[Federal Register Volume 61, Number 222 (Friday, November 15, 1996)]
[Notices]
[Pages 58545-58547]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-29358]


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DEPARTMENT OF ENERGY
Office of Hearings and Appeals


Determination of Excess Petroleum Violation Escrow Funds for 
Fiscal Year 1997

AGENCY: Office of Hearings and Appeals, U.S. Department of Energy.

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 $29,996,617 of the amounts currently in escrow is determined to be 
excess funds for fiscal year 1997. Pursuant to the statutory directive, 
these funds will be made 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 20585-0107, (202) 426-1492 
[Mann]; (202) 426-1449 [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, Public Law 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, $29,996,617 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

[[Page 58546]]

Energy Stripper Well Exemption Litigation, M.D.L. No. 378 (D. Kan., 
July 7, 1986). As of September 30, 1996, the total in escrow subject to 
the PODRA procedures was $127,538,107
    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 
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, 1996, 
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 1996 PODRA 
determination (60 FR 57413 (1995)) are included as part of the 
``excess'' for fiscal year 1997. No ``other commitments'' are reflected 
in the reserves.
    As indicated above, the total escrow account equity subject to 
PODRA is $127,538,107. The total amount needed as reserves for direct 
restitution in those cases is $97,541,490. When the figure is 
subtracted from the former, the remainder--$29,996,617--is the amount 
in fiscal year 1997 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.
    Accordingly, $29,996,617 will be transferred to a separate account 
within the United States Treasury and made available to the States for 
use in the designated energy conservation programs in the manner 
prescribed by PODRA.

    Dated: November 8, 1996.
George B. Breznay,
Director, Office of Hearings and Appeals.

                                     Appendix A--Amount Available in FY 1997                                    
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                                                                             Equity as of      Amount available 
          Name of firm             Consent Order No.     OHA Case No.     September 30, 1996      under PODRA   
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A-1 Exxon.......................          999K90080T            HEF-0509             $116.15             $116.15
Agway, Inc......................          RTYA00001Z            KEF-0102               74.37               74.37
Alameda Chevron.................          900Z06251T            LEF-0093               30.28               30.28
Alameda Chevron.................          999K90081T            LEF-0093               56.08               56.08
Anchor Gasoline Corporation.....          740S01247Z            KEF-0120        5,241,334.38          600,000.00
AOC Acquisition Corporation.....          RCKH016A1Z            LEF-0003        9,656,790.32                0.00
APTOS Shell.....................          999K90083T            LEF-0092              178.68              178.68
Atlantic Richfield Co (ARCO)....          RARH00001Z            HEF-0591       18,928,646.41        8,000,000.00
Automatic Comfort Corp..........          110H00519A            LEF-0005                2.39                2.39
BEACON Bay Enterprises, Inc.....          999K90120T            LEF-0074           87,662.01           87,662.01
Beacon Oil Co...................          910S00008Z            HEF-0203                0.01                0.01
Bell Fuels Inc..................          570H00195T            LEF-0061           39,345.23                0.00
Ben's Exxon Service.............          999K90085T            HEF-0512              118.42              118.42
Berryesse Chevron...............          999K90086T            LEF-0095              113.57              113.57
Bill Wren's Shell...............          999K90087T            LEF-0096              170.02              170.02
Bob Hutchinson, Inc.............          900Z02252T            LEF-0080                7.29                7.29
Bob's Broadway..................          900Z40056T            LEF-0075               60.25               60.25
Buchanan Shell Inc..............          900Z10250T            LEF-0081               15.28               15.28
C J King Chevron................          999K90089T            LEF-0109              186.37              186.37
Capitol 66 Oil Company..........          422H00238T            LEF-0067           18,257.71                0.00
Clearview Gulf..................          640Z00670T            LEF-0076               16.81               16.81
Crescent Oil Company............          930H00094Z            LEF-0044                7.90                7.90
Crude Oil Purchasing Inc........          6A0X00269T            LEF-0058          108,582.50                0.00
Cumberland Farms Dairy Inc......          120K00497T            LEF-0068            7,185.50                0.00
Cutting Shell Service...........          999K90091T            LEF-0097              187.35              187.35
Dalco Petroleum.................          660T00642Z            HEF-0060            3,555.12            3,555.12
Diamond Industries, Inc.........          320H00097Z            KEF-0130                0.02                0.02
E-Z Service Inc.................          400H00220T            LEF-0077          320,847.15          320,847.15
Eason Oil Company...............          740S01314Z            LEF-0040        5,404,444.77                0.00
Ed Gularte Chevron..............          999K90095T            LEF-0098              243.40              243.40
Ed's Exxon......................          939K90097T            LEF-0078               72.57               72.57
Elwood Chevron Service..........          999K90098T            LEF-0085            3,497.05            3,497.05
Empire Gas Corporation..........          720T00521Z            KEF-0048          521,290.30          520,000.00
Enron Corporation...............          730V00221Z            KEF-0116       22,497,355.02                0.00
Este Oil Company................          533H00163T            LEF-0062           73,005.26                0.00
Exxon Corporation...............          REXL00201Z            KEF-0087                0.01                0.01
G & G Oil Company...............          550H00332T            LEF-0063           56,863.02                0.00
General Equities, Inc...........          110H00527Z            HEF-0078            1,399.00            1,399.00
General Petroleum...............          550H00075T            LEF-0064           26,706.13                0.00
Getty Oil Company...............          RGEA00001Z            HEF-0209        6,185,470.84                0.00
Good Hope Refineries Inc........          150S00154Z            HEF-0211        3,772,819.36                0.00
Gratex/Compton Corp.............          6A0X00340W            VEF-0012        2,524,327.91                0.00
Gulf Oil Corporation............          RGFA00001Z            HEF-0590        3,999,743.57                0.00
Gulf States Oil & Refining......          6E0S00057T            LEF-0073          579,124.84                0.00
Half Moon Bay Exxon.............          999K90099T            LEF-0087               72.57               72.57
Houma Oil Co....................          640H10422W            VEF-0023          410,829.04                0.00
Houston/Pasadena Apache Oil Co..          BJBBBBBBBB            VEF-0022           18,531.10                0.00
Hudson Oil Co Inc...............          740S01258W            VEF-0011        8,748,498.97                0.00

[[Page 58547]]

                                                                                                                
Hughes Burlingame Shell.........          999K90100T            LEF-0110              284.24              284.24
Indian Wells Oil Company........          710V02002Z            KEF-0103                0.51                0.51
Intercoastal Oil Co.............          940X00076T            LEF-0057           33,517.90                0.00
Jaguar Petroleum Inc............          640X00444T            LEF-0059           74,703.35                0.00
Jedco Inc.......................          421K00107W            VEF-0024            4,108.66                0.00
Jim Campbell Shell..............          900Z03255T            LEF-0082                4.98                4.98
Joe Berube Services.............          999K90101T            LEF-0099              323.97              323.97
Kenny Larson Oil Co.............          000H00439W            HEF-0104           17,595.02           10,000.00
Kickapoo Oil....................          570H00214T            LEF-0069           47,267.34                0.00
Lampton-Love Inc................          422T00013T            LEF-0070           15,034.20                0.00
MacMillan Oil Company, Inc......          730T00031Z            LEF-0046          818,160.58          250,000.00
Marathon Petroleum Co...........          RMNA00001Z            KEF-0021            2,106.17            2,106.17
Maxwell Oil Co..................          000H00425Z            HEF-0125           17,901.95                0.00
MdDowell Exxon..................          999K90104T            LEF-0100              273.08              273.08
Metrolpolitan Petroleum Co, Inc.          412H00171Z            LEF-0032           33,499.21           15,189.21
Milbrae Shell...................          900Z06293T            LEF-0079               50.14               50.14
Miles Union Service.............          900Z03258T            LEF-0083               34.58               34.58
Mockabee Gas & Fuel Co..........          311H00342W            VEF-0001           64,975.84           64,975.84
Murphy Oil Corporation..........          RMUH01983Z            KEF-0095              353.76              353.76
N C Ginther Company.............          710V03022T            LEF-0060            5,681.72                0.00
Oasis Petroleum Corp............          940X00217Z            LEF-0007        2,064,262.61                0.00
Permian Corporation.............          650X00246T            LEF-0035        1,526,565.99                0.00
Petaluma Standard Service.......          999K90106T            LEF-0101              155.21              155.21
Pete Alijian Chevron............          999K90062T            LEF-0089                0.75                0.75
Product Tracking--PODRA.........          999DOE005W                 N/A           97,680.57           97,680.57
Quantum Chemical Corporation....          720V01245Z            LEF-0011               18.15               18.15
Quintana Energy Corp et al......          650X00356Z            KEF-0131              129.23              129.23
Reco Petroleum Inc..............          320H00304T            LEF-0065           30,657.64                0.00
Redhill Mobil and Towing........          999K90109T            LEF-0088              133.92              133.92
Regalia's Chevron Service.......          999K90110T            LEF-0102              347.04              347.04
Reinauer Petroleum Company Inc..          240H00492Z            KEF-0110               82.96               82.96
Ron's Shell.....................          900Z10251T            LEF-0084               32.87               32.87
Sandusky's Union Service........          999K90068T            LEF-0111              110.68              110.68
Shaw & 99 Chevron...............          999K90061T            LEF-0090                0.57                0.57
Shell Oil Company...............          RSHA00001Z            KEF-0093        5,383,827.31                0.00
Skinney's Inc...................          400H00227T            LEF-0071           18,527.76                0.00
Skycrest Shell..................          999K90112T            LEF-0112               87.22               87.22
SOS Monarch Oil Corp............          240H00498T            LEF-0066            6,830.58                0.00
Starr Union Service.............          999K90067T            LEF-0103              264.33              264.33
Strasburger Enterprises, Inc....          400H00219Z            LEF-0014              134.10              134.10
Sunset Blvd Car Wash............          999K90113T            LEF-0091            2,046.45            2,046.45
Tenth Street Chevron............          999K90115T            LEF-0104              276.77              276.77
Tesoro Petroleum Corp...........          BUBBBBBBBB            KEF-0128        3,511,758.67        1,500,000.00
Texaco Inc......................          RTXE006A1Z            KEF-0119       21,312,124.70       18,512,124.70
Tom's Coffee Tree Chevron.......          999K90116T            LEF-0105              175.17              175.17
Vermont Morgan Corp.............          110H00514T            LEF-0072           23,479.66                0.00
Vessels Gas Processing, Ltd.....          740V01387W            VEF-0007        2,317,987.42                0.00
Wallace ARCO Service............          999K90117T            LEF-0106               80.08               80.08
Walt's Shell....................          999K90118T            LEF-0107              138.09              138.09
Weber's Chevron Service.........          999K90119T            LEF-0108              312.49              312.49
Witco Chemical Corp.............          240S00054Z            HEF-0227          866,168.40                0.00
    Totals......................                                              127,538,106.89       29,996,617.95
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[FR Doc. 96-29358 Filed 11-14-96; 8:45 am]
BILLING CODE 6450-01-M