Bill Text: HI HB1454 | 2012 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Gasoline Dealers; Volume Discount; Cooperative Purchasing Agreement

Spectrum: Partisan Bill (Democrat 4-0)

Status: (Engrossed - Dead) 2012-03-28 - (S) The committee on CPN deferred the measure. [HB1454 Detail]

Download: Hawaii-2012-HB1454-Amended.html

HOUSE OF REPRESENTATIVES

H.B. NO.

1454

TWENTY-SIXTH LEGISLATURE, 2011

H.D. 1

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO THE PETROLEUM INDUSTRY.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 


     SECTION 1.  Independent and locally owned gas stations are a key component in ensuring that Hawaii's high fuel prices remain competitive and are not artificially inflated from lack of competition.

     The purpose of this Act is to require gasoline distributors, refineries, and jobbers to offer all gas stations and groups of gas stations the same volume discounts and to allow gasoline dealers to establish cooperative purchasing agreements to obtain volume discounts.

     SECTION 2.  Chapter 486H, Hawaii Revised Statutes, is amended by adding two new sections to be appropriately designated and to read as follows:

     "§486H-     Volume discounts.  Any motor vehicle fuel manufacturer, distributor, refinery, or jobber that provides motor vehicle fuel volume discounts to any gasoline dealer, retail service station, or group of retail service stations shall provide the same volume discounts to all other gasoline dealers, retail service stations, and groups of retail service stations, including groups of retail service stations pursuant to a cooperative purchasing agreement.

§486H-     Cooperative purchasing authorized.  (a)  A gasoline dealer who operates an independent retail station or stations may participate in, sponsor, conduct, or administer a cooperative purchasing agreement for the purchase of gasoline with one or more gasoline dealers pursuant to an agreement entered into between the participants.  Cooperative purchasing agreements under this section shall be for the purpose of providing gasoline dealers purchasing power to acquire discounts on purchases of gasoline and thereby lower costs for dealers and consumers.  The cooperative purchasing agreement may include joint or multi-party contracts between gasoline dealers.

(b)  Cooperative purchasing agreements under this section shall not be considered in restraint of trade.  No gasoline dealer that complies with this section shall be deemed to: commit a conspiracy or combination in restraint of trade or an illegal monopoly; attempt to lessen competition or fix prices arbitrarily; create a combination or pool; or accomplish any improper or illegal purpose.  No agreement authorized under this section shall be considered as illegal, in restraint of trade, or as part of a conspiracy or combination to accomplish an illegal purpose or act."

     SECTION 3.  New statutory material is underscored.

     SECTION 4.  This Act shall take effect on July 1, 2012.


 


 

Report Title:

Gasoline Dealers; Volume Discount; Cooperative Purchasing Agreement

 

Description:

Requires motor vehicle fuel wholesalers and similar entities that offer volume discounts to any retail service station to offer the same volume discounts to all retail service stations.  Allows gasoline dealers to enter into cooperative purchasing agreements to acquire discounts on gasoline purchases.  Effective July 1, 2012.  (HB1454 HD1)

 

 

 

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.

 

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