NEON: NEFI Energy Online News

$825 BILLION ECONOMIC STIMULUS INCLUDES FUNDING FOR ENERGY, TAX CUTS
With unemployment approaching the double-digits and the economy in the worst condition it has seen "since the great depression" (to quote some alarmed economists), pressure is mounting on the Congress to act. The incoming Obama administration wanted a bill ready for the President-elect to sign once he takes office next week, but concerns over the price tag of a proposed stimulus--which is estimated at more than $825 billion--is stirring opposition from spending hawks in Congress. And while Republicans have slammed Democrats for both a closed-door drafting process and the price-tag, they have expressed a desire to work with the incoming administration in order to provide some relief to the troubled economy and struggling Americans. A bill is not likely before sometime in February, at the earliest.

The bill's price tag breaks down to $550 billion for spending programs, with over $300 billion going to state and local governments for spending projects including transportation, community construction projects, school and public building repairs and the like. About another $100 billion will be provided for unemployment assistance and welfare services and programs. There would be a $275 billion tax-cut mainly benefiting middle-class Americans. The bill also provides $58 billion in energy-related spending.

Of interest to NEFI members, the spending bill would provide:

An additional $1 billion for LIHEAP (for FY2010, available on October 1, 2009)
$6.2 billion boost to the federal Weatherization Assistance Program (WAP)
Raises eligibility for the WAP to 200 percent of the federal poverty level and doubles the assistance level from $2,500 per household to $5,000
$3.5 billion in Energy Efficiency and Conservation Block Grant Funding
$16 billion to repair public housing and make energy efficiency retrofits
$6 billion for increasing energy efficiency and conservation at federal buildings
$600 million for federal fleets to purchase plug-in and alternative fuel vehicles
$426 million for Small Business Administration loan guarantee programs
Allows Small Business Administration to temporarily guarantee up to 95 percent of certain qualifying 7(a) small business loans at an exceptionally low rate (we are currently reviewing the rather extensive SBA-related sections and will provide a more detailed report later)

Complete text of the stimulus spending portion of the bill.

Text of the tax-relief portion is not yet available online, but is expected to include:

A payroll tax credit of $500 per person, or $1,000 for married couples
An expansion of the earned income tax credit
$7,500 first-time homebuyers tax credit (homes purchased by July 1, 2009)
Extension of the current two-year carryback of net operating loses for businesses to a five-year term
Extension of the $250,000 increase for small business expensing
Long-term extension of the renewable energy (wind, solar, geothermal, etc.) production tax credit (a previous energy bill attached to last year’s Wall Street bailout bill had only extended it for one year)
Energy efficiency and conservation tax incentives

Again, the complete details of the tax portion have not yet been made available to the public. Outline of the tax portion of the stimulus from the House Ways & Means Committee.

NEFI CONTACT: Jim Collura, NEFI VP for Public Policy (jimcollura@nefi.com)

The newly-elected 111th Congress has begun and the new President will be sworn in to office on January 20th.

LIHEAP ADVOCATES PRESS FOR MORE FEDERAL LIHEAP MONEY; WARN OF RISE IN APPLICATIONS
An alliance of Low Income Home Energy Assistance Program (LIHEAP) stakeholders, including the National Energy Assistance Directors Association (NEADA), an association of state LIHEAP officials, has warned Congress that because of increased need and the potential for an increase in energy prices to higher levels, they should consider increasing annual funding for the program from $5.1 billion to as much as $7.5 billion. NEADA reports applications for LIHEAP funds have increased by as much as 25 percent over last year due to the slumping economy. NEADA officials will be participating in the National Fuel Funds Network (NFFN) LIHEAP Action Day on Capitol Hill in Washington, DC. NEFI is a member of NFFN and will be joining PMAA and oilheat associations from states in the region including the Oil Heat Council of New Hampshire, Massachusetts Oilheat Council, Oilheat Institute of Rhode Island and the Fuel Merchants Association of New Jersey at the event on February 11, 2009. If you are interested in volunteering, contact NEFI or your state association for details.

IN CASE YOU MISSED IT – ’60 Minutes’ Special on Oil Speculation

Recap and link to last Sunday night’s 60 Minutes report on the role of investment speculation in last year’s rise in oil prices, featuring interviews with Sean Cota (Cota & Cota, Bellows Falls, VT), immediate past NEFI Chairman of the Board and Dan Gilligan, President of the Petroleum Marketers Association of America.

Click Here: http://capwiz.com/nefi/issues/alert/?alertid=12417171

HOW YOU CAN HELP CONTRIBUTE TO
THE 'INDUSTRY'S CAUSE'
Wondering how you can contribute to the great work done by the New England Fuel Institute, its Legislative & Regulatory Action Center, Government Affairs Committee and various coalitions, partnerships, and alliances? With the new Congress, new President and possibly the most ambitious legislative and regulatory agenda in history on the horizon, your help is needed now more than ever! Please consider a contribution -- even a small contribution of $100 or $300 -- to the NEFI Action Center Fund. Simply visit www.nefiactioncenter.com and click "Make a Donation" (NO log-in or password required) which is in bold red font in the menu on the left side of the screen. When the "Contribution/Pledge Form" page opens, simply fill out the desired donation amount, billing information and contact information fields and click "submit contribution." Donors can either choose to be billed for their donation or may use a credit card (we accept Visa, MasterCard and American Express). Remember that our pledge forms list suggested donations only. A full list of 2008 contributors can also be found at the bottom of the main page at the NEFI Action Center site. If you have any questions concerning the donation process, contact Dave Rocco at NEFI at (617) 923-5022 or dave@nefi.com. Thank you for your support!

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Contact: Mark Morgan, Esq. NEFI Regulatory Counsel (mark@nefi.com)

REMINDER!!! Get briefed on the current and newly amended SPCC Requirements by either reading the latest compliance documents published by NEFI or signing-up for the January 14th (2pm EST) SPCC compliance webinar at www.nefiactioncenter.com

NEFI TEAM SPOTLIGHT: NEFI REGULATORY
COUNSEL MARK S. MORGAN, ESQ.
Many members have commented on the real-world value they find in NEFI’s regulatory compliance work. Thanks in large part to these efforts members have been spared thousands of dollars or more unnecessary compliance costs, fees and fines. For nine years now, NEFI Regulatory Counsel, Mark S. Morgan, Esq., has been closely monitoring federal regulatory agencies including the Environmental Protection Agency, the Department of Transportation, Occupational Safety and Health Administration and the Internal Revenue Service for issues and proposed rulemakings that would affect NEFI member companies. As appropriate, Morgan has met with agency officials or submitted comments on proposed rules on behalf of NEFI and its members. Thanks to Mark’s hard work, he has won major victories for members in the past year, including the small business reclassification for heating fuel dealers and the exemption for certain parked cargo trucks from EPA Spill Prevention, Control and Countermeasure (SPCC) requirements.

Morgan also drafts nearly all of NEFI’s regulatory compliance information and has helped guide the members through some complicated, burdensome and potentially expensive new regulations. One clear example that stands out is Morgan’s work on the transition to ultra-low sulfur on-road and off-road diesel fuel. Morgan is also seen as an expert on SPCC regulations as they pertain to petroleum bulk plant owners and operators, especially in the heating oil industry. He has so far sat on the panel in two very successful webinars. On occasion, he has also jumped to the defense of several NEFI members who were wrongly cited for non-compliance with certain federal regulations. Mark is a Massachusetts native and he graduated from the University of Massachusetts. He earned his Juris Doctor and Masters Degree in Environmental Law at Vermont Law School. He lives in Vienna, Virginia with his wife, Kelly. He can be contacted at mark@nefi.com.

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EPA FINALIZES SPCC DEADLINE EXTENSION TO NOVEMBER 20, 2009
The EPA has finalized the new extended deadline for compliance with July 2002 amendments (including the recent changes from December, 2006 and November 2008) for the Spill Prevention, Control and Countermeasure (SPCC) regulations. The deadline has been extended from July 1, 2009 to the newly finalized deadline, November 20, 2009. SPCC plans must be revised in accordance with the newest amendments and implemented by this date. EPA extended the deadline again so that the regulated community could review the newest and final changes to SPCC approved in November, 2008. THE EPA IS NOT EXPECTED TO EXTEND THE DEADLINE FURTHER and NEFI members should not delay in coming into compliance. For more information or questions regarding the deadline extension, see the next article or contact NEFI Regulatory Counsel Mark S. Morgan, Esq. at mark@nefi.com.

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SECOND NEFI SPCC WEBINAR REPORTED AS HUGE SUCCESS
On January 14, 55 individuals and companies attended NEFI’s second webinar on EPA Spill Prevention, Control and Countermeasure (SPCC) regulations. This presentation covered the main requirements of SPCC regulations for companies with petroleum bulk storage. The material was updated since our last webinar to cover questions we have received, as well as the newest amendments and rule changes that were finalized by the EPA late last year (including the new secondary containment exemption for certain parked petroleum trucks, which of course was a major victory for NEFI). CDs are being produced and courtesy copies will be provided to webinar participants (and likely to also be on-sale for those that could not attend). Currently, the NEFI Action Center is planning a third and final webinar before the November 20, 2009 SPCC compliance deadline. NEFI would like to thank its webinar panelists, NEFI Regulatory Counsel Mark S. Morgan, Esq., and Professional Engineer specializing in SPCC, Tim Laughlin of the North Carolina Petroleum & Convenience Marketers. For more information on the webinar, contact Dave Rocco @ 617-923-5022 or dave@nefi.com.

NEFI is also planning an SPCC presentation at this June’s EXPO in Boston, Massachusetts, and we are looking for an engineer that is a member of NEFI and specializes in SPCC plans. See the third bullet under “NEFI News Briefs” below for more details.

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COMPLIANCE WITH NEW ETHANOL BLEND SHIPPING PAPERS EXTENDED TO 2010
The U.S. Department of Transportation's final rulemaking HM-215J has extended the compliance period for new HAZMAT shipping paper requirements for ethanol blends over 10 percent to 2010.

Ethanol transporters and shippers who complied with the original deadline of October 1, 2008, and are using the new shipping name "Ethanol and gasoline mixture, 3, UN3475, PG II" are in compliance and do not need to do anything. Marketers who did not meet the October 1, 2008 deadline may continue to use their shipping paper entries for ethanol blends until October 1, 2010, when they must change to the new entry.

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General News

PMAA DAY ON THE HILL: The Petroleum Marketers Association of America will be holding its annual Day on the Hill and Washington Conference on May 13-15, 2009 in Washington, DC. Contact your state association about participation or
click here for more information.
DELAWARE VALLEY FUEL DEALERS ASSOCIATION JOINS ENERGY COALITION: The Delaware Valley Fuel Dealers Association (DVFDA) has a joined the Energy Communications Council (ECC). The ECC is a public relations alliance of energy associations of which NEFI is a proud member. The DVFDA serves petroleum marketers in southeastern Pennsylvania.
BOSTONIAN SOLUTIONS: NEFI-member Telemon Insurance & Financial Network has combined with The Bostonian Group to form Bostonian Solutions. Together, they form a consulting firm providing services in the areas of employee benefits, HR services, executive compensation, retirement and financial planning.

Heating Fuels:

HOURS OF SERVICE IN MASSACHUSETTS: Starting January 14 and lasting for five days (thru January 18), the Massachusetts Emergency Management Agency has declared a state of emergency pertaining to the transportation of heating fuels and propane (CFR 390.23). Relief is being provided from regulations pertaining to hours of service (49 CFR Part 395). The Massachusetts Emergency Management Agency can be reached at 508-820-2000 or contact the Massachusetts Oilheat Council at (781) 237-0730.

HOURS OF SERVICE IN VERMONT: A state of emergency exists that requires relief from federal regulations pertaining to hours of service (49 CFR 395). The emergency notice will remain in effect for the rest of the emergency or ten days (depending on whichever is less). For more information, you can contact the Vermont Department of Motor Vehicles 802-828-2078 or the Vermont Fuel Dealers Association at 802-223-7750.

HOURS OF SERVICE IN CONNECTICUT: Pursuant to 49 CFR 390.23, the Connecticut Department of Motor Vehicles has granted a limited exemption from provisions of 49 CFR 395.3. The declaration of emergency pertains to Hours of Service (49 CFR Part 395). It is effective January 13 and will last for the duration of the emergency or ten days, whichever is less. For more information, contact the Connecticut Department of Motor Vehicles (203-805-6018) or the Independent Connecticut Petroleum Association at (860) 613-2041.

CERTAIN GAS & SOLAR WATER HEATERS CAN NOW BEAR ENERGY STAR LOGO: The DOE has announced five water heater technologies that can now bear the energy star logo. Read more.

Motor Fuels:

TEMP COMP MANDATE VOTE COMING IN JULY: PMAA has reported that that a subcommittee at the National Conference on Weights and Measures has decided to put on the agenda at the Conference’s annual meeting in July a vote on a proposed mandate for temperature compensation at retail motor fuel sites. PMAA opposes a temp comp mandate for motor fuel retailers.

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• SURVEY REGARDING NEON: NEFI gladly sends you this weekly publication (NEON). As we are always striving to better serve our members, we are seeking to produce a newsletter that is more tailored to your needs and the needs of the industry. To that end, we want to know what you think.

By clicking the link below and spending less than five minutes on this eight question survey, you can make a difference in the quality of NEON. We appreciate your time. If you have any comments, questions or concerns, please do not hesitate to contact NEFI at 617-924-1000 or email jimcollura@nefi.com. Please reply by January 30.

http://www.questionpro.com/akira/TakeSurvey?id=1133234

• NEFI EXPO AND BUSINESS CONFERENCE PLANNING UNDERWAY: The NEFI Expo Planning Committee, co-chaired by Don Craft, Gulf Oil LP, and Craig Snyder, Wesson Energy has begun work on the Business and Technical Programs to be held during the 33^rd North American Heating & Energy Expo. View a briefing of the Expo. Contact Tracy Goodwin, Expo Manager for more information at 617-923-5015 or tracy@nefi.com

• The 2009 North American Heating and Energy Expo is scheduled for June 9-10, 2009 at the Hynes Convention Center, Boston. Sixty-five percent of booth spaces are sold and the most prominent spaces are going fast. Associate members and past exhibitors have priority, so make sure to reserve your booth space now! For information and to reserve online go to www.nefiexpo.com.

See the Exhibitors for EXPO '09 Go Now

• NEFI SPRING TRIP TO BE ANNOUNCED SOON: NEFI’s spring trip destination and dates are being decided upon and we expect to have an announcement soon. Currently, we are looking at two possibilities based on the member survey results. The two highest vote-getters were the southern coast of Italy and Alaska/Canadian Rockies. NEFI is working with travel agents to put both programs together, and based on timing, availability and cost, will plan on one for this year, and the other for 2010. Departure date of either trip will most likely be June 11, 2009 or shortly thereafter, as it must follow the NEFI Expo which is scheduled for June 9 & 10. More to come!

• NEFI SEEKS PROFESSIONAL ENGINEER FOR SPCC PRESENTATION AT EXPO: The New England Fuel Institute is looking for a professional engineer to help present information on Spill Prevention, Control & Countermeasure at the NEFI’s trade show, the EXPO (June 9 & 10). Ideally, we would like an engineer who is well versed in SPCC, the latest amendments and has familiarity with certifying plans. This individual will speak alongside NEFI’s regulatory counsel, Mark S. Morgan, Esq. If you are interested, please contact Dave Rocco @ 617-923-5022 or dave@nefi.com.

• UPDATE FROM NEFI IN WASHINGTON, DC: NEFI Vice President for Government Affairs Jim Collura (jimcollura@nefi.com), newly located in the Washington, DC area met with PMAA staff at their offices in Northern Virginia on Thursday, January 15, 2009. Collura discussed new ways NEFI and PMAA could work together on industry goals and priorities in the new year. He also joined PMAA staff for a meeting with House Agriculture Committee staff on proposed legislation to deal with commodity market speculation (details on legislation to come).

• PMAA PAC SILENT AUCTION TO BE HELD AT EXPO
After a successful silent auction fundraiser at VISIONS 2008 that raised over $5,000 for the Petroleum Marketers Association of America's Small Business Political Action Committee (PAC) fund, NEFI will hold another silent auction fundraiser at next year's EXPO, to be held on June 9-10 at the Boston Hynes Convention Center. Proceeds will again benefit the PMAA Small Business PAC, which supports candidates for public office that share our industry's national goals. Past donations have included a variety of items ranging from sports memorabilia to power tools and much more! If you would like to contribute an item for the silent auction, contact Jim Collura at jimcollura@nefi.com or call (617) 923-5016. For more information on the EXPO and reserving a booth click here, or contact Tracy Goodwin at tracy@nefi.com or (617) 923-5015.