Source: https://www.gpo.gov/fdsys/pkg/USCODE-2010-title15/html/USCODE-2010-title15-chap90.htm
Timestamp: 2016-08-26 14:30:54
Document Index: 488319912

Matched Legal Cases: ['§6401', '§2', '§6403', '§4', '§6404', '§5', '§6405', '§6', '§6406', '§7', '§6408', '§9', '§6409', '§10', '§6410', '§11', '§6411', '§12']

CHAPTER 90—PROPANE EDUCATION AND RESEARCH
6401.Findings.
6402.Definitions.
6403.Referenda.
6404.Propane Education and Research Council.
6405.Assessments.
6406.Compliance.
6407.Lobbying restrictions.
6408.Market survey and consumer protection.
6409.Pricing.
6410.Relation to other programs.
6411.Reports.
§6401. Findings
(1) propane gas, or liquefied petroleum gas, is an essential energy commodity providing heat, hot water, cooking fuel, and motor fuel among its many uses to millions of Americans;
(2) the use of propane is especially important to rural citizens and farmers, offering an efficient and economical source of gas energy;
(3) propane has been recognized as a clean fuel and can contribute in many ways to reducing the pollution in our cities and towns; and
(4) propane is primarily domestically produced and its use provides energy security and jobs for Americans.
(Pub. L. 104–284, §2, Oct. 11, 1996, 110 Stat. 3370.)
Section 1 of Pub. L. 104–284 provided that: “This Act [enacting this chapter] may be cited as the ‘Propane Education and Research Act of 1996’.”
(1) the term “Council” means a Propane Education and Research Council created pursuant to section 6403 of this title;
(2) the term “industry” means those persons involved in the production, transportation, and sale of propane, and in the manufacture and distribution of propane utilization equipment, in the United States;
(3) the term “industry trade association” means an organization exempt from tax, under section 501(c)(3) or (6) of title 26, representing the propane industry;
(4) the term “odorized propane” means propane which has had odorant added to it;
(5) the term “producer” means the owner of propane at the time it is recovered at a gas processing plant or refinery;
(6) the term “propane” means a hydrocarbon whose chemical composition is predominantly C3H8, whether recovered from natural gas or crude oil, and includes liquefied petroleum gases and mixtures thereof;
(7) the term “public member” means a member of the Council, other than a representative of producers or retail marketers, representing significant users of propane, public safety officials, academia, the propane research community, or other groups knowledgeable about propane;
(8) the term “qualified industry organization” means the National Propane Gas Association, the Gas Processors Association, a successor association of such associations, or a group of retail marketers or producers who collectively represent at least 25 percent of the volume of propane sold or produced in the United States;
(9) the term “retail marketer” means a person engaged primarily in the sale of odorized propane to the ultimate consumer or to retail propane dispensers;
(10) the term “retail propane dispenser” means a person who sells odorized propane to the ultimate consumer but is not engaged primarily in the business of such sales; and
(11) the term “Secretary” means the Secretary of Energy.
§6403. Referenda
The qualified industry organizations may conduct, at their own expense, a referendum among producers and retail marketers for the creation of a Propane Education and Research Council. The Council, if established, shall reimburse the qualified industry organizations for the cost of the referendum accounting and documentation. Such referendum shall be conducted by an independent auditing firm agreed to by the qualified industry organizations. Voting rights in such referendum shall be based on the volume of propane produced or odorized propane sold in the previous calendar year or other representative period. Upon approval of those persons representing two-thirds of the total volume of propane voted in the retail marketer class and two-thirds of all propane voted in the producer class, the Council shall be established, and shall be authorized to levy an assessment on odorized propane in accordance with section 6405 of this title. All persons voting in the referendum shall certify to the independent auditing firm the volume of propane represented by their vote.
On the Council's own initiative, or on petition to the Council by producers and retail marketers representing 35 percent of the volume of propane in each class, the Council shall, at its own expense, hold a referendum, to be conducted by an independent auditing firm selected by the Council, to determine whether the industry favors termination or suspension of the Council. Termination or suspension shall not take effect unless it is approved by persons representing more than one-half of the total volume of odorized propane in the retail marketer class and more than one-half of the total volume of propane in the producer class, or is approved by persons representing more than two-thirds of the total volume of propane in either such class.
(Pub. L. 104–284, §4, Oct. 11, 1996, 110 Stat. 3371.)
§6404. Propane Education and Research Council
(Pub. L. 104–284, §5, Oct. 11, 1996, 110 Stat. 3371.)
§6405. Assessments
The Council shall set the initial assessment at no greater than one tenth of 1 cent per gallon of odorized propane. Thereafter, annual assessments shall be sufficient to cover the costs of the plans and programs developed by the Council. The assessment shall not be greater than one-half cent per gallon of odorized propane, unless approved by a majority of those voting in a referendum in both the producer and the retail marketer class. In no case may the assessment be raised by more than one tenth of 1 cent per gallon of odorized propane annually.
The owner of odorized propane at the time of odorization, or the time of import of odorized propane, shall make the assessment based on the volume of odorized propane sold and placed into commerce. Assessments collected are payable to the Council on a monthly basis by the 25th of the month following the month of such collection. Propane exported from the United States to another country is not subject to the assessment.
(c) Alternative collection rules
The Council may establish an alternative means of collecting the assessment if another means is found to be more efficient and effective. The Council may establish a late payment charge and rate of interest to be imposed on any person who fails to remit or pay to the Council any amount due under this chapter.
(d) Investment of funds
Pending disbursement pursuant to a program, plan, or project, the Council may invest funds collected through assessments, and any other funds received by the Council, only in obligations of the United States or any agency thereof, in general obligations of any State or any political subdivision thereof, in any interest-bearing account or certificate of deposit of a bank that is a member of the Federal Reserve System, or in obligations fully guaranteed as to principal and interest by the United States.
(e) State programs
The Council shall establish a program coordinating the operation of the Council with those of any State propane education and research council created by State law or regulation, or similar entity. Such coordination shall include a joint or coordinated assessment collection process, a reduced assessment, or an assessment rebate. A reduced assessment or rebate shall be 20 percent of the regular assessment collected in that State under this section. Assessment rebates shall be paid only to—
(1) a State propane education and research council created by State law or regulation that meets requirements established by the Council for specific programs approved by the Council; or
(2) a similar entity, such as a foundation established by the retail propane gas industry in that State, that meets requirements established by the Council for specific programs approved by the Council.
(Pub. L. 104–284, §6, Oct. 11, 1996, 110 Stat. 3374.)
§6406. Compliance
(Pub. L. 104–284, §7, Oct. 11, 1996, 110 Stat. 3374.)
§6408. Market survey and consumer protection
(a) Price analysis
Beginning 2 years after establishment of the Council and annually thereafter, the Secretary of Commerce, using only data provided by the Energy Information Administration and other public sources, shall prepare and make available to the Council, the Secretary of Energy, and the public an analysis of changes in the price of propane relative to other energy sources. The propane price analysis shall compare indexed changes in the price of consumer grade propane to a composite of indexed changes in the price of residential electricity, residential natural gas, and refiner price to end users of No. 2 fuel oil on an annual national average basis. For purposes of indexing changes in consumer grade propane, residential electricity, residential natural gas, and end user No. 2 fuel oil prices, the Secretary of Commerce shall use a 5-year rolling average price beginning with the year 4 years prior to the establishment of the Council.
If in any year the 5-year average rolling price index of consumer grade propane exceeds the 5-year rolling average price composite index of residential electricity, residential natural gas, and refiner price to end users of No. 2 fuel oil in an amount greater than 10.1 percent, the activities of the Council shall be restricted to research and development, training, and safety matters. The Council shall inform the Secretary of Energy and the Congress of any restriction of activities under this subsection. Upon expiration of 180 days after the beginning of any such restriction of activities, the Secretary of Commerce shall again conduct the propane price analysis described in subsection (a) of this section. Activities of the Council shall continue to be restricted under this subsection until the price index excess is 10.1 percent or less.
(Pub. L. 104–284, §9, Oct. 11, 1996, 110 Stat. 3375.)
§6409. Pricing
In all cases, the price of propane shall be determined by market forces. Consistent with the antitrust laws, the Council may take no action, nor may any provision of this chapter be interpreted as establishing an agreement to pass along to consumers the cost of the assessment provided for in section 6405 of this title.
(Pub. L. 104–284, §10, Oct. 11, 1996, 110 Stat. 3375.)
§6410. Relation to other programs
Nothing in this chapter may be construed to preempt or supersede any other program relating to propane education and research organized and operated under the laws of the United States or any State.
(Pub. L. 104–284, §11, Oct. 11, 1996, 110 Stat. 3375.)
§6411. Reports
Within 2 years after October 11, 1996, and at least once every 2 years thereafter, the Secretary of Commerce shall prepare and submit to the Congress and the Secretary a report examining whether operation of the Council, in conjunction with the cumulative effects of market changes and Federal programs, has had an effect on propane consumers, including residential, agriculture, process, and nonfuel users of propane. The Secretary of Commerce shall consider and, to the extent practicable, shall include in the report submissions by propane consumers, and shall consider whether there have been long-term and short-term effects on propane prices as a result of Council activities and Federal programs, and whether there have been changes in the proportion of propane demand attributable to various market segments. To the extent that the report demonstrates that there has been an adverse effect, the Secretary of Commerce shall include recommendations for correcting the situation. Upon petition by affected parties or upon request by the Secretary of Energy, the Secretary of Commerce may prepare and submit the report required by this section at less than 2-year intervals.
(Pub. L. 104–284, §12, Oct. 11, 1996, 110 Stat. 3375.)