Reprinted
February 20, 2007
SENATE BILL No. 467
_____
DIGEST OF SB 467
(Updated February 19, 2007 4:41 pm - DI 52)
Citations Affected: IC 16-44.
Synopsis: Fuel standards. Allows the state department of health to
inspect samples of ethanol and prohibit the sale of ethanol that does not
meet standards prescribed by law. Establishes minimum specifications
for ethanol, gasoline, and kerosene. Provides that an instrument
evidencing the sale of nominally anhydrous ethyl alcohol must include
certain information. Establishes standards for determining when
ethanol is considered to be received in Indiana and for certain records
concerning ethanol.
Effective: July 1, 2007.
Weatherwax
January 16, 2007, read first time and referred to Committee on Energy and Environmental
Affairs.
February 13, 2007, reported favorably _ Do Pass.
February 19, 2007, read second time, amended, ordered engrossed.
Reprinted
February 20, 2007
First Regular Session 115th General Assembly (2007)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in
this style type, and deletions will appear in
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Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in
this style type. Also, the
word
NEW will appear in that style type in the introductory clause of each SECTION that adds
a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in
this style type or
this style type reconciles conflicts
between statutes enacted by the 2006 Regular Session of the General Assembly.
SENATE BILL No. 467
A BILL FOR AN ACT to amend the Indiana Code concerning
health.
Be it enacted by the General Assembly of the State of Indiana:
SOURCE: IC 16-44-2-0.1; (07)SB0467.2.1. -->
SECTION 1. IC 16-44-2-0.1 IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1, 2007]: Sec. 0.1. As used in this chapter, "ASTM" means the
American Society for Testing and Materials International.
SOURCE: IC 16-44-2-0.2; (07)SB0467.2.2. -->
SECTION 2. IC 16-44-2-0.2 IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1, 2007]: Sec. 0.2. As used in this chapter, "ethanol" means a fuel
that is:
(1) blended from gasoline and nominally anhydrous ethyl
alcohol; and
(2) suitable for use in a spark-ignition internal combustion
engine.
SOURCE: IC 16-44-2-2; (07)SB0467.2.3. -->
SECTION 3. IC 16-44-2-2 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 2. As used in this
chapter, "kerosene" means any
light fuel oil:
(1) with an A.P.I. gravity of at least thirty-nine (39) degrees
Fahrenheit as determined by the ASTM D-287-55 method; and
(2) having an end point of not greater than five hundred ninety
(590) degrees Fahrenheit as determined by the ASTM D-86-56
distillation method.
refined middle petroleum distillate suitable for use as a fuel for
heating or illumination.
SOURCE: IC 16-44-2-3; (07)SB0467.2.4. -->
SECTION 4. IC 16-44-2-3 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 3. (a) As used in this
chapter, "petroleum products" includes the following:
(1) Gasoline.
(2) Naphtha.
(3) Kerosene.
(4) Distillate.
(5) Fuel oil.
(6) Ethanol.
(6) (7) Similar petroleum products, regardless of name, including
benzol and other similar products that are or may be used in the
blending of motor fuel.
(b) The term does not include the following:
(1) Lubricating oils.
(2) Any product having:
(A) a Saybolt universal viscosity at one hundred (100) degrees
Fahrenheit of at least seventy (70) seconds; and
(B) a flash point of at least one hundred fifty (150) degrees
Fahrenheit by the ASTM method.
SOURCE: IC 16-44-2-4; (07)SB0467.2.5. -->
SECTION 5. IC 16-44-2-4 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 4. (a) The state
department or any authorized agent of the state department may inspect
samples of gasoline, ethanol, or kerosene stored in any tank:
(1) that is adjacent to a refinery or marine or pipeline terminal in
Indiana; and
(2) from which withdrawals are made for sale or use in Indiana or
for transportation to destinations in Indiana other than
transportation to other refineries or terminals in Indiana.
(b) Gasoline or kerosene inspected under subsection (a) is subject
to the inspection fee specified in section 18 of this chapter whenever
the stock in the tank is replenished.
SOURCE: IC 16-44-2-5; (07)SB0467.2.6. -->
SECTION 6. IC 16-44-2-5 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 5. (a) The state
department or any authorized agent of the state department may inspect
samples of gasoline, ethanol, or kerosene imported into Indiana other
than that placed in storage at refineries or marine or pipeline terminals
in Indiana.
(b) Gasoline or kerosene inspected under subsection (a) is subject
to the inspection fee specified in section 18 of this chapter.
(c) A person who receives gasoline or kerosene:
(1) that is imported into Indiana (other than that placed in storage
at refineries or marine or pipeline terminals in Indiana); and
(2) on which the inspection fee has not been paid;
shall notify the state department of the receipt of the gasoline or
kerosene.
SOURCE: IC 16-44-2-6; (07)SB0467.2.7. -->
SECTION 7. IC 16-44-2-6 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 6. The state department
may conduct inspections and tests on gasoline, ethanol, or kerosene at
any place the gasoline, ethanol, or kerosene is offered for sale in
Indiana.
SOURCE: IC 16-44-2-7; (07)SB0467.2.8. -->
SECTION 8. IC 16-44-2-7 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 7. (a) If the state
department's inspection of gasoline, ethanol, or kerosene under this
chapter reveals that the gasoline, ethanol, or kerosene fails to meet the
specifications prescribed by law for those products, the state
department may prohibit the sale of those products.
(b) A person may not offer for sale any gasoline, ethanol, or
kerosene that the state department has prohibited from sale.
SOURCE: IC 16-44-2-8; (07)SB0467.2.9. -->
SECTION 9. IC 16-44-2-8 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 8. (a) The inspections
and tests made by the state department under this chapter shall be
conducted in accordance with the
methods
specifications
outlined by
the American Society for Testing and Materials.
(b) The inspections and tests as to gasoline,
gasohol, ethanol, and
kerosene must reflect the following minimum specifications necessary
for the approval of the product:
(1) Gasoline:
or gasohol:
(A)
Corrosion Test .
Method Specification ASTM
D-130. A
clean copper strip may not show more than extremely slight
discoloration when submerged in the gasoline for three (3)
hours at one hundred twenty-two (122) degrees Fahrenheit.
(B) Distillation Range . Method ASTM D-86. When the
thermometer reads one hundred sixty-seven (167) degrees
Fahrenheit, not less than ten percent (10%) may be evaporated.
When the thermometer reads two hundred eighty-four (284)
degrees Fahrenheit, not less than fifty percent (50%) may be
evaporated. When the thermometer reads three hundred
ninety-two (392) degrees Fahrenheit, not less than ninety
percent (90%) may be evaporated. The residue may not exceed
two percent (2%). Percent evaporated is found by adding the
distillation loss to the amount collected in the receiver at each
specification temperature.
(C) Sulphur . Method ASTM D-1266 or D-2622. Sulphur may
not exceed twenty-five hundredths of one percent (0.25%).
D-4814.
(D) Vapor Pressure . Method (B) Specification ASTM
D-4953, Specification ASTM D-5191, or any other ASTM
method specification to determine vapor pressure approved by
the United States Environmental Protection Agency. For
gasoline, the Reid vapor pressure at one hundred (100) degrees
Fahrenheit may not exceed the following:
(i) Fifteen (15) pounds per square inch at the normal
barometric pressure at the point of delivery during
November, December, January, February, and March.
(ii) Fourteen (14) pounds per square inch during April and
October.
(iii) Twelve (12) pounds per square inch during May, June,
July, August, and September.
(C) Gasoline may not contain more than one-half percent
(0.5%) of MTBE by volume.
(E) For gasohol (a blend of gasoline and alcohol permitted
under federal tax requirements), the vapor pressure may not
exceed the following:
(i) Sixteen (16) pounds per square inch during November,
December, January, February, and March.
(ii) Fifteen (15) pounds per square inch during April and
October.
(iii) Thirteen (13) pounds per square inch during May, June,
July, August, and September.
(F) After July 23, 2004, gasoline may not contain more than
one-half percent (0.5%) of MTBE by volume.
(2) Kerosene:
(A) Flash Test . Method ASTM D-56. Flash point may not be
lower than one hundred (100) degrees Fahrenheit.
(B) For the purpose of this chapter, any petroleum product
designated by name or reference as "kerosene" must meet the
federal specifications for kerosene VV-K-211d in effect on
March 1, 1977.
(2) Ethanol:
(A) All of the following conditions must be met:
(i) The gasoline that will be blended with nominally
anhydrous ethyl alcohol to formulate ethanol must meet
Specification ASTM D-4814.
(ii) The ethanol must meet Specification ASTM D-4814.
(iii) The gasoline that will be blended with nominally
anhydrous ethyl alcohol to formulate ethanol must meet
Specification ASTM D-4814, except for its distillation
requirements.
(iv) The ethanol must meet the distillation requirements
of Specification ASTM D-4814.
(B) Gasoline that will be blended with nominally
anhydrous ethyl alcohol to formulate ethanol may not
contain more than one-half percent (0.5%) of MTBE by
volume.
(C) Nominally anhydrous ethyl alcohol that will be blended
with gasoline to formulate ethanol must meet Specification
ASTM D-4806.
(D) Ethanol that is seventy-five percent (75%) or more
nominally anhydrous ethyl alcohol by volume, commonly
known as "E85", must meet Specification ASTM D-5798.
(E) Ethanol must meet Specification ASTM D-4953,
Specification ASTM D-5191, or any other ASTM
specification to determine vapor pressure that is approved
by the United States Environmental Protection Agency.
For ethanol, the vapor pressure may not exceed the
following:
(i) Sixteen (16) pounds per square inch during
November, December, January, February, and March.
(ii) Fifteen (15) pounds per square inch during April and
October.
(iii) Thirteen (13) pounds per square inch during May,
June, July, August, and September.
(3) Kerosene must meet Specification ASTM D-3699.
(c) Gasoline, gasohol, ethanol, and kerosene products that do not
comply with the minimum specifications described in subsection (b)
may not be sold, offered for sale, or used in Indiana.
(d) Petroleum products other than gasoline, gasohol, ethanol, or
kerosene shall be inspected and tested by the methods as are necessary
to determine the contents and characteristics of the product.
SOURCE: IC 16-44-2-9; (07)SB0467.2.10. -->
SECTION 10. IC 16-44-2-9 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 9. (a) A person who
sells or delivers a petroleum product containing
ethanol (ethyl alcohol)
nominally anhydrous ethyl alcohol or methanol (methyl alcohol), or
both, to a person other than a retail consumer must place on the
instrument evidencing the sale or delivery of the petroleum product:
(1) the name of each alcohol; and
(2) the percentage (to the nearest whole percent), by volume, of
each alcohol;
that is contained in the petroleum product sold or delivered by the
person.
(b) A person who fails to comply with this section commits a Class
A infraction.
SOURCE: IC 16-44-2-15; (07)SB0467.2.11. -->
SECTION 11. IC 16-44-2-15 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 15. For the purposes of
this chapter, gasoline, ethanol, or kerosene is considered to be received
in Indiana as follows:
(1) If stored in tanks adjacent to a refinery or a marine or pipeline
terminal in Indiana, the gasoline, ethanol, or kerosene is
considered to be received when withdrawn from storage for sale
or use in Indiana or for transportation to destinations in Indiana
other than for transfer to other refineries or marine or pipeline
terminals in Indiana and not before. When so withdrawn, the
gasoline, ethanol, or kerosene is withdrawn, it is considered to
be received by the person who is the owner of the gasoline,
ethanol, or kerosene at the time of withdrawal unless the
gasoline, ethanol, or kerosene is withdrawn for transportation or
delivery to or for the account of a person who is bonded under the
gasoline tax law (IC 6-6-1.1), in which case the gasoline, ethanol,
or kerosene is considered to be received by the person to or for
whose account the gasoline, ethanol, or kerosene is transported
or delivered.
(2) If imported into Indiana (other than to a refinery or marine or
pipeline terminal in Indiana), the gasoline, ethanol, or kerosene
is considered to be received at the time and by the person who is
the owner of the gasoline, ethanol, or kerosene when the gasoline,
ethanol, or kerosene is spotted or placed for unloading in Indiana.
(3) If produced, blended, or compounded in Indiana other than at
a refinery or a marine or pipeline terminal, the gasoline, ethanol,
or kerosene is considered to be received when produced, blended,
or compounded.
SOURCE: IC 16-44-2-17; (07)SB0467.2.12. -->
SECTION 12. IC 16-44-2-17 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 17. (a) The state
department shall furnish to the person for whom inspections are made
under this chapter a certificate of inspection covering each receipt by
that person of gasoline,
ethanol, or kerosene with respect to which an
inspection is made. The certificate must indicate the following:
(1) The date of the inspection.
(2) The identity of the container from which the sample was
taken.
(3) The kind and quantity of the product received.
(4) The identity of the conveyance by which the product was
received.
(5) The result of the test and inspection.
(b) To enable the state department to make certificates covering
withdrawals from storage at a refinery or marine or pipeline terminal
and the receipt of gasoline, ethanol, or kerosene at other points in
Indiana, the records of withdrawals and receipts shall be available to
the state department during all reasonable business hours.