFTC BEGINS RULEMAKING ON IMPLEMENTING THE CLOSE THE ENRON LOOPHOLE LAW

The Commodity Futures Trading Commission has begun the rulemaking process to implement "close the Enron Loophole" provisions of NEFI/ICPA-backed legislation that was signed into law earlier this year. The rule will increase oversight of certain exempt trading platforms. Passing legislation closing the ENRON loophole took a massive coalition of more than 80 organizations from all over the country - started in 2004 here in New England and in New Jersey. Now that the CFTC is partially back in the business of overseeing some portions of what became exempt markets in 2000, there is still more to be done.

Given the meltdown of the nation's financial system, and now news of a $50 billion ponzi scheme gone bust - the idea of federal authorities paying attention to what goes on in the financial markets isn't as foreign an idea as it sounded in 2004 when we started. In fact, market transparency and oversight will be the major issues for Wall Street's relationship with Washington beginning in January.

See> http://www.cftc.gov/newsroom/generalpressreleases/2008/pr5581-08.html

Return to Top


FEDERAL OIL SPILL LIABILITY TAX INCREASES 

One of the provisions in the Emergency Economic Stabilization Act of 2008 (EESA) is an increase in the Oil Spill Liability Tax that is levied on each barrel of crude oil delivered to or produced in the United States. The EESA increases the Oil Spill Liability Tax from $0.05 cents per barrel of crude to $0.08 cents per barrel beginning January 1, 2009. Refiners normally pass the tax down as a cost. Petroleum marketers may see the tax broken out as a separate line item on invoices. Often the tax is referred to on invoices as “Federal Environmental Fee” or “Oil Spill Liability Tax”. Petroleum marketers need to know the amount of the tax on a per gallon rate for finished product when calculating costs for contract bids. OPIS has a list of suppliers that both do and do not line item this tax > http://www.opisnet.com/oiltax.asp

Return to Top


THE FED CRACKS DOWN ON CREDIT CARD PRACTICES

The U.S. Treasury Department Office of Thrift Supervision (OTS) approved a final rule (PDF) on Thursday to prohibit banks from engaging in unfair credit card practices. The Federal Reserve Board and the National Credit Union Administration are expected to approve the same rule, which should provide consumers with uniform protections regardless of which type of financial institution issued their credit card.

While these rule changes do not deal with interchange fees, it is another action taken by decision makers in Washington to change the credit card companies’ business practices. "Reducing interchange fees will help both consumers and Main Street businesses in this very difficult time for both. The MPC hopes the Fed and Congress will finally create a fair interchange fee system in 2009," stated NACS senior vice president of government relations in a press release (PDF). [NACs]

Return to Top


REMINDER! NEW BIODIESEL DISPENSER LABEL REQUIREMENTS TAKE EFFECT 

The Federal Trade Commission (FTC) issued a final rulemaking in June implementing a Congressional mandate that requires biodiesel dispenser to have content labels. Under the FTC rule, labels must be placed on all biodiesel and biomass-based diesel dispensers no later than December 16, 2008. The FTC does not require a label for blends up to five percent biodiesel. However, specific dispenser labels are required for blends with a concentration range over five percent. The label, or labels, must be placed conspicuously on the dispenser face in full view of consumers and as near to the price per unit as reasonably practicable.

The rule also requires that delivery tickets, bills of lading, shipping papers or any other document accompanying the transfer of biodiesel to non-consumers include a certification of the biodiesel content or biomass-based diesel content of the blend. Certification is made by indicating the biodiesel volume percentage of the diesel fuel on the transfer document. Example: “B-5” or “B-20” or “Contains 20 percent biodiesel”, etc. [PMAA]

PMAA's Compliance Bulletin is found HERE

Return to Top


For more information contact Gene at gene@icpa.org or call ICPA toll free at 1-866-521-ICPA


OilWell, LLC - Consumer Credit Risk Management For years heating oil retailers have tried to manage problem consumers who jump from retailer to retailer grabbing a delivery, not paying for it, and moving on to the next retailer. This has cost retailers thousands of dollars. Federal and state credit reporting laws make it nearly impossible to do this by ourselves and we have needed a bona fide, legally operated credit reporting agency to serve this important purpose. Retailers want to know if they’re at risk before they extend credit or before making a delivery to a new customer.

With a team of attorneys and information technology experts, Risk Assessment Data LLC created OilWell to address this growing need of oil retailers. Oil Well™ provides home & commercial heating oil providers with real-time information necessary to make informed credit decisions and control risk. Oil Well™ affords its clients the ability to improve the customer relationship experience while helping to identify potential fraud and better predict credit default risk. Oil Well™ gathers records exclusively from home & commercial heating oil providers thus allowing other client-members of that community access to actionable, real-time unique information that is not always available from other information providers. Oil Well™ proprietary Oil Well Alert™ proactively alerts a subscriber that its delinquent customer's consumer file has been accessed by another home heating oil provider, thereby alerting the subscriber that its customer may be preparing to avoid payment of its obligations by switching home heating oil providers.

ICPA members receive a 50% discount off non-member rates to subscribe to this service. Oil Well™ is at 207 Mineola Avenue, Roslyn Heights, NY 11577  Telephone 1-800-341-9137 Website at http://oilwellrad.com

For more information contact David Chu at chu@icpa.org  or call ICPA toll free at 1-866-521-ICPA

Return to Top


PRICES CORRECTED TO THE BTU EQUIVALENT OF HEATING OIL

http://icpa.org/protect/degreeday.htm

DPUC/Yankee Natural Gas $2.75
DPUC/Connecticut Natural Gas $2.40
DPUC/Southern Connecticut Natural Gas $2.53
DPUC/Connecticut Light & Power $7.44
OPM/Propane Statewide Average $3.96
OPM/Heating Oil Statewide Average $2.40
Wood Pellets* $2.65

*At $310 per ton, delivered, premium pellets with less than 5% moisture content


Heating Degree Days Since July 1st from Bradley Airport

Actual Since 7/1/08 1846
30 Year Average 1893
Last Year At This Time 1751

For more information contact Gene at gene@icpa.org  or call ICPA toll free at 1-866-521-ICPA

Return to Top


ITEC's Newsletter is found at

ITEC NEWSLETTER - December 15, 2008


10 Alcap Ridge, Cromwell, CT  06416                

Toll Free 1-866-521-ICPA  Fax  860-632-1122     www.icpa.org

ICPA sends out 1,100 E-Marketers Reports with each transmission either by email or fax to its 542 members and employees, as well as affiliated organizations around the country.