[Federal Register Volume 60, Number 220 (Wednesday, November 15, 1995)]
[Notices]
[Pages 57413-57416]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-28195]



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DEPARTMENT OF ENERGY
Office of Hearings and Appeals


Determination of Excess Petroleum Violation Escrow Funds for 
Fiscal Year 1996

Agency: U.S. Department of Energy, Office of Hearings and Appeals
Action: Notice of Determination of Excess Monies Pursuant to the 
Petroleum Overcharge Distribution and Restitution Act of 1986.

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Summary: The Petroleum Overcharge Distribution and Restitution Act of 
1986 requires the Secretary of Energy to determine annually the amount 
of oil overcharge funds held in escrow that is in excess of the amount 
needed to make restitution to injured parties. Notice is hereby given 
that $19,800,470 of the amounts currently in escrow is determined to be 
excess funds for fiscal year 1996. Pursuant to the statutory directive, 
these funds will be made 

[[Page 57414]]
available to state governments for use in specified energy conservation 
programs.

For Further Information Contact: Thomas O. Mann, Deputy Director, Roger 
Klurfeld, Assistant Director, Office of Hearings and Appeals, U.S. 
Department of Energy, 1000 Independence Avenue, SW., Washington, DC 
20585, (202) 586-2094 [Mann]; (202) 586-2383 [Klurfeld].

Supplementary Information: The Petroleum Overcharge Distribution and 
Restitution Act of 1986 (hereinafter PODRA), contained in Title III of 
the Omnibus Budget Reconciliation Act of 1986, Pub. L. No. 99-509, 
establishes certain procedures for the disbursement of funds collected 
by the Department of Energy (hereinafter DOE) pursuant to the Emergency 
Petroleum Allocation Act of 1973 (hereinafter EPAA) or the Economic 
Stabilization Act of 1970 (hereinafter ESA). These funds, commonly 
referred to as oil overcharge funds, are monies obtained through 
enforcement actions instituted to remedy actual or alleged violations 
of those Acts.
    PODRA requires the DOE, through the Office of Hearings and Appeals 
(hereinafter OHA), to conduct proceedings under 10 CFR Part 205, 
Subpart V, to accept claims for restitution from the public and to 
refund oil overcharge monies to persons injured by violations of the 
EPAA or the ESA. In addition, PODRA requires the Secretary of Energy to 
determine annually the amount of oil overcharge funds that will not be 
required for restitution to injured parties in these refund proceedings 
and to make this excess available to state governments for use in four 
energy conservation programs. This determination must be published in 
the Federal Register within 45 days after the beginning of each fiscal 
year. The Secretary has delegated this responsibility to the OHA 
Director.
    Notice is hereby given that based on the best currently available 
information, $19,800,470 is in excess of the amount that is needed to 
make restitution to injured parties.
    To arrive at that figure, the OHA has reviewed all accounts in 
which monies covered by PODRA are deposited. PODRA generally covers all 
funds now in DOE escrow which are derived from alleged violations of 
the EPAA or the ESA, with certain exclusions. Excluded are funds which 
(1) have been identified for indirect restitution in orders issued 
prior to enactment of PODRA; (2) have been identified for direct 
restitution in a judicial or administrative order; or (3) are 
attributable to alleged violations of regulations governing the pricing 
of crude oil and subject to the settlement agreement in In re The 
Department of Energy Stripper Well Exemption Litigation, M.D.L. No. 378 
(D. Kan., July 7, 1986). As of September 30, 1995, the total in escrow 
subject to the PODRA procedures was $142,608,733.
    The OHA has employed the following methodology to determine the 
amount of excess funds. We took special account of the provision of 
PODRA which directs that ``primary consideration [be given] to assuring 
that at all times sufficient funds (including a reasonable reserve) are 
set aside for making [direct] restitution.'' Thus, in proceedings in 
which refund claims are pending, we have on a claim-by-claim basis 
examined pending claims and established reserves sufficient to pay the 
entire amount of these claims. The reserves also include all refunds 
ordered by the OHA since the end of the last fiscal year on September 
30, 1995, but not yet paid. For proceedings in which all claims have 
been considered or in which no claims have been filed, and the deadline 
for filing claims has passed, all funds remaining are excess. Small 
amounts of interest accrued, until transfer, on funds in accounts that 
were closed (with a zero balance) in the fiscal year 1995 PODRA 
determination (59 F.R. 56485 (1994)) are included as part of the 
``excess'' for fiscal year 1996. Finally, a relatively small amount of 
oil overcharge funds is currently subject to the control of the 
Department's Office of General Counsel, which finds in its accompanying 
determination, as it has found in the past, that none of those funds 
are currently excess. No ``other commitments'' are reflected in the 
reserves.
    As indicated above, the total escrow account equity subject to 
PODRA is $142,608,733. The total amount needed as reserves for direct 
restitution in those cases is $122,808,263. When this figure is 
subtracted from the former, the remainder--$19,800,470--is the amount 
in fiscal year 1996 that is ``in excess'' of the amount that will be 
needed to make restitution to injured persons. Appendix A sets forth 
for each refund case within the OHA's jurisdiction the total amount 
eligible for distribution under PODRA and the ``excess'' amount. 
Appendix B reflects information supplied by the Office of General 
Counsel regarding cases subject to PODRA under its jurisdiction.
    Accordingly, $19,800,470 will be transferred to a separate account 
within the United States Treasury and made available to the States for 
use in the four designated energy conservation programs in the manner 
prescribed by PODRA.

    Dated: November 8, 1995.
George B. Breznay,
Director Office of Hearings and Appeals.

                                                 Appendix A: Excess Amount Available in Fiscal Year 1996                                                
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                                                                                                                        Equity as of                    
                  Name                            OHA Case No.                        Consent Order No.                Sept. 30, 1995   Amount available
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Texaco Inc.............................  KEF-0119                        RTXE006A1Z                                     $32,846,164.95     12,000,000.00
Tesoro Petroleum Corp..................  KEF-0128                        BUBBBBBBBB                                       6,342,036.67      3,000,000.00
Enron Corporation......................  KEF-0116                        730V00221Z                                      24,291,974.49      3,000,000.00
Eason Oil Company......................  LEF-0040                        740S01314Z-                                      6,272,562.76      1,000,000.00
Cumberland Farms Dairy Inc.............  LEF-0068                        120K00497T                                         201,355.38        201,355.38
N C Ginther Company....................  LEF-0060                        710V03022T                                         159,226.03        159,226.03
Dalco Petroleum........................  HEF-0060                        660T00642Z                                          99,639.84         99,639.84
Marathon Petroleum Co..................  KEF-0021                        RMNA00001Z                                          59,045.52         59,045.52
Sunset Blvd Car Wash...................  LEF-0091-                       999K90113T                                          57,375.27         57,375.27
General Equities, Inc..................  HEF-0078                        110H00527Z                                          39,236.78         39,236.78
Mockabee Gas & Fuel Co.................  VEF-0001                        311H00342W                                          81,297.41         20,324.35
Murphy Oil Corporation.................  KEF-0095                        RMUH01983Z                                           9,950.20          9,950.20
Regalia's Chevron Service..............  LEF-0102                        999K90110T-                                          9,766.38          9,766.38
Joe Berube Services....................  LEF-0099                        999K90101T                                           9,113.80          9,113.80
Weber's Chevron Service................  LEF-0108                        999K90119T                                           8,790.34          8,790.34
Hughes Burlingame Shell................  LEF-0110                        999K90100T                                           8,003.59          8,003.59
Tenth Street Chevron...................  LEF-0104                        999K90115T                                           7,798.94          7,798.94

[[Page 57415]]
                                                                                                                                                        
McDowell Exxon.........................  LEF-0100                        999K90104T                                           7,689.72          7,689.72
Elwood Chevron Service.................  LEF-0085                        999K90098T                                           7,589.88          7,589.88
Starr Union Service....................  LEF-0103                        999K90067T                                           7,442.32          7,442.32
Ed Gularte Chevron.....................  LEF-0098                        999K90095T                                           6,851.21          6,851.21
Cutting Shell Service..................  LEF-0097                        999K90091T                                           5,290.83          5,290.83
C J King Chevron.......................  LEF-0109                        999K90089T                                           5,258.44          5,258.44
Aptos Shell............................  LEF-0092                        999K90083T                                           5,040.57          5,040.57
Tom's Coffee Tree Chevron..............  LEF-0105                        999K90116T                                           4,943.13          4,943.13
Bill Wren's Shell......................  LEF-0096                        999K90087T                                           4,796.80          4,796.80
Petaluma Standard Service..............  LEF-0101                        999K90106T                                           4,380.14          4,380.14
Walt's Shell...........................  LEF-0107                        999K90118T                                           3,912.92          3,912.92
Strasburger Enterprises,Inc............  LEF-0014                        400H00219Z                                           3,796.68          3,796.68
Redhill Mobil and Towing...............  LEF-0088                        999K90109T                                           3,788.35          3,788.35
Quintana Energy Corp. et al............  KEF-0131                        650X00356Z                                           3,656.30          3,656.30
Ben's Exxon Service....................  HEF-0512                        999K90085T                                           3,356.74          3,356.74
A-1 Exxon..............................  HEF-0509                        999K90080T                                           3,294.57          3,294.57
Berryesse Chevron......................  LEF-0095                        999K90086T                                           3,221.20          3,221.20
Sandusky's Union Service...............  LEF-0111                        999K90068T                                           3,136.18          3,136.18
Skycrest Shell.........................  LEF-0112                        999K90112T                                           2,470.19          2,470.19
Reinauer Petroleum Company Inc.........  KEF-0110                        240H00492Z                                           2,360.61          2,360.61
Wallace Arco Service...................  LEF-0106                        999K90117T                                           2,269.03          2,269.03
Agway, Inc.............................  KEF-0102                        RTYA00001Z                                           2,107.89          2,107.89
Half Moon Bay Exxon....................  LEF-0087                        999K90099T                                           2,063.25          2,063.25
Ed's Exxon.............................  LEF-0078                        999K90097T                                           2,063.25          2,063.25
Bob's Broadway.........................  LEF-0075                        900Z40056T                                           1,732.74          1,732.74
Alameda Chevron........................  LEF-0093                        999K90081T                                           1,608.89          1,608.89
Milbrae Shell..........................  LEF-0079                        900Z06293T                                           1,453.94          1,453.94
Miles Union Service....................  LEF-0083                        900Z03258T                                             997.58            997.58
Ron's Shell............................  LEF-0084                        900Z10251T                                             954.83            954.83
Alameda Chevron........................  LEF-0093                        900Z06251T                                             881.07            881.07
Quantum Chemical Corporation...........  LEF-0011                        720V01245Z                                             540.05            540.05
Clearview Gulf.........................  LEF-0076                        640Z00670T                                             493.44            493.44
Buchanan Shell Inc.....................  LEF-0081                        900Z10250T                                             464.13            464.13
Crescent Oil Company...................  LEF-0044                        930H00094Z                                             262.89            262.89
Bob Hutchinson, Inc....................  LEF-0080                        900Z02252T                                             224.82            224.82
Jim Campbell Shell.....................  LEF-0082                        900Z03255T                                             160.55            160.55
Automatic Comfort Corp.................  LEF-0005                        110H00519A                                              81.22             81.22
Pete Alijian Chevron...................  LEF-0089                        999K90062T                                              56.77             56.77
Shaw & 99 Chevron......................  LEF-0090                        999K90061T                                              46.91             46.91
Indian Wells Oil Company...............  KEF-0103                        710V02002Z                                              44.97             44.97
Beacon Oil Co..........................  HEF-0203                        910S00008Z                                              13.47             13.47
Exxon Corporation......................  KEF-0087                        REXL00201Z                                              12.22             12.22
Mobil Oil Corporation..................  HEF-0508                        RMOA00001Z                                               9.98              9.98
Edgington Oil Company..................  KEF-0003                        930S00173Z                                               7.25              7.25
Aminoil U.S.A., Inc....................  HEF-0007                        740V01259Y                                               5.40              5.40
Starks Shell Service...................  LEF-0034                        999K90065Z                                               0.99              0.99
Fuel Oil Supply & Terminaling..........  LEF-0037                        650X00284Z                                               0.90              0.90
Fletcher Oil & Refining Comp...........  LEF-0010                        960S00100Z                                               0.84              0.84
Pester Marketing Company...............  KEF-0134                        730S01236Z                                               0.82              0.82
Wallace & Wallace......................  HEF-0190                        240H00399Z                                               0.71              0.71
United Refining Company................  KEF-0132                        340S00445Z                                               0.69              0.69
Northeast Petrol Industry Corp.........  HEF-0580                        6C0X00241Z                                               0.68              0.68
Crown Central Petroleum Corp...........  KEF-0044                        RCWA00000Z                                               0.68              0.68
John R. Adams..........................  ..............................  660H00060Z                                               0.62              0.62
West Coast Oil Company.................  KEF-0142                        961S00028Z                                               0.59              0.59
Sauvage Gas Service Co., Inc...........  KEF-0024                        710H06008Z                                               0.54              0.54
Thomas P. Reidy, Inc...................  KEF-0137                        720H06015Z                                               0.49              0.49
South Hampton Refining.................  HEF-0222                        6E0S00002Z                                               0.49              0.49
Paul Invests & A.B. Holding Co.........  LEF-0006                        400H00231Z                                               0.36              0.36
True Oil Company.......................  HEF-0557                        733V02019Z                                               0.34              0.34
Meadows Realty Company.................  KEF-0133                        910S00001Z                                               0.21              0.21
Elias Oil Company......................  KEF-0022                        412H00105Z                                               0.21              0.21
Diamond Industries, Inc................  KEF-0130                        320H00097Z                                               0.12              0.10
Witco Chemical Corp....................  HEF-0227                        240S00054Z                                         821,970.84  ................
Vessels Gas Processing, Ltd............  VEF-0007                        740V01387W                                       2,199,706.37  ................
Vermont Morgan Corp....................  LEF-0072                        110H00514T                                          22,282.76  ................
SOS Monarch Oil Corp...................  LEF-0066                        240H00498T                                           6,483.36  ................
Skinney's Inc..........................  LEF-0071                        400H00227T                                          17,583.72  ................
Shell Oil Company......................  KEF-0093                        RSHA00001Z                                       5,109,102.39  ................
Reco Petroleum Inc.....................  LEF-0065                        320H00304T                                          29,094.44  ................
Permian Corporation....................  LEF-0035                        650X00246T                                       1,448,669.60  ................

[[Page 57416]]
                                                                                                                                                        
Oasis Petroleum Corp...................  LEF-0007                        940X00217Z                                       1,958,919.08  ................
Metropolitan Petroleum Co., Inc........  LEF-0032                        412H00171Z                                          31,791.08  ................
Maxwell Oil Co.........................  HEF-0125                        000H00425Z                                          16,989.66  ................
MacMillan Oil Company, Inc.............  LEF-0046                        730T00031Z                                         776,412.71  ................
Lampton-Love Inc.......................  LEF-0070                        422T00013T                                          14,268.26  ................
Kickapoo Oil...........................  LEF-0069                        570H00214T                                          44,856.57  ................
Kenny Larson Oil Co....................  HEF-0104                        000H00439W                                          16,698.27  ................
Jedco Inc..............................  VEF-0024                        421K00107W                                           3,900.40  ................
Jaguar Petroleum Inc...................  LEF-0059                        640X00444T                                          70,892.67  ................
Intercoastal Oil Co....................  LEF-0057                        940X00076T                                          31,808.81  ................
Hudson Oil Co., Inc....................  VEF-0011                        740S01258W                                       8,302,081.45  ................
Houston/Pasadena Apache Oil Corp.......  VEF-0022                        BJBBBBBBBB                                          17,586.84  ................
Houma Oil Co...........................  VEF-0023                        640H10422W                                         389,866.49  ................
Gulf States Oil & Refining.............  LEF-0073                        6E0S00057T                                         549,574.45  ................
Gulf Oil Corporation...................  HEF-0590                        RGFA00001Z                                       4,616,812.65  ................
Gratex/Compton Corp....................  VEF-0012                        6A0X00340W                                       2,395,517.65  ................
Good Hope Refineries Inc...............  HEF-0211                        150S00154Z                                       3,580,301.02  ................
Getty Oil Company......................  HEF-0209                        RGEA00001Z                                       5,869,839.59  ................
General Petroleum......................  LEF-0064                        550H00075T                                          25,344.63  ................
G & G Oil Company......................  LEF-0063                        550H00332T                                          53,962.59  ................
Este Oil Company.......................  LEF-0062                        533H00163T                                          69,281.20  ................
Empire Gas Corporation.................  KEF-0048                        720T00521Z                                         494,691.10  ................
E-Z Service Inc........................  LEF-0077                        400H00220T                                         304,476.24  ................
Crude Oil Purchasing Inc...............  LEF-0058                        6A0X00269T                                         103,042.97  ................
Capitol 66 Oil Company.................  LEF-0067                        422H00238T                                          17,327.19  ................
Bell Fuels Inc.........................  LEF-0061                        570H00195T                                          37,338.80  ................
Beacon Bay Enterprises, Inc............  LEF-0074                        999K90120T                                          83,189.99  ................
Atlantic Richfield Co (Arco)...........  HEF-0591                        RARH00001Z                                      18,324,396.18  ................
AOC Acquisition Corporation............  LEF-0003                        RCKH016A1Z                                       9,164,609.23  ................
Anchor Gasoline Corporation............  KEF-0120                        740S01247Z                                       4,973,880.63  ................
                                        ----------------------------------------------------------------------------------------------------------------
    Total..............................  ..............................  ...........................................  142,608,733.83 -     19,800,470.00
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Department of Energy,
    Washington, DC 20585, October 31, 1995.

MEMORANDUM FOR: George B. Breznay, Director, Office of Hearings and 
Appeals.
FROM: Bill J. Eaton, Director, Office of Administration, Office of 
General Counsel.
SUBJECT: GC input for the PODRA section 3003 (c) report.

    My office has reviewed the funds held in escrow as of September 
30, 1995, which have not been petitioned under Subpart V. The 
purpose of the review was to identify funds held in escrow in excess 
of the amounts required to effect restitution to persons or classes 
of persons in accordance with Section 3003 (b)(1) of the Petroleum 
Overcharge Distribution and Restitution Act of 1986 (PODRA). Since 
the amount of funds which will be available and the extent of claims 
which will be filed are not known, the funds currently on deposit in 
the escrow accounts we reviewed are not excess funds for the 
purposes of PODRA.

[FR Doc. 95-28195 Filed 11-9-95; 3:58 pm]
BILLING CODE 6450-01-P