Texas Food and Fuel Association Quarterly-April/May/June 2014 by Texas Food & Fuel Association

TEXAS FOOD & FUEL ASSOCIATION April May June 2014

EXPO COVERAGE | PG 14

E.K. BENNETT AWARD | PG 20

STAGE II VAPOR RECOVERY | PG 23

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Q U A R T E R L Y April May June 2014 Departments

Texas Food & Fuel Association Quarterly is published for: Texas Food & Fuel Association 401 West 15th Street, Suite 510 Austin, TX 78701 Phone: 512-476-9547 Fax: 512-477-4239 www.txfoodandfuel.org www.sw-expo.com

Texas Food & Fuel Association Board of Directors

Chairman’s Message By Eddie Bates

Calendar of Events

Association News

Jesus Azanza, Director of Communications & Marketing

Index of Advertisers

Rick Bolner, CPA, Vice President of Accounting

2014 Southwest Fuel & Convenience Expo

Doug DuBois, Jr., Director of Member Services & Governmental Affairs

Southwest Fuel & Convenience Expo Coverage

Scott B. Fisher, Vice President of Policy & Public Affairs

PAC Golf Tournament

TEXAS FOOD & FUEL ASSOCIATION STAFF Chris Newton, President

Dana Fuller, CEM, Expo Manager

Features

Annette Hicks, CMP, Director of Meetings & Expositions

Randy Parrott Recognized as E.K. Bennett Award Recipient By Scott B. Fisher

Beginning of the End: Stage II Vapor Recovery Update By Scott B. Fisher

Kris Wallace, Assistant Director of Accounting & Assistant Expo Manager Published by: Naylor, LLC 5950 NW 1st Place Gainesville, FL 32607 Phone: 800-369-6220 Fax: 352-331-3525 www.naylor.com Publisher: Drew Jasinski Editor: Shani Calvo Marketing: Kaydee Currie Project Manager: Heather McMillen Sales Director: Eric Singer Advertising Sales: Kathleen Carroll, Shaun Greyling, Bill Lovett, Leron Owens, Beth Palmer, Tobias Valdez, Paul Walley, Jamie Williams, Matthew Yates

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PUBLISHED JUNE 2014/TPM-Q0214/9935

April May June 2014

Texas Food & Fuel Association

2013-14 Board of Directors OFFICERS

DISTRICT DIRECTORS

Eddie Bates, Beaumont Chairman Gary Johnson, Odessa Vice Chairman Rick Golman, Dallas Secretary Madalyne Lange, Sherman Treasurer Jim Kolkhorst, Navasota Immediate Past Chairman Chris Newton, Austin President

Clay Wallace, Hereford District I Matthew Kendrick, Lubbock District II Steve Fryar, Brownwood District III Dean Howerton, Midland District IV Michael Burniston, Kerrville District V Aaron Nilsson, Daingerfield District VI Kyle Kirby, Ft. Worth District VII Mike Kittrell, Plano District VIII Justin Reeves, Longview District IX Matt Judson, Corsicana District X Don Broach, Bryan District XI Ed Morgan, Nacogdoches District XII Doug Staton, Austin District XIII

REGIONAL DIRECTORS Dan Baker, San Angelo Region A Lance Davis, Bonham Region B Cary Rabb, Round Rock Region C Brian Williams, San Antonio Region D

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DIRECTORS AT LARGE — SUPPLIERS

Imad Sarkis, Beaumont District XIV To Be Announced District XV Sean Nooner, Hondo District XVI Carlton LaBeff, Victoria District XVII Jake Marsico, Dickinson District XVIII

Therese Baer, Austin Buster Cage, Whitney Beau Harris, Arlington Russ Hamilton, Boyd Michael Lawshe, Fort Worth Bryan Noonen, San Antonio

DIRECTORS AT LARGE — MARKETERS Sultan Poonawala, Dallas John Prickette, Sulphur Springs Michael Reynolds, Mt. Pleasant Jeff Scarbrough, Clovis, NM Wes Scott, Houston Steve Boyd, Houston

PAST CHAIRMEN SERVING ON THE BOARD Rodney Fischer** Gary Garrison** Andy Olmstead ** Tom Masters** Terry Maxey** Randy Parrott* Carl Ray Polk, Jr.* Allen Smith** Brooks Smith** John Weitzel ** *serves on Executive Committee **serves on Board Board Term: July 1, 2013-June 30, 2014

See the digital version at www.naylornetwork.com/TFFA 25/03/14 3:11 PM

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Chairman’s

Message By Eddie Bates

Strong Leadership Ensures Continued Success

he words “thank you” do not do justice to the gratitude and appreciation I feel for all of you who have made the past 12 months such a great ride. Words fail me when I try and come up with a way to describe all of the positive things I can reflect on over my year as Chairman. The members of the Board of Directors continue to set a high standard for their leadership of the Texas Food & Fuel Association. I have learned a lot from being a member of the Board of Directors. These members’ professionalism as well as their commitment to our industry and association are to be commended. Their leadership ensures this organization’s continued success. I would also like to take this opportunity to recognize the Past Chairmen who serve on the Board of Directors. These individuals’ willingness to continue to participate and help lead the Texas Food & Fuel Association is inspiring. I am grateful for their wisdom and counsel.

Thanks to the hard work of the Board of Directors, Committee Members and staff, the Texas Food & Fuel Association accomplished many things over the last 12 months including: • Successfully implemented electronic, paperless meeting materials and association records for all Board of Director meetings. • Held 7 district meetings of the association. • Increased Southwest Fuel & Convenience Expo attendance by 20%, exhibit booth sales by 10%, and sponsorships by 10%. • Increased Texas Food & Fuel Association Political Action Committee fundraising by 67% compared to FY13. • Added new members to both the Marketer and Supplier categories of membership. None of these things could have been accomplished without the participation and hard work of many talented people. It’s not enough, but THANK YOU!! ■

“Thanks to the hard work of the Board of Directors, Committee Members and staff, the Texas Food & Fuel Association accomplished many things over the last 12 months.”

Members Working with Members Thank you for supporting the advertisers and members who make this publication possible. Their involvement with the association allows us to have a strong front on legislative issues that affect all involved in the industry and related fields. Their support of this magazine allows Texas Food & Fuel Association to continue to inform its members about updates in the industry and how Texas Food & Fuel Association is directly involved in making a difference. Texas Food & Fuel Association encourages all of its members to consider working with companies who actively support the industry through their involvement with the association.

April May June 2014

W e l c o m e New Members MARKETER – PETROLEUM DISTRIBUTORS

SUPPLIER MEMBERS

Cactus Fuel LLC Midland, TX 432-741-1514 Shamar Freeman sfreeman@cactusind.com US Global Fuels, LTD (Reinstated) Stafford TX 281-565-1111 Rasheed Dhuka rasheed@usglobalfuels.com

INDEPENDENT OPERATORS ADA Group Inc. dba – 7/11 #39444 Garland, TX 972-365-8224 Dickson Alao dicksonaloa@gmail.com Franklin Supermarket Franklin, TX 979-828-4143 Rex Vickers fsm@aol.com Hill Country Grocery Store Lakehills, TX 830-751-3700 Deborah Breen hcgrocery@gmail.com KMF Enterprises, Inc. dba Sweetwater Chevron Sweetwater, TX 325-236-6177 Hossein Kashani akashani84@gmail.com Prasek’s Hillje Smokehouse El Campo, TX 979-543-8312 Duane Korenek duane@praseks.com www.praseks.com

GROCERY/C-STORE RETAILERS Snappy’s Markets of Texas Corp. Columbus, TX 979-732-2665 Norma Draper norma@snappystexas.com

Advanced Technology Video Coppell, TX 972-459-8600 William Campos williamc@atvideo.com www.atvideo.com A market leader in the CCTV security segment with a complete line of products that set industry standards for dependability and support. Anchor Packaging, Inc. St. Louis, MO 314-822-7800 Robin Crossland robin.crossland@ anchorpac.com www.anchorpackaging.com Microwaveable and Recyclable “grab & go” polypropylene and PET food packaging. Industry leading anti-fog technology delivers package clarity in hot and cold applications. Armor Safe Technologies The Colony, TX 972-624-5734 Michael Robinson mrobinson@armorsafe.com www.armorsafe.com Armor Safe Technologies specializes in the development, deployment and servicing of the industry’s most innovative cashmanagement systems. Our safes validate, count and secure cash in cassettes ready for delivery to your bank, establishing an effective closed-loop solution for many of your toughest challenges: loss prevention, employee accountability and financial transparency. Ben Spurgin Insurance Agency Dallas, TX 214-871-3322 Bob Spurgin bspurgin@spurgin.com www.spurgin.com A locally owned business with integrity and capability. Knowledgeable personnel with sincere interest in your needs. Reputable insurance companies whose products are fairly priced & the ability for you to select from multiple insurance sources at one time.

Calendar

BlueStar North America, Inc. Pensacola, FL 850-266-7160 Karen Toth ktoth@bluestarna.com ktoth@bluestarna.com BlueStar NA offers LED lighting and signage technology that reduces energy use, maintenance, and replacement costs. Specializing in customized lighting solutions. Coleman Hanna Carwash Systems LLC Houston, TX 713-683-9878 Ted Winchester twinchester @colemanhanna.com www.colemanhanna.com The Hanna brand started in 1965 and specializes in conveyor carwash systems. We also manufacture water reclaim and spot free rinse systems, a complete line of vacuum and vending products and most other products found in today’s carwashes. Dippin’ Dots, LLC Paducah, KY 270-443-8994 Jeff Fortson jeffor@dippindots.com www.dippindots.com Dippin’ Dots is a unique ice cream that is made with cryogenic freezing technology. Dr. Pepper Snapple Group Overland Park, KS 913-469-0102 Randy Downing randall.downing@dpsg.com www.drpeppersnapplegroup.com With a brand heritage spanning more than 200 years, Dr. Pepper Snapple Group’s portfolio includes more than 50 brands and hundreds of flavors of carbonated soft drinks, juices, teas, mixers, waters and other beverages.

Eonsmoke Electronic Cigarettes Clifton, NJ 800-616-3711 Michael Tolmach info@eonsmoke.com www.eonsmoke.com Eonsmoke manufactures, markets, and distributes electronic cigarettes, vaporizers, e-liquids, and accessories. Fun Factory Mesa, AZ 602-499-8959 Jonathan Brown jon@funfactory.com Tech/Cell Phone Accessories, Novelty Candy, Seasonal. Harbor Industries Grand Haven, MI 616-842-5330 Ron Kuperus ron_kuperus@harborind.com www.tobaccofixtures.com Harbor Industries has been designing and manufacturing tobacco displays and fixtures for over 30 years. Our fixtures are already in over 150,000 U.S. retail outlets. We offer solutions for all of your category needs including cigarettes, smokeless, cigars, and e-cigarettes. Icon Containment Solutions, LLC N Salt Lake, UT 801-683-8482 Jason Mitchell jason@icontainment.com www.icontainment.com Provides the petroleum industry the most cost effective, simple to install, highest quality top to bottom water intrusion solutions for underground containment sumps possible. iThinkVapor.com Rockwall, TX 800-850-5284 Mark Burack mark@ithinkautos.com www.ithinkautos.com We specialize in everything vapor. From the finest eLiquid to the highest quality Vapor eCigarettes and everything in between.

Loomis Houston, TX 832-205-9012 Allison Carroll allison.carroll@us.loomis.com www.loomis.com Leading the industry with the solution, the smart safe is designed to validate cash and transmit the end of day deposit directly into the customer’s bank account. Loomis has other lines of business that cover regular Armored Transport, ATM and Cash Management Services for financial institutions. Mid America Restaurant Specialties, Inc. dba – MARSI Systems (Reinstated) Schertz, TX 210-657-9505 John Durham john.durham@marsi.com www.marsi.com Reseller of Restaurant Equipment, Supplies, Menu Systems, Cooper’s Chicken program. Petroleum Parts Fort Wayne, IN 260-749-9200 Terry VanGilder tvg@petroleumpartsinc.com www.petroleumpartsinc.com Provider of remanufactured petroleum dispensers. electronic and hydraulic parts, branding decals and overlays, replacement sheet metal and trim for all brands and models of dispensers and pumps. Rebuilder of dispenser boards, printers and meters. Source North America Corp. (Reinstated) Addison, TX 847-364-1744 Mark Hodges mhodges@sourcena.com www.sourcena.com Source is a nationwide full line petroleum equipment distributor offering immediate stock and shipment. We provide logistics for all projects from multiple site construction to spare parts.

of Events

2014

jan

feb

Indicates an association event

mar apr

may

Texas Food & Fuel Association Summer Conference

jun

jul

aug sept

oct

nov

dec

16-20

June 16-20, 2014 Bodega Bay Lodge & Spa – Bodega Bay, CA

Fall Conference & PAC Golf Outing

23-24

September 23-24, 2014 Hyatt Regency Hill Country Resort & Spa – San Antonio, TX

2015 2015 Winter Conference & Legislative Day February 17-18, 2015 AT&T Executive Education and Conference Center – Austin, TX

2015 Southwest Fuel & Convenience Expo May 6-8, 2015 Omni Fort Worth Hotel & Convention Center – Fort Worth, TX

17-18 6-8

See the digital version at www.naylornetwork.com/TFFA

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ASSOCIATION

NEWS

Visits Yield Engaging Conversations with Elected Officials Rubber meets road as the Texas Food & Fuel Association reignites district meetings after a 3 month hiatus. By Jesus Azanza, Director of Communications & Marketing, Texas Food & Fuel Association

embers of the Texas Food & Fuel Association gathered in west Texas, April 2-3, for a unique opportunity to engage with their peers, discuss issues affecting today’s petroleum, convenience, and grocery industries, and receive an update on the state of the Association. The first of two stops was a luncheon at Zentner’s Daughter Steak House in historic San Angelo. While sharing a mountain of crispy fried onion rings with his constituents, Representative Drew Darby (R-San Angelo) took time out of his busy schedule to discuss local and statewide issues impacting his district. Representative Darby enlightened the group with his view on how the state of Texas should spend the projected $2 billion dollar surplus in 2015 and 2016. Following the luncheon, Association staff along with Chairman of the Board Eddie Bates visited Regal Oil, Inc., where longtime supporters and members John Phillips and Dan Baker made time to connect with staff.

April May June 2014

“This is what our District Meetings are all about, reaching out to members across the State and getting to know their business so that we can better address their issues in Austin,” said Eddie Bates. The next day staff embarked on a short and windy trip to Midland, where members met at Abuelo’s Restaurant to engage in an informal discussion with Sen. Kel Seliger (R-Amarillo). Transportation, water, the new faces of major statewide offices, margins tax, sales tax, property taxes, are among a few of the items discussed with Sen. Seliger. Eddie Bates; Chris Newton, President of the Texas Food & Fuel Association; Doug DuBois, Jr., Director of Member Services & Governmental Affairs; and Scott B. Fisher, Vice President of Policy & Public Affairs, all provided a short update on the state of the Association, the progress to the rule expansion by EPA on USTs, summer conference in Bodega Bay, CA, and the 2014 Southwest Fuel & Convenience Expo. ■

District Meetings held by the Texas Food & Fuel Association are free for members and offer exclusive one-on-one access to elected officials who influence policy and help shape the petroleum, convenience, and grocery industries in Texas. All members are encouraged to take advantage of this benefit of membership by participating in your local District Meetings. Interested in seeing us in your neighborhood? For meeting and logistics details, contact Doug DuBois Jr. at dedubois@txfoodandfuel.org or by phone at 512.617.4305.

This yearâ&#x20AC;&#x2122;s Southwest Fuel & Convenience Expo saw a 28% increase in attendance, provided 7 unique networking opportunities, ushered in a new era of FUN with the Food â&#x20AC;&#x2DC;N Fuel Bonanza, welcomed 64 new exhibitors, generated over $15,000 dollars in silent auction revenue, awarded 5 scholarships to high school seniors, and recognized an industry leader with the E.K. Bennett Award.

See the digital version at www.naylornetwork.com/TFFA

Silent Auction Exotic getaways, a vintage pedal airplane, fine jewelry, sporting event tickets, and hunting gear all contributed to a successful silent auction raising more than $15,000 in revenue for the Texas Food & Fuel Association Political Action Committee. SILENT AUCTION CONTRIBUTORS: EMPIRE PETROLEUM 181 CLUB FRED GARRISON OIL COMPANY ACTION FUELS, INC. GOODIN FUELS, INC. ADVANCE PETROLEUM DISTRIBUTING KOLKHORST PETROLEUM COMPANY CO., INC. MASTERS OIL COMPANY/MOGAS C&I OIL COMPANY MCCRAW OIL COMPANY COMMONWEALTH ALTADIS, INC. CORNER CAPITAL ADVISORS MIDTEX OIL

REEVES OIL COMPANY TEXAS FLEET FUELS AND ALLIED SALES W.O.I. PETROLEUM, INC. WAG-A-BAG

WRANGLERS CASINO PARTY

Thank You, WRANGLERS Contributors! BAER ENGINEERINGN & ENVIRONMENTAL CONSULTING BLUE BELL CREAMERIES BOB DENDY OF PETRO ENERGY, INC. CHC MANUFACTURERS REPS. DOUG ADAMS & ASSOCIATES & XERXES CORPORATION EMCO WHEATON RETAIL CORP. FEDERAL PROCESS CORPORATION

April May June 2014

GROCERY SUPPLY COMPANY HASKEL THOMPSON & ASSOCIATES IRPCO & BOB DENDY, PETRO ENERGY, INC. JIMCO SALES & MANUFACTURING MELANIE NELSON OF TAIT ENVIRONMENTAL NOV FIBER GLASS SYSTEMS POWER INTEGRITY CORP.

ROYAL CUP COFFEE RYKO SOLUTIONS/CLEAN FILL SERIES S. BRAVO SYSTEMS TOM & PENNY WRIGHT TUTHILL INDUSTRIES VAPORLESS MANUFACTURING WHITE TUCKER COMPANY

t huol f e n g e m PAC d , so l d - ou t s t a r te o y s l l e a i el h t f ic d & Fu i es a t o t o™ of i o p n F x u t s E Texa nc e p por k i ng o or t he nvenie f r o o 0 C 0 w t 0 & , $17 d ne Fuel fu n a n e t han west r h r i o t e u m h o t d S t on r aise e t he p st ar event B e fo r m 3 u j 1 y a g ot t t e e. e Ma om m i nt . Th siast s e C n m a o i n t ou r al Ac G ol f T Politic n o i t ia A s s oc

Special thanks to this year’s PAC Golf Tournament sponsors: Gold – CITGO and Federated insurance; Silver – Action Fuels LP, Save a Lot food stores; Bronze – W.E.T.

See the digital version at www.naylornetwork.com/TFFA

Dear Texas Food & Fuel Association Member: The Texas Food & Fuel Association Board of Directors has recommended Federated Insurance for a number of insurance and financial protection products: Property & Liability – Federated’s excellent coverage and commitment to risk management support are a powerful combination. In addition, you have the potential for a dividend if loss experience in our recommended program is warranted. Group Health – Rising medical costs are challenging, but Federated plans offer cost containment features that can help hold down premiums while maintaining quality care. Financial Protection Services – Whether you want protection for you and your dependents against unanticipated personal emergencies, or assistance in planning the eventual transfer of your business to family or employees, Federated can help. It pays to plan ahead! The most significant factor for recommending each of these programs is excellent service and quality coverage backed up by competitive pricing. Time spent with your local Federated Marketing Representative learning about each of these programs will be time well spent. Sincerely,

Chris Newton President

TEXAS FOOD & FUEL ASSOCIATION 401 West 15th Street, Suite 510 t Austin, Texas 78701 t (512) 476-9547 t fax (512) 477-4239

See the digital version at www.naylornetwork.com/TFFA

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E.K. BENNETT

AWARD

Parrott Family Commitment:

90 Years and Counting

See the digital version at www.naylornetwork.com/TFFA

housands of new family businesses are started each year. The likely success rate of these firms in their infancy is less than 50 percent after the first five years in existence and down to less than 20 percent in the first 15 years. Thus, when a company is started in the 1920s and is still operating some 90 years later (even under a new name) by the same family that started it, it’s something very special indeed. Randy Parrott is being honored as the 2013-14 recipient of the E.K. Bennett Award for his 30-plus years of service to both the industry and association. In addition to being a longtime member of the association’s Board of Directors and Executive Committee, Randy is also a former chairman of this organization. You can tell a lot about the kind of leader Randy is by recalling his year as Chairman of this association. Under his leadership, the association not only sold its former building and moved its offices, it also entered into an agreement with the Texas Grocery and Convenience Association to combine trade shows and launch the Texas Food & Fuel Expo. True to Randy’s leadership style, when the dust had settled and the agreements were signed, all of the parties involved in the process considered themselves winners. The hard work and commitment to doing things right and that Randy exhibited during his year as chairman made much of what we celebrate today possible. You can find these same qualities throughout the Parrott family’s 90 years of leadership in the petroleum marketing industry.

April May June 2014

The Fourth Generation. Randy and his wife Nikki have two children, Jaime and Justin, and one grandchild, Gage. Jaime is now married and her husband Enrique has joined Ranparr, Inc. in outside sales. Jaime works part-time in the office. Justin returned to the family business a few years ago and is eagerly learning all aspects of the business to carry it forward.

You can tell a lot about the kind of leader Randy is by recalling his year as Chairman of this association.

Randy’s grandfather, J. N. “Polly” Parrott started in the petroleum business for the Texas Company (forerunner to Texaco) prior to leaving for World War I. He started his own company on a handshake around 1923 as Consumer’s Gasoline Company in Dallas, Texas. He handled sales and drove the tank wagon while his wife kept the books in order. In 1951, his son, G.N. “Polly” Parrott, joined the business taking over the truck-driving duties and doing outside sales as his driving would allow.

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Parrott Oil Corporation was formalized in the mid-1950s and continued to grow into a large lube and bulk oil supplier in addition to its fuel sales. Randy and his brother Scott entered the business full-time in the late ’70s. Randy handling the equipment and service side of the business, and Scott took charge of sales and purchasing. “I didn’t go to work for them as much as I started to go to work with them at around age 8,” said Randy. “I can remember sitting in my grandfather’s lap steering the wheel while he worked the pedals

on his Delta 88 down the Northwest Highway. To my brother Scott and me, it wasn’t really work, it was play. But somewhere along the way, the entire warehouse would be swept! This led to ‘real’ jobs as teenagers during the summer breaks of loading and unloading railcars and trucks of bulk oil, repackaging broken cases, taking month-end inventories, and finally beginning to make deliveries when we had reached the age where we could drive a truck.” Randy and Scott grew up attending many of the meetings their father attended, as well. One, in particular, stuck with Randy. “We attended a meeting in Bracketville in 1964. I remember we got to visit the set of where the movie ‘Remember the Alamo’ was made with John Wayne. Plus, we always looked forward to the summer meeting because we had made so many friends with the other families in attendance such as the Smiths, Olmsteads, Horkys, the Reeds, and the Knoxs.” Unfortunately, Scott passed away unexpectedly in the summer of 1991. However, the business continued to flourish through the early ’90s and was sold to Valvoline, Inc. in 1993. Since Valvoline wasn’t interested in the fuel side of the business, Randy retained it and a new chapter in the family business was started. Randy founded Ranparr, Inc., an unbranded wholesale gasoline supplier, in 1993. Ranparr has continued the tradition of servicing wholesale end-user accounts and operates a fleet of bobtails in the Metroplex. While Parrott Oil and Ranparr, Inc. never ventured far from their hometown of Dallas, Randy, his father, and his grandfather have always made their involvement with the association a top priority. In addition to Randy’s service to the association, Randy’s grandfather served on the one of the fi rst TOJA Board of Directors beginning in 1952 and Randy’s dad, G.N “Polly” Parrott, served on the Board for many years, served as the association’s chairman in 1971-72 and was the fi rst recipient of the EK Bennett Award in 1987. We’re now lucky to have the fourth generation of Parrott’s serve on the association’s Board of Directors with the appointment of Randy’s son, Justin to serve as a Director at Large. ■

See the digital version at www.naylornetwork.com/TFFA

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STAGE II

UPDATE

The Beginning of the End

he titans of industry often are characterized as being in “lockstep” when it comes to government regulation. However, in the 1980s, a pitched battle was waged over the course of years between the oil companies and the car manufacturers. Millions of dollars stood in the balance, it was just a question of whose pocket it would come from… The passage of the 1990 Clean Air Amendments brought the long fought issue over Stage II Vapor Recovery and installing carbon canisters on cars for vehicle refueling emissions to an end. Congress settled the issue by requiring immediate installation of the Stage II equipment in the nation’s cities with the biggest challenges to meet the standards of the Clear Air Act but also mandated that beginning in model year 1998, all passenger vehicles and light trucks would have carbon canisters installed. Once this change had penetrated the nation’s fleet through fleet turnover, Stage II could be removed. The beginning of the end for Stage II has been literally decades in the making, and it’s finally here: The Environmental Protection Agency (EPA) recently published final approval for the removal of Stage II Vapor Recovery equipment in Texas. Gasoline dispensing facilities (GDFs) with Stage II may now elect to remove the equipment beginning May 16, 2014. However, GDF owners must still follow the Texas Commission on Environmental Quality (TCEQ) regulations as outlined below: Owners (or their Licensed A/B Tank Contractor) must file a 30-day notification with the appropriate TCEQ regional office and/or the local government program having jurisdiction. A link to the form is provided in this Regulatory Alert.

April May June 2014

Contact and address information are provided on the second page of the form for the regional TCEQ and local government offices. In addition, follow up confirmation to the appropriate regional/local government office 24-72 hours prior to the scheduled date is required. A link to the Stage II Decommissioning Notification Form is below: www.tceq.texas.gov/assets/public/compliance/field_ops/fod_forms/vapor_recov/ form20689.pdf (http://bit.ly/1hOVmKH)

All stage II equipment must be decommissioned no later than August 31, 2018. In the meantime, all Stage II vapor recovery systems operating until the date of formal decommissioning must continue to follow the rules for inspections, maintenance of the nozzles, hoses, and operating system of the equipment, continue to do the system testing as required periodically, and maintain training for facility personnel as required.

Gasoline Dispensing Facilities (GDFs) with Stage II may now elect to remove the equipment beginning May 16, 2014.

Equipment Decommission Checklist The TCEQ rules outline general activities related to decommissioning; however, owners should consult with their equipment providers to ascertain all of the necessary steps to safely remove their equipment from service. A TCEQ Licensed UST contractor is required.

Required Decommissioning Steps (as applicable to the individual manufacturer’s instructions or type of equipment being decommissioned): The owner or operator of the GDF shall perform and complete all of the following decommissioning activities, as applicable for the particular Stage II vapor recovery system equipment installed at the gasoline dispensing facility: (A) initiating safety procedures; (B) relieving pressure in the tank ullage by removing all pressure/vacuum vent valves; (C) draining all liquid collection points; (D) disconnecting all electrical components of the Stage II system so that no electrical hazards are created including but not limited to all vapor pumping or processing units and dispenser electronics; (E) reprogramming the dispenser electronics to reflect that Stage II Vapor Recovery is no longer in service; (F) securely sealing off the below-grade vapor piping at a height below the level of the base of the dispenser using only threaded plugs, threaded caps, or glued fittings; (G) disconnecting and sealing off the vapor piping at the tank top if this can be done

without excavation and without interfering with the vent line using only threaded plugs, threaded caps, or glue fittings; (H) securely sealing the lower end of the vapor piping inside the dispenser cabinet using only threaded plugs, threaded caps, or glue fittings; (I) replace through attrition or by August 31, 2018, the Stage II hanging hardware including hoses, nozzles, swivels, and breakaway components with conventional, industry-standard hanging hardware;

(J) installing appropriate pressure/vacuum vent valve(s); (K) removing any Stage II instructions from the dispenser cabinet; (L) visually inspecting and verifying that the visible components of the storage system are left in a condition that will reliably prevent the release of any vapors or liquids from any components of the storage system; (M) conducting the Texas test procedures TXP-102 (Vapor Recovery Test Procedures Handbook, RG-399,

December 2002) and recording results on Form 102 indicating that the storage system is in a condition that will prevent leaking of vapors or liquids prior to restoring the facility to operating status; (N) conducting the Texas test procedures TXP-103, Procedure 2, (Vapor Recovery Test Procedures Hand Book, RG-399, December 2002) recording results on Form 103 indicating that the vent lines are functioning in a condition that will prevent the leaking of vapors or liquids prior to restoring the facility to operating status; (O) disconnecting the OPW VaporSavor or Arid Permeater vapor recovery systems if they are present on the Stage II system and sealing piping using only threaded plugs, threaded caps, or glue fittings; and (P) disconnecting the central vacuum motor if present on the Stage II system and sealing piping using only threaded plugs, threaded caps, or glue fittings. Upon completion, the owner or operator of the gasoline dispensing facility shall notify in writing the TCEQ regional office and local government with jurisdiction where the gasoline dispensing facility is located no later than 10 calendar days after completion of all decommissioning activity at the gasoline dispensing facility. Notification must include: (A) gasoline dispensing facility name and location address; (B) owner name, address, and phone number; (C) operator name, address, and phone number; (D) a certified and signed document with the name, address, and the Class A or Class A/B license number of the on-site supervisor who directed the decommissioning; (E) name, address, and the Class A or Class A/B license number of the onsite supervisor who directed the testing to ensure that no leaks have been detected; and (F) copies TX-102 and TX-103 Procedure test results.

High-octane customer service,

and, of course, fuel. At Phillips 66, we certainly have all the resources that come with being one of the largest energy companies in the U.S., but it’s our commitment to customer service that really sets us apart. From our experienced sales force to our support programs to our industry-leading business portal BizLink,™ we have all the capabilities to help your business thrive. If you’re interested in taking advantage of our service offerings, including branding a site, call 1-888-543-1609 or visit us at Phillips66.com.

If you have questions, contact Scott B. Fisher, Vice President of Policy & Public Affairs, at sfisher@txfoodandfuel.org or 512-617-4308. ■

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09/02/13 5:46 AM

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Committed to Excellence the t M

Johnson Oil Company Roy Cole President SIN CE 1968

JO C

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We have quali¿ed technicians available 24/7 to answer your calls. We keep an extensive selection of parts on our vehicles to minimize your down-time. Certi¿ed technicians for Verifone Ruby, Sapphire Topaz, and Dresser Wayne systems are always available.

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623314_Petroleum.indd 1 05/09/13 5:01 PM

10/01/13 10:33 PM

Index of

Advertisers ACCOUNTING SOFTWARE ADD Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 www.addsys.com

COMMERCIAL KITCHEN PRODUCTS Red River Commercial Kitchens. . . . . . . . . . . . . . . . . . 19 www.redriverkitchens.com

CONVENIENCE STORE EQUIPMENT D & H / United Pump. . . . . . . . . . . . . .Outside Back Cover www.dh-united.com

BEVERAGE DISPENSERS Bevco, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 www.bevcoinc.com

COMPUTER HARDWARE/SOFTWARE ADD Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 www.addsys.com

CREDIT CARD SERVICES ADD Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 www.addsys.com

BIOFUELS Renewable Energy Group. . . . . . . . . . . . . . . . . . . . . . . . 3 www.REGI.com

NorthWest Micro Systems, Inc. . . . . . . . . . . . . . . . . . . 22 www.nwmicrosystems.com

ENVIRONMENTAL SERVICES D & H / United Pump. . . . . . . . . . . . . .Outside Back Cover www.dh-united.com

BUSINESS OPPORTUNITIES Laundrylux . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 www.laundrylux.com CANOPIES Madison, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 www.madisonind.com

COMPUTER SYSTEMS & SOFTWARE ADD Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 www.addsys.com

FAST FOODS/BRANDED Hunt Brothers Pizza . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 www.huntbrotherspizza.com

CONVENIENCE STORE BACK ROOM ACCOUNTING SYSTEMS NorthWest Micro Systems, Inc. . . . . . . . . . . . . . . . . . . 22 www.nwmicrosystems.com

FRANCHISE OPPORTUNITIES Save-A-Lot . . . . . . . . . . . . . . . . . . . . . .Inside Front Cover www.save-a-lot.com/own GROCERY WHOLESALE DISTRIBUTORS/ CONVENIENCE STORES Save-A-Lot . . . . . . . . . . . . . . . . . . . . . .Inside Front Cover www.save-a-lot.com/own INSURANCE Federated Insurance . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 www.federatedinsurance.com Tank Owner Members Insurance Co.. . . . . . . . . . . . . . 12 www.tankowners.com LOTTERY Linq3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 www.LINQ3.com OIL COMPANIES Johnson Oil Company . . . . . . . . . . . . . . . . . . . . . . . . . 25 www.johnsonoil.com PETROLEUM EQUIPMENT - SALES & SERVICE A & A Pump Company . . . . . . . . . . . . . Inside Back Cover www.gilbarco.com A-1 Pump, Inc. . . . . . . . . . . . . . . . . . . . Inside Back Cover www.gilbarco.com B & J Equipment, Ltd . . . . . . . . . . . . . . Inside Back Cover www.bjequip.com D & H / United Pump. . . . . . . . . . . . . .Outside Back Cover www.dh-united.com D & H / United Pump. . . . . . . . . . . . . . . Inside Back Cover www.unitedpumpsupply.com Petroleum Equipment Service, Inc. . . . . . . . . . . . . . . . 25

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2/28/14 12:40 AM www.petroleumequipmentservice.com

Petroleum Solutions, Inc. . . . . . . . . . 8, Inside Back Cover www.petsolinc.com PETROLEUM REFINERS & MARKETERS Citgo Petroleum . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 www.citgo.com Phillips 66. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24 www.phillips66.com POINT OF PURCHASE/POINT OF SALE Linq3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 www.LINQ3.com SOFTWARE/AUTOMATION ADD Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 www.addsys.com TANKS Youngs Tank, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 www.youngstank.com TANKS & TRAILERS Werts Welding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 www.wertswelding.com TOBACCO PRODUCTS Smokey Mountain Snuff. . . . . . . . . . . . . . . . . . . . . . . . 26 www.smokeysnuff.com

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26/01/13 6:22 PM

A&A Pump Company San Antonio, TX 210-226-1191 A-1 Pump Inc. Bryan, TX 979-778-2418 B&J Equipment Ltd. Longview, TX 903-757-4765 B&J Equipment Ltd. Dallas, TX (Parts & Servicing) 214-631-4664 Petroleum Solutions, Inc. Abilene, TX 325-676-2371 Petroleum Solutions, Inc. Austin, TX 512-278-1000 Petroleum Solutions, Inc. Corpus Christi, TX 361-882-3077

683453

Petroleum Solutions, Inc. Grand Prairie, TX 972-314-2400

a&a fp Petroleum Solutions, Inc. Houston, TX CMYK 281-449-4027 IBC Petroleum Solutions, Inc. McAllen, p. TX 3 956-686-9582

D&H /United Pump Supply Amarillo, TX 806-373-4251

Petroleum Solutions, Inc. San Antonio, TX 210-661-2489

D&H /United Pump Supply Midland/Odessa, TX 432-689-2606

Petroleum Solutions, Inc. Victoria, TX 361-573-7449

D&H /United Pump Supply Arlington, TX 70011 817-530-1917

Petroleum Solutions, Inc. Temple, TX 254-770-0440

D&H /United Pump Supply Schertz, TX 78154 210-651-3882

Petroleum Solutions Beaumont, TX 409-842-0007

D&H /United Pump Supply El Paso, TX 915-859-8150 D&H /United Pump Supply Lubbock, TX 806-762-2428

577331 d&H fp CMYK OBC p. 4