Prohibits more than one increase in the price of motor fuel in any twenty-four hour period.
TITLE OF BILL: An act to amend the general business law, in relation to prohibiting more than one increase in the price of gasoline in any twenty-four hour period
PURPOSE OR GENERAL IDEA OF BILL: The purpose of this bill is to prohibit gasoline prices from being adjusted at the pump multiple times daily on the same lot of gasoline, which was purchased wholesale at a fixed price.
SUMMARY OF SPECIFIC PROVISIONS: With this legislation it will be unlawful for anyone engaged in the sale of motor fuel, or anyone who produces and stores or exchanges motor fuel at a terminal or facility and who sells or transfers motor fuel through the loading rack at such terminal facility, or an affiliate of such, to increase the price of any grade or quality of motor fuel sold at a retail outlet more than once in a twenty-four hour period. Any violation shall result in a civil fine of not more than five hundred dollars to be collected by the corporation counsel for any city or by the appropriate attorney of any political subdivision as shall be designated by the governing body of such political subdivision.
JUSTIFICATION: As gasoline prices fluctuate, price gouging has become a concern, particularly in metropolitan areas where gas sales competition is fierce. Gas merchants are known to continually raise gas prices over the course of a 24 hour period, often dramatically increasing consumer costs without an increase in the actual price of gasoline. Given New York's sharply increasing cost of living and rising costs of transportation, it is important to prevent working class families from being gouged at the pump by unscrupulous gas distributors.
This bill will ensure consistency and fairness for motor vehicle drivers throughout New York State.
PRIOR LEGISLATIVE HISTORY: 2010: S.7308/A.2323 (Third Reading Calendar)
FISCAL IMPLICATIONS: None.
EFFECTIVE DATE: This act shall take effect immediately.
STATE OF NEW YORK ________________________________________________________________________ 603 2011-2012 Regular Sessions IN SENATE (PREFILED) January 5, 2011 ___________Introduced by Sen. PERALTA -- read twice and ordered printed, and when printed to be committed to the Committee on Consumer Protection AN ACT to amend the general business law, in relation to prohibiting more than one increase in the price of gasoline in any twenty-four hour period THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. The general business law is amended by adding a new arti- cle 24-B to read as follows: ARTICLE 24-B MOTOR FUEL MARKETING PRACTICES ACT SECTION 370-K. UNLAWFUL PRICE INCREASES; EXCEPTIONS. S 370-K. UNLAWFUL PRICE INCREASES; EXCEPTIONS. (A) (1) IT IS UNLAWFUL FOR ANY NONREFINER ENGAGED IN COMMERCE IN THIS STATE TO INCREASE THE PRICE OF ANY GRADE OR QUALITY OF MOTOR FUEL SOLD AT A RETAIL OUTLET MORE THAN ONCE IN A TWENTY-FOUR HOUR PERIOD. (2) IT IS UNLAWFUL FOR ANY REFINER, INCLUDING ANY AFFILIATE OR AGENT THEREOF, ENGAGED IN COMMERCE IN THIS STATE TO INCREASE THE PRICE OF ANY GRADE OR QUALITY OF MOTOR FUEL SOLD MORE THAN ONCE IN A TWENTY-FOUR HOUR PERIOD. (B) (1) ANY VIOLATION OF THIS SECTION SHALL RESULT IN A CIVIL FINE OF NOT MORE THAN FIVE HUNDRED DOLLARS TO BE COLLECTED BY THE CORPORATION COUNSEL FOR ANY CITY OR BY THE APPROPRIATE ATTORNEY OF ANY POLITICAL SUBDIVISION AS SHALL BE DESIGNATED BY THE GOVERNING BODY OF SUCH POLI- TICAL SUBDIVISION. (2) AN ISOLATED, INADVERTENT INCIDENT INVOLVING ACTIVITY PROHIBITED PURSUANT TO SUBDIVISION (A) OF THIS SECTION SHALL NOT BE A VIOLATION OF THIS SECTION. (C) AS USED IN THIS SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD03296-01-1 S. 603 2
(1) "MOTOR FUEL" MEANS ANY PETROLEUM PRODUCT INCLUDING ANY SPECIAL FUEL WHICH IS USED FOR THE PROPULSION OF ANY MOTOR VEHICLE; (2) "NONREFINER" MEANS ANY PERSON, OTHER THAN A REFINER, ENGAGED IN THE SALE OF MOTOR FUEL; (3) "PERSON" MEANS ANY INDIVIDUAL, PUBLIC OR PRIVATE CORPORATIONS OR LIMITED LIABILITY CORPORATIONS, COMPANIES, ASSOCIATIONS, SOCIETIES, FIRMS, PARTNERSHIPS, LIMITED LIABILITY PARTNERSHIPS, JOINT STOCK COMPA- NIES, THE UNITED STATES, THE STATE OF NEW YORK AND ANY OF ITS POLITICAL SUBDIVISIONS OR AGENTS; (4) "REFINER" MEANS ANY PERSON WHO PRODUCES AND STORES OR EXCHANGES MOTOR FUEL AT A TERMINAL FACILITY AND WHO SELLS OR TRANSFERS MOTOR FUEL THROUGH THE LOADING RACK AT SUCH TERMINAL FACILITY, AND INCLUDES AN AFFILIATE OF SUCH REFINER WITH RESPECT TO SUCH AFFILIATE'S SALE OF MOTOR FUEL; (5) "RETAIL OUTLET" MEANS A FACILITY, INCLUDING LAND AND IMPROVEMENTS, WHERE MOTOR FUEL IS OFFERED FOR SALE AT RETAIL TO THE PUBLIC; AND (6) "SALE" OR "SELL" MEANS ANY TRANSFER, GIFT, BARTER, SALE, OFFER FOR SALE, OR ADVERTISEMENT FOR SALE IN ANY MANNER OR BY ANY MEANS WHATSOEV- ER, INCLUDING ANY TRANSFER OF MOTOR FUEL FROM A PERSON TO ITSELF OR AN AFFILIATE AT ANOTHER LEVEL OF DISTRIBUTION, BUT DOES NOT INCLUDE PRODUCT EXCHANGES AT THE WHOLESALE LEVEL OF DISTRIBUTION. S 2. This act shall take effect immediately.