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H.R. 1362-SMALL BUSINESS MOTOR FUEL MARKETER PRESERVATION ACT OF 1981

HEARINGS

BEFORE THE

SUBCOMMITTEE ON ENERGY, ENVIRONMENT, AND SAFETY ISSUES AFFECTING SMALL BUSINESS

OF THE

COMMITTEE ON SMALL BUSINESS

HOUSE OF REPRESENTATIVES

NINETY-SEVENTH CONGRESS

FIRST SESSION

79-549 O

WASHINGTON, D.C., MARCH 31 AND APRIL 1, 1981

Printed for the use of the Committee on Small Business

U.S. GOVERNMENT PRINTING OFFICE

WASHINGTON: 1981

NEAL SMITH, Iowa

COMMITTEE ON SMALL BUSINESS

PARREN J. MITCHELL, Maryland, Chairman

JOSEPH P. ADDABBO, New York

HENRY B. GONZALEZ, Texas

JOHN J. LAFALCE, New York
BERKLEY BEDELL, Iowa

FREDERICK W. RICHMOND, New York
HENRY J. NOWAK, New York
THOMAS A. LUKEN, Ohio

ANDY IRELAND, Florida

IKE SKELTON, Missouri

BILLY LEE EVANS, Georgia
CHARLES W. STENHOLM, Texas
ROMANO L. MAZZOLI, Kentucky
NICHOLAS MAVROULES, Massachusetts
GEORGE W. CROCKETT, JR., Michigan
CHARLES HATCHER, Georgia
RON WYDEN, Oregon
DENNIS E. ECKART, Ohio

BYRON L. DORGAN, North Dakota
GUS SAVAGE, Illinois
BUDDY ROEMER, Louisiana
JOHN G. FARY, Illinois

JOSEPH M. McDADE, Pennsylvania
SILVIO O. CONTE, Massachusetts
J. WILLIAM STANTON, Ohio
WILLIAM S. BROOMFIELD, Michigan
DAN MARRIOTT, Utah

LYLE WILLIAMS, Ohio

OLYMPIA J. SNOWE, Maine
DANIEL B. CRANE, Illinois

JOHN HILER, Indiana

DAVID MICHAEL STATON, West Virginia

VIN WEBER, Minnesota

HAL DAUB, Nebraska

CHRISTOPHER H. SMITH, New Jersey
ED WEBER, Ohio

DAVID DREIER, California

GUY V. MOLINARI, New York
MARK D. SILJANDER, Michigan

MAJOR L. CLARK III, Staff Director
THOMAS G. POWERS, General Counsel
LOIS LIBERTY, Publications Specialist
RAYMOND S. WITTIG, Minority Counsel

SUBCOMMITTEE ON ENERGY, ENVIRONMENT, AND SAFETY ISSUES AFFECTING SMALL

BUSINESS

BERKLEY BEDELL, Iowa, Chairman

NICHOLAS MAVROULES, Massachusetts
CHARLES HATCHER, Georgia
DENNIS E. ECKART, Ohio

SILVIO O. CONTE, Massachusetts JOHN HILER, Indiana

MARC H. ROSENBERG, Subcommittee Staff Director
GREGORY S. DOLE, Minority Subcommittee Counsel

1637021

CONTENTS

Ayotte, James R., executive director, Bay State Gasoline Retailers Associ-

ation........

Blum, Jack A., General Counsel, Independent Gasoline Marketers Coun-

cil.........

Coburn, Leonard L., Acting Director, Office of Competition, Office of

Congressional, Intergovernmental, and Public Affairs, Department of

Energy, accompanied by James Delaney and Robert Fenili, Senior

Economists, Office of Competition.........

Columbus, R. Timothy, counsel, Society of Independent Gasoline Mar-

keters of America

Dalziel, Alan, DX dealer, Sunmark Industries, Division of Sun Oil C.,
Cedar Rapids, Iowa.....

Douwsma, William D., Shell service station dealer, Elkhart, Ind...............
Favretto, Richard J., Acting Assistant Attorney General, Antitrust Divi-
sion, Department of Justice....

Goldstein, Louis L., Maryland State Comptroller, accompanied by Arthur
Price, chief of motor fuel inspection and Marvin Bond....
Houston, Jack W., chairman, Government Affairs Committee, Service
Station Dealers of America, accompanied by Jerry Cohen, general coun-
sel..........

Krider, Charles E., associate professor of business administration, Univer-

sity of Kansas, Lawrence, Kans., representing the American Petroleum

Institute...

Metzenbaum Hon. Howard, a U.S. Senator from the State of Ohio, accom-
panied by H. Schwartz...

Mulit, Donald, vice president, Marketing, Chevron, USA, Inc., represent-

ing the American Petroleum Institute..

Nadolski, David L., owner, real estate/insurance agency, Cherokee, Iowa..

Olson, Carl S., vice president, Bay State Gasoline Retailers Association .....

Pester, Jack C., chairman of the board, Pester Corp. and Pester Refining

Co., Des Moines, Iowa, representing Independent Refiners Association

of America....

Potvin, Gregg R., counsel, National Association of Texaco Wholesalers.......
Rowe, Ronald B., Assistant Director, Bureau of Competition, Federal
Trade Commission, accompanied by Marc G. Schildkraut, Deputy As-
sistant Director.......

Tauke, Hon. Thomas J., a Representative in Congress from the State of

Iowa.....

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Thornhill, Robert J., regional vice president, accompanied by Phillip
Chisholm, vice president of legislative affairs, National Oil Jobbers
Council..........

162

Additional material supplea for the nearing record-Continued

Coburn, Leonard L., Acting Director, Office of Competition, Office of
Congressional, Intergovernmental, and Public Affairs, Department of
Energy: Prepared statement and attachments.

Page

66

227

Columbus, R. Timothy, Society of Independent Gasoline Marketers of
America: Prepared statement with attachments..........

Favretto, Richard J., Acting Assistant Attorney General, Antitrust Divi-
sion, Department of Justice: Prepared statement..............

Goldstein, Louis L., Maryland State Comptroller: Prepared statement and

attachment..........

48

Houston, Jack W., chairman, Government Affairs Committee, Service
Station Dealers of America: Prepared statement with attachment
Krider, Dr. Charles E., associate professor of business administration,
University of Kansas, Lawrence, Kans.: Prepared statement with at-
tachment.......

135

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