SF 2235 (LSB 5862SV (5) 83)

SENATE FILE 2235

BY  COMMITTEE ON STATE GOVERNMENT

(SUCCESSOR TO SF 2125)

(As Amended and Passed by the Senate 2010-02-23)

A BILL FOR

An Act requiring provision of deliverable fuels to customers under specified circumstances, providing penalties, and including effective date provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  NEW SECTION.  216A.105  Deliverable fuels —— mandatory delivery —— penalties and remedies.
   1.  A deliverable fuel vendor engaged in the business of providing deliverable fuel to customers in this state shall not withhold the sale or delivery of deliverable fuel to a customer from November 1 through April 1 annually if either of the following apply:
   a.  The customer makes a prepaid cash payment in an amount corresponding to the vendor’s stated cash price of that day for two hundred fifty gallons of deliverable fuel.
   b.  The customer is certified as eligible for the federal low-income home energy assistance program.
   2.  A deliverable fuel vendor is not prohibited from withholding the sale or delivery of deliverable fuel to a customer who is certified as eligible for the federal low-income home energy assistance program and has received the maximum amount of annual assistance pursuant to the program, or who cannot make a prepaid cash payment for deliverable fuel pursuant to subsection 1, paragraph “a”.
   3.  A deliverable fuel vendor providing deliverable fuel to a customer described in subsection 1, paragraph “a”, may apply up to twenty-five percent of the cash payment toward any unpaid balance owed to the deliverable fuel vendor. In the event that a payment arrangement is entered into between a deliverable fuel vendor and a customer described in subsection 1, paragraph “a”, and the customer misses three payments pursuant to the arrangement within a one-year period or within the time period during which the arrangement is in effect, the vendor may require payment of all past due payments in full before making a delivery pursuant to this section. In the event that an unpaid balance is owed by a customer who is certified as eligible for the federal low-income home energy assistance program, the division shall offer assistance in facilitating a payment arrangement.
   4.  a.  A customer shall be responsible for the reasonable cost of system safety checks conducted by a deliverable fuel vendor, unless the customer is certified as eligible for the federal low-income home energy assistance program and the cost is paid for with program funds. System safety check payments shall be in addition to, and shall not reduce, the cash payment otherwise available for deliverable fuel sale or delivery pursuant to subsection 1, paragraph “a”. A deliverable fuel vendor of propane conducting a system safety check shall inform customers certified as eligible for the low-income home energy assistance program of the existence of programs and projects developed by the Iowa propane education and research council to provide assistance to persons certified as eligible for the program, if applicable based upon the results of the safety check. A deliverable fuel vendor shall not be required to make or complete a delivery of deliverable fuel if a system safety check reveals mechanical problems or defects with the system which constitute a safety hazard or concern.
   b.  A customer shall be responsible for the reasonable cost of delivering the deliverable fuel to the customer, as determined by the deliverable fuel vendor, unless the customer is certified as eligible for the federal low-income home energy assistance program and the cost is paid for with program funds. Delivery fees or charges shall be in addition to, and shall not reduce, the cash payment otherwise available for the deliverable fuel sale or delivery pursuant to subsection 1, paragraph “a”.
   5.  A violation of this section is an unlawful practice pursuant to section 714.16 and a prohibited practice pursuant to chapter 714H.
   6.  For the purposes of this section, unless the context otherwise requires:
   a.  “Customer” means an existing customer of a deliverable fuel vendor or a prospective customer who submits an application or otherwise applies for the purchase or delivery of deliverable fuel from a deliverable fuel vendor serving the general geographic area or vicinity where the fuel will be delivered.
   b.  “Deliverable fuel” means propane or any other heating fuel sold or delivered in this state for home heating purposes.
   c.  “Deliverable fuel vendor” means a retail propane marketer or a retail dispenser or marketer of a deliverable fuel other than propane for home heating purposes.
   d.  “Propane” and “retail propane marketer” mean the same as defined in section 101C.2.