THE VOICE AND RESOURCE FOR IOWA’S FUEL INDUSTRY
CHAIRMAN'S PERSPECTIVE pg. 3
FUELIOWA’S BENEFIT FOR CAMP COURAGEOUS pg. 4 STATE INFRASTRUCTURE GRANTS p. 8
2025 LEGISLATIVE PRIORITIES p. 16
CHAIRMAN’S PERSPECTIVE
First, I would like to thank everyone who attended FUELIowa’s SUMMERFEST in Okoboji, Iowa. Thanks to our incredible sponsors, the event was a huge success bringing members together and raising $20,000 for the FUELIowa PAC. Also, a huge thank you to Iowa Attorney General Brenna Bird who joined as our featured speaker.
During the Annual Meeting portion of Summerfest, we announced the retirement of Ronald N. Langston, and we thank him for his service. We also announced Gary Koerner as our new CEO and John Maynes as our new President of Government Affairs.
Gary has been with FUELIowa since 2015. Prior to taking over as CEO, he served as CFO, and EVP following 20+ years in a variety of leadership roles at Meredith Corporation. Gary’s focus is to ensure success over the long-term and deliver results that make FUELIowa and its members stronger each day.
John has worked in the fuel industry throughout his career, joining FUELIowa in 2008. His primary areas of responsibility include federal and state advocacy as well as serving the day-to-day consulting needs of FUELIowa’s members.
Jim Ewing and Sarah Bowman will also be taking on more responsibility. Jim Ewing is now Director, Membership & Business Services, having been with FUELIowa since November of 2016 with over 20 years’ experience in the industry. Sarah Bowman will serve as Director, Communications & Events, having been with FUELIowa for 3 years after joining us from North Central Poultry Association & Iowa Egg Council.
Lastly, we had a great meeting of the Board of Directors in Okoboji. We approved our annual budget, and our legislative priorities. In addition, we will be launching several new initiatives which will be shared with the membership in the coming months. The future of FUELIowa is bright, and we are very excited about the path forward.
Together We FUELIowa
BOARD OF DIRECTORS
Chris Biellier Associate Director Seneca Companies Davenport | 563-332-8000
Chad Besch Director NEW Cooperative Algona | 515-295-2741
Don Burd Director Otter Creek Country Store Cedar Rapids | 319-533-1825
Tia Eischeid Director Al’s Corner Oil Co Carroll | 712-673-2723
Wade Fowler Associate Director Core-Mark Midcontinent, Inc. DBA Farner-Bocken Carroll | 641-777-0308
Cara Ingle Associate Director Unified Contracting Services Des Moines | 515-266-5700
EXECUTIVE COMMITTEE
Keith Olsen Chair Olsen Fuel Supply Atlantic 712-243-2340
Tessa Anderson Vice Chair Rainbo Oil Dubuque 563- 526-1179
Nate Lincoln Treasurer Lincoln Farm & Home Service LLC Glenwood (712) 527-4833
Dave Reif Immediate Past Chair Reif Oil Company Burlington 319-752-9809
Dennis Jaeger Director Mulgrew Oil Dubuque | 563-845-8359
Scott Moore Director Western Oil, Inc Omaha | 402-618-2238
Scott Richardson Director Key Cooperative Roland | 515-291-0623
Jason Stauffer Director NEWCENTURY FS Ames | 515-370-3127
FUELIOWA'S 2024 BENEFIT FOR CAMP COURAGEOUS
By Sarah Bowman Director, Communications & Events FUELIowa
Since 1981, FUELIowa (then PMCI) has participated in a benefit for Camp Courageous – it all goes back to hearing about the financial struggles, and touring the camp. Seeing the camp with their own eyes, the PMCI board of directors knew they had to do something to assist, and FUELIowa’s Benefit for Camp Courageous was born.
This year was SOLD OUT! Thank you so much to our members for stepping in and teeing off for the kids. Once again, the weather cooperated, members enjoyed networking, playing golf, an auction, and prime rib dinner at the end of the day.
Glenn Hasken, Camp Courageous Board Member, and past FUELIowa Chair auctioned off 5 limited edition Camp Courageous/Fuel Iowa 2021 Jeep Gladiator Rubicon (donated by Dave Bell, SpecCast, Dyersville, IA) that University of Iowa Women’s Basketball Coach, Lisa Bluder, had signed earlier in the day. Each vehicle went for $260! Thank you to Coach Bluder and members of the winning Iowa Hawkeye’s basketball team for stopping by and visiting with FUELIowa members!
Camp Courageous CEO, Charlie Baker said,
“It was fun to have Sydney Affolter from this year’s University of Iowa Women’s Basketball Team attend the 2024 FUELIowa Golf Benefit for Camp Courageous.”
Charlie added, “Sydney is a first class individual and we wish her the very best! Larry’s Dad, LeRoy Bentler, was among the first Petroleum Marketers to visit Camp Courageous and decide to take Camp under their wing in 1981… for which Camp Courageous has been forever grateful!”
Mark your calendars for June 9, 2025 for the next Benefit for Camp Courageous at Finkbine Golf Course in Iowa City, Iowa!
Together, We FUELIowa!
Pictured, long time FUELIowa member, Larry Bentler of Fairfield, IA gives Sydney Affolter some pointers on her putting.
Gary Koerner, CEO FUELIowa, visits with University of Iowa Women's Basketball Coach Lisa Bluder on the putting green
"Once again, FUELIowa stepped up and delivered for Camp Courageous. It's been great reconnecting with old friends and making new friends - already looking forward to next year! " -
Charlie Becker, Camp Courageous CEO
Eligibility Criteria Finalized For Corrective Awards Through State Infrastructure Grant Program
By John Maynes, President, Government Affairs, FUELIowa
The 2025 Iowa Legislative Session saw modifications made to Iowa’s E15 Access Mandate placed on fuel retailers. Lawmakers rolled back the unnecessary requirement placed on fuel retailers to install e85 compatible dispensers to facilitate the sale of E15. The elimination of this requirement saves the average gas station owner $40,000 - $50,000 per facility during a facility conversion. Additionally, lawmakers provided a modest increase to the cap on the cost-share available through Iowa’s Renewable Fuel Infrastructure Grant Program from $50,000 to $75,000 per facility.
While these are welcome changes to the law which now governs how Iowa’s fuel retailers operate their business, a difficult road lies ahead as Iowa’s retail fuel industry navigates toward the January 1, 2026, implementation date of the E15 Access Mandate. According to the Iowa Department of Revenue’s retail fuel gallons report, 489 of Iowa’s 1,873 retail gas stations are currently selling E15. This leaves 1384 facilities who are currently not selling E15 and with a $0.09 cpg incentive available for E15, it’s likely that these 1384 facilities require infrastructure investment before they can participate in the sale of E15.
FUELIowa estimates the 489 facilities selling E15 today have invested over $150 million in private money to facilitate the sale of E15 to their customers. They should be applauded for doing so.
Too frequently here in Iowa, the narrative around the expansion of E15 centers on consumer choice and the value E15 provides producers and our customers in the agriculture industry without recognizing the financial commitment made by fuel retailers to make E15’s value a reality.
The 2024 Iowa Legislative Session saw lawmakers make a unique change to the Iowa Renewable Fuel Infrastructure Grant Program (RFIP). Since 2009, Iowa’s RFIP has served as the primary catalyst for the investment into biofuels infrastructure. House File 2691 provides a statutory change to the program by making available retroactive corrective awards to recipients of award funding for ethanol projects. Eligible projects must have received an award after January 1, 2022, and only costs associated with the installation of E85 compatible equipment are eligible for reimbursement through a corrective amount. Corrective award amounts shall not exceed $25,000. Negotiated in the final hours of the 2024 Iowa Legislative Session without industry input, the intent of corrective awards is to level awards received by grant recipients from January 1, 2022, through June 30, 2024, with the increased cost-share available to applicants after July 1, 2024 ($75,000).
Approximately 96 ethanol projects across 40 entities may be eligible based solely on the date applications were approved by the RFIP Board of Directors. The Iowa Department of Agriculture in cooperation with the RFIP Board of Directors have sent prospective applicants for corrective awards a letter notifying the applicant they may be eligible for an award. Corrective award applications are due no later than December 31, 2024.
No applicant requesting a corrective award may receive cumulative awards exceeding $75,000. Corrective awards will consider an application’s tier status under the prior rules of the RFIP grant program. Here are a few examples of how tier status will impact corrective award applicants:
Tier I Applicant:
• Cost-share cap - $63,900 or 90 percent of cost, whichever is less
• Corrective award cap$11,100 or 90 percent of eligible cost, whichever is less.
• Total cap, combined awards - $75,000.
Tier II Applicant:
• Cost-share cap - $53,250 or 75 percent of cost, whichever is less.
• Corrective award cap$21,750 or 75 percent of eligible cost, whichever is less.
• Total cap, combined awards - $75,000.
Tier III Applicant:
• Cost-share cap - $50,000 or 70 percent of cost, whichever is less.
• Corrective award cap$25,000 or 70 percent of eligible cost, whichever is less.
• Total cap, combined awards - $75,000.
Eligibility Examples (assumes, project approved after January 1, 2022):
1. Applicant received a cost-share award for an ethanol project in December 2022. The project involved the installation of four E85 compatible dispensers. The total project cost equaled $137,000. All costs associated with the instal-
lation of the four E85 compatible dispensers are eligible to be considered for a corrective award. This includes time, labor, and materials. Each dollar committed to the project beyond $71,429 is eligible for a corrective award up to the cumulative cap of $75,000 (original award + corrective award cannot exceed $75,000 in total).
Tier I Facility: $137,000 - $71,429 = $65,571 in cost eligible for a corrective award.
• $65,571 x 0.90 = $59,013.90
• Cumulative award eligibility capped at $11,100
Tiere II Facility: $137,000 - $71,429 = $65,571 in cost eligible for a corrective award.
• $65,571 x 0.75 = $49, 178.24
• Cumulative award eligibility capped at $21,750
Tier III Facility: $137,000 - $71,429 = $65,571 in cost eligible for a corrective award.
• $65,571 x 0.70 = $45,899
• Cumulative award eligibility capped at $25,000.
2. Applicant received a costshare for an ethanol project in December 2023. The project involved the installation of an E85 compatible tank and product line and four E25 compatible dispensers. The costs associated with the removal of the previous tank and line along with the installation of the subsequent E85 compatible tank and line are eligible for consideration of a corrective award. Again, eligible costs include time, labor, and materials.
Total project cost: $325,000
Project cost eligible for consideration for a corrective award:
• $225,000 (cost associated with E25 compatible dispensers are not eligible
for consideration of a corrective award).
• A Tier I, II, or III facility would be eligible for a full corrective amount, the value of which is dependent upon the Tier of the facility.
3. Applicant received a costshare for an ethanol project in January 2024. The project involved the installation of two E85 compatible dispensers and an E85 compatible tank monitor and ancillary components.
Total project cost: $90,000
• $90,000 - $71,429 = $18,571 (project cost eligible for a corrective amount).
• Tier I facility: $18,571 x 0.90 = $16,713.90
o Corrective award = $11,100
• Tier II facility: $18,571 x 0.75 = $13,928.25
o Corrective award = $13,928.25
• Tier III facility: $18,571 x 0.70 = $12,999.70
o Corrective award = $12,999.70
ATTORNEY GENERAL BIRD LEADS COALITION TO END CALIFORNIA’S GREEN CAR MANDATE
DES MOINES—Iowa Attorney General Brenna Bird led a coalition of eight states in supporting Ohio’s lawsuit against the Biden-Harris EPA for authorizing California’s illegal ban on traditional, gas-powered cars.
California’s mandate requires that all cars, trucks, and SUVs sold be electric by 2035. Car manufacturers will be forced to ban traditional cars to keep up with woke green quotas. And given California’s large market share, the State has become a decisionmaker for the entire national auto industry. That means states like Iowa will have to comply with California’s green car mandates to compete in the market. Without traditional car options, Americans will have no option but to buy more expensive electric vehicles. The mandates will also increase prices for used, traditional cars due to the increased demand.
This green car crusade comes as part of a larger war by the Biden-Harris EPA and California on traditional, gaspowered vehicles. In 2023, Attorney General Bird led a similar lawsuit challenging California’s truck ban that requires trucks, including vans, buses, and tractor-trailers, be electric by 2035. Attorney General Bird has also pushed back against California’s green fleet mandate that demands if a fleet has at least 50 trucks, and even one of those trucks hauls through California, the entire fleet be electric by 2042.
“I will not stand by as American families are forced to pay the price for California’s green car mandates,” said Attorney General Bird.
“California and the Biden-Harris EPA are eliminating purchasing options for families across the country and mandating they buy more expensive electric cars at a time when they
are already struggling to make ends meet. The law is clear; California does not have the power to mandate the cars Iowans drive.”
The States makes the case that one state cannot force mandates onto another. California’s Advanced Clean Cars II rule also violates the Clean Air Act and other federal laws.
Iowa led a coalition of eight states in the amicus brief and was joined by Idaho, New Hampshire, North Dakota, South Dakota, Tennessee, Virginia, and Wyoming.
HEALTHAlliance offers industry leading health & wellness plans exclusively designed to meet the needs of fuel marketers, convenience stores, and associated businesses. With partners like Blue Cross & Blue Shield, Delta Dental & more, our members enjoy the finest coverage at low rates due to the combined buying strength of our membership.
FUELIOWA TEAMS UP WITH AMERICANS FOR PROSPERITY (AFP) TO FUEL IOWANS
By Sarah Bowman Director, Communications & Events FUELIowa
At a bp station near the southside of downtown Des Moines, FUELIowa teamed up with Americans for Prosperity (AFP) on May 31 to give Iowans a break in fuel prices.
The price per gallon was dropped from $3.23 a gallon to $1.63 a gallon, reflecting prices from 39 months ago. The line curved around two city blocks, with many thankful customers from all over the metro Des Moines area.
While helping to pump fuel, FUELIowa staff and former board member Glenn Hasken also handed out cold bottles of water, and visited with consumers. Iowa Congressman Zach Nunn joined the group, even filling a few tanks for grateful customers.
In only two hours, 2,145 gallons of fuel were pumped and sold. It goes to show how important affordable liquid fuels are to all Iowans.
Together, We FUELIowa.
Congressman Zach Nunn (R-IA03) and Glenn Hasken (Molo Petroleum) visit with a fuel customer.
Pictured above - Lines of cars wait for their turn for the 1.63/gallon fuel.
Pictured left - State Representative Eddie Andrews (IA House District 43) delivers bottles of water and FUELIowa koozies to fuel customers.
Pictured Right - Gary Koerner, CEO of FUELIowa fills the tank of a thankful customer.
FUELIOWA BOARD OF DIRECTORS SETS
FOCUS
TOWARD 2025 LEGISLATIVE PRIORITIES WITH AN EYE ON COMMITTEES
By John Maynes, President, Government Affairs, FUELIowa
At the FUELIowa SummerFest event in August at Bridges Bay Resort on Lake Okoboji, a lot of fun was had by all. In addition to raising over $10,000 for the FUELIowa PAC, crowning our annual bean bags champions, and playing a little golf, the FUELIowa Board of Directors conducts association business on the day preceding the event. While the Board of Directors meets quarterly, the August meeting is critical in its focus on setting the association agenda for the upcoming Iowa Legislative Session.
Before I touch on the legislative items discussed by the FUELIowa Board of Directors at their August meeting, I want to share an initiative that the Board of Directors and the FUELIowa staff are equally excited over.
FUELIowa will be reinitiating our committee process to lean into the association’s greatest strength, our members. Committees will be structured and named broadly to encompass all FUELIowa members and their various business interests.
Committees will be staffed by FUELIowa Board members with the assistance of Gary, John, Jim, and Sarah. Committees will meet throughout the course of the year, and they are open to all members who would like to participate. The more the better.
The goal of FUELIowa’s committee structure is simple - to provide FUELIowa members with a convenient venue to discuss the challenges facing your business and to identify solutions that benefit the entire FUELIowa membership. Through a grassroots approach utilizing a committee structure, committee participants will develop ideas and solutions to be presented to the FUELIowa Board of Directors for further discussion, refinement, and adoption as a priority initiative for the association and staff.
Through the committee process, we hope to build membership engagement in association policy while tapping into the knowledge and resources our members possess, accumulated through years of experience in the industry. Once implemented, committees will meet regularly throughout the year using a virtual platform and items discussed and developed by the committee will be presented to the FUELIowa Board of Directors at one their four quarterly meetings in either January, April, August, or October.
Stay tuned for more information on FUELIowa’s committee process and if you have an interest in participating, please reach out to John Maynes in the FUELIowa office.
FUELIowa staff set a goal for laying a framework of legislative items
identified as priority issues by the Board of Directors at their August meeting. In doing so, ample time is available to meet with industry stakeholders, lawmakers, and to educate members on the issues the association plans to focus its advocacy efforts on.
Once again, this upcoming legislative session will see Iowa’s E15 Access Mandate be an area of focus for the FUELIowa advocacy team. With Iowa’s E15 Access Mandate set to take effect on January 1, 2026, the 2025 Iowa Legislative Session will mark the final session where refinement to the state mandate governing fuel retailers can be made.
Within the parameters of Iowa’s E15 Access Mandate, an interesting dichotomy presents itself for the 2025 Iowa Legislative Session. On one side, Iowa’s $0.09 per gallon income tax credit for sales of E15 is set to expire on December 31, 2025. For the 489 Iowa locations selling E15 according to the Iowa Department of Revenue, this issue is sure to be one of importance. Of the remaining 1400 locations reported by the Department of Revenue to not be selling E15 today, a number of these locations are capitalizing for the investment with plans to begin marketing E15 prior to the Iowa Department of Agriculture revoking their license to sell fuel on January 1, 2026. Undoubtedly, many of these
locations would like the opportunity to participate in the credit and offset a portion of their investment costs as have their competitors.
For the remainder of the 1400 sites not selling E15 today, the tax credit is far less of a priority than the simple certainty to be able to operate their business beyond December 31, 2025, without the threat of the Department of Agriculture revoking their license to sell fuel. Since the passage of the mandate in 2022, elected officials and lawmakers have repeatedly stated their intent was to not close retail fuel stores in Iowa. With 1400 sites not selling E15 today, only one session remains to find a solution.
Pivoting away from traditional brick and mortar retail stores, the Board of Directors is set on addressing an inequity facing FUELIowa members selling bulk fuel. In 2022, FUELIowa set out to challenge the inclusion of aboveground storage tanks in property tax assessments. After losing in District Court, FUELIowa was successful on appeal to the Iowa Court of Appeals. Since obtaining the decision from the Iowa Court of Appeals, local county assessors have been reluctant to follow the decision of the Iowa Court of Appeals and continued including tanks in assessments.
With the opportunity to contest assessments available in oddnumbered years, 2025 becomes a critical year to elevate this issue with lawmakers. Small business owners should not be forced into
the position of hiring legal counsel to navigate a legal issue which has already been decided in the courts. If diplomacy through policy guidance from the Iowa Department of Revenue is unsuccessful, FUELIowa and a coalition of advocacy groups representing tank owners plan to bring this issue forward during the 2025 legislative session.
Two additional areas of interest identified by the FUELIowa Board of Directors include credit card swipe fees and the product category encompassing tobacco products. In June, the state of Illinois passed legislation exempting card swipe fees charged by card issuers from the inclusion of excise tax, sales tax, and gratuities from the calculation of swipe fees. Swipe fees remain the second highest operating expense for many FUELIowa members.
With customer payment preference continuing to migrate toward card payments and the associated reward programs, swipe fees impact all FUELIowa members. Even our tank wagon members are not exempt from the burden of fees, while tank wagon operators will not see the volume of transactions that a traditional retail gas station will see, their tickets are much higher on average and the fees equally as penal. For a store averaging 600,000 gas gallons sold annually and $900,000 in inside sales, exempting excise and sales tax from swipe fees amounts to a savings approaching $10,000 per store.
The 2024 session saw reform governing the sale of illegal vapor products intent on leveling the playing field for retailers. In 2025 FUELIowa will turn a keen eye toward the profitability of the products we sell in this category. While this category remains under constant threat from tax increases and bans, we want to preserve the viability of this category while turning an eye toward the future. The Board of Directors believes this approach helps ensure our member stores are well positioned to sell the products our customer’s demand.
In sum, the 2025 Iowa Legislative Session is fast-approaching, and stakeholder groups will be rolling out their legislative agendas. FUELIowa will be working closely with all stakeholder groups to seek areas of common interest to find solutions to issues that best serve your business.
As always, if you have an interest in discussing the issues facing your business, please contact John Maynes in the FUELIowa office. The same is true for any member interested in participating in our committee process. As an association, our greatest asset is our members and the more engagement we can garner from the membership, the better positioned we will be to achieve outcomes which best position our businesses for the future.
MEMBER HAPPENINGS
Welcome New Members
Winthrop Speede Shop, serving the Winthrop community since 1984!
Dubuque Discount Gas - Your hometown family owned gas station and convenience store. We offer a wide selection of local Dubuque products to support other local businesses. 24 hour pumps.
FUELIowa Fashion is Available!
Men or Womens Jacket:
Port Authority® Packable
Puffy Jacket
Color: Black
Sizes: XS-4XL
Men or Womens Vest:
Port Authority® Packable
Puffy Vest
Color: Black
Sizes: XS-4XL
Email Jim Ewing at jim@fueliowa.com to order your FUELIowa fashion.
BB&P Feed & Grain, located in Winterset, Iowa, "The Farm Supplier Run By Farmers"
Carson Country Store, serving the local Carson, IA area with gas and groceries.
Pump N Pak, happy to provide service to the local Rock Valley community. Walsh Long & Company, customers depend on WL for the best equipment solutions in petroleum, automotive, lighting & energy, DEF, and water storage applications throughout the Midwest.
Oil Equipment Company specializes in the sale, installation, repair and maintenance of petroleum, lubrication, and carwash equipment.
CAT Scale Company provides the professional truck driver a reliable, accurate, and certified weight through the cooperative relationship with our truckstop partners.
Dooley’s Petroleum Inc. has been distributing fuels, propane, and lubricants to residential, commercial, and agricultural sites across the Upper Midwest for more than 50 years.
Otter Creek Country Store Named In The Top 25 Fastest Growing Businesses By Corridor Business Journal
CBJ's Fastest Growing Companies event identifies and honors the region’s most dynamic companies making significant contributions to the strength of the local economy.
Honorees are ranked according to revenue growth over a two-year period; both dollar and percentage increases are taken into account. The rankings of the top companies will be announced at the event, with videos on each company.
CASEY’S AWARDS $1 MILLION TO K-12 SCHOOLS IN ITS LOCAL COMMUNITIES
Cash for Classrooms grants will be provided to 60 schools supporting education materials and technology, school equipment and learning activities
Through the Cash for Classrooms program, Casey’s is awarding $1 million in grants to 60 public and nonprofit, private schools across its 17-state footprint. Since 2020, more than 320 grants have been awarded to schools across Casey’s Country.
“Creating opportunities to learn and grow and experience the world is one of the best gifts we can give kids and have a positive impact in our communities,” said Katie Petru, Director of Communications and Community at Casey’s. “Casey’s is committed to providing financial support to the students, teachers and school systems across our footprint, and we are grateful for the generosity of our guests, team members and partners who help us make an even greater impact.”
The annual Cash for Classrooms program provides grants ranging from $3,000 to $50,000 to support physical improvements to school buildings and playgrounds, requests for books and educational materials, and community engagement and extracurricular activities.
Examples of this year’s grants include: $50,000 to an Omaha, Nebraska, school to update and enhance their playground; $35,700 for book vending machines at five elementary schools in Des Moines, Iowa; and $25,000 to a Knoxville, Tennessee, high school to create a College and Career Center that will provide students with dedicated space to plan their futures.
The Cash for Classrooms grant program cycle will reopen in fall 2024.
Thank you Community Oil, of Carroll, IA, for their decades of support of Camp Courageous!
A huge thank you to Community Oil, of Carroll, IA, for their decades of support of Camp Courageous! Todd Kanne had mentioned at this year’s FUELIowa Golf Benefit for Camp Courageous that they had some cups to donate. Camp was delighted when Connor Kanne (grandson of Chico and nephew to Todd) pulled into Camp with 4 pallets of a variety of cups…all that Camp can use.
Campers with Muscular Dystrophy were the first group to be treated to some extremely nice, insulated cups, to hold water during these extremely hot days.
A big thank you to Community Oil and the Kanne Family for their years of support!
SENECA COMPANIES
JOINS FORCES with Dover Fueling Solutions® as the newest distributor of Wayne® products
(DES MOINES, IA – June 17, 2024) –Seneca Companies, known as an established leader in the petroleum industry from project design and planning to maintenance, service, parts distribution and compliance, is pleased to announce a new distributor partnership with Dover Fueling Solutions® (“DFS”), as a Wayne® products provider. The new partnership will support Seneca Companies’ nationwide brand growth and strengthen its ability to support customers by providing them with access to DFS’ industry-leading Wayne fueling equipment as they expand to additional states.
“Partnering with Dover Fueling Solutions is a significant step in the next chapter of Seneca Companies,” said JC Risewick, President and CEO, Seneca Companies. “DFS is highly innovative and customer focused, which makes our two companies a perfect fit. This collaboration opens a new chapter for both our companies and will have a positive impact on the broader industry.”
DFS is a part of Dover Corporation and a leading global provider of advanced customer-focused technologies, services and solutions in the fuel and convenience retail industries. Through this partnership,
Seneca Companies will grow its brand impact and enhance customer support and DFS will have access to Seneca Companies’ distribution network to reach a broader customer base. This will result in the industry having improved access to innovative fueling solutions and enhanced support.
FUELIowa's Immediate Past Chair Dave Reif (Reif Oil) visits with State Representative Taylor Collins and Governor Reynolds.
Cenex Celebrates Winners of 'Hometown Throwdown' Contest
Fall Harvest Festival in Roseau, Minn. — will each receive $25,000.
As the self-proclaimed, "Soybean Capital of the World," Norborne has been celebrating its agricultural roots since 1982, according to Cenex. Held annually each August, the 100% volunteer-run Norborne Soybean Festival features entertainment for all ages, including a soy coin hunt, soy doughnuts, agriculture in the classroom, and the naming of a new King or Queen Soybean.
Cenex launched the "Hometown Throwdown" social media contest in fall 2023. The company encouraged local pride by asking people and organizations to share what makes their hometown festival unique. More than 500 festivals were submitted during the entry period.
To date, Cenex has given more than $500,000 in grants to support local communities. These efforts have helped fund more than 80 community projects, including the improvement of aging baseball fields, providing athletic workshops in schools, supporting local food shelters, boosting community pride by funding local festivals and more.
Truesdell Oil in Hawarden marks 90 years
Grand-prize winner Norborne Soybean Festival received $100,000. I
INVER GROVE HEIGHTS, Minn. — Cenex, the energy brand of CHS Inc., will help three winners of its "Hometown Throwdown" contest bring their unique celebrations to the next level.
The Norborne Soybean Festival in Norborne, Mo., will receive $100,000 as the grand prize winner. The contest's other two finalists — Hayward Musky Festival in Hayward, Wis., and Roseau
"We couldn't be more pleased with the response we received for 'Hometown Throwdown.' We love seeing the pride people have for their local communities and it's clear there's no shortage of that in Norborne, Mo." said Erin Wroge, senior director of energy marketing at CHS Inc. "A big congratulations from all of us at Cenex to the Norborne Soybean Festival. We were truly impressed with all three festivals in the running for the grand prize and we're looking forward to fostering community pride across the Cenex footprint for years to come."
"Hometown Throwdown" was inspired by the Cenex brand's strong local roots and is a continuation of its long history of giving back to the communities it calls home. The brand is local to its core with all 1,400-plus retail locations across 19 states run by members of the community, the company said.
Truesdell Oil Inc. was recently voted Best Fuel Company for N’West Iowa. Operations manager Dean Noble stands with technicians/delivery drivers Brett Anderson, Curt Anderson and Jeremiah Ronsiek Truesdell Oil in Hawarden is celebrating 90 years in service during 2024.
HAWARDEN—It’s been 90 years since Truesdell Oil of Hawarden first began serving customers in the fuel business. This family-based business started when Rex Truesdell became the commissioned tank wagon agent for Sinclair Refining in 1934. Truesdell purchased the Sinclair Service Station, which is now Quick Corner at Tenth Street and Avenue I in Hawarden, in 1943.
Now, Truesdell Oil is a diesel, gasoline, bulk oil and propane service and delivery company. The company also has a highway diesel pump that is open 24/7.
Truesdell’s daughter, Mary Johnson,
remembers her father being a busy man.
“My dad was always busy and since he also ran the service station where the Quick Corner is as well as the Ford Garage, I guess I did spend time around all of it,” Mary recalled. “My friends and I had horses and spent most of our time riding them. We would ride in town and always stop at the station for a treat and pop.”
Mary remembers her dad being pulled in all directions to the point where he would hire employees to drive the tank wagon. Some of the people she remembers driving for her dad were Densel Roberts and Alvil Rohlfs. She also remembers Lois Bergdale was one of her father’s first employees along with Erma Burlington, Marge Thompson Molzen and Linda Peterson.
“I’m not sure I remember much about growing up in the fuel oil business in my teens,” Mary said. “The employees were always very nice to me since I was the boss’s daughter. I do remember as a teenager we could scoop the loop a lot because gas was 27.9 cents per gallon. Everyone would chip in a quarter and we could drive all night.”
Truesdell Oil’s bulk plant located at 409 Ninth St. has a diesel pump that remains popular. The location was affected by the flooding June 21-22. A new pump is ordered and will offer debit and credit cards.
Tears swell in Mary’s eyes thinking about how the business has been in the family so long and how her family continues to carry out the legacy her father started 90 years ago.
“Having Dean and Ryan take over the oil company means the world to me,” Mary said. “They were kind enough not to change the name, and
they have continued with the same customer service and honesty that my dad was so proud of all the years that he was active in the oil business.”
Mary’s son, Dean Noble has been managing Truesdell Oil for 48 years. Dean’s son, Ryan, bought Truesdell Oil in 2015.
Dean said the hard work ethic that was instilled in him and passed down from generation to generation is what keeps the business successful. Dean grew up watching his father and mother, Jules and Mary, own and operate the company and treat customers with respect and love.
“It’s been our family’s loyalty, determination and pride that has kept the business going ever since,”
Dean said.
Mary married her husband, Jules, in 1957 and moved from Iowa City back to Hawarden in 1958.
“That is when I really got involved in the oil company,” Mary said. “I quickly became the bookkeeper. That was 1958 and I have been sending bills and visiting with our farm customers since then, over 66 years. Life has gone full circle.”
Ryan’s wife, Ashley, assists Mary with the secretary and treasurer duties. Lori Davis is the accountant for Truesdell Oil while Curt Anderson and his son, Brett, are both service technicians and make deliveries.
“Not only do we have generations who have worked in the company through generations, we have been doing business with some customers who are in the third or fourth generation too,” Brett said. “I love seeing family farms passed from one family to another.”
Dean said he’s honored to keep the small business going and growing.
“It feels great to have the continued opportunity to serve the surrounding areas and to be able to work with the best customers in the business,” Dean said.
Truesdell Oil provides consistent, friendly and dependable service and are willing to go the extra mile to go the extra mile to fill customer needs. The company’s slogan is “customer service Siouxland expects.”
“I’ve been working here since July of 2015, the year they decided to add propane to the business,” Brett said. “I never thought I would be a truck driver, but I have enjoyed doing it and working with the customers. There is no better family to work with then the family that owns and operates Truesdell Oil.”
Truesdell Oil added a new 45,000 gallon storage tank in 2019. It’s 128 feet long and weighs 70,000 pounds when empty. The storage tank is in addition to the fuel and gasoline tanks at 409 Ninth St.
The company did have some pushback from Mother Nature during its 90th year as the Big Sioux River’s record flooding June 21-22 caused damage to their shop on Avenue E and their diesel pump at the Ninth Street location.
“We never thought it was going to get to the bulk plant or our shop. Every time when the river rises we try to get a fuel on both sides, get a truck on both sides of the river,” Ryan said. “That way we can still service our customers despite the floodwaters.”
At the last minute, they made the decision to move the fuel trucks at the shop to higher ground but they didn’t get nearly as much stuff as they would have liked to out due to the water rising so quickly. Ryan said damage was done to their diesel pump located on Ninth Street.
“There was some damage at the old foreman building and our diesel pump was under water and that’s still out of order,” Ryan said. “We have a new one coming. Customers really like the convenience of fueling up there.
Normally that service is charged out to customers but with the need to order new, they will now accept credit card at the pump.
bp Expands Ultra-Fast EV Charging Network
Simon destinations are just the latest sites identified for the bp pulse EV charging network in the United States, following earlier announcements including the build out of the Gigahub network near high-demand locations, including airports, major metropolitan areas and bp-owned properties across the country.
More than 900 ultra-fast charging bays will be installed through a bp pulse-Simon Property Group partnership.
HOUSTON — bp is making strides in its electric vehicle (EV) charging journey.
The mobility company inked a deal for its global EV charging business, bp pulse, to install and operate EV charging Gigahubs on 75 sites with Simon Property Group, a real estate investment trust engaged in the ownership of premier shopping, dining, entertainment and mixed-use destinations.
The deal will deliver more than 900 ultra-fast charging bays that support nearly every make and model of EVs on the market today across all locations. The first locations will open to the public in early 2026.
"We're pleased to complete this deal with Simon and expand our ultra-fast charging network footprint in the U.S. The Simon portfolio aligns with bp pulse's strategy to deploy ultrafast charging across the West Coast, East Coast, Sun Belt and Great Lakes, and we are thrilled to team up with Simon so that EV drivers have a range of retail offerings at their impressive destinations," said Richard Bartlett, CEO at bp pulse.
"Simon is committed to offering best-in-class brands, amenities, experiences and sustainable practices to our shoppers and the communities that we serve," commented Chip Harding, executive vice president, Simon Brand Venture. "We look forward to expanding our EV charging options across the Simon portfolio with bp pulse."
Worldwide, bp pulse has a network of more than 33,900 charging bays and aims to roll out more than 100,000 by 2030. In 2023 the number of charge points in the bp pulse network grew by 35% year on year.
"As a committed, long-term infrastructure player with a global network of EV charging solutions, bp pulse intends to continue to seek and build transformative industry collaborations in real estate required to scale our network and match the demand of current and future EV drivers," added Sujay Sharma, CEO, bp pulse Americas.
bp pulse is supported by key partners that also have longterm commitments to enabling electrification solutions for consumers. These relationships include real estate partners that bring charging to where EV drivers need it, and utilities who ensure site power and permit approvals match the pace and scale of consumer demand, the company stated.
The charging stations will be found via the bp pulse app, the Simon EV charging webpage and all major map platforms. bp pulse's proprietary energy management solution, Omega, will optimize energy usage on site.
EV charging is one of bp's five transition growth engines, helping drive its transformation to an integrated energy company while also investing in today's energy system. bp pulse is focusing on four core markets that have the largest EV car parcs: Germany, the U.S., the United Kingdom and China, as well as several joint ventures and other countries with potential for future growth.
Houston-based bp operates in 70 countries worldwide. The company has set out an ambition to be a net zero company by 2025.
Casey’s Partners with Meals on Wheels, Donates $150,000
WesleyLife Meals on Wheels’ fleet of vehicles.
This hard-working fleet transports more than 250,000 home-delivered meals a year, tallying more than 230,000 miles in 2023.
To celebrate the partnership between the two organizations, dozens of volunteers from Casey’s completed a day of service on July 3, delivering more than 200 meals in central Iowa on that day and gifting flags to clients to recognize the service of military veterans.
More than 13% of those served through Meals on Wheels are veterans, while statewide, military veterans make up 6.4% of the population. In 2023, WesleyLife Meals on Wheels delivered nearly 25,000 meals to veterans through the program.
“We are deeply grateful for this remarkable support to address food insecurity among older adults and veterans in our community,” said Sophia S. Ahmad, vice president of philanthropy for WesleyLife.
JF Petroleum Group Opens New Branch in Des Moines, IA
July 24, 2024
DES MOINES, Iowa--(BUSINESS WIRE)-JF Petroleum Group is excited to announce the grand opening of its new branch in Des Moines, Iowa. This state-of-the-art facility, featuring a 45,000 square foot warehouse, will serve as our Central Region distribution center and training facility, further expanding our capacity to serve our customers efficiently.
“We are thrilled to expand our footprint in Des Moines with this new facility”
Casey's also recently completed a day of service with the organization, which led to the delivery of 200 meals in Iowa.
Casey’s has formed a multi-year partnership with WesleyLife Meals on Wheels to impact hunger among central Iowans. With a $150,000 donation, Casey’s will fund more than 16,000 meals for veterans and older adults served through the Meals on Wheels program. Casey’s will also become the official fuel provider for
“Our team at Casey’s is proud to support WesleyLife Meals on Wheels and bring meals to those in need in central Iowa. Addressing food insecurity and supporting our veteran neighbors are priorities for Casey’s and the impact we make in the community,” said Nathaniel Doddridge, vice president of fuels at Casey’s and vice chair of the WesleyLife Foundation board. “We are so appreciative to everything Meals on Wheels does for this community and look forward to this partnership to support over 16,000 meals for veterans and older adults.”
"We are thrilled to expand our footprint in Des Moines with this new facility," said Keith Shadrick, CEO of JF Petroleum Group. "This multi-purpose branch represents our commitment to providing topnotch service and support to our customers. This new distribution center, showcasing our latest innovations in distribution technology, will significantly enhance our ability to provide parts, equipment, and product support to the U.S. Central Region, further enhancing our bestin-class capabilities. Our new training facility underscores our dedication to developing skilled technicians who can deliver exceptional service, while simultaneously providing the community with tremendous career opportunities."
The Des Moines branch is strategically located to better serve our customers in the Central Region, ensuring faster delivery times and more efficient service. The facility is equipped with the latest technology and resources to support our growing operations and meet the evolving needs of our customers.
Casey’s Acquires CEFCO Convenience Stores
The $1.1 billion deal will expand the company’s Texas footprint and add three new states to its operations.
Less than a year ago, Casey’s General Stores entered Texas by acquiring Lone Star Food Stores. Today, the Ankeney, Iowa-based retailer made a bigger commitment to the state, agreeing to purchase Fikes Wholesale, owner of 198 CEFCO Convenience Stores. The all-cash transaction totaled $1.145 billion. The purchase price includes tax benefits valued at approximately $165 million for a net after-tax purchase price of $980 million.
The proposed transaction will increase Casey’s footprint to nearly 2,900 stores. The acquisition will bring 148 additional stores to Texas, which Casey’s describes as a “highly strategic market” for the retailer, as well as 50 stores in Alabama, Florida and Mississippi. In addition to the retail stores and dealer locations, the transaction includes a fuel terminal and a commissary to support the Texas stores.
“During our Investor Day presentation in June of 2023, we outlined our business strategy to achieve topquintile EBITDA growth. One of the core pillars of the plan is to grow the number of units,” said Darren Rebelez, board chair, president and CEO of Casey’s, in a statement released by the company. “This acquisition will allow Casey’s to accelerate our unit growth plan with high-quality assets that, along with [2023’s Lone Star acquisition], will provide an expanded presence in Texas and allow us to continue to expand in the state and region.”
Raymond Smith, president of Fikes and CEFCO, highlighted the strategic alignment between the two convenience organizations. “The acquisition by Casey’s, especially given its reputation and shared values, is an exciting development for Fikes and our employees. I am happy that the CEFCO stores will join a top convenience retailer that will reinvest in the stores and eventually bring Casey’s pizza to many of our customers as well as provide professional opportunities for our employees. We believe Casey’s will be an excellent steward of the CEFCO experience that our loyal customers have come to expect.”
Rebelez added, “We expect the acquisition will create value for Casey’s shareholders in the near- and long-term and will be accretive to Casey’s EBITDA in the current fiscal year. Fikes is a well-run and wellrespected company in our industry, and we look forward to welcoming the Fikes team to the Casey’s family. We could not be more excited about the future of our two organizations.”
The company plans to finance the transaction through balance sheet cash and bank financing. The net
investment of $980 million represents an approximate multiple of 11 times CEFCO’s pro forma adjusted 2023 EBITDA. The company stated that it expects to achieve approximately $45 million in annual run-rate synergies upon the completion of kitchen installations in the acquired stores.
Seneca Companies Announces New President/COO
(DES MOINES, IA – July 26, 2024) –Seneca Companies, known as an established leader in the petroleum industry from project design and planning to maintenance, service, parts distribution and compliance, is pleased to announce Darren Binning as President and Chief Operating Officer.
“I truly appreciate this opportunity. It is a big role that carries a lot of responsibility. Fortunately, my 20-year journey at Seneca has prepared me for this, as well as having a fantastic support team of familiar and friendly faces to help. I’m even more excited about the other leadership opportunities and advancements happening as a part of our growth. We’ve recently transitioned to a regional leadership structure and promoted three fantastic, long term Seneca employees to run our Western, Central and Southern regions. Seneca is growing into new geographies which will continue to create new and exciting opportunities for our team members. I’m eager for them to share that same excitement with both our existing and new customers,” said Darren Binning.
Accompanying Darren’s new role are the advancements of outstanding leaders to key regional vice president roles, who will drive Seneca’s regional growth and strive for operational excellence in their respective territories. These regional leaders include the following: Todd Clubb as Regional Vice President, Central; Corey Hackett as Regional Vice President, Western; and Mike Worthington as Regional Vice President, Southern.
Furthermore, Seneca is excited to announce additional advancements in leadership personnel. Grant Palmer, a valuable asset to our Des Moines team, has been named Des Moines Branch Manager / Account Manager. In this role, he will be able to build upon existing customer relationships and expand opportunities in the Des Moines area and beyond. Andy Hadden has stepped into the role of Vice President, Project and Program Management; expanding upon existing relationships and providing comprehensive project solutions. In the role of Vice President of Human Resources, Jodi Allen will be able to continue to provide support and growth for Seneca teams across all branches. Shad Sporaa has been named Vice President of General Contracting, overseeing the entirety of Seneca’s general contracting team.
Iowa-Based Five Star Cooperative Celebrates 135-Year Anniversary with Grand Opening of New Agronomy Complex
agronomy, feed, grain, energy, and retail products and services to their members and customers, officially opened a modern agronomy complex in Burchinal, IA, on July 17.
The grand opening included remarks from Five Star CEO, Scott Black; Iowa Secretary of Agriculture, Mike Naig; Construction Partner, Marcus Construction COE, Ross Marcus; Five Star COO Project Lead, Tony Myers; and Five Star Agronomy Director, Nick Sawyer. Following the grand opening, visitors toured the new facility and lunch was provided by Z’Marik’s. Five Star farmers, neighbors, vendors, team members and Mason City Chamber were in attendance.
Midwest Petroleum Equipment Named to Inc. 5000 List of Fastest Growing Businesses
purposeful expansion and significant impact on the industry.
Founded more than 30 years ago, MPE has built a reputation for delivering high-quality petroleum equipment, exceptional service, and cutting-edge technology to its diverse clientele. Over the past few years, the company has experienced exponential growth, driven by its commitment to meeting the evolving needs of the petroleum sector and leveraging a unique and fresh outlook on an ever-changing petroleum industry.
“We are thrilled and honored to be recognized on the Inc. 5000 list,” said Alex Kringen, President and CEO of Midwest Petroleum Equipment. “This achievement is a direct result of the hard work, dedication, and passion of everyone on our talented team. Our success is also attributed to the longstanding relationships and support from our valued clients and partners, who have been integral to our journey.”
A ribbon-cutting ceremony was held at Five Star Cooperative’s new agronomy facility in Burchinal, IA on July 17.
Five Star Cooperative, a proud farmerowned agricultural cooperative spanning 14 counties that provides
August 13, 2024 - [Lincoln, Nebraska]Midwest Petroleum Equipment (MPE), a leading provider of petroleum equipment and services, is proud to announce its inclusion into Inc. 5000’s list of the fastest-growing businesses in the United States. This recognition highlights MPE’s remarkable growth and commitment to excellence in the petroleum industry.
The Inc. 5000 list, published annually by Inc. Magazine, highlights the most dynamic and successful companies in the country. MPE’s inclusion is a testament to the company’s outstanding performance, innovations, and dedication to customer satisfaction. This achievement places MPE among the top businesses in America, reflecting its
MPE’s growth has been fueled by its strategic vision and investment in innovative solutions that address the challenges facing the petroleum industry. The company’s comprehensive portfolio includes a wide range of products which include petroleum equipment, compliance and standards testing, automotive equipment, and most recently EV solutions.
As MPE continues to expand its footprint and enhance its offerings, the company remains committed to delivering excellence and driving progress within the industry. The Inc. 5000 recognition serves as a significant milestone in MPE’s journey and a motivation to pursue even greater achievements in the future.
A Successful 2024 SUMMERFEST
By Sarah Bowman Director, Communications & Events FUELIowa
FUELIowa held its annual PAC fundraiser SUMMERFEST in Okoboji on August 1 and 2. The event was a huge success, with over 125 attendees. During the event, a total of over $20,000 was raised that will be used to help support the Political Action Committee for FUELIowa.
This year, we introduced an online auction, which was a favorite for many in attendance. The ability to preview the auction items before the event was a big selling point for attendees. As a result of the auction itself, more than $9,000 was raised. We are thrilled with the success of the auction and look forward to hosting another one next year. Thank you to all of the companies who donated to the auction!
FUELIowa was thankful to have Iowa's Attorney General Brenna Bird speak at SUMMERFEST, explaining what her office does (and doesn't) handle, and answering questions from members.
Attorney General Bird also provided advice on how to protect oneself from scams, and how to recognize signs of fraud. She was a great resource for all attendees and great asset to FUELIowa's SUMMERFEST event.
Entertainment by Tim Gabrielson during dinner was well received. The combination of his comedy and magic had the audience in stitches.
Jacob Jessen was afraid he'd lost $100, Sue Kanne was skeptical of the magic tricks, and we're still wondering how he and Tessa Anderson calculated that number!!
The Annual Bags Tournament is always a draw, but this year was the introduction of the traveling bags trophy, a wrestling style belt reminiscent of WWE days. It did not take long for registrations to begin after the announcement of the belt was made, filling the brackets and team names being created.
A
hard fought battle was won by Team Yant Equipment (Jared Baker and Scott Spencer) who donated their winning prize back to the PAC. Thank you for your generosity!
Bright and early on Friday morning, golfers arrived at Brooks Golf Club for a round of golf and networking. Thanks to sponsors, we were able to offer a hole in one contest for a GMC 1500 Sierra truck. While many landed on the green, no one was able to make the hole in one. That didn't damper spirits, with everyone reporting a great game with great weather.
Gathering at the "19th hole" clubhouse, the winning team was announced, and once again, it was team from MAST ATM taking home the traveling trophy.
CONGRATULATIONS TO MAST ATM!
Thank you to all of our sponsors and attendees. Without you, we couldn't continue this great event.
Consumable Hemp Products in Iowa Face an Uncertain Future
By John Maynes, President, Government Affairs, FUELIowa
On May 17, 2024, Governor Reynolds signed House File 2605 into law. House File 2605 was a contentious issue during the 2024 Iowa Legislative Session. The legislation was placed on life support throughout the session only to be revived each time its prospects of passage appeared bleak. A compromise was reached in the waning days of the legislative session.
Not all compromises are equal, however. Stakeholders involved in the compromise on House File 2605 left legislative session confident of legislation that provided a workable solution for all parties. As can be the case with legislation passed in the waning days of the long grind that is a legislative session, policy interpretations on the statutory language passed by lawmakers are often left openended for the implementing agency to address through the agency rulemaking process.
In the case of consumable hemp products, the implementing agency is the Iowa Department of Health and Human Services (HHS). On May 24, 2024, HHS released a frequently asked questions (FAQ) document as guidance for manufacturers, distributors, and retailers of consumable hemp products in Iowa. What followed was chaos, confusion, and now lawsuits.
For FUELIowa members, the stakes are high as it relates to the rules implemented by HHS. Beverages have long been a staple category within convenience stores and the category has undertaken significant changes over the last twenty years.
Consumable hemp products, particularly liquid consumable hemp products, backed by untapped consumer demand, provide a promising opportunity for convenience store owners to serve their patrons with a product they demand.
An argument can be made that convenience store owners are as well-positioned as any to sell consumable hemp products safely and legally. The experience gained by owners and their employees selling age-restricted products such as wine, liquor, beer, and tobacco products makes convenience stores a logical option for the sale of consumable hemp products.
Because many emerging consumable hemp products now contain THC, the sale of these products through stores as heavily regulated as convenience stores serves as a logical middle ground between consumers demanding the product and stakeholders who want to ensure THC infused hemp products are not getting in the hands of young people. Unfortunately, the guidance document providing HHS interpretations for HF 2605 threw consumable hemp product manufacturers a major curve ball.
Prior to passage of HF 2605, manufacturers had relied on the guidelines for the manufacturing and sale of hemp derived THC products allowable under the 2018 federal farm bill. Manufacturers have claimed that the HHS interpretations go well beyond the scope of legislative intent for HF 2605 as well as federal law. Manufacturers have gone as far as to state that all of their products have been
removed from the state registry for saleable consumable hemp products.
Several consumable hemp product manufacturers, distributors, and retailers have joined together in lawsuits against the state. Despite hearings on the matter at hand, no injunction has been issued as of this draft. As the legal process goes, stakeholders should not seek clarity from a quick and expeditious journey through the legal process. Both sides are dug in for the long-haul and it is highly likely this issue will be heavily discussed during the 2025 Iowa Legislative Session.
In the meantime, retailers have correctly removed nearly all consumable hemp products from their shelves. The statutory provisions codified in House File 2605 took effect on July 1, 2024. Pending the issuance of an injunction from specific aspects of the law, here are the highlights from the HHS guidance document on HF 2605:
Edibles:
• Compliant – A 5 pack of gummies at 2mg THC per gummy
• Compliant – A 10 pack of gummies at 1 mg THC per gummy
• Compliant – A 10 mg chocolate bar scored into 5, 2mg THC squares
• Compliant – A individually packaged gummy containing 4 mg THC
• Non-Compliant – An individually packaged gummy containing greater than 4 mg THC
Beverages:
• Compliant – An individual 12 fl oz can at 4 mg THC
• Compliant – An individual
24 fl oz can at 8 mg THC
• Compliant – An individual 30 fl oz can at 10 mg THC
• Non-Compliant – A 12 fl oz can containing greater than 4 mg THC
• Non-Compliant – A liquid consumable hemp product in a container with less than 12 fluid ounces, regardless of the mg of THC within the container.
Products Prohibited From Sale on July 1:
• Synthetic Consumable Hemp Products (examples)
o Delta 8 THC
o Delta 10 THC
o hexahydrocannabinol (HHC)
o tetrahydrocannabiphorol (THC-P)
o tetrahydrocannabinaol-O-acetate (THC-O)
Penalties For Sale to Person Under 21:
• Simple misdemeanor pursuant to Iowa Code Section 204.14D
Penalties For Sale of NonConforming or Illegal Products:
• Non-Conforming or illegal products are treated as controlled substances pursuant to Iowa Code sections 124.101(20), 124.202, 124.204(m). The possession, manufacturing, or distribution of a controlled substance is subject to both civil and criminal penalties.
Sales Without Registration:
• Penalties for sales with proper registration may be subject to a civil penalties of up to $10,000 per day and/or criminal penalties defined in Iowa Code section 204.14B and C.
Passage of this bill would be a heavy lift, especially with a Democratically controlled Senate, but if enacted it would eliminate any estate taxes or any generation skipping tax, both of which as longtime Republican goals. Meanwhile, CVR Energy Inc. submitted a petition for rulemaking to the Biden administration to prohibit nonobligated parties from possessing and trading Renewable Identification Numbers (RINs), reviving a push for changes to the Renewable Fuel Standard. CVR Energy argues the current approach disadvantages independent and merchant refiners such as its Coffeyville Resources Refining & Marketing, LLC and Wynnewood Refining Company, LLC, because they are obligated to fulfill annual biofuel blending targets even though they lack sufficient blending capacity to generate tradable credits known as RINs required to show compliance with the quotas. CVR is leveraging a November ruling by a
RISK MANAGEMENT
By Risk Improvement Department, EMC Insurance Companies, Des Moines, Iowa
Make a Dent in Your Auto Losses by Preventing Rear End Collisions
Rear end collisions are one of the most common causes of auto claims for all vehicle fleets, including petroleum marketers.
Give ‘Em Some Space
If you take away one thing from this article, let it be this: maintaining an adequate following distance is likely the most important thing your drivers can do to prevent rear end collisions.
Following distance is the space a driver keeps between their own vehicle and the vehicle ahead. By maintaining this buffer of empty space, as opposed to following immediately behind the lead vehicle, drivers increase the time they have to react to unexpected events and obstacles in the roadway ahead.
How to Calculate Following Distance
To estimate your following distance:
• Select a stationary object near the road ahead of you. Trees, fire hydrants, traffic signs or bridges are all good choices.
• When the rear end of the leading vehicle passes your chosen object, begin counting—“one-one thousand, two-one thousand, three-one thousand, etc.”
• Take note of your count when your vehicle reaches the stationary object. That is your current following distance.
How Much is Enough?
Some of your drivers may have learned a “three-second rule” (or even a two-second rule) when they were young drivers’ education students. Three seconds of following distance is a good start for drivers of lightweight passenger cars, but when you’re operating a large, heavy vehicle with a long stopping distance and a shifting liquid load, it’s a good idea to give yourself an even larger cushion of space.
Many trucking resources, including the Federal Motor Carrier Safety Administration (FMCSA), suggest you allow one second of space for each 10 feet of vehicle length at speeds below 40 miles per hour. If your tanker is 40’ in length, your following distance at low speeds should be four seconds. When speeds move above 40 mph, you should add an additional second. So that same 40’ tanker should allow five seconds of following distance when traveling at highway speed.
This is a good rule of thumb to follow when you’re driving during the day and the weather is fine. If conditions become more challenging, making it harder for you to see or increasing your stopping distance, you should add even more time to your following distance. Consider adding additional seconds when you encounter:
• Wet or slippery roads
• Reduced visibility due to darkness, precipitation, sun glare or fog
• A frequently stopping vehicle such as a garbage truck or delivery van
• Oversized vehicles that obstruct your view of the road ahead
The FMCSA suggests doubling your standard following distance in adverse conditions.
Driver-Controlled Factors
Beyond following distance, there are several additional ways drivers can help prevent rear end collisions.
• Maintain situational awareness: Be aware of traffic around your vehicle, especially smaller vehicles that travel faster than large trucks and might not give you enough space for safe turns, lane changes and stops
• Avoid distractions: Cell phones and other mobile electronic devices are the primary culprits here
• Don’t drive while impaired: Drivers should not operate company vehicles while under the influence of alcohol or while using drugs or certain types of medications; fatigue and drowsy driving also slow a driver’s reaction time
• Keep your cool: Professional drivers need to keep up their safe behaviors even when driving in frustrating conditions
Collision Avoidance Systems: The Future of Safety?
Collision avoidance systems, computerized systems that sense oncoming collisions and either warn the driver or activate the brakes to slow the vehicle, are moving into the mainstream and for good reason.
A study by the National Highway Transportation Administration followed 150 tractor-trailers equipped with collision avoidance systems. Over the course of a year, rear end crashes were reduced by 87%. Refinements to the technology will almost certainly make collision avoidance systems even more effective, while increased competition in the market will help to make them more affordable.
Article courtesy of the Loss Control Department, EMC Insurance Companies, Des Moines, Iowa. For more information, go visit emcins.com and select Loss Control.
VISIONARY ($5,000+)
PAC CONTRIBUTIONS
As of 8/14/2024
$8,670 Don Burd - Otter Creek Country Stores*
$5,220 Paul Fahey & Tessa Anderson- Rainbo Oil*
$5,000 Larry Bentler, Jet Gas*
LEADER ($2,500-$4,999)
$3,375 Keith Olsen - Olsen Fuel Supply
$2,600 Todd Kanne - Community Oil*
$2,540 Jim Ewing – FUELIowa
$2,500 Thomas Flogel - Mulgrew Oil
$2,500 Bev & Henry Jessen – Cylinder Express
$2,500 Jennifer Likes – Harms Oil
$2,500 Jason McDermott - McDermott Oil*
$2,500 Cliff & Dave Reif - Reif Oil*
$2,500 Randy & Andrew Woodard - Elliott Oil*
PARTNER ($1,000-$2,449)
$2,030 Nate Lincoln – Lincoln Farm & Home
$2,000 Steve Kimmes - Kimmes Enterprises LLC
$1,600 John Maynes – FUELIowa
$1,500 Josh & John Gilroy - Grysson Oil
$1,500 Eric Taylor - Taylor Quik Pik
$1,000 Richard Weiner – Cartersville Elevator
$1,000 Michael Hildenbrand – CHS, Inc
$1,000 Marc Beltrame - Beltrame Law Firm
$1,000 Gary Koerner – FUELIowa
FRIEND ($500-$999)
$630 Jason Floy
$600 Nate Stumpf
$525 Sarah Bowman
$500 Travis Buhman
$500 Sam Hoefler
$500 David Scheetz
$500 Matt Scheetz
$500 Jeff Wade
$500 Doug Coziahr
CONTRIBUTOR ($0-$499)
$490 Tia Eischeid
$400 Chad Besch
$400 Jason Floy
$400 Jason Stauffer
$400 Dustin Jones
$350 David Spooner
$295 Dennis Jaeger
$250 Scott Richardson
$220 Mike Grzeslo
$200 Mike Frederick
$200 Adam Gardiner
$200 Adam Gisch
$200 Joseph Miller
$200 Bruce Urman
$190 Josh Vanevery
$120 Dale Boeckman
$120 Jacob Jessen
$120 Scott Spencer
$110 Ed Rogers
$100 Jared Baker
$100 Stratton Benscoter
$100 Alan Boeckman
$100 Kale Bulloch
$100 Wade Fowler
$100 Rick Graber
$100 Reo Menning
$100 Scott Moore
$100 Daniel Sprague
$25 Martin Bast
$20 Adam Bowles
$20 Dan Justin
$20 Joe Madsen
$20 Robert Mast
$20 Matt Mlynarczyk
$20 Tera Petersen
$20 Tony Whitaker
$10 Dave Lakner
CALENDAR OF EVENTS
JANUARY 14, 2025
FUELIOWA LEGISLATIVE CONFERENCE
Embassy Suites, Des Moines, Iowa
APRIL 7 – APRIL 9, 2025
UMCS St. Paul, Minnesota
JUNE 9, 2025
FUELIowa Golf Benefit for Camp Courageous Finkbine Golf Course, Iowa City, Iowa
INSIDE THE BELTWAY
ENERGY MARKETERS OF AMERICA
Energy Marketers of America Sues EPA over Regulation Banning most New Gas Cars
This week, the Energy Marketers of America (EMA), along with the American Fuel & Petrochemical Manufacturers (AFPM), California Asphalt Pavement Association (CalAPA), California Manufacturers & Technology Association (CMTA), Consumer Energy Alliance (CEA), Domestic Energy Producers Alliance (DEPA), International Association of Machinists and Aerospace Workers, Port Arthur Lodge No. 823 (IAM), Louisiana Mid-Continent Oil & Gas Association (LMOGA), National Association of Convenience Stores (NACS), The Petroleum Alliance of Oklahoma (Petroleum Alliance), Texas Oil & Gas Association (TXOGA) and Western States Petroleum Association (WSPA)—filed a petition with the DC Circuit Court to sue the U.S. Environmental Protection Agency (EPA) over its regulation, finalized in March, that will effectively ban most new gas cars and trucks in less than eight years. Information on the underlying regulation is here. Statements from the petition signers are below.
This petition is one of three filed today challenging EPA’s light- and mediumduty vehicle emissions standards for model years 2027-2032. The other two petitions were filed by the American Petroleum Institute and a coalition of U.S. biofuel producers. In total, 36 petitioners are represented among the three filings.
Energy Marketers of America (EMA)
“The EPA doesn’t have a leg to stand on where its gas car ban regulation is concerned, and we are going to make that case in court. This regulation is clearly bad for consumers as it will quickly and drastically restrict their ability to find and purchase affordable new gas cars. It’s bad for marketers of American-made liquid fuels and for U.S. energy security. And importantly, it’s also unlawful. EPA does not have authority under the law to do this.”
– Rob Underwood, President, Energy Marketers of America
American Fuel & Petrochemical Manufacturers (AFPM)
“EPA’s Light Duty Vehicle rule is unlawful and harmful to consumers, our economy and our national security. We are confident the Court will agree that Congress has not authorized EPA to effectively ban the sale of new gas and diesel cars and overhaul the U.S. economy in such a major way.
“EPA also overstepped in finalizing fleetwide average standards, rather than concrete standards that all cars and trucks must meet. Since no gas, diesel or traditional hybrid today can meet 85 grams/mile, EPA’s averaging scheme—which is already
being contested for the 2023-2026 standards—is clearly meant to force EV adoption. And the choice to ignore all other vehicle lifecycle emissions, save those from the tailpipe, puts internal combustion engine vehicles at an arbitrary disadvantage.
“We support the continued drive to make our cars and trucks cleaner and more efficient, but EPA must set standards lawfully.”
– Chet Thompson, President and CEO, American Fuel & Petrochemical Manufacturers (AFPM)
Western States Petroleum Association (WSPA)
“California’s ban on sales of new gas cars and trucks is clearly the inspiration behind this EPA policy. Thankfully, Congress never empowered either to take vehicle choice away from U.S. consumers, which is why we’re challenging EPA’s rule in court.”
– Cathy Reheis-Boyd, President and CEO, Western States Petroleum Association (WSPA)
Federal Update
This was a busy week in Washington as members of the House worked to finalize their version of the FY 2025 National Defense Authorization Act (NDAA) to fund the military next year.
On Tuesday, the Rules committee worked through more than 1,300 amendments before voting the bill to the floor and members have been debating the bill in the full House since, with final passage expected today. But, before anyone starts celebrating a job well done, everyone will have to wait for the Senate to do its work as well. At the same time, the House Appropriations Committee is working through its FY 2025 funding bills in order to have House passage of each by the end of July. But, like the NDAA, the Senate has not tipped its hand on funding legislation either. Another item worth noting was that former President Trump visited with Republican members of the House and Senate on Thursday, looking to shore up party support before the election.
Supreme Court Opinion
Significantly Limits Federal Agency Rulemaking Authority
Friday, June 28, 2024 - The U.S. Supreme Court issued a ruling today that significantly weakens federal agencies rulemaking authority. The Court overturned a landmark 40-year-old opinion that gave federal agencies broad regulatory powers to issue regulations in the absence of specific directions by Congress. The now overturned Chevron v. Natural
Resources Defense Council opinion instructed judges to defer to agency expertise in cases where the underlying law is ambiguous. The U.S. EPA often used this judicial deference to expand its authority in areas, such as climate change, air and water pollution that Congress never specifically authorized.
Federal agencies are tasked to fill in the gaps of broad laws passed by Congress. Agencies fill in those gaps through the rulemaking process. Under Chevron, judges were instructed to defer to federal agency expertise and their interpretation of the underlying authorizing statute during the rulemaking process so long as it was reasonably within the scope of Congressional intent. This left federal agencies with broad regulatory authority to interpret laws and write regulations that often went far beyond what was envisioned by Congress.
Under the new ruling, judges will no longer defer to federal agency expertise. Instead, they will substitute their own best interpretation of the law as passed by Congress. As a result, it will now be much easier for courts to overturn regulations governing environmental, labor, tax, transportation and other policy areas administered by federal agencies. The ruling is a monumental blow to agency rulemaking authority and is expected to lead to a number of legal challenges to existing regulations.
Inside the Beltway Update – June 28, 2024
With November elections drawing near, the Biden Administration is racing to cement its domestic policy achievements, notably key provisions of the Inflation Reduction Act (IRA). Industry is eager for the Administration to release expected
program guidance while Congressional Republicans threaten to rollback numerous IRA funding and programs. When asked about the future of the IRA, former Speaker of the U.S. House of Representatives John Boehner (ROH) said:
Both parties have turned to the budget reconciliation process over the past decade or so to enact major policy changes without buy-in from the opposition party. One of the side effects of using that approach is that there’s usually some uncertainty that comes after the law takes effect about whether the law is here to stay. You’re seeing that play out now with respect to the IRA, with many people with a stake in the implementation of the law looking ahead to 2025 and trying to figure out what the future might hold if there’s a shift in the balance of power.
Interested in learning more about the IRA? Squire Patton Boggs published an analysis this week titled “Eyes on the Inflation Reduction Act Biden Administration Races to Implement Historic Clean Energy and Environmental Programs.”
Former EMA
Chairman Gerry Ramm “Rambo” Wins 2024
Distinguished Service Award
The Energy Marketers of America (EMA) is pleased to announce that Gerry Ramm, former President of Inland Oil Company in Ephrata, Washington, has been chosen to receive EMA’s
prestigious 2024 Distinguished Service Award (DSA). Serving on the DSA Committee - DSA Chair, Jonathan Tang, Ira Philips, Inc., Gadsden, Alabama; Sharon Peterson, Apple Oil Company, West Haven, Connecticut; Steve Turner, former President of Petromark, Inc, Harrison, Arkansas; Lea McCullough, executive director of the Washington Independent Energy Distributors Association, Olympia, Washington; Jason Mirabito, Mirabito Energy, Binghamton, New York and EMA Chairman Brad Bell, Connell Oil, Pasco, Washington.
In 1982, when he was only 26 years old, Ramm bought Inland Oil Company located in Ephrata, Washington that his father had founded in 1946 following World War II. Originally, Inland was a small Shell wholesale operation with an even smaller retail component. Having worked in every aspect of the business for several years prior to the purchase, Ramm decided to expand the retail side. He added a propane company and converted full-service stations to convenience stores, three of which included Subway quickserve franchises. By the time he sold the company in 2008, it had grown from a small family business with four employees to one employing 125 people and handling up to 50 million gallons of product each year. He continued with the company in a consulting position.
A year after purchasing the family business, Ramm became involved with the Washington Oil Marketers Association (WOMA) and eventually became the president of WOMA in 1992. He was also selected to serve as the Western Petroleum Marketers Association’s (WPMA) president in 2002. Additionally, Ramm has served on councils for major oil companies, including the Shell Oil Lubricants Council, Pacific Northwest Shell
Jobbers Council, and the Conoco Wholesale Jobbers Council. Through his affiliation with WPMA, Ramm was selected to serve as WOMA’s delegate to the Petroleum Marketers Association of America (PMAA) Board of Directors now known as the Energy Marketers of America (EMA). While serving, he chaired both PMAA’s Lube Oil and Motor Fuels Committees. After a brief hiatus from 2000 and 2005, during which he returned to WPMA to serve on its executive committee, he rejoined PMAA to become the West Region Chairman.
His service with PMAA included chairing several committees and serving in every executive position, including his selection as PMAA Chairman in 2010. He continued to serve on the PMAA Executive Committee until 2014 and spent two years (2012-2014) as the co-chair of PMAA’s Small Business Committee PAC, raising funds to support legislation favorable to marketers and distributors. Ramm also testified before Congress on multiple occasions including the Senate Commerce, Science and Transportation Committee’s hearing examining excessive speculation in the crude oil markets in the late 2000s. “Excessive speculation on energytrading facilities is the fuel that is driving this runaway train in crude-oil prices,” he said back in 2008 when crude oil futures prices spiked to an all-time high of $147 per barrel.
After his brief “retirement,” during which he enjoyed time with his wife Mona, six children, and two grandchildren, Rambo took over as President of PMAA’s wholly owned subsidiary, the Petrolem Marketers Oil Company Corporation (PMOCO), called the Spirit® brand. “I loved the challenge,” he shared recently. “I was working with PMAA when Spirit® Petroleum was first conceived, and I
had a strong belief in the company and its mission. The opportunity to lead the company is one I just could not pass up.” Ramm has been instrumental in expanding services for licensees and for closely aligning Spirit® with PMAA, now known as EMA, and its broader mission.
Locally, Ramm has served his community including the Grant County Economic Development Council, several Chamber of Commerce’s including Soap Lake, Ephrata and Moses Lake all located in Washington. Ramm was co-founder and board member of Grant National Bank and also chaired the Soap Lake School District Board for ten years. He also sponsored a golf tournament for many years benefiting the Boy Scouts of America.
Federal Judge Rejects Proposed
Visa/MasterCard
Settlement
A federal judge in the massive Visa/ MasterCard swipe fee litigation denied preliminary approval of a proposed settlement of the injunctive relief component of the case, which would have lowered interchange fees by at least four basis points for three years, and for five years thereafter, would have required rates to stay at least seven basis points below the average of 2.26 percent of the transaction
amount. Visa and MasterCard also agreed to remove provisions prohibiting retailers from steering customers to less expensive cards and to give them more discretion to offer discounts and to impose surcharges.
Critics of the proposed settlement, including EMA, objected on a number of grounds, stating that the future fee reductions would provide only small and temporary relief and would not affect the rule that retailers must accept all cards or none. After five years, Visa and MasterCard would be free to raise rates and more than make up for the $30 billion in savings the companies claim retailers would realize as a result of the temporary rate reductions. Although the court’s decision is sealed, it is widely believed that Judge Brodie’s rejection of the proposed settlement at a preliminary stage indicates her view that it fails to provide any meaningful relief to the merchant class.
The court’s denial of the proposal to settle the injunctive relief component of the case should not be confused with the court’s earlier decision to approve the damages component, which was settled for over 5.6 billion dollars. That sum, which represents reimbursements for fees paid between 2004 and 2019, will be distributed to retailers who file claims before the August 30, 2024 deadline. The reimbursements for past payments will not be affected by the court’s June 25 decision.
Merchants Payments Coalition Urges Senate to Reject Bill Delaying
Fed Action on Debit Card Swipe Fees
This week, more than 200 state and national organizations, including EMA, representing consumers and retailers called on the Senate to reject legislation that would delay the Federal Reserve’s proposal to reduce how much big banks are allowed to charge to process debit card transactions. “Action is needed because debit card swipe fees have stayed the same for over a dozen years despite banks’ falling costs and “impose enormous costs upon American retailers and inflate retail prices paid by American consumers,” the groups said.
EMA Member Service Benefit with AGI to Assist with EV Charger Infrastructure Investments
The National Electric Vehicle Infrastructure Program (NEVI) was funded through the “Infrastructure Investment and Jobs Act” which provides over $5 billion to strategically
deploy EV charging acquisition, installation, and network connection. Funds are distributed via the Federal Highway Administration (FHWA) and administered by the states. Opening dates and program requirements vary by state, but typically cover up to 80 percent of project costs. Click here to see the 5 year National Electric Vehicle Infrastructure Funding by State I Federal Highway Administration. In addition to NEVI, the Charging and Fueling Infrastructure Discretionary Grant Program provides grants to state, local, and other public organizations to provide publicly accessible EV charging and alternative fueling infrastructure including propane, natural gas and hydrogen in urban and rural areas. Funds from this program can be used for Public-Private partnerships to implement EV charging in rural or urban areas. FHWA has just released a second round of funding for projects. Coupled with tax credits and utility and state incentive programs, EV Charging projects have never been more affordable.
EMA Executive Committee Member, AGI, is a national leader in the EV Charging space and an expert in incentive procurement. They can assist EMA members in taking advantage of this funding to offset the upfront costs of electrification. AGI provides a turnkey service from site survey to implementation and operations and maintenance. AGI will complete a detailed site audit, utilization study and proforma to determine if project makes sense for your site, then will guide you through the entire project, including engineering and design, rebate applications, equipment procurement, installation, commissioning. Importantly, AGI also provides the operations and maintenance support required by the NEVI and Discretionary Grant programs, and that is so critical to an effective and headache-free project.
EMA Again Urges FDA to Prioritize Enforcement Against Illegal E-Vape Products
This week, the Energy Marketers of America (EMA), along with the National Association of Tobacco Outlets (NATO), New England Convenience Store & Energy Marketers Association, Inc. (NECSEMA), Altria, Reynolds, NACS, NATSO and SIGMA sent a letter to the Food and Drug Administration (FDA) to implore them to prioritize enforcement against illegal e-vapor products. The letter reemphasized the industry’s effort to build a genuine two-way dialogue in which the regulated industry members can collaborate with the Agency and the new Federal Task Force to restore order to the marketplace.
Special EMA Members Code for NACS Show 2024 Registration
The NACS Show is returning to Las Vegas this October, and it’s time to start planning.
Supreme Court Issues Major Decision That Will Assist Businesses
In Challenging Unlawful and Burdensome Federal Rules
Tuesday, July 2, 2024 - Yesterday, the Supreme Court of the United States (SCOTUS) issued a major decision allowing a case challenging the 2011 Federal Reserve’s (“the Fed”) rule capping debit card swipe fees at 21 cents to proceed in court after it was dismissed by a lower court for being filed too late. The Court held that the six-year time limit for challenging federal rules does not begin to run until the plaintiff was injured and not from the date the final rule was issued by the agency. It held that the retailer who brought the case was first injured in 2018, when it accepted its first debit card payment. The plaintiffs, including a North Dakota truck stop and convenience store called Corner Post, as well as two trade groups, the North Dakota Petroleum Marketers Association and the North Dakota Retail Association, can proceed with their lawsuit arguing that the Fed has set a debit interchange rate too high. Specifically, the Fed capped debit swipe fees at 21 cents, plus 0.05% of the value of the debit transaction, in addition to a one-cent fraud-prevention adjustment. The fee cap applies to banks and financial institutions that issue debit cards and have $10 billion or more in deposits.
The decision will have major and widespread implications for all cases contending that federal agency rules are arbitrary or otherwise illegal by enlarging the time such cases can be
brought. For this reason, the Supreme Court’s 6-3 decision caused strong dissents from the Court’s liberal wing who claimed it would open the flood gates to lawsuits challenging federal rules, thus increasing the burdens on agencies and the courts. The decision, however, was a major victory for retailers and others who contend that businesses should have wide latitude to challenge regulations they believe are unlawful and burdensome.
Inside the Beltway Update –
July 12
Even though this week was smack between July 4 recess and the Republican Convention, Members of Congress made time to visit their offices this week, and members did not waste a lot of time getting to work on a slate of mostly messaging bills. One of significance was House Republicans on Ways and Means passing a Congressional Review Act resolution to repeal the Biden Administration’s EV tax credit which, of course, has virtually no chance of passing the Senate or being signed into law by President Biden, but it still served as an opportunity for Rep. Carol Miller (RWV), who led the charge, to voice her displeasure with the manner in which the rule allows automakers to source materials from China. The resolution passed on party lines, and may pass the House, but that will be the end of the line at this time. House Republicans passed several other messaging bills this week, including the Stop Unaffordable Dishwasher Standards Act and the Refrigerator Freedom Act.
However, the week was not entirely lost to politics, as House and Senate Appropriators both took additional steps forward in the FY 2025 funding process, with the Senate Appropriations Committee approving its first 3 bills, and the House
Appropriations Committee completing committee passage of its entire slate of legislation. And while the House is moving much more swiftly and is expected to finish consideration of the full dozen bills this month, we do not expect any funding conversations to be completed until after the election, and at that point, the timeline will very much depend on the outcome of the races in November.
Reminder: USDA Accepting New Applications for the Higher Blends Infrastructure Incentive Program (HBIIP) through September 30th
The USDA began accepting new applications in grants through the Higher Blends Infrastructure Incentive Program (HBIIP). These grants support the infrastructure needed to lower outof-pocket costs for energy marketers to install and upgrade biofuelrelated infrastructure such as pumps, dispensers and storage tanks. The HBIIP funds are available for both retail and wholesale fueling/storage facilities.
The application window to distribute the $90 million in HBIIP grants began July 1, 2024, and ends September 30, 2024.
House Legislation Introduced to Extend the
Biodiesel
Blender’s Tax Credit through 2025
Representatives Mike Carey (R-OH), Claudia Tenney (R-NY), Annie Kuster (DNH) and Mariannette Miller-Meeks (RIA) introduced the “Biodiesel Tax Credit Extension Act of 2024,” (H.R. 9060), which aims to extend the $1 per gallon biodiesel blender’s tax credit through 2025. Extending the biodiesel blender’s tax credit is important to energy marketers in order to sell a growing portfolio of affordable, efficient, and environmentally friendly liquid fuels that are helping to reduce emissions while propelling Americans forward and lowering heating fuel costs.
“The Energy Marketers of America would like to thank Representatives Mike Carey, Claudia Tenney, Annie Kuster and Mariannette Miller-Meeks for introducing this important legislation to help small business energy marketers across the country. It’s a win-win for the environment and consumers’ pocketbook,” said EMA President Rob Underwood.
Since 2004, the $1 per gallon biodiesel blender's credit has worked successfully to build a strong incentive for downstream energy marketers to blend renewable fuel into the fuel supply which has lowered prices for motorists and heating fuels for consumers. As a result, the U.S. biodiesel and renewable diesel market has grown from roughly 100 million gallons in 2005 to 4 billion gallons today.
Unfortunately, the Inflation Reduction Act (IRA), which was signed into law in 2022, replaced the biodiesel blender’s tax credit with a new 45Z Clean Fuel Production Credit (CFPC) based on carbon intensity scores. Lawmakers are urging the Treasury Department to finalize rules for the CFPC by November
1. Ethanol, biodiesel, renewable diesel and sustainable aviation fuel (SAF) will all be eligible for the new production tax credit, however, the Department of the Treasury has yet to publish CFPC guidance. Therefore, it is important that Congress acts soon to extend the biodiesel blender’s tax credit to give impacted industries market certainty for at least another year. Depending on the outcome of the November elections, a GOP controlled Congress could reelevate much of the IRA’s tax credits so stay tuned.
EMA Urges Senators to Delay CTA Filing Deadlines
This week, EMA joined 130 organizations urging Senators to delay the filing deadlines of the Corporate Transparency Act (CTA) by passing amendments sponsored by Senators Tim Scott (#2169) and James Lankford (#2831) to the National Defense Authorization Act (NDAA). The companion to this legislation (H.R. 5119), introduced by Representatives Zach Nunn (R-IA) and Joyce Beatty (DOH), was adopted by the House on a bipartisan vote of 420-1 on December 12, 2023. As a reminder, under the CTA, companies must disclose the identities and other information about anyone who owns a stake of at least 25 percent or exercises significant control over the company. Existing companies have until the start of 2025 to file their disclosures.
Earlier this year, a U.S. District Court judge in Alabama has ruled that the Corporate Transparency Act (“CTA”) Beneficial Ownership final rule is unconstitutional because it “exceeds the Constitution’s limits on the legislative branch” and fails the “necessary and proper” test. The plaintiffs in this case, the National Small Business Association and one of its members, sued in November 2022, seeking a permanent
injunction against the implementation of the CTA reporting rules. For now, however, the injunction only applies to the plaintiffs in the lawsuit. All other reporting companies (who are not plaintiffs in this case) are still bound by the CTA and should continue to comply for now.
The one-year delay of the CTA’s filing deadline would 1) allow the court process begun with the decision in National Small Business Association v. Yellen to work its way through the Appellate and Supreme Courts, 2) be consistent with congressional intent to give covered entities two years to comply with the CTA’s reporting requirements, and 3) provide the business community and the Financial Crimes Enforcement Network (FinCEN) additional time to educate millions of small business owners regarding the new reporting requirements and the onerous penalties resulting if they fail to comply.
Inside the Beltway Update - July 26
While many across the globe focused attention on President Biden’s withdrawal from the Presidential race and Vice President Harris’ presumed nomination, Congress looked to address major legislation as the summer session comes to a close. On Capitol Hill, the spotlight was squarely on appropriations, highlighting a stark contrast between the actions of the House and Senate. Faced with partisan deadlock over several funding bills, House Republicans chose an unconventional route: canceling votes and starting their August recess a week early to sidestep contentious issues. In contrast, the Senate, although lagging behind the House initially, has been more proactive. Senate appropriators have been diligently working on bipartisan bills and are expected to
continue their efforts into the coming week, while House members shift their focus to the campaign trail.
Looking ahead, the timeline for actually enacting Fiscal Year 2025 spending measures will stretch well beyond the election, with the precise timing contingent on the election's outcome. Before Congress can address the more complex appropriations issues, we expect they will reconvene briefly in September to pass a short-term Continuing Resolution (CR) to extend government funding past September 30. Should either party achieve a sweep in the upcoming elections, they might opt to delay finalizing these measures until the new year, giving the new Congress an opportunity to influence next year’s funding decisions, but there is much uncertainty between now and then as well as there are differences in opinions as to whether the next President would be better served by having these issues settled or whether they should enter office and immediately dive into an FY 2025 appropriations fight.
Separately, a bipartisan coalition in Congress is making strides on permitting reform. The Senate, spearheaded by Sens. Joe Manchin (I-WV) and John Barrasso (R-WY), has introduced a bill aimed at streamlining some of the permitting processes for major projects. Somewhat surprisingly, the permitting package has bipartisan support and is set for a markup in the Senate Energy and Natural Resources Committee next week. Meanwhile, in the House, Reps. Bruce Westerman (R-AR) and Scott Peters (D-CA) are working on a similar but more aggressive bill to expedite the NEPA process. While the Senate bill is seen as a valuable first step, Rep. Westerman’s forthcoming House bill is expected to complement the Senate version.
As you know from our previous coverage, last month, the Supreme Court overturned Chevron Deference, a long-standing practice that allowed regulatory agencies to interpret laws flexibly. In response, two contrasting legislative proposals were introduced this week. One from Sen. Bill Cassidy (R-LA) that would require agency heads to testify before Congress before issuing new regulations, aiming to slow regulatory development, and another from Sen. Elizabeth Warren (DMA) to reinstate Chevron Deference, arguing that it is fundamental to the federal regulatory framework. Despite their potential significance, it is unlikely neither proposal will become law.
As you all are aware, this week marked a historic turning point in the presidential race, following the Republican National Convention and the official end of President Biden’s candidacy. The Democratic Party has largely coalesced around Vice President Kamala Harris as the presumptive nominee. This shift underscores the fluidity of the political landscape; just a week ago, it seemed former President Trump was cruising towards a second term and Republicans were projected to win the House and Senate majorities. While Trump continues to lead in most polls, a lot of time remains before November. The political environment is changing daily and the next 6-8 weeks will be crucial in shaping the electoral narrative.
Inside the Beltway Update – August 2
We’re a week into the House’s earlyAugust recess, and the Senate left town Thursday afternoon. Congress will resume “normal” business when the House and Senate return on September 9.
This week, before leaving town, Senators were hard at work attempting to set the stage for passage of critical bills in September. As members prepare to end the summer session, the Appropriations Committee has now completed markup and held votes on 11 of 12 FY 2025 funding bills. Homeland Security funding is the one bill remaining, with much consternation stemming from debates over border security, immigration, and—following the attempted assassination on former President Trump – funding for Secret Service.
When Congress returns in September, they will have to pass a Continuing Resolution (CR) to continue government funding beyond September 30. The conventional wisdom is that Congress will pass a CR extending funding into early December and then, depending on the outcome of the election, will either conclude FY 2025 funding within the calendar year or try to pass another into 2025, though the latter will likely only occur if either party sweeps the election.
Appropriations was not, however, the only committee working this week, as members of the Energy and Natural Resources (ENR) Committee completed markup and favorably reported their long-awaited energy permitting reform bill, which ENR Chair Joe Manchin (I-WV) called a “bipartisan piece of legislation that will speed up permitting and provide more certainty for all types of energy and mineral projects without bypassing important protections for our environment and impacted communities,” adding that it would “advance American energy once again to bring down prices, create domestic jobs, and allow us to continue in our role as a global energy leader.”
Despite bipartisan action, given the truncated Congressional calendar, the upcoming election, and the partisan division existing broadly in the House and Senate, this bill has a very murky path forward. We do not expect much legislation to pass between now and the election, and then members will be racing against the clock to pass a long list of must-pass legislation, including annual appropriations, the National Defense Authorization Act (NDAA), and an extension of the Farm bill before the end of the 118th Congress. As such, building enough momentum for this legislation to break into the calendar will likely be too tall an order, though it’s conceivable that it could be attached to a potential Continuing Resolution, omnibus, or minibus spending package, so we will continue to monitor the legislation should it begin to pick up some steam.
Outside of committee, the full Senate tried and failed to pass H.R. 7024, the Tax Relief for American Families and Workers Act, a bipartisan tax package that had passed the House with a wide 357-70 margin. On Thursday, Senate Majority Leader Chuck Schumer (D-NY) wanted to give vulnerable Democrats some campaign fodder. Members like Senator Sherrod Brown (D-OH) will now be able to criticize Republicans for blocking a bill to expand the Child Tax Credit. Still, the vote on cloture –which failed – was not entirely along party lines, with Sens. Markwayne Mullin (R-OK) and Josh Hawley (R-MO) voting with Democrats to invoke cloture and advance the bill, but, alas, that vote failed and now Senators are well on their way back to their states for an August recess that will likely be quite eventful, though mostly because of politics and not policy.
One issue that arose this week is that Senators wrote the Treasury Department to ensure its forthcoming
Clean Fuel Production Credit (45Z) guidance would only protect domestic producers of biofuel, adding that “finalizing this rule in a timely manner will provide farmers, renewable fuel producers, end-users, and other biofuels stakeholders with the certainty and clarity they need to invest and make planting decisions.”
They also noted that failure to do so would lead renewable fuel producers to import feedstocks from places like China and Brazil in direct opposition to the intent of Congress. They said that if our Treasury does not support the production and utilization of domestic feedstocks, the U.S.’s renewable fuel industry will necessarily shift towards imported feedstocks, and encouraged Treasury to ensure any federal tax dollars can only be provided to domestic producers. EMA is concerned that limiting the credit to domestic producers could impact prices at the pump and have been urging Congress to extend the biodiesel blender’s tax credit for another year.
Just last week, Representatives Mike Carey (R-OH), Claudia Tenney (R-NY), Annie Kuster (D-NH) and Mariannette Miller-Meeks (R-IA) introduced the “Biodiesel Tax Credit Extension Act of 2024,” (H.R. 9060), which aims to extend the $1 per gallon biodiesel blender’s tax credit through 2025. Extending the biodiesel blender’s tax credit is important to energy marketers in order to sell a growing portfolio of affordable, efficient, and environmentally friendly liquid fuels that are helping to reduce emissions while propelling Americans forward and lowering heating fuel costs.
Unfortunately, the Inflation Reduction Act (IRA), which was signed into law in 2022, replaced the biodiesel blender’s tax credit with a new 45Z Clean Fuel Production Credit (CFPC)
based on carbon intensity scores. Ethanol, biodiesel, renewable diesel and sustainable aviation fuel (SAF) will all be eligible for the new production tax credit, however, the Department of the Treasury has yet to publish CFPC guidance. Therefore, it is important that Congress acts soon to extend the biodiesel blender’s tax credit to give impacted industries market certainty for at least another year. Depending on the outcome of the November elections, a GOP controlled Congress could reelevate much of the IRA’s tax credits so stay tuned.
While members will only be in Washington briefly between now and the election, we will continue to work to ensure EMA’s interests are addressed in the Capitol and on the campaign trails, and we look forward to protecting EMA’s federal agenda in the limited legislating we expect in September and beyond the election.
EMA Mourns Loss of former Distinguished Service Award
Recipient Don
Craft
EMA is saddened to announce the passing of Don Craft on July 27, 2024 surrounded by his five loving children and stepson.
Don was born on January 19, 1935 in White Plains, NY and spent his childhood there and in New Rochelle, NY, growing up during the Great Depression.
Don started his career in Washington, DC at the Technical Material Corporation as the Director of Marketing. He then moved to
New Haven, CT and joined Wyatt Incorporated where he worked as Executive Vice President of Sales and Marketing for 33 years.
Don truly loved what he did and proudly continued to work until he was nearly 80 years old. During the second chapter of his career, Don served as Director of Mergers and Acquisitions and Director of Industry and Legislative Affairs for Star Gas Partners, Vice President of Marketing and Strategic Development in the Energy Lending Department at Citizens Bank, Director of Business Development at Global Partners, and last as Director of Marketing Development at Gulf Oil.
Don was a member of the Heating Fuels Committees of the Petroleum Marketers Association of America, now known as the Energy Marketers of America (EMA), the Pennsylvania Petroleum Association (PPA), and the Empire State Petroleum Association. He also served as a member of the Boards of Directors of the National Association of Oilheat Research and Education (NAORE), the Connecticut Energy Marketers Association (CEMA), the Massachusetts Oil Heat Council, the Oil Heat Institute of Rhode Island, the New Jersey Fuel Merchants Association, and the Oil Heat Institute of Long Island. In addition, he was president and chairman of the New England Fuel Institute (NEFI) and a member of the NEFI Education Foundation. He was also president of the Independent Connecticut Petroleum Association in 1970 - 1971, and a founding board member of the National Oilheat Research Alliance (NORA).
Don received many awards over his career including the Energy Marketers of America’s Distinguished Service Award in 2004, the industry's highest honor.
Transportation Energy Institute (TEI) Releases Low Carbon Biofuels Report
Over the past several years, the Transportation Energy Institute (TEI), formerly the Fuels Institute, has published several research reports related to the decarbonizing of internal combustion engines, improving internal combustion engine (ICE) efficiency, and emissions and the effectiveness of biofuels in reducing emissions. This past week TEI released a new report titled “Balancing the Benefits of Biofuels,” which looks at the potential impact of the expansion of the production of crop-based biofuels on food supplies and prices. The report evaluates historical agricultural land allocation for biofuels production, biofuels byproducts and food production, carbon impact of biofuels, and the cost of biofuels. The report indicates that technological advances in agriculture have improved productivity at a rate that has outpaced the increase in demand resulting in a decline in land in agricultural use with minimal impact on biofuel cost and food production. This latest report along with prior reports can be downloaded from the TEI webpage (Reports - Transportation Energy Institute). In addition to this latest report, TEI continues to evaluate biofuels and is in the process of developing a scope of work for a new research project to evaluate the status of the development and availability of low carbon fuels. Specifically, this research is intended to provide a better understanding of the viability of low carbon liquid fuels currently or potentially in the market, along with what’s needed for these fuels to be viable and when that might occur.
FMCSA WARNS OF ONGOING BROKER AND CARRIER FRAUD AND IDENTITY THEFT
Thursday, August 8, 2024 – The FMCSA is warning energy marketers and other businesses with trucking operations of a new identity theft scam designed to collect vital information for fraudulent use. Fraud and identity theft occurs when unauthorized entities use another motor carrier’s assigned USDOT number, or fraudulently act as a FMCSA authorized broker to hijack goods shipped by truck.
The FMCSA is asking energy marketers who suspect their company has been the victim of fraud or identity theft, to take the following steps:
1. Report the incident to local law enforcement agency.
2. You may also report the incident to the U. S. Department of Transportation’s (USDOT) Office of the Inspector General
(OIG) Hotline at (800) 424-9071 or online at https://www.oig.dot. gov/hotline.
3. You are also encouraged to file a complaint with the FMCSA National Consumer Complaint Database (NCCDB) at https:// nccdb.fmcsa.dot.gov/
4. Contact your insurance company to let them know your company’s information is being fraudulently used.
5. Make social media and website posts to inform customers.
6. Make sure your company’s phone number(s) displayed in FMCSA’s Safety and Fitness Records System (SAFER)are visible and correct by going to https://safer.fmcsa.dot.
gov and scrolling down to “FMCSA Searches” and clicking on “Company Snapshot”.
7. Conduct frequent checks of your FMCSA Carrier Profile. If you find incorrect information, go to https://www.fmcsa.dot.gov/ registration and follow the instructions on that page. This page also provides a phone number you can call to receive assistance.
Carriers: If your company has picked-up or hauled a fraudulently brokered load, identify who is paying the freight on the load and ask to be put in contact with their brokerage service. In many cases, the real broker of the load is also a victim of fraud or theft and is not involved in the illegal transaction. Holding loads hostage until you get paid is illegal.
Prevention: Take steps to protect yourself from fraud and identity theft:
• Confirming phone numbers of brokers and carriers using SAFER at https://safer.fmcsa.dot.gov. If the number given by the carrier/broker does not match the number posted, call the number posted in SAFER for the company to discuss the load. It is possible the identity of an employee of the business you are contacting has also been stolen.
• If your SAFER search identifies a carrier or broker without a phone number visible, consider not contracting for the work until you can confirm it is a valid transaction.
• When using a search engine to confirm numbers, emails and websites, the top search returns may be fake profiles created by scammers. Do not trust the information unless confirmed on multiple sites.
• Document examination is critical. Even insurance certificates can be fraudulent. If you suspect something is not right, research the numbers and call the companies.
• STOP the transaction if:
1. The “broker” asks you to present yourself as a carrier of a different name, or asks your driver to lie about who they work for;
2. you question the destination of the load and are told it’s a “blind load”;
3. the broker is quick to agree in paying you more; or
4. the rate far exceeds the current market rate.
• Encourage your customers to maintain driver and vehicle logs. Confirm the name and numbers on the truck that shows up to load are the same as the one with which you contracted. Having your customer record the tractor and trailer plate information will assist in identifying the actual carrier. Request pictures of the truck and trailer and compare and verify information provided on the carrier packets. If you have been involved in a fraudulent load, this will be important information for law enforcement.
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