senate Bill S7087

Amended

Relates to the advertising medium for motor fuel sales

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Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
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actions

  • 27 / Apr / 2012
    • REFERRED TO CONSUMER PROTECTION
  • 30 / Apr / 2012
    • 1ST REPORT CAL.616
  • 01 / May / 2012
    • 2ND REPORT CAL.
  • 02 / May / 2012
    • ADVANCED TO THIRD READING
  • 20 / Jun / 2012
    • AMENDED ON THIRD READING 7087A
  • 21 / Jun / 2012
    • COMMITTED TO RULES

Summary

Relates to the advertising medium for motor fuel sales; requires appropriate signage visible from businesses for certain sales; makes provisions relating to advertising media letters, words, figures and numerals used in such signage.

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Bill Details

Versions:
S7087
S7087A
Legislative Cycle:
2011-2012
Current Committee:
Senate Rules
Law Section:
General Business Law
Laws Affected:
Add §396-ff, Gen Bus L; amd §192, add §192-h, Ag & Mkts L

Votes

8
0
8
Aye
0
Nay
2
aye with reservations
0
absent
0
excused
0
abstained
show Consumer Protection committee vote details

Sponsor Memo

BILL NUMBER:S7087

TITLE OF BILL:
An act to amend the general business law and the agriculture and markets
law, in relation to the advertising medium for motor fuel sales

PURPOSE OR GENERAL IDEA OF BILL:
This legislation would require any place of business offering for sale
or selling any motor fuel to the public to clearly and conspicuously
advertise the higher price when the same grade of motor fuel is sold at
different prices from a single place of business if the price deviation
exceeds seven percent for the same grade of motor fuel.

SUMMARY OF PROVISIONS:
Section One amends the general business law by defining advertising
medium, requiring that a street side advertising medium be displayed at
any place of business offering for sale or selling any motor fuel to the
public if the place of business sells the same grade of motor fuel for
different prices and the price deviation exceeds seven percent. This
section also establishes minimum readability requirements for the
letters and numerals required pursuant to this section. A first
violation of this section would be punishable by a $500 fine. Any subse-
quent violations would result in a one thousand dollar fine. A third
violation would additionally result in a shutdown of the establishment
for ten days, or until the establishment comes into compliance with this
provision, whichever is longer. Finally, a variance is provided for in
relation to the required advertising mediums for businesses in political
subdivisions that have laws or ordinances that are contrary to this
provision or for scenic or historic purposes.

Section Two amends the Agriculture and Markets law to require that signs
or labels that are currently required at the dispensing pump, also indi-
cate the difference in the amount per gallon for cash and credit custom-
ers.

Section Three amends the Agriculture and Markets law to make changes
that conform to Section One of this legislation.

Section Four is the effective date.

JUSTIFICATION:
Some places of business offering for sale or selling motor fuel have
been luring customers to their stations by deceptively advertising a
reduced price for motor fuel that is actually only available to those
customers who are able to pay with cash for their transaction. In other
instances, motorists have reported unclear and unreadable discount
disclosures. The words "cash" and "credit" are sometimes posted in a
font so small, that the words are nearly impossible to read. This bill
attempts to protect customers by setting advertising standards for any
gas station that opts to charge more than a seven percent differential
in price for the same grade of motor fuel by requiring, at minimum,

readable street side signs that clearly and conspicuously advertises the
higher of the prices offered.

LEGISLATIVE HISTORY:
New bill.

FISCAL IMPLICATIONS:
None to the state.

EFFECTIVE DATE:
This act shall take effect on the thirtieth day after it shall have
become law; provided that the commissioner of agriculture and markets is
authorized to promulgate any rules or regulations necessary to implement
this act on or before its effective date.

view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  7087

                            I N  S E N A T E

                             April 27, 2012
                               ___________

Introduced  by  Sen.  ZELDIN -- read twice and ordered printed, and when
  printed to be committed to the Committee on Consumer Protection

AN ACT to amend the general business law and the agriculture and markets
  law, in relation to the advertising medium for motor fuel sales

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The general business law is amended by adding a new section
396-ff to read as follows:
  S 396-FF. ADVERTISING MEDIUM; MOTOR FUEL SALES. 1. THE TERM "ADVERTIS-
ING MEDIUM," AS USED IN THIS SECTION, SHALL MEAN A STREET SIGN, WHICH IS
AT  LEAST  SIX  FEET HIGH AND FOUR FEET WIDE AND AT LEAST EIGHT FEET OFF
THE GROUND.
  2. A. IN THE EVENT THAT THE SAME  GRADE  OF  MOTOR  FUEL  IS  SOLD  AT
DIFFERENT PRICES FROM ANY SINGLE PLACE OF BUSINESS, AND THE PRICES DEVI-
ATE  BY  MORE  THAN SEVEN PERCENT FOR THE SAME GRADE OF MOTOR FUEL, THEN
THE PLACE OF BUSINESS MUST HAVE AN ADVERTISING MEDIUM THAT COMPLIES WITH
THIS SECTION AND WHICH DISPLAYS THE HIGHER OF  THE  PRICES  OFFERED  FOR
THAT GRADE OF MOTOR FUEL.
  B.  THIS  SUBDIVISION SHALL NOT APPLY TO DISCOUNTS OR PRICE REDUCTIONS
NOT AVAILABLE TO THE GENERAL PUBLIC,  INCLUDING,  BUT  NOT  LIMITED  TO,
DISCOUNTS  OR  PRICE  REDUCTIONS  PROVIDED  PURSUANT TO AWARDS, REWARDS,
LOYALTY, OR PROMOTIONAL PROGRAMS.
  3. AN ADVERTISING MEDIUM REQUIRED PURSUANT TO  THIS  SECTION  MUST  BE
CLEARLY VISIBLE FROM EACH STREET OR HIGHWAY WHICH HAS AN ACCESS POINT TO
THE  PLACE OF BUSINESS.  ANY AND ALL INFORMATION REQUIRED TO BE INCLUDED
ON SUCH ADVERTISING MEDIUM PURSUANT TO THIS SECTION SHALL BE  POSTED  OR
MAINTAINED IN A CLEAR AND CONSPICUOUS MANNER.
  4.  ALL  LETTERS,  WORDS,  FIGURES,  OR NUMERALS WHICH ARE PART OF THE
ADVERTISING MEDIA REQUIRED BY SUBDIVISION TWO OF THIS SECTION SHALL HAVE
A HEAVY TYPE FACE OR STROKE, SHALL BE CLEARLY VISIBLE, AND OF A COLOR OR
TINT THAT WILL CONTRAST THE LETTERS, WORDS, FIGURES,  OR  NUMERALS  WITH
THE BACKGROUND OF THE ADVERTISING MEDIA.  ANY FONT USED PURSUANT TO THIS
SECTION  MUST  BE  AT  LEAST  SIX  INCHES  IN  HEIGHT. THE HEIGHT OF THE

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD15526-03-2

S. 7087                             2

LETTERS, FIGURES, AND NUMERALS, EXCEPT THE LETTER "1" AND  NUMERAL  ONE,
SHALL NOT BE MORE THAN TWICE THE WIDTH.
  5.  A.  FAILURE  TO  COMPLY  WITH THE PROVISIONS OF THIS SECTION SHALL
SUBJECT A PERSON, FIRM OR CORPORATION OFFERING FOR SALE OR  SELLING  ANY
MOTOR  FUEL TO THE PUBLIC TO A CIVIL PENALTY OF FIVE HUNDRED DOLLARS FOR
A FIRST OFFENSE. SUBSEQUENT OFFENSE SHALL RESULT IN A FINE OF ONE  THOU-
SAND  DOLLARS.  UPON  A THIRD OFFENSE, NON-COMPLIANCE SHALL ADDITIONALLY
RESULT IN THE BUSINESS BEING SHUT DOWN FOR A PERIOD OF TEN DAYS OR UNTIL
THE BUSINESS COMES WITHIN COMPLIANCE, WHICHEVER IS LATER.
  B. THE PROVISIONS OF THIS SECTION MAY BE ENFORCED CONCURRENTLY BY  THE
DIRECTOR  OF  A MUNICIPAL CONSUMER AFFAIRS OFFICE, OR BY THE TOWN ATTOR-
NEY, CITY CORPORATION COUNSEL, OR OTHER LAWFUL  DESIGNEE  OF  A  MUNICI-
PALITY  OR LOCAL GOVERNMENT, AND ALL MONEYS COLLECTED UNDER THIS SECTION
SHALL BE RETAINED BY SUCH MUNICIPALITY OR LOCAL GOVERNMENT.
  6. A. THE PROVISIONS OF THIS SECTION SHALL NOT APPLY  TO  ANY  PERSON,
FIRM  OR  CORPORATION OFFERING FOR SALE OR SELLING ANY MOTOR FUEL TO THE
PUBLIC OPERATING WITHIN  THE  POLITICAL  SUBDIVISION  THAT  HAS  ALREADY
ENACTED  AND  CONTINUES  IN EFFECT A LOCAL LAW, ORDINANCE, RULE OR REGU-
LATION IN SUBSTANTIAL CONFORMITY WITH THIS SECTION.  THE  PROVISIONS  OF
THIS SECTION SHALL NOT BE CONSTRUED TO LIMIT IN ANY WAY THE AUTHORITY OF
A  POLITICAL SUBDIVISION TO ENACT, IMPLEMENT AND CONTINUE TO ENFORCE ANY
AMENDMENTS THERETO  AFTER  THE  EFFECTIVE  DATE  OF  THIS  SECTION.  THE
PROVISIONS  OF THIS SECTION SHALL BE ENFORCED IN THE COUNTIES OUTSIDE OF
THE CITY OF NEW YORK BY THE COUNTY OR CITY DIRECTOR OF WEIGHTS AND MEAS-
URES, AS THE CASE MAY BE, AND IN THE CITY OF NEW YORK BY THE  DEPARTMENT
OF CONSUMER AFFAIRS.
  B.  ANY  POLITICAL SUBDIVISION MAY, BY ORDINANCE, MODIFY PROVISIONS OF
THIS SECTION FOR SPECIFIED GEOGRAPHIC AREAS FOR SCENIC OR HISTORIC PRES-
ERVATION PURPOSES UPON APPROVAL OF SUCH MODIFICATION BY THE COMMISSIONER
OF AGRICULTURE AND MARKETS.
  C. ANY POLITICAL SUBDIVISION MAY, BY ORDINANCE, LOCAL  LAW,  OR  LOCAL
REGULATION  CREATE  ALTERNATE  SIGNAGE SIZE AND FONT REQUIREMENTS IF THE
REQUIREMENTS CONTAINED IN THIS SECTION WOULD VIOLATE LOCAL ZONING RULES,
REGULATIONS, OR ORDINANCES.
  7. NOTHING IN THIS SECTION SHALL APPLY TO OR INTERFERE WITH  SIGNS  OR
PLACARDS  REQUIRED  TO BE POSTED PURSUANT TO SUBDIVISION FIVE OF SECTION
ONE HUNDRED NINETY-TWO OF THE AGRICULTURE AND MARKETS LAW.
  8. NOTHING IN THIS SECTION PROHIBITS ANY PERSON, FIRM  OR  CORPORATION
WHO  HAS  POSTED OR DISPLAYED A SIGN OR ADVERTISING MEDIUM IN COMPLIANCE
WITH THIS CHAPTER FROM DISPLAYING ADDITIONAL SIGNS OR ADVERTISING MEDIA,
SO LONG AS THE ADDITIONAL SIGNS OR ADVERTISING MEDIA ARE OF SMALLER SIZE
THAN THE MEDIA REQUIRED PURSUANT TO SUBDIVISION TWO OF THIS SECTION  AND
THE  ADDITIONAL  SIGNS  OR  MEDIA  DO NOT OBSTRUCT OR INTERFERE WITH THE
REQUIRED ADVERTISING MEDIUM, WHICH STATE EITHER:
  A. THE AMOUNT OF DISCOUNT IN CENTS OR DOLLARS PER GALLON, OR
  B. THE PRICE OF ONE OR MORE BRANDS OR GRADES OF  MOTOR  FUEL  SOLD  OR
OFFERED  FOR  SALE,  PROVIDED  THE CONDITIONS AND ANY LIMITATIONS OF THE
DISCOUNT OR PRICE OF THE BRAND OR GRADE OF MOTOR FUEL  ARE  INCLUDED  IN
THE  ADDITIONAL ADVERTISING MEDIA IN LETTERS NOT LESS THAN ONE-THIRD THE
SIZE OF THE NUMERALS INDICATING THE DISCOUNT OR PRICE.
  S 2. Subparagraph (iii) of paragraph a of subdivision 5 of section 192
of the agriculture and markets law, as amended by  chapter  101  of  the
laws of 1986, is amended and a new subparagraph (iv) is added to read as
follows:
  (iii)  where  a  multiple  product  dispensing  device  is  capable of
dispensing multiple products at multiple prices, then the selling  price

S. 7087                             3

per gallon [may] SHALL be posted thereon with numerals at least one-half
that height and one-half that width required by subparagraph (i) of this
paragraph,  although  numerals  representing  tenths  of  a  cent may be
displayed  at  no less than one-half those dimensions which disclose the
selling price per gallon of such motor fuel dispensed therefrom[.]; OR
  (IV) WHERE A DISCOUNT FOR CASH IS OFFERED, AT LEAST ONE SIGN OR  LABEL
SHALL BE CONSPICUOUSLY DISPLAYED ON THE DISPENSER INDICATING THE DIFFER-
ENCE  IN  AMOUNT PER GALLON IN NUMERALS NOT LESS THAN ONE-HALF INCH HIGH
AND LABELING THE DIFFERENCES IN LETTERS OF THE SAME SIZE  FOR  CASH  AND
CREDIT CUSTOMERS.
  S  3.  The  agriculture  and  markets  law  is amended by adding a new
section 192-h to read as follows:
  S 192-H. ADVERTISING MEDIUM; MOTOR FUEL SALES. 1. THE TERM  "ADVERTIS-
ING MEDIUM," AS USED IN THIS SECTION, SHALL MEAN A STREET SIGN, WHICH IS
AT  LEAST  SIX FEET HIGH AND FOUR FEET WIDE, AND AT LEAST EIGHT FEET OFF
THE GROUND.
  2. A. IN THE EVENT THAT THE SAME  GRADE  OF  MOTOR  FUEL  IS  SOLD  AT
DIFFERENT PRICES FROM ANY SINGLE PLACE OF BUSINESS, AND THE PRICES DEVI-
ATE  BY  MORE  THAN SEVEN PERCENT FOR THE SAME GRADE OF MOTOR FUEL, THEN
THE PLACE OF BUSINESS MUST HAVE AN ADVERTISING MEDIUM THAT COMPLIES WITH
THIS SECTION AND WHICH DISPLAYS THE HIGHER OF  THE  PRICES  OFFERED  FOR
THAT GRADE OF MOTOR FUEL.
  B.  THIS  SUBDIVISION SHALL NOT APPLY TO DISCOUNTS OR PRICE REDUCTIONS
NOT AVAILABLE TO THE GENERAL PUBLIC,  INCLUDING,  BUT  NOT  LIMITED  TO,
DISCOUNTS  OR  PRICE  REDUCTIONS  PROVIDED  PURSUANT TO AWARDS, REWARDS,
LOYALTY, OR PROMOTIONAL PROGRAMS.
  3. AN ADVERTISING MEDIUM REQUIRED PURSUANT TO  THIS  SECTION  MUST  BE
CLEARLY VISIBLE FROM EACH STREET OR HIGHWAY WHICH HAS AN ACCESS POINT TO
THE  PLACE  OF BUSINESS. ANY AND ALL INFORMATION REQUIRED TO BE INCLUDED
ON SUCH ADVERTISING MEDIUM PURSUANT TO THIS SECTION SHALL BE  POSTED  OR
MAINTAINED IN A CLEAR AND CONSPICUOUS MANNER.
  4.  ALL  LETTERS,  WORDS,  FIGURES,  OR NUMERALS WHICH ARE PART OF THE
ADVERTISING MEDIA REQUIRED BY SUBDIVISION TWO OF THIS SECTION SHALL HAVE
A HEAVY TYPE FACE OR STROKE, SHALL BE CLEARLY VISIBLE, AND OF A COLOR OR
TINT THAT WILL CONTRAST THE LETTERS, WORDS, FIGURES,  OR  NUMERALS  WITH
THE BACKGROUND OF THE ADVERTISING MEDIA.  ANY FONT USED PURSUANT TO THIS
SECTION  MUST  BE  AT  LEAST  SIX  INCHES  IN  HEIGHT. THE HEIGHT OF THE
LETTERS, FIGURES, AND NUMERALS, EXCEPT THE LETTER "L" AND  NUMERAL  ONE,
SHALL NOT BE MORE THAN TWICE THE WIDTH.
  5.  A.  FAILURE  TO  COMPLY  WITH THE PROVISIONS OF THIS SECTION SHALL
SUBJECT A PERSON, FIRM OR CORPORATION OFFERING FOR SALE OR  SELLING  ANY
MOTOR  FUEL TO THE PUBLIC TO A CIVIL PENALTY OF FIVE HUNDRED DOLLARS FOR
A FIRST OFFENSE. SUBSEQUENT OFFENSE SHALL RESULT IN A FINE OF ONE  THOU-
SAND  DOLLARS.  UPON  A THIRD OFFENSE, NON-COMPLIANCE SHALL ADDITIONALLY
RESULT IN THE BUSINESS BEING SHUT DOWN FOR A PERIOD OF TEN DAYS OR UNTIL
THE BUSINESS COMES WITHIN COMPLIANCE, WHICHEVER IS LATER.
  B. THE PROVISIONS OF THIS SECTION MAY BE ENFORCED CONCURRENTLY BY  THE
DIRECTOR  OF  A MUNICIPAL CONSUMER AFFAIRS OFFICE, OR BY THE TOWN ATTOR-
NEY, CITY CORPORATION COUNSEL, OR OTHER LAWFUL  DESIGNEE  OF  A  MUNICI-
PALITY  OR LOCAL GOVERNMENT, AND ALL MONEYS COLLECTED UNDER THIS SECTION
SHALL BE RETAINED BY SUCH MUNICIPALITY OR LOCAL GOVERNMENT.
  6. THE COMMISSIONER SHALL PROMULGATE RULES AND  REGULATIONS  NECESSARY
OR  APPROPRIATE  TO  CARRY OUT THE PROVISIONS OF THIS SECTION, AND SHALL
MAKE AVAILABLE ON THE DEPARTMENT'S WEBSITE A SUMMARY OF  THE  PROVISIONS
OF THIS SECTION AND ANY REGULATIONS PROMULGATED THEREUNDER.

S. 7087                             4

  7.  A.  THE  PROVISIONS OF THIS SECTION SHALL NOT APPLY TO ANY PERSON,
FIRM OR CORPORATION OFFERING FOR SALE OR SELLING ANY MOTOR FUEL  TO  THE
PUBLIC OPERATING WITHIN A POLITICAL SUBDIVISION THAT HAS ALREADY ENACTED
AND  CONTINUES IN EFFECT A LOCAL LAW, ORDINANCE, RULES OR REGULATIONS IN
SUBSTANTIAL CONFORMITY WITH THIS SECTION. THE PROVISIONS OF THIS SECTION
SHALL  NOT BE CONSTRUED TO LIMIT IN ANY WAY THE AUTHORITY OF A POLITICAL
SUBDIVISION TO ENACT, IMPLEMENT AND CONTINUE TO ENFORCE  ANY  AMENDMENTS
THERETO AFTER THE EFFECTIVE DATE OF THIS SECTION. THE PROVISIONS OF THIS
SECTION  SHALL  BE  ENFORCED  IN THE COUNTIES OUTSIDE OF THE CITY OF NEW
YORK BY THE COUNTY OR CITY DIRECTOR OF WEIGHTS AND MEASURES, AS THE CASE
MAY BE, AND IN THE CITY OF  NEW  YORK  BY  THE  DEPARTMENT  OF  CONSUMER
AFFAIRS.
  B.  ANY  POLITICAL SUBDIVISION MAY, BY ORDINANCE, MODIFY PROVISIONS OF
THIS SECTION FOR SPECIFIED GEOGRAPHIC AREAS FOR SCENIC OR HISTORIC PRES-
ERVATION PURPOSES UPON APPROVAL OF SUCH EXEMPTION BY THE COMMISSIONER.
  C. ANY POLITICAL SUBDIVISION MAY, BY ORDINANCE, LOCAL  LAW,  OR  LOCAL
REGULATION  CREATE  ALTERNATE  SIGNAGE SIZE AND FONT REQUIREMENTS IF THE
REQUIREMENTS CONTAINED IN THIS SECTION WOULD VIOLATE LOCAL ZONING RULES,
REGULATIONS, OR ORDINANCES.
  8. NOTHING IN THIS SECTION SHALL APPLY TO OR INTERFERE WITH  SIGNS  OR
PLACARDS  REQUIRED  TO BE POSTED PURSUANT TO SUBDIVISION FIVE OF SECTION
ONE HUNDRED NINETY-TWO OF THIS ARTICLE.
  9. NOTHING IN THIS SECTION PROHIBITS ANY PERSON, FIRM  OR  CORPORATION
WHO  HAS  POSTED OR DISPLAYED A SIGN OR ADVERTISING MEDIUM IN COMPLIANCE
WITH THIS CHAPTER FROM DISPLAYING ADDITIONAL SIGNS OR ADVERTISING MEDIA,
SO LONG AS THE ADDITIONAL SIGNS OR ADVERTISING MEDIA ARE OF SMALLER SIZE
THAN THE MEDIA REQUIRED PURSUANT TO SUBDIVISION TWO OF THIS SECTION  AND
THE  ADDITIONAL  SIGNS  OR  MEDIA  DO NOT OBSTRUCT OR INTERFERE WITH THE
REQUIRED ADVERTISING MEDIUM, WHICH STATE EITHER:
  A. THE AMOUNT OF DISCOUNT IN CENTS OR DOLLARS PER GALLON, OR
  B. THE PRICE OF ONE OR MORE BRANDS OR GRADES OF  MOTOR  FUEL  SOLD  OR
OFFERED  FOR  SALE,  PROVIDED  THE CONDITIONS AND ANY LIMITATIONS OF THE
DISCOUNT OR PRICE OF THE BRAND OR GRADE OF MOTOR FUEL  ARE  INCLUDED  IN
THE  ADDITIONAL ADVERTISING MEDIA IN LETTERS NOT LESS THAN ONE-THIRD THE
SIZE OF THE NUMERALS INDICATING THE DISCOUNT OR PRICE.
  S 4. This act shall take effect on the thirtieth day  after  it  shall
have  become  a  law;  provided that the commissioner of agriculture and
markets is authorized to promulgate any rules and regulations  necessary
to implement this act on or before its effective date.

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