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August 6, 2019 | Vol. 69, No. 15

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In This Issue
Dear PEI Member:

Under 40 CFR 280, underground storage tank (UST) owners and operators must demonstrate the ability to pay for cleanup or damage to third parties in the event of a release. Thirty-six states help their owners and operators meet these requirements, in whole or in part, through financial assurance funds.

Each year, the Association of State and Territorial Solid Waste Management Officials (ASTSWMO), in cooperation with the Vermont Department of Environmental Conservation, conducts a survey of these 36 state funds. The just-completed 2018 ASTSWMO survey contains downloadable tables summarizing participating states’ funding mechanisms, activities and cost-control measures.

The 2018 survey shows that total annual revenue and fund balances grew during the year. Outstanding claims, however, grew even faster — from $246.37 million to $360.81 million. In four states — Connecticut, New Jersey, Virginia and Washington (heating oil only) — outstanding claims exceed the state fund balance. In 2017, only two states had negative balances. 

 

2017

2018

Annual revenue

$1.62B

$1.83B

Current fund balance

$2.02B

$2.47B

Total number of sites covered

180,723

160,708

Outstanding claims

$246.37M

$360.81M

States in which claims exceed fund balance

2

4

Average claim paid

$147,309

$142,219

2018 State UST Fund Survey

PEI Expands Priority Club

NCWM Annual Meeting Report

PEI Staff News

 

 

 

 

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Arizona, Colorado and Utah have initiated programs to help owners and operators with the costs of tank removals and replacements. State assistance programs will be particularly helpful during the next 10 years as tanks installed in response to the 1988 federal UST regulations reach the end of their 30-year warranties.

Attend the “Aging UST Systems: What You Need to Know” session at the 2019 PEI Convention (Oct. 1-4 in Atlanta) to learn more about the United States’ UST infrastructure. A panel of regulators and insurance carriers will provide data and perspectives to help you and your customers make sound tank replacement decisions.

PEI EXPANDS PRIORITY CLUB
PEI members are invited to apply for membership in the new, three-tiered 2020 PEI Priority Club. Each tier is restricted to 20 members on a first-come, first-served basis.

Gold, Silver and Bronze levels provide three distinct benefit options. To reserve your spot:

Priority Club fees will be invoiced this fall during the regular PEI membership dues renewal process.

For more information, contact PEI Advertising Director Tom Leibrandt at tleibrandt@pei.org or 918-236-3962.

NCWM ANNUAL MEETING
The National Conference on Weights and Measures (NCWM) held its annual meeting July 14-18 in Milwaukee. Six actions were of particular interest to PEI members:

  1. Dispenser Security. The Specifications and Tolerances Committee’s Skimmer Task Group proposed a requirement that fuel dispensers be secured to prevent unauthorized access through:
    1. A physical lock, locking device or physical securing device;
    2. Electronic alarming or disabling of the equipment;
    3. Advanced payment acceptance technologies; or
    4. Another alternative approved by local or state weights and measures authorities.

The proposal may be voted on at the 2020 NCWM annual meeting. 

  1. Dispenser Timeout. NCWM delegates approved a 2-minute timeout on all retail dispensers for mass-flow, hydrogen and electric vehicle (EV) metered dispensers.
  2. Diesel Exhaust Fluid (DEF). Handbook 44 was amended to clarify that DEF dispensers are subject to the same provisions as motor fuel dispensers.
  3. Single-Product Dispenser Tickets. NCWM exempted retail fueling sites with only one dispenser for each product from the requirement that printed tickets display the dispenser number.
  4. Premium Diesel Requirements. NCWM approved minimum cetane, temperature operability, lubricity, corrosion, filter blocking and injector deposit control criteria for diesel fuel designated as “premium” or identified with another term in the product or grade name that implies its properties exceed the minimum specification limits.
  5. Year-Round E15 Sales. Handbook 130 was amended to allow the year-round sale of E15. This change aligns with the May 31 EPA rulemaking that granted ethanol blends of up to 15% a 1-pound Reid Vapor Pressure (RVP) waiver from June 1 to Sept. 15. (See June 19, 2019 TL.)

FROM THE STATES
California.
Honda, Ford, Volkswagen and BMW agreed to increase the fuel efficiency of autos sold in the state through 2026. The voluntary action counteracts a Trump administration proposal to roll back stringent Obama administration mileage requirements.
Colorado. The Alliance of Automobile Manufacturers and the Association of Global Automakers accepted proposed Colorado mandates for the sale of zero-emission vehicles (ZEVs) beginning in 2023. Colorado’s Air Quality Control Commission will consider the proposal at an Aug. 13-16 hearing.
Florida. Florida will install EV charging stations at all Florida Turnpike service plazas and along other major highways by 2020. Funding for the $25 million project will come from the state’s $166 million share of the Volkswagen emissions settlement.
New York. On July 24, the New York Department of Agriculture and Markets opened a 60-day public comment period on a proposal to allow E15 sales in the state.
Oklahoma. The state’s new Petroleum Storage Tank Rules took effect Aug. 1, and may be found on the Oklahoma Corporation Commission website.
Virginia. The Virginia Department of Environmental Quality (DEQ) is seeking input on two draft guidance documents: New Underground Storage Tank (UST) Requirements Effective January 1, 2021, and Investigating and Reporting Suspected Releases indicated by Monitoring Results. Interested parties must submit comments to tanks@deq.virginia.gov by Aug. 10.

PEI STAFF NEWS
Bob Young
, PEI’s director of industry relations, will retire from full-time employment with the association on Aug. 15, after 30 years of service. Through his leadership of the 10-Group program, management of recommended practice committees and service to NACS Show exhibitors, Bob has made tremendous contributions to PEI and the industry. All PEI members and friends are invited to join in a tribute to Bob Thursday, Oct. 3, during the PEI Industry Reception at the 2019 PEI Convention. Although retiring from full-time employment, Bob will continue working with PEI on a contract basis through June 2020. He can be reached at rhyoungj54@gmail.com.
Julie Shank joined PEI as marketing and events manager Aug. 1. Most recently, Julie was manager of regional marketing for Bell Helicopter, a major aerospace manufacturer based in Fort Worth, Texas. From 2011 to 2017, she worked with Dallas-based Freeman and FreemanXP, including roles as senior brand marketing manager, client solutions manager and convention manager. In her new role, Julie will lead the association’s marketing efforts, support exhibitors at the NACS Show and guide plans for PEI conferences and events. Julie can be reached at jshank@pei.org or 918-236-3965.

PEI MEMBER NEWS
S. Bravo Systems
will locate its East Coast manufacturing operations in Lexington, Tennessee, according to an announcement by Bravo executives, Tennessee Gov. Bill Lee, and Department of Economic and Community Development Commissioner Bob Rolfe. The company plans to invest $2.8 million and create more than 80 jobs during the next three years.
Jones & Frank
named Kurt Witzgall senior vice president of sales and marketing, effective Sept 2. Witzgall has a degree in economics with a minor in math from the College of William and Mary. He will be based at the Jones & Frank corporate headquarters in Morrisville, North Carolina.
Leighton O’Brien appointed Patrick Ramsden chief operating officer and an executive director of the company. Ramsden has more than 30 years’ experience in executive management and information technology strategy. Most recently, he was chief information officer for Swinburne University of Technology.

BRIEFLY NOTED
“Oil giant BP is investing in tech that will fully charge an electric vehicle in five minutes by 2021
, according to BloombergNEF. BP is currently spending $200m a year on new ventures ‘largely in the low-carbon space,’ says David Eyton, head of technology at BP. Last year, BP bought UK company Chargemaster for $US170 million and invested about $US20m in Israeli battery startup, StoreDot.” — Stockhead, July 26, 2019
“Sales of zero-emission vehicles (ZEVs) in Canada in the first half of 2019 rose 30% from the same period last year, the government said Thursday, attributing the jump to an increase in federal tax incentives. ... Battery-electric, hydrogen fuel cell and longer range plug-in hybrid vehicles are eligible for up to C$5,000, while short range plug-in ZEVs qualify for $2,500.” — Oil Express Alert, Aug. 1, 2019

MEMBERSHIP APPLICATIONS
Oklahoma distributor. Petroleum Line and Tank, 10202 N. Cincinnati Ave., Sperry, OK 74073, applied for distributor division membership. Imran Khalid is office manager for the company, which was established in 2015. Petroleum Line and Tank provides tank testing, line testing and cathodic protection testing, as well as petroleum equipment sales and service. Sponsored for PEI membership by Bob Chase, Bennett Pump Co., Norton Shores, Michigan.
www.petroleumlineandtank.com

Texas service provider. Your Environmental Specialist, 3424 Nederland Avenue, Nederland, TX 77627, applied for service and construction division membership. Javed Surani is the owner of the company, which was established in 2018. Your Environmental Specialist provides UST compliance services, including inspections and testing of line and leak detectors, vapor recovery equipment, sump integrity and spill buckets. Sponsored for PEI membership by Chris Monroe, Monroe & Monroe Insurance, Arlington, Texas.

ADMITTED TO PEI

  • Mozika Inc., Cleveland, Ohio (service and construction)
  • Ultra Tank Services Inc., Bellingham, Washington (service and construction)
  • Motopac Corp., Bayamon, Puerto Rico (distributor)
  • UltraTech International Inc., Jacksonville, Florida (manufacturer)
  • Greg Goode, Comcast, Sunrise, Florida (operations and engineering)
  • Jeremy Templin, The Kroger Company, Denver, Colorado (operations & engineering)
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© 2019
Petroleum Equipment Institute
P. O. Box 2380
Tulsa, OK 74101-2380

The TulsaLetter (ISSN 0193-9467) is published two or three times each month by the Petroleum Equipment Institute. Richard C. Long, Editor. Opinions expressed are the opinions of the Editor. Basic circulation confined to PEI members.