SB434 Alabama 2015 Session

Summary

Primary Sponsor

Bill Holtzclaw

Republican

Session

Regular Session 2015

Title

Motor Fuel Marketing Act, legislative intent relating to combined sales of motor fuel and other goods clarified, Secs. 8-22-2, 8-22-4, 8-22-8, 8-22-10 am'd.

Summary

The bill clarifies and simplifies Alabama's Motor Fuel Marketing Act by clarifying how motor fuel can be sold together with other goods and tightening rules against subsidized pricing.

What This Bill Does

It amends sections 8-22-2, 8-22-4, 8-22-8, and 8-22-10 to clarify the rules about combined sales of motor fuel and other goods. It adds detailed definitions and cost concepts (like basic cost, cost to refiner/wholesaler/retailer, transfer price) to standardize pricing. It states that marketing motor fuel is in the public interest and aims to prevent predatory subsidized pricing that uses profits from other operations to subsidize fuel sales, protecting independent marketers. It allows combined sales of motor fuel with other goods only if the total price covers the costs of all items, and it includes rules about price matching and advertising to ensure prices are fair.

Who It Affects

• Independent motor fuel marketers (dealers, distributors, jobbers, and wholesalers) would gain clearer definitions and cost rules intended to prevent predatory subsidized pricing that could push them out of the market.
• Retailers, wholesalers, and buying pools that sell motor fuel together with other goods would be governed by clarified pricing standards, ensuring combined sales cover all costs and align with advertising rules.

Key Provisions

• Sec. 8-22-2 adds findings about public interest in motor fuel marketing and the problem of subsidized pricing.
• Sec. 8-22-4 adds definitions for key terms (motor fuel, wholesaler, retailer, buying pool, other goods) and cost concepts (basic cost, cost to refiner/wholesaler/retailer, transfer price).
• Sec. 8-22-8 clarifies when price differences are allowed and that combined sales are not a violation if prices meet cost requirements, including meet-competitor and cost-differential provisions.
• Sec. 8-22-10 requires that combined prices in advertisements or sales involving motor fuel not be below the total cost of all included items, with special handling if some items are not motor fuel.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Motor Fuel