In reading Lyle's report on the Ethanol Study Committee Notes, I'm not sure what this means. "1. Representative Frevert proposed that the General Assembly establish a motor vehicle fuel standard requiring that, with limited exceptions, motor vehicle fuel contain three- and five-tenths percent oxygen by weight. The proposal was defeated by the Committee." How would they have guaranteed that there were "three- and five-tenths percent oxygen by weight" in motor fuel? Can anyone explain this? Peggy Murdock At 12:48 PM 10/14/99 , you wrote: >Sierrans: > >The following is the summary of minutes from the October 6, 1999, Interim >Legislative Study Committee on Oxygenate Enhancers. I though you might be >interested. > >Lyle Krewson >Sierra Lobbyist > >********************************* > >BRIEFINGS ON RECENT MEETINGS > >INCREASING USE OF MOTOR OXYGENATE ENHANCERS STUDY COMMITTEE >October 6, 1999 > >Background. The Legislative Council established the Increasing Use of >Motor Oxygenate Enhancers Study Committee during the 1999 Legislative >Interim to study issues and make recommendations relating to the sale, >use, and health and environmental effects of oxygenate enhancers contained >in motor fuel. The study is required to include both ethanol and methyl >tertiary butyl ether (MT.BE). > >Overview. The meeting was held in the LeMars Convention Center. The >Committee conducted preliminary business, heard testimony, and adopted >recommendations. > >Petroleum Marketers. Mr. Ron Marr, Managing Director of the Petroleum >Marketers of Iowa, and Ms. Dawn Carlson, Vice President of Member and >Government Relations of the Petroleum Marketers of Iowa, discussed how >retail dealers establish prices for motor vehicle fuel. Ms. Carlson >described a promotional effort by retail dealers to increase the public's >awareness of ethanol blended fuels. > >Oxygenate Enhancers. Mr. Paul Argyropoulous, fuel specialist representing >the American Petroleum Institute, discussed the use of oxygenate >enhancers, including ethanol, in motor vehicle fuel in order to meet >federal environmental standards. Mr. Argyropoulous explained how the >contents of motor vehicle fuel differ in geographic locations of the >country, based on performance needs and the availability of certain >oxygenate enhancers. He recommended that environmental standards be >reached based on performance standards rather than on "mandating" >particular fuel ingredients. > >Pricing Trends. Mr. David Reynolds, Sr. Legislative Analyst of the >Legislative Fiscal Bureau, discussed the pricing of ethanol blended >gasoline in Minnesota. He noted that pricing appears to follow national >trends for motor vehicle fuel generally. > >Discussion. The Committee discussed a number of issues, including the >pricing of motor vehicle fuels, the extent to which tax incentives are >passed along to consumers, the environmental benefits of using ethanol >versus methyl tertiary butyl ether (MTBE), and the economic impact of >using ethanol blended gasoline. > >Recommendations. The Committee considered a number of proposals, including >all of the following: > >1. Representative Frevert proposed that the General Assembly >establish a motor vehicle fuel standard requiring that, with limited >exceptions, motor vehicle fuel contain three- and five-tenths percent >oxygen by weight. The proposal was defeated by the Committee. >2. Co-chairperson Klemme proposed that the General Assembly pass a >resolution requesting that the United States Congress not eliminate the >oxygenate requirement in the Clean Air Act and that Congress and the >Environmental Protection Agency cooperate in order to implement effective >requirements. The proposal was approved by the Committee. >3. Co-chairperson Bartz proposed that a provision contained in Senate >File 400 considered in 1999 by the General Assembly be approved. The >provision would amend Iowa Code section 15.333, which provides for tax >credits for eligible businesses. Specifically, the provision would provide >that if an eligible business provides for the manufacturing of >agricultural commodities into value-added agricultural products, the >business may elect to fully transfer its investment tax credit to another >taxpayer of the state who is a direct participant in the project. The >proposal was approved by the Committee. >4. Co-chairperson Bartz proposed that the remainder of the provisions >in Senate File 400 considered in the 1999 General Assembly be approved. >The provisions would amend Code chapter 214A by prohibiting a person from >offering for sale gasoline other than oxygenated gasoline on a retail >basis. According to the bill, oxygenated gasoline would be required to >have an oxygen content of at least three- and five-tenths percent by >weight. The provisions would eliminate the special tax rate of 19 cents >currently assessed on ethanol blended gasoline. The provisions would also >amend Code chapter 455G by requiring the Iowa Comprehensive Petroleum >Underground Storage Tank Fund Board to establish a program to reimburse >the owner or operator of a site for costs necessary to store and dispense >oxygenated gasoline. The proposal was not approved by the Committee. >5. Co-chairperson Bartz proposed that the General Assembly enact >legislation that would establish a 10 cent differential tax rate between >ethanol blended gasoline and conventional gasoline as set by a commission >established in the legislation. According to Co-chairperson Bartz, the >legislation would also prohibit a retail dealer or wholesale dealer from >selling ethanol blended gasoline for more than the required differential >price. A dealer who sells gasoline in violation of the legislation would >be subject to a two cent penalty for every one cent that the dealer sold >the ethanol blended gasoline above the required differential price. The >proposal was approved by the Committee. >____________________________ >Lyle R. Krewson >6403 Aurora Avenue #3 >Des Moines, IA 50322-2862 >515/276-8947 >515/276-3965 - Fax > >[log in to unmask] >____________________________ >County: Polk County, Iowa >Location: 41:34:36N 93:37:03W >Population (1990): 193187 >____________________________ >- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - To get off >the IOWA-TOPICS list, send any message to: >[log in to unmask] ></blockquote></x-html>