HOUSE BILL No. 6453

 

September 12, 2006, Introduced by Rep. Emmons and referred to the Committee on Agriculture.

 

     A bill to amend 1984 PA 44, entitled

 

"Motor fuels quality act,"

 

by amending section 6 (MCL 290.646), as amended by 2004 PA 278, and

 

by adding section 6a.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 6. (1) Before a common carrier, distributor, or retail

 

dealer engages in transferring, selling, dispensing, or offering

 

for sale gasoline in this state, the common carrier, distributor,

 

or retail dealer shall obtain a license from the department for

 

each retail outlet operated by that person. In administering the

 

licensing under this section, the department may attempt to

 

coordinate the licensing with the licensing applicable to gasoline

 

administered by the department of treasury pursuant to the motor

 

fuel tax act, 2000 PA 403, MCL 207.1001 to 207.1170, and the


 

general sales tax act, 1933 PA 167, MCL 205.51 to 205.78.

 

     (2) A license expires annually on November 30 unless renewed

 

before December 1 of each year or unless suspended, denied, or

 

revoked by the department.

 

     (3) The fee for a license is $15.00 for each year or portion

 

of a year through July 31, 2002, $50.00 for each year or portion of

 

a year through July 31, 2003, $75.00 for each year or portion of a

 

year through July 31, 2004, and $100.00 beginning August 1, 2004

 

and each year or portion of a year thereafter. A license shall not

 

be issued or renewed until the fee and any administrative fines

 

issued under section 10a have been paid. A hearing is not required

 

before the refusal to issue or renew a license under this

 

subsection. Fees collected shall be deposited in the gasoline

 

inspection and testing fund.

 

     (4) An application for a license shall be made to the

 

department upon a form furnished by the department. The completed

 

form shall contain the information requested by the department and

 

shall be accompanied by the fee specified in subsection (3).

 

     (5) The director may suspend, deny, or revoke a license issued

 

pursuant to this act for failure to comply with the requirements

 

provided for in section 3, for failure to provide notice as

 

provided in section 4, for violating section 31 of the weights and

 

measures act of 1964, 1964 PA 283, MCL 290.631, if that violation

 

occurs at any of the licensee's retail outlets and involves the

 

transferring, selling, dispensing, or the offering for sale of

 

gasoline in this state, or for otherwise failing to comply with

 

this act or a rule promulgated under this act or an order issued


 

under this act.

 

     (6) This section does not apply until June 29, 1985.

 

     (7) If a person licensed under this act is convicted of a

 

willful violation under section 31 of the weights and measures act

 

of 1964, 1964 PA 283, MCL 290.631, any license issued pursuant to

 

this act shall be revoked for 2 years.

 

     (8) A suspension, revocation, or denial of a license of a

 

person who is an individual shall result in the suspension,

 

revocation, or denial of any other license held or applied for by

 

that individual under this act. The license of a corporation,

 

partnership, or other association shall be suspended when a license

 

or license application of a partner, trustee, director, or officer,

 

member, or a person exercising control of the corporation,

 

partnership, or other association is suspended, revoked, or denied.

 

The suspension shall remain in force until the director determines

 

that the disability created by the suspension, revocation, or

 

denial has been removed.

 

     (9) Except as otherwise provided in subsection (3), beginning

 

on the effective date of the amendatory act that added this

 

subsection  July 23, 2004, the department shall issue an initial or

 

renewal license not later than 120 days after the applicant files a

 

completed application. If the application is considered incomplete

 

by the department, the department shall notify the applicant in

 

writing or make notification electronically available within 40

 

days after receipt of the incomplete application, describing the

 

deficiency and requesting the additional information. The 120-day

 

period is tolled upon notification by the department of a


 

deficiency until the date all of the information requested during

 

the 40-day period is received by the department. Requests for new

 

or additional information by the department that fall outside the

 

40-day period do not toll the 120-day period. The determination of

 

the completeness of an application does not operate as an approval

 

of the application for the license and does not confer eligibility

 

of an applicant determined otherwise ineligible for issuance of a

 

license.

 

     (10) If the department does not issue or deny a license within

 

120 days after the receipt of a completed application, the

 

department shall return the license fee and shall reduce the

 

license fee for the applicant's next renewal application, if any,

 

by 15%. The failure to issue a license within the time required

 

under this subsection does not allow the department to otherwise

 

delay the processing of the application, and that application, upon

 

completion, shall be placed in sequence with other completed

 

applications received at that same time. The department shall not

 

discriminate against an applicant in the processing of an

 

application based on the fact that the application fee was refunded

 

or discounted under this subsection.

 

     (11) Beginning October 1, 2005, the director of the department

 

shall submit a report by December 1 of each year to the standing

 

committees and appropriations subcommittees of the senate and house

 

of representatives concerned with motor fuel quality issues. The

 

director shall include all of the following information in the

 

report concerning the preceding fiscal year:

 

     (a) The number of initial and renewal applications the


 

department received and completed within the 120-day time period

 

described in subsection (9).

 

     (b) The number of applications denied.

 

     (c) The number of applications not issued within the 120-day

 

period and the amount of money returned to licensees and

 

registrants under subsection (10).

 

     (12) Before a blender engages in the transferring, selling,

 

dispensing, or offering for sale blended gasoline in this state,

 

the blender shall register the finished product with the department

 

and provide to the department test results as the department

 

considers necessary. If the product does not comply with the

 

requirements of section 3, the blender shall provide the department

 

with a written list of the business names and addresses to whom the

 

blended product is sold.

 

     (13) A person who violates this section or rules promulgated

 

under this section is liable for a civil fine not to exceed

 

$10,000.00 for each day of the continuation of the violation. A

 

civil fine assessed under this section shall be paid to the state

 

treasurer for deposit in the gasoline inspection and testing fund

 

created by section 8.

 

     (14)  (13)  As used in this section, "completed application"

 

means an application complete on its face and submitted with any

 

applicable licensing fees as well as any other information,

 

records, approval, security, or similar item required by law or

 

rule from a local unit of government, a federal agency, or a

 

private entity but not from another department or agency of the

 

state of Michigan.


 

     Sec. 6a. Beginning no later than 60 days after the effective

 

date of the amendatory act that added this section, the department

 

shall post a list on its website of all distributors and retail

 

dealers licensed under section 6. The department shall update the

 

list on a bimonthly basis and shall post the date of the last

 

update on its website.

 

     Enacting section 1. This amendatory act does not take effect

 

unless Senate Bill No.____ or House Bill No. 6454(request no.

 

06619'06) of the 93rd Legislature is enacted into law.