HB 909

1	A bill to be entitled
2	An act relating to the Motor Fuel Marketing Practices Act;
3	amending s. 526.303, F.S.; deleting definitions to
4	conform; repealing s. 526.304, F.S., relating to unlawful
5	predatory practices and exceptions thereto; repealing s.
6	526.309, F.S., relating to exempt retail sales by a
7	refiner; amending s. 526.305, F.S.; deleting a cross-
8	reference to conform; providing an effective date.
9
10	Be It Enacted by the Legislature of the State of Florida:
11
12	Section 1.  Section 526.303, Florida Statutes, is amended
13	to read:
14	526.303  Definitions.--As used in this act:
15	(1)  "Affiliate" means any person whose stock is more than
16	50 percent owned by, or who, regardless of stock ownership, is
17	controlled by, or who, regardless of stock ownership, is under
18	common control with, any refiner.
19	(2)  "Competition" means the vying for motor fuel sales
20	between any two sellers in the same relevant geographic market.
21	(3)  "Dealer" means any person, other than a refiner or
22	wholesaler, who is engaged in the business of selling motor fuel
23	at a retail outlet.
24	(4)  "Direct labor cost" means the personnel costs incurred
25	at a retail outlet attributable to providing motor fuel sales at
26	a retail outlet and includes, without limitation, the personnel
27	costs relating to the purchase, storage, inventory, and sale of
28	motor fuel, the maintenance of equipment, and environmental
29	reporting and compliance, but does not include the costs of
30	environmental cleanup or remediation. In no case shall the
31	direct labor cost be less than the cost of one employee's salary
32	and benefits, based upon that employee's working those hours in
33	which the retail outlet is providing motor fuel available to the
34	public.
35	(4)(5)  "Motor fuel" means any petroleum product, including
36	any special fuel, which is used for the propulsion of motor
37	vehicles.
38	(6)  "Nonrefiner" means any person, other than a refiner,
39	engaged in the sale of motor fuel.
40	(7)  "Nonrefiner cost" means: the nonrefiner's invoice cost
41	of the motor fuel, by grade, less credit card allowances, trade
42	discounts, and rebates actually received, to which shall be
43	added federal, state, and local taxes and inspection fees
44	applicable to motor fuel; freight charges to the retail outlet;
45	and direct labor costs and the reasonable rental value of the
46	retail outlet attributable to the sale of motor fuel by the
47	nonrefiner. If motor fuel is sold with another item at a
48	combined price, nonrefiner motor fuel cost shall also include
49	the cost of the other item and the direct labor costs and the
50	reasonable rental value of the retail outlet attributable to the
51	retail sale of the item by the nonrefiner.
52	(5)(8)  "Posted terminal price" means a refiner's posted
53	price at a terminal, by grade of motor fuel, to the wholesale
54	class of trade within a general trade area. If a refiner does
55	not have a posted terminal price in a general trade area, such
56	refiner's posted terminal price shall be deemed to be no lower
57	than the lowest posted terminal price of motor fuel of like
58	grade and quality of any other refiner selling to the wholesale
59	class of trade in the general trade area.
60	(9)  "Reasonable rental value" means the bona fide amount
61	of rent which would reasonably be paid in an arm's length
62	transaction for the use of the specific individual retail
63	outlet, including land and improvements, utilized for the sale
64	of motor fuel. The value of the land and improvements shall
65	include the costs of equipment; signage; utilities, property
66	taxes, and insurance, if paid by the owner; and environmental
67	compliance, such as testing, detection, and containment systems;
68	but does not include the costs of environmental cleanup and
69	remediation. In determining the reasonable rental value of the
70	specific retail outlet, the rental amount of comparable retail
71	outlets in the relevant geographic market shall be considered.
72	When motor fuel is sold at the retail level along with other
73	products, the reasonable rental value attributable to the sale
74	of motor fuel at the retail outlet shall be allocated by the
75	percentage of gross sales attributable to motor fuel sales.
76	(6)(10)  "Refiner" means any person who stores or exchanges
77	motor fuel at a terminal facility in this state and who sells or
78	transfers motor fuel through the loading rack at such terminal
79	facility, and includes an affiliate of such refiner with respect
80	to such affiliate's sale of motor fuel.
81	(11)  "Refiner cost" means a refiner's posted terminal
82	price plus state, federal, and local taxes and inspection fees
83	applicable to motor fuel, and freight charges to its retail
84	outlet, and direct labor costs and reasonable rental value of
85	the retail outlet attributable to the retail sale of motor fuel
86	by the refiner. If motor fuel is sold with another item, at a
87	combined price, refiner cost shall also include the cost of the
88	other item and direct labor costs and reasonable rental value of
89	the retail outlet attributable to the retail sale of the item by
90	the refiner.
91	(7)(12)  "Relevant geographic market" means the geographic
92	area of effective competition.
93	(8)(13)  "Rent" means the payment of an amount by an
94	individual or agency in return for the right to occupy or use
95	the property of another.
96	(9)(14)  "Retail outlet" means a facility, including land
97	and improvements, where motor fuel is offered for sale, at
98	retail, to the motoring public.
99	(10)(15)  "Sale" or "sell" means any transfer, gift, sale,
100	offer for sale, or advertisement for sale in any manner or by
101	any means whatsoever, including any transfer of motor fuel from
102	a person to itself or an affiliate at another level of
103	distribution, but does not include product exchanges at the
104	wholesale level of distribution.
105	(11)(16)  "Terminal facility" means any inland, waterfront,
106	or offshore appurtenance on land used for the purpose of
107	storing, handling, or transferring motor fuel, but does not
108	include bulk storage facilities owned or operated by a
109	wholesaler.
110	(12)(17)  "Wholesaler" means any person, other than a
111	refiner or dealer, who purchases motor fuel at a terminal
112	facility and supplies motor fuel to retail outlets.
113	Section 2.  Subsection (3) of section 526.305, Florida
114	Statutes, is amended to read:
115	526.305  Discriminatory practices unlawful; exceptions.--
116	(3)  Subject to the limitations of s. 526.304(3), A sale
117	made in good faith to meet an equally low price of a competitor
118	selling motor fuel of like grade which can be used in the same
119	motor vehicle is not a violation of this section.
120	Section 3.  Sections 526.304 and 526.309, Florida Statutes,
121	are repealed.
122	Section 4.  This act shall take effect July 1, 2006.

CODING: Words stricken are deletions; words underlined are additions.