• PMAA Weekly Review

  • PMAA Weekly Review

         
     
    March 27, 2020 [WR-20-13]
    Sponsored by Citgo Petroleum Corporation
    who generously supports PMAA’s work in our Nation’s Capital
     

    Quick Links to Articles for March 27, 2020

    Click Here to View all PMAA Coronavirus Related Resources for Petroleum Marketers 
    Including all Regulatory Reports
    PMAA DC Conference and Day on the Hill Canceled

    PMAA Regulatory Alert: EPA Issues Enforcement Discretion Policy for Routine Compliance Requirements 

    DOT Issues COVID-19 Guidance for Drug and Alcohol Testing Requirements

    PHMSA Issues Enforcement Waiver for CDL Hazmat Driver Reoccurring Training

    Congress Approves “Phase 3” Coronavirus Response Legislation

    The Families First Coronavirus Response Act (FFCRA) to go into effect on April 1st 

    EPA Could Issue RVP Waiver as soon as Today

    EPA Warns State UST Authorities Not to Approve New ASTM Visual Sump Test Standard

    PMAA Sends letter Requesting a delay in the EMV Liability Shift Deadline

    Trump Administration Expected to Release Final Rule on CAFE Standards Next Week

    Small Refineries Appeal Court Ruling

    Gasoline Demand Likely to Drop 50 Percent Due to Coronavirus

    Federated Insurance COVID-19 Pandemic Resources to Assist Employers 

    Promote Your Products or Services in PMAA’s Online Buyer’s Guide

     
    Articles for March 27, 2020
     
    PMAA DC Conference and Day on the Hill Canceled

    In light of the coronavirus pandemic, the PMAA Executive Committee has decided to cancel the DC Conference and Day on the Hill (May 13-15th). 

    There are no plans to reschedule the meeting. Registration refunds and hotel room cancelation details will be available soon to PMAA State Association members.

    PMAA Regulatory Alert: EPA Issues Enforcement Discretion Policy for Routine Compliance Requirements 

    The U.S. EPA issued general enforcement discretion policy this week designed to address difficulties regulated parties may have maintaining certain routine compliance requirements due to the COVID-19 outbreak. Specifically, the U.S. EPA will not seek civil penalties for the following: Routine Monitoring and Reporting; Integrity Testing; Sampling; Lab analysis, Training and Certification. Click here to view the full report from PMAA Regulatory Counsel Mark Morgan. 

    DOT Issues COVID-19 Guidance for Drug and Alcohol Testing Requirements

    The Department of Transportation (DOT) has issued guidance for employers who may have difficulty conducting mandated federal drug and alcohol testing due to the recent COVID-19 outbreak. Barriers to testing include unavailability of collection sites, breath alcohol technicians (BAT), medical review officers (MRO) and substance abuse professionals (SAP) caused by the COVID-19 outbreak. The guidance provides employers with testing flexibility by recognizing COVID-19 as a possible barrier to testing. In some cases, missed tests must take place at a later date according to the guidance. Click here to read the full Regulatory Report on PMAA’s Coronavirus Resources webpage.

    PHMSA Issues Enforcement Waiver for CDL Hazmat Driver Reoccurring Training

    The Pipeline and Hazardous Materials Safety Administration (PHMSA) announced on Monday that the agency will not take enforcement action against any motor carrier or offeror who is unable to provide reoccurring hazardous material training that all CDL HAZMAT drivers (and all HAZMAT employees) must undergo every three years. Click here to read the full Regulatory Report on PMAA’s Coronavirus Resources webpage.

    Congress Approves “Phase 3” Coronavirus Response Legislation

    Shortly ago, Congress approved a $2 trillion “Phase 3” coronavirus response package known as the “Coronavirus Aid, Relief, and Economic Security Act” (CARES Act) and will be sent to the President’s desk for his signature. 

    Please note that the Small Business Legislative Council (SBLC) will have a full detailed report on the CARES Act soon. Cick here for PMAA’s current detailed report.

    The Families First Coronavirus Response Act (FFCRA) to go into effect on April 1st 

    Important to petroleum marketers, the Department of Labor announced this week that the First Coronavirus Response Act (FFCRA), also known as “Phase 2” of the stimulus package, will go into effect on April 1st. Furthermore, DOL has published the model notice that employers will be required to post to advise employees of their rights under the FFCRA. Click here to view the poster.

    EPA Could Issue RVP Waiver as soon as Today

    EPA Administrator Andrew Wheeler indicated yesterday that the EPA could issue a waiver for summertime RVP fuel requirements as soon as today. Earlier this week, PMAA joined NACS, NATSO and SIGMA in sending a letter to the EPA requesting the agency to issue a waiver for the summertime RVP fuel requirements. The waiver request comes in response to the lack of demand for fuel due to the health pandemic. Click here to view the summertime RVP waiver letter. 

    EPA Warns State UST Authorities Not to Approve New ASTM Visual Sump Test Standard

    The EPA’s Office of Underground Storage Tanks (OUST), this week, informed state underground tank program authorities that a new ASTM sump testing standard is not approved for use because it does not meet federal UST requirements. According to OUST, ASTM Standard E3255-20 does not meet federal regulatory requirements requiring spill prevention and sump testing be done using a liquid, pressure, or vacuum test. ASTM E3225-20 also known as the “FIT Test uses visual testing only. To address this matter, EPA added two new questions and answers to OUST’s web-based UST Technical Compendium about the 2015 UST Regulation. You can access it by clicking here.

    Please note that EPA previously approved the Low Liquid Level UST Containment Sump Test developed by PMAA as an acceptable low-cost test method for sumps. 

    PMAA Sends letter Requesting a delay in the EMV Liability Shift Deadline

    This week, PMAA joined NACS, SIGMA, NATSO and the Merchant Advisory Group in sending letters to Visa, Mastercard, AmEx and Discover requesting for a delay in the EMV liability shift deadline for automated fuel dispensers (AFD) due to the health pandemic. In the requests, the associations ask that the deadline be extended from October 1, 2020 deadline to a later date to be determined after the health crisis comes to an end. Click here to view the EMV delay letter. 

    Trump Administration Expected to Release Final Rule on CAFE Standards Next Week

    According to a Trump Administration official, plans are in place to release the final rule on fuel economy standards next Tuesday. The rule is expected to require a 1.5 percent annual increase in the fleet-wide efficiency of new automobiles starting in 2021. Current regulations set by the Obama Administration require a mile-per-gallon (MPG) average of roughly 50 miles per gallon by 2025. However, last year, the Trump Administration proposed capping that requirement at a 37-miles-per-gallon average after 2020. The EPA and the National Highway Traffic Safety Administration (NHTSA) estimate that the final rule will save drivers around $1,000 on car purchases and could potentially save 3,000 lives over the rule’s lifespan.

    In January, the EPA also issued an “Advanced Notice of Proposed Rulemaking” to create stricter standards on emissions from new heavy-duty trucks, and the agency has been collecting data to prepare for the upcoming rule.

    PMAA has submitted numerous arguments as to why current MPG standards could harm petroleum marketers and how important it is that the Trump Administration’s rule is adopted. Click here to read the comments. 

    Small Refineries Appeal Court Ruling
    Trump Administration Backs Off Appeal

    On Tuesday, two small refineries, HollyFrontier and Wynnewood Refining, appealed a 10th U.S. Circuit Court of Appeals ruling which said that the EPA had exceeded its authority and must reconsider the small refinery exemptions (SREs) that it had granted to the refineries. That court ruling said only refineries that had exemptions continuously since 2011 could apply for new ones. The refineries are appealing the ruling because it would scale back the number of SREs which would negatively impact the refineries by increasing RIN prices.

    Meanwhile, the Trump Administration has ultimately decided not to appeal the 10th U.S. Circuit Appeals court ruling. Instead, the Trump Administration will look for other ways to provide funding relief to refineries. The decision by the administration not to appeal the ruling ultimately hurts the refineries, who would almost certainly need the EPA’s backing to have a shot at a successful appeal. Furthermore, the administration’s decision not to appeal now means that only a handful of refineries will be eligible to receive exemptions. 

    The issue is important to petroleum marketers because high RIN values lead to an unlevel playing field in the motor fuels market. 

    Gasoline Demand Likely to Drop 50 Percent Due to Coronavirus

    IHS Markit believes gasoline demand will drop 50%, even more than during the 2008 recession, due to the coronavirus health pandemic. IHS Markit also believes demand for internal combustion engines (ICE) will decline. Additionally, EVs are expected to take a hit given that oil prices are down, therefore making EVs less competitive. Click here to view the full article from IHS Markit. 

    Federated Insurance COVID-19 Pandemic Resources to Assist Employers 

    Federated Insurance is committed to helping our clients navigate the newly announced mandates affecting business owners as a result of the spread of COVID-19. In collaboration with our friends at Enquiron®, we are providing you with three valuable documents designed to help provide information to organizations facing challenging employment issues during these uncertain times:

    1. Employer COVID-19 FAQs document

    2. An overview of the Families First Coronavirus Response Act

    3. Important Rules for Employers to Know in the Wake of COVID-19

    Additional helpful resources and Federated Insurance’s response to Coronavirus are found here

    Other Federated Information:

    Risk Management Corner – Property/Casualty and/or Workers Compensation subjects
    HR Question of the Month – a Human Resources-related question and answer from independent HR legal professionals
    It’s Your Life – concepts related to Life and Disability insurance

    Our mission at Federated Insurance continues to be enhancing your success and protecting your business. I sincerely hope the materials provided above help you during these trying times. I wish all the best for you, your business, your employees, and their families.

    For additional information or to discuss this in further detail, please contact your Federated regional representative or PMAA’s National Account Executive Jon Medo at 800.533.0472. Federated is a PMAA Corporate Platinum Partner. 

    NOTE: The materials provided contain information developed solely by Enquiron, a third party wholly independent from Federated. Federated provides this information as a courtesy to its clients. This content should not be considered legal advice from Federated and may be subject to additional rules and regulations in your state. The materials are provided as general information and intended to serve only as a guide. Since each business situation is unique, qualified legal counsel should be sought regarding questions specific to your circumstances and in responding specifically to the COVID-19 situation. 

    Promote Your Products or Services in PMAA’s Online Buyer’s Guide

    The Petroleum Marketers Association of America ("PMAA") exclusive PMAA Buyers’ Guide ((the "Guide") — the premier resource of relevant products and services for petroleum professionals — is available at the PMAA website.

    PMAA partners with Overland Park, Kansas-based Strategic Value Media, a leading nationwide provider of print and digital media solutions for national, state and local trade and membership associations. PMAA is proud to provide its members with this useful and easily accessible year-round resource.

    The 2020 version features updated and expanded company and product listings, in addition to other valuable information relating to the petroleum industry. The Guide provides PMAA members and other industry professionals with an efficient way to browse for goods and services and offers petroleum suppliers and companies exceptional visibility by showcasing their products and services to a targeted, industry-specific buyer group.

    If your company or business has not yet taken advantage of this exceptional opportunity to highlight your products and services here, it is not too late! To learn more about advertising your products or services in this exclusive Guide, please email.