• 2022 OPMCA Fall Outing Registration Continues
• Please Join EMA at the 2022 NACS Show!
• EPA Issues Final Extension of RBP Waiver Permitting the Summertime Sale of E15 Nationwide
• We Card Awareness Month - September
• Oklahoma - Primary Runoff Update
• California Adopts Gasoline Powered Vehicle Ban
• USDA Announces Availability of $100 Million in New Higher Blend Infrastructure Grants
• NACS Fights for Private Investment in EV Charging Stations
• Federal Judge Postpones Effective Date of Required Warnings on Cigarettes Until October 6, 2023
• Federated Insurance - August 2022 Educational Articles

The 2022 OPMCA Fall Outing will be hosted at Shangri-La resort on Monday, Sept. 12th and Tuesday, Sept. 13th. Members will enjoy two days of golfing, a yacht charter cruise, as well as a fun evening filled with activities. We ask that you please register in advance, we hope to see you then!

REGISTER HERE!

Please Join EMA at the 2022 NACS Show! September 30 - October 4 

Registration is now open for the 2022 NACS Show in Las Vegas September 30 – October 4! The Early Bird Special is available for Energy Marketers of America members (even if you are also a member of the NACS) through July 1 by CLICKING HERE.

When prompted, enter the EMA NACS Show Registration Code: EMANS2022

**Please note that the NACS Show registration is separate from EMA’s Fall Meeting registration which will open later this month. You can find all available details, including EMA’s Fall Meeting Conference Schedule (September 30-October 1), EMA Housing link and NACS Show registration for EMA Members by CLICKING HERE.

Again, the EMA NACS Show Registration Code is: EMANS2022 

Regulatory Alert - EPA Issues Final Extension of RBP Waiver Permitting the Summertime Sale of E15 Nationwide

The U.S. EPA today, issued the last extension of the temporary emergency waiver put into effect earlier this year to allow the sale of E15 gasoline during the summer driving season. The final waiver is effective August 30, 2022. The EPA cites the “extreme and unusual” global fuel supply shortages caused by the war in Ukraine affecting all regions of the nation as a continuing justification for the waiver. The temporary waiver is authorized under Clean Air Act Sections (CAA§ 211(c)(4)(C)(ii)(I), 42 U.S.C. § 7454(c)(4)(C)(ii)(I)) and extends the current waiver to PM September 15, 2022.

This is the final one-pound RVP waiver the EPA will issue for E15 this year. No further extension is necessary because the waiver expires on September 15, 2022, which coincides with the end of the summertime RVP season. There is no restriction prohibiting the sale of E15 after September 15 until the start of the 2023 summer driving season on June 1. 



EMA Contact: Mark S. Morgan, Regulatory Counsel mmorgan@emamerica.org

We Card Awareness Month - September

September is We Card Awareness Month and it’s a great time to train or re-train employees and raise awareness of the FDA regulations and state law compliance.

The Oklahoma Petroleum Marketers and Convenience Store Association encourages all retailers to continue in their efforts to successfully identify and prevent underage age-restricted product sales. We Card resources include: 

• We Card’s 2023 materials will be available to order on September 1st at www.wecard.org.  

• We Card’s online training and its mystery shopping service — ID Check-Up help equip your store employees with the knowledge while you can gauge their performance with mystery shops.

• Get an updated state law summary or a Federal Law Summary on FDA regulated products and requirements of retailers. See the Resource Center at www.wecard.org.

• We Card’s Age Checker App, a smartphone app that scans driver’s license bar codes and provides an "OK to Sell" or "Do Not Sell" message — available in the App Store and Google Play. Learn more here.

• Take We Card’s Best Practices Survey and get a free download of We Card’s Guide to Best Practices.  

Oklahoma - Primary Runoff Update

Last week's Primary Runoffs went well for the state. For the most part in the Republican Primaries we were able to see Pro-business conservative candidates defeat the far right and now head toward November’s general election. 

State Legislative Seats: 

There were several races we were watching where a Far Right Abolitionist Republican was opposing a Pro-Business Republican. 

Senator Darcy Jech (R-Kingfisher), received 52%; His opponent from Elk City was out-spoken that there should be no division between church and state and that he did not care about education, roads or the budget -- he just wanted to fix government.

Claremore Senate Open Seat -- Another great result was for the open senate seat in Rogers County Business-owner Ally Seifried was able to defeat right winger Jarrin Jackson in what became an extremely expensive senate seat.

Guthrie Open House Seat -- Happy to report Collin Duel defeated the “abortion abolitionist” in a close race with 52% of the vote. 

OKC Open House Seat -- Also happy to report that locally in HD87 left vacant by Rep. Collin Walke, D-0KC, Republican Gloria Banister was able to defeat Scott Esk who had made headlines when he said homosexuals should be stoned.

Statewide Races: There will be a general in the fall but Republicans are expected to continue the trend of winning statewide races. 

State Treasurer Open Seat: Former State Rep. Todd Russ (R-Cordell) secured a fairly easy victory over former State Senator Clark Jolley. Todd was recognized by newscasters for winning while only running a positive message about himself. Jolley ran a 95% negative campaign and still lost! 

State Labor Commissioner: Incumbent Leslie Osborn won 53%-47% over her primary challenge from right wing Rep. Sean Roberts (R-Hominy).

Corporation Commission Open Seat: Term limited State Senator Kim David (R-Porter) secured her primary win over former House Rep Todd Thomsen (R-Ada). 

State School Superintendent Open Seat: State Secretary of Education Ryan Walters (R-McAlester) defeated Shawnee School Superintendent April Grace. It is expected that this will be a tough race in November. 

The night was great overall for common sense and for normal candidates advancing. As we know, there were several races in this primary cycle that could have severely altered the makeup to the republican caucuses in the house and senate. But because of hard to support the better candidates, we are optimistic that we have been able to help keep the legislature functioning. 

Open U.S. Senate Seat: This seat is being vacated by announced retirement of Senator Inhofe. In this Primary, U.S. Congressman Markwayne Mullin (R-Westville) secured a surprisingly overwhelming victory over former State House Speaker TW Shannon (R-OKC). While Congressman Mullin was expected to win, it was not expected by a margin of nearly 2-1. Barring some unforeseen event he is expected to be our next U.S. Senator. 

Open U.S. Congress 2nd District Seat (Eastern Oklahoma): This Congressional Seat became open when Incumbent Congressman Mullin announced his race for the U.S. Senate. This became a very competitive Republican Primary. After making their way through a crowded primary field, Former State Senator Josh Brecheen (R-Coalgate) was able to defeat State House member Avery Frix (R-Muskogee) by a margin of 52-48. 

Below is the link to the Election board with a breakdown of each of the races as well as a link to NonDoc with in-depth reports on the big races.

https://urldefense.proofpoint.com/v2/url?u=https-3A__results.okelections.us_OKER_-3FelecDate-3D20220823&d=DwIFaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=c-X7k33VYtOTxzsWESa_Wg4_4zW155JqEX8uVlzE9IY&m=Kg6_Une8iskaFDygH2DSwZXZy11XMDIuIBjBNPGpKVs&s=1MjFs8G8p02j10PLZebqUsuYlPNTwuD_12ZXFLatX9M&e=

https://urldefense.proofpoint.com/v2/url?u=https-3A__nondoc.com_&d=DwIFaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=c-X7k33VYtOTxzsWESa_Wg4_4zW155JqEX8uVlzE9IY&m=Kg6_Une8iskaFDygH2DSwZXZy11XMDIuIBjBNPGpKVs&s=fFJw-jPKkVcaBLkjtwuGntB5rbsGGS6u38hgConeUtY&e=

California Adopts Gasoline Powered Vehicle Ban

The California Air Resources Board (CARB) yesterday adopted a far-reaching plan to ban the sales of all new gasoline and diesel-powered cars, trucks and SUVs in the State by 2035. The ambitious regulations will likely reverberate throughout the country, as other states adopt similar bans and auto manufacturers move forward with their own plans to phase out internal-combustion engine vehicles from their model lineups over the next two decades.

“Americans want choice over the type of vehicles they purchase and the last thing they need is a “California car” mandate. There are better ways to reduce emissions through cleaner greener liquid fuels coupled with new and improved internal combustion engines. Furthermore, the reality of the cost and availability of EVs is yet to be seen as states and the feds place fees on EVs to offset lost revenue from fuel taxes where in the past EVs enjoyed the roads for free. And don’t forget about the significant tax incentives which can’t last forever, and for many, are not sufficient to make an EV affordable as well as the increase in electric rates to support increased electric demand and infrastructure improvements,” said EMA President Rob Underwood.

California Ban on Gasoline Powered Vehicles

The California ban will be phased-in over 13 years. The State will require 35% of all new car sales to be electric or hydrogen by 2026 followed by 68% in 2030 and 100% by 2035. There are special rules for plug-in hybrid vehicles. Not all gasoline-powered vehicles will be forced off the roads under the CARB regulations. The ban allows drivers to keep their current gasoline-powered vehicles on the road and permits the continued sale of used gasoline-powered vehicles throughout the State. CARB estimates that its newly adopted regulations will avoid the equivalent of 915 million barrels of oil in greenhouse gas emissions reductions between 2026 and 2040.

States Set to Adopt the California Ban

Clean Air Act Section 177 allows other states to adopt California’s motor vehicle emission standards. Section 177 requires states that choose to do so must adopt emission standards identical to the California standards. Currently, 17 states (New York, Massachusetts, Vermont, Maine, Pennsylvania, Connecticut, Rhode Island, Washington, Oregon, New Jersey, Maryland, Delaware, Colorado, Minnesota, Nevada, Virginia, and New Mexico) and the District of Columbia, representing 35.9 percent of all new vehicle sales sold in the U.S., have adopted California’s prior vehicle emission standards. It is expected that these and other states will move quickly to adopt California's electric vehicle mandate after California receives a Clean Air Act waiver from the U.S. EPA. CARB staff acknowledged in the rulemaking documents that its ban on gasoline-powered cars by 2035 requires the Clean Air Act waiver from EPA and the State expects to receive it.

EMA Action

EMA has been actively engaged in the fight against banning gasoline powered vehicles since California Governor Gavin Newsom authorized the ban in a 2020 executive order. On May 13, 2022, EMA filed a petition with a federal Court of Appeals in Washington, D.C., asking the court to review the Biden Administration’s restoration of the Clean Air Act waiver allowing California to set its own air pollution standards. That waiver was revoked by the Trump administration in 2019. The EMA petition was filed to challenge the restoration of the waiver on various grounds, including that California does not require the more stringent standards to meet any extraordinary or compelling conditions that are unique to California as the Clean Air Act requires. If the court overturns the waiver as requested by EMA, California is likely to lose the authority it claims to ban gasoline powered vehicles in the State. If that happens, any state attempting to adopt the California ban will lose their authority to act as well.

Separate from the current court action, EMA will oppose California's waiver request for gasoline-powered vehicle ban when it is submitted to EPA. If EPA does not have the authority under the Clean Air Act to ban gasoline-powered vehicles, it is difficult to see how it can allow California to exercise such authority under the statute.

Challenges Likely to Slow Transition to Electric Vehicles

Even if the EMA petition in court is not successful, there are plenty practical challenges expected to slow the transition to electric vehicles for years to come. First, and foremost is the lack of investment in EV charging infrastructure across the United States. California has only 80,000 of the 250,000 EV charging stations it needs to meet expected demand as the ban begins to phase in. Despite the recent multibillion-dollar investment in new EV charging infrastructure by Congress, there will still be a significant shortage of charging stations nationwide once those funds are expended by the states. Moreover, a major overhaul of the nation’s electric power plants and transmission grid must occur to meet the higher demand a transition to all electric vehicles will create. Another challenge is the chronic shortage of EV models that consumers can afford even with new state and federal incentives for electric vehicle purchases. The EV shortage is not expected to end anytime soon as materials needed to manufacture batteries are in critically short supply and the supply chains used to move them are disrupted. Finally, most consumers remain skeptical that electric vehicles can match the performance standards and mileage range of gasoline powered vehicles.

Regulatory Alert - USDA Announces Availability of $100 Million in New Higher Blend Infrastructure Grants

The United States Department of Agriculture (USDA) has announced the availability of approximately $100 million in competitive grants to transportation fueling facilities for the installation and upgrade of equipment compatible higher blend renewable fuels in rural and disadvantaged areas. The goal of HBIIP is to increase the market availability of higher blend biofuels.

Under the HBIIP, funds will be awarded to assist transportation fueling and fuel distribution facilities to convert their current facilities through upgrade of existing or installation of new equipment required to ensure compatibility with ethanol blends over 10% and biodiesel blends over 5%.

Grant Distribution

The good news for energy marketers is that $75 million of the $100 million in available funding is earmarked for retail facilities. In addition, 40% of the funding earmarked for retail facilities will be made exclusively to small business energy marketers with 10 or fewer stations. The remaining $25 million will be made available to midstream transportation fuel storage and distribution facilities.

Cost Sharing

The program will share 50% of total project costs up to $2.5 million per applicant for existing retail stations. There is a matching fund requirement for applicants of at least $1 for every $1 in grant funds provided by the USDA. Matching funds plus grant funds must equal total eligible project cost.

Eligible Applicants

The funds are available for gasoline service stations, convenience stores, hypermarket fueling stations; fleet facilities, including transportation, freight, rail and marine in rural and disadvantaged areas.

Eligible Project Costs

Eligible Project Costs are only those costs incurred after the date that a complete application is submitted and that are directly related to the use and purposes of the HBIIP. The grants must be used to: upgrade or install or otherwise retrofit transportation fueling equipment including dispensers and UST system components including tanks, pumps, ancillary equipment, lines, gaskets, and sealants, and other infrastructure; fees for construction permits and licenses; and professional service fees for qualified consultants, contractors, installers, and other third-party services.

Ineligible Project Costs

Ineligible project costs for HBIIP grants include, but are not limited to: incurred expense, equipment purchase, or paid service prior to the date a complete application is submitted; renewable diesel projects; used equipment and vehicles; construction or equipment costs that would be incurred regardless of the installation of higher blend fuel infrastructure; purchase of real property or land; Lease payments, funding of political or lobbying activities; to pay off any Federal direct or guaranteed loan or any other form of Federal debt.

Anticipated Award Date:

The Department of Agriculture anticipates making awards 90 days after the application deadline.

Performance Period:

The grant period is not to exceed 36-months, unless otherwise specified in the Grant Agreement or agreed to by the Agency.

Application Information

Only one HBIIP application may be submitted per HBIIP applicant. An application may request HBIIP assistance for more than one location that is owned and/or legally controlled by the applicant entity. An HBIIP applicant may receive only one award under this grant distribution. New construction of fueling stations, locations or facilities constructed during the grant period are restricted from receiving HBIIP grant funds for underground tanks.

Application Submission

Instructions and additional resources including an application guide are available at the HBIIP website.

Application Due Date

Applications due no later than 4:30 PM Eastern time, November 21, 2022.

Got Questions? Contact Mark S. Morgan, Regulatory Counsel at mmorgan@emamerica.org

NACS Fights for Private Investment in EV Charging Stations (NACS)

The association, along with NATSO and SIGMA, urge Biden to incentivize gas stations to add EV charging.

ALEXANDRIA, Va.—NACS, along with NATSO, representing truckstops and travel centers, and SIGMA: America’s Leading Fuel Marketers, urged the U.S. Department of Transportation to incentivize the nation’s existing refueling locations to incorporate EV charging into their suite of fueling options as the federal government implements the National Electric Vehicle Infrastructure (NEVI) Formula grant program.

The organizations representing more than 150,000 refueling locations nationwide urged the Department of Transportation to implement the NEVI grant program in a manner that does not simply invest public funds but drives policies that will positively shape the future of vehicle fast-charging markets.

If federal investments are made without any effort to drive necessary policy and market reforms, or with unnecessary strings attached, the NEVI grant program will result in charging stations being placed in undesirable locations, limiting consumer interest in purchasing EVs and minimizing private companies' desire to invest in charging stations, NATSO, NACS and SIGMA said in comments filed with the U.S. DOT and the Federal Highway Administration (FHWA).

“Bringing private investment to EV charging will lead to more of the infrastructure that drivers need,” said NACS General Counsel Doug Kantor. “To do that, the NEVI program should move the country toward a competitive EV charging market with a multitude of retail businesses in all parts of the country having the opportunity to invest and earn a profit. Encouraging private investment will mean state-of-the-art chargers in convenient locations with competitive low prices alongside the types of amenities that drivers have come to expect while they refuel,” Kantor said.

“Retail fuel companies are capable of single-handedly eliminating range anxiety,” said David Fialkov, NATSO executive vice president of government affairs. “All they need is a level playing field and an opportunity to generate a modest return. EV charging availability at existing retail fuel locations will mean drivers do not need to change their refueling habits if they choose not to. They can refuel on-the-go with the same safe, reliable service and amenities that they enjoy today,” Fialkov said.

“If NEVI investments are made without any effort to drive necessary policy and market reforms, the program will result in charging stations being placed in undesirable locations and likely operated by site hosts with limited incentive to provide consumers with a positive charging experience,” said SIGMA Chairman of the Board Richard Guttman. “This ultimately will dampen consumer interest in purchasing EVs as well as charging station innovation.”

Fuel retailers specifically encouraged U.S. DOT to:

·        Flexibly administer the requirement that states locate EV charging stations every 50 miles along designated corridors. Rather than forcing states to meet an arbitrary 50-mile requirement where it isn’t feasible, U.S. DOT should ensure that states can administer the program in accordance with their specific needs, especially in rural states, working with the private sector as required by law.

·        Refrain from regulating or capping revenue earned from private sector operation of a NEVI- subsidized EV charging station. Regulated utilities should be precluded from imposing exorbitant rate hikes on their monthly customers to underwrite NEVI-funded charging station investments that the private sector is willing to make.

·        Establish a transparent and uniform pricing structure across the charging station network, requiring NEVI-funded charging operators to display and base the price of electrical charge in dollars per kilowatt hour. A uniform, transparent pricing structure would allow consumers to compare offerings throughout the country.

·        Encourage states to allow EV charging station operators to sell electricity to EV drivers without being regulated as a utility. In many states, utilities are opposing efforts by prospective charging station operators to generate their own electricity to power their charging stations. This opposition reflects an effort by regulated utilities to undermine the case for private investment in charging stations and inhibits EV penetration.

·        Require states to consider driver safety and convenience by locating chargers at sites that have on-site employees to call emergency personnel when needed and offer amenities that attract other highway travelers. Co-locating charging stations with 24/7 amenities will invariably make consumers more comfortable purchasing an EV without concern for undue safety risks when refueling.

·        Avoid bureaucratic hurdles that would inadvertently depress the market for electric vehicle charging. The “Buy America” provision, for example, requires charging station equipment to be manufactured in the United States yet virtually no equipment on the market today meets the "Buy America standards." Such requirements would significantly delay charging projects.

Federal Judge Postpones Effective Date of Required Warnings on Cigarettes Until October 6, 2023

Last week, the U.S. District Court for the Eastern District of Texas issued an order in the case of R.J. Reynolds Tobacco Co. et al. v. United States Food and Drug Administration et al., No. 6:20-cv-00176, to further postpone the effective date of the “Required Warnings for Cigarette Packages and Advertisements” final rule. The new effective date of the final rule is October 6, 2023. Click here for more information.

Federated Insurance - August 2022 Educational Articles

Attached are links to articles provided by Federated Insurance:

Risk Management Corner tackles subjects related to workplace safety

Protecting Your Inventory – Theft Prevention Tips (federatedinsurance.com)

HR Question of the Month provides a human resources-related question and answer from independent legal professionals

Revisions to Company Policies? (federatedinsurance.com)

It’s Your Life discusses concepts related to life and disability income insurance

Can You Afford the Loss of a Key Employee? (federatedinsurance.com)