Dear PEI Member:
The 2014 PEI
Convention was one of the best the association has sponsored in years, with
total registration exceeding our last convention in Las Vegas by nearly
three percent. Here are the highlights.
Distributor members are feeling positive about
business. According to a recent survey of U.S. distributors, PEI members are
experiencing a very good year, ranking 2014 a “6.8” with “5” being average
and “10” being their best year ever. They expect 2015 to be even a shade
better, giving next year a “7.0” on the same scale. As evidence of their
upbeat attitude, members cited construction, commercial sales and
installation, equipment/facility upgrades, service and equipment and related
services for compressed natural gas as high points.
Manufacturers responding to the same survey ranked 2014
a “6.6,” down from “7.4” in 2013. Manufacturer members expect 2015 to mirror
2014. Twenty-five percent of manufacturers responding to the survey cited
new products and/or technological advances as the primary reason they are
satisfied with business conditions today and optimistic about 2015. Fifteen
percent of the survey’s respondents mentioned new facilities under
construction as the primary reason business is good.
Kevin McKinney, president of McKinney Petroleum
Equipment, Mobile, Alabama, was elected to serve as the 65th
president of PEI. On January 1, McKinney will succeed Phil Farrell,
president of Double Check Company, headquartered in Kansas City, Missouri,
in PEI’s top position. McKinney is currently serving as PEI vice president.
Steve Trabilsy, president of Accurate Tank
Technologies, Aurora, Illinois, was elected vice president for 2015.
Trabilsy has just completed his term as treasurer of the association, and
has previously served on the PEI Board of Directors representing District
2014 PEI Convention
UST Rule at OMB
Briefs: CA, MO, PA
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Seven people were installed as new PEI directors during
the annual meeting in Las Vegas. They are J. Benjamin Hieber, PWI,
Incorporated, New Oxford, Pennsylvania (District 2); Andy Mercer, R.
W. Mercer Company, Jackson, Michigan (District 4); Tad Cooper,
Acterra Group, Inc., Marion, Iowa (District 6); Stephen E. Dixon, P.
B. Hoidale Company, Inc., Wichita, Kansas (District 8); Lucy Sackett,
Gilbarco Veeder Root, Greensboro, North Carolina (District 10); Brad F.
Baker, Husky Corporation, Pacific, Missouri (District 12); and Cassie
Stewart Mullen, Linq3, New York, New York (Affiliate Division).
The PEI board met twice during the convention. The
Appointed Craig Hoyer of Kubat
Equipment & Service Co., Denver, Colorado, as treasurer of the
Voted to establish an ad hoc
committee to develop a plan by which PEI would design, develop and publish
two self-directed training manuals and accompanying tests for potential
hires and entry-level service technicians, respectively. The committee
will present the plan to the PEI Board of Directors for review at its
April 2015 meeting.
Appointed Phil Farrell to a
three-year term on the PEI Foundation’s Board of Directors.
Heard a report from PEI staff on the
progress of rebuilding PEI’s headquarters office. The building will be
paid for in cash using the insurance proceeds and money from PEI’s reserve
fund. As of today, trenches have been cut and dug in the existing slab in
preparation for laying the utilities. The contractor plans to have the
building ready for occupancy by May 2015.
The educational sessions and entire convention program
planned by the 2014 PEI Education and Convention Committee were extremely
well attended and received high marks. Presentations by most of the
speakers, together with a final registration list and floor plan, and a
complete list of attendees (downloadable for PEI members only), are
the PEI convention page.
A sincere thanks to all of you who volunteered to help
us put on this convention. The 10-Group chairmen, Education and Convention
Committee members, Find Red volunteers, PEI Priority Club members and
session presenters all played a huge part in the overall success of our
convention in Las Vegas. We appreciate your help.
Mark your calendars for next year’s show October 11-14,
2015, in Las Vegas.
FINAL UST RULE UNDER REVIEW BY WHITE HOUSE OMB
The White House Office of Management and Budget (OMB) has begun (as of
September 25) reviewing a final Environmental Protection Agency (EPA) rule
that should expand monitoring and inspection requirements for certain
underground storage tanks (USTs). OMB has 90 days in which to review the
rule, first proposed in 2011. According to the agency’s regulatory
dashboard, the final rule is scheduled to be published in the Federal
Register in October. Our best guess is that it will appear in the
Federal Register either in December 2014 or January 2015.
PETROLEUM MARKETING NEWS
Susser Petroleum Partners has signed an agreement to acquire Aloha
Petroleum for approximately $240 million. Aloha Petroleum currently
markets through about 100 Shell, Aloha and Mahalo branded stations in
Hawaii, about half of which are company operated. Aloha also has an
extensive wholesale fuel distribution network and six terminals on the
islands. Susser Petroleum Partners also announced that it plans to change
its name to Sunoco LP later this year.
Marathon Petroleum Corp.’s Speedway LLC subsidiary closed its
acquisition of Hess’ retail operations and related assets. Marathon will
acquire 1,256 company-operated Hess sites, as well as another 86
Hess-branded sites. Marathon plans to convert Hess’ retail branded stations
to Speedway over a three-year period.
Chevron Corp. will pay $1.6 million to settle allegations that the
company inaccurately reported sources of other payments for cleaning up
leaking UST sites when seeking reimbursements from the state’s cleanup fund,
the California Water Resources Control Board (SWRCB) announced September 25.
The complaint accused Chevron of seeking reimbursements for remediation
costs from the state’s Underground Storage Tank Cleanup Fund after already
recovering cleanup costs for the same sites through insurance claims,
litigation and/or settlements, the SWRCB said in a written statement.
California. SB445 was signed into law September 25. The new law, which
takes effect immediately, makes significant changes to the state’s UST
Cleanup Fund program. Among other things, the program requires all
single-walled USTs to be permanently closed by December 31, 2025; extends
the program’s sunset date by 10 years to January 1, 2026; and provides grant
and loan money through the Replacing, Removing, or Upgrading Underground
Storage Tank (RUST) program to assist small businesses to permanently close
single-walled USTs. The complete text of SB445 can be found
Missouri. The state’s UST operator training rule is open for comment
until October 17, 2014. The proposed rule would require owners/operators of
all regulated underground storage tanks to designate a Class A/B operator
and at least one Class C operator for each UST in use by July 1, 2016. Such
personnel would have to be trained in a manner set forth in the rule. For
more information, visit the
Missouri Petroleum Storage Tank Insurance Fund for the proposed rules.
Pennsylvania. Proposed House Bill 2276 would create a road tax for
vehicles that run on all types of motor fuels. The bill uncouples electric
from the other alternate fuels “because currently it is very cumbersome to
have electric vehicle owners report and remit the tax.”
Fuel Marketer News has named Keith Reid as editorial director and
business partner. He was formerly editor-in-chief of National Petroleum
Patriot Capital Corporation has named Richard Browne vice-president,
marketing. Browne was most recently CMO with Chief Outsiders, a national
interim marketing organization. Prior to that, he held senior level sales
and marketing positions with Gilbarco Veeder Root, Stanley Works and Black &
Art Kirk, vice president at National Energy Equipment, has retired after
42 years in the industry. Art began his career as a shipper/receiver with
McIntosh Supply in Vancouver, British Columbia, in 1972. He worked his way
through inside sales, purchasing, outside sales, management and partner to
eventually lead all operations, sales and service for National Energy
Equipment’s branch network of 200 people in Western Canada.
Glenn W. Passavant retired from the U.S. Environmental Protection
Agency September 30. Glenn worked for EPA’s Assessment and Standards
Division in the Office of Transportation and Air Quality. He was PEI’s vapor
recovery contact for decades and was known here for his accessibility and
candor. Answers about vapor recovery issues were only a phone call away when
Glenn was on the job, and that was greatly appreciated.
South Carolina distributor. Spartan Tank & Trailer, LLC, 4511 South Pine
Street, Spartanburg, South Carolina 29302, has applied for distributor
division membership. Thomas E. Webber is owner of the firm, which was
established in 2010. The company provides lubrication equipment, petroleum
pumps and DEF pumping systems and represents Cardlock, Catlow, FairfldInd,
GPI, IRPCOinc, Natl-Spncr, Philly and TotlConSys. Sponsored for PEI
membership by Dan Murray, TotlConSys, Fort Wayne, IN.
Nova Scotia distributor. Petromax Ltd., 16A Fielding Avenue,
Dartmouth, Nova Scotia B3B 1L1, has applied for distributor division
membership. Henry Lopez is president of the firm, which was established in
1992. The company supplies and services petroleum equipment for service
stations, refineries and bulk plants. Petromax represents Computrol,
CntmtSoltn, Graco, Morrison, OPW and Universal.
Sponsored for PEI membership by Chris Vassos, WalecoInc, Mississauga,
Texas distributor. DDC Fuel Services, LLC, 5033 N. FM 157, Venus,
Texas 76084, has applied for distributor division membership. Deborah Denman
is president of the firm, which was established in 2013. The company
represents ClayBailey, CntmtSoltn, EmcoWheatn, FuelTech WA, ModernWeld,
Omntec, Pneumrcatr, RCITech, Simplex, Smithpipe and Xerxes. DDC Fuel
Services is also a fuel system contractor specializing in tank installation
and removal. Sponsored for PEI membership by Jonathan Levy, Pneumrcatr,
Industry publication. Fuel Marketer News, 123020 Barker Cypress,
Suite 600-203, Cypress, Texas 77429, has applied for affiliate division
membership. Gary Bevers is CEO and group publisher for the magazine, which
was established in 2013. Fuel Marketer News is a weekly e-newsletter for the
downstream petroleum industry. Sponsored for PEI membership by Gary Bevers,
Gevo, Englewood, CO.
Project management firm. SOS-Retail Services, 19901 Central Drive,
Suite 606, Bedford, Texas 76021, has applied for affiliate division
membership. Brent Johnson is senior project manager for the firm, which was
established in 1985. SOS-Retail Services is a project management firm that
works closely with convenience stores. Sponsored for PEI membership by
Christopher M. Lawson, McConSer, Irving, TX.
Oregon petroleum installation contractor. M&M Services, LLC, P. O.
Box 1093, Medford, Oregon 97501, has applied for service and construction
division membership. Sara Marthoski is official representative for the
company, which was established in 2000. The firm installs and decommissions
equipment used at petroleum storage and dispensing facilities. Sponsored for
PEI membership by Gregg Miller, NWPump, Portland, OR.
ADMITTED TO PEI
- Equipos Industriales Del Noroeste,
S.A. de C.V., Los Mochis, Sinaloa, Mexico (dis)
- Swift Petrochemicals, Inc., Marina
Del Rey, CA (aff)
Microbial Insights, Inc., Knoxville,
Genesis Contracting, Inc., Toledo,
JTP Gas Station Service, Inc., North
Hollywood, CA (S&C)
Soylo Cooper, Cowboys Travel Center,
Dumas, TX (O&E)
Eric Dransfield, Coastline Partners
LLC, Riverside, CA (O&E)
Dwight Larsen, Costco Wholesale,
Issaquah, WA (O&E)
Mike Running, Cowboys Travel Center,
Dumas, TX (O&E)
J. Abner Hiraldo Santiago, Sol
Puerto Rico Limited, San Juan, PR (O&E)
Anthony Seals, Coastline Partners
LLC, Riverside, CA (O&E)
Mike Sharpe, Costco Wholesale,
Issaquah, WA (O&E)