Case No. RC272-00396

November 24, 1998

DECISION AND ORDER

OF THE DEPARTMENT OF ENERGY

Supplemental Order

Name of Petitioner:New York City Health & Hospitals Corporation

Date of Filing:November 18, 1998

Case Numbers:RC272-396

RJ272-67

On June 21, 1989, the Office of Hearings and Appeals (OHA) of the Department of Energy (DOE) issued a Decision and Order granting a refund to New York City Health & Hospitals Corporation (NYCHHC), Case No. RF272-24966, in the Subpart V crude oil refund proceeding. City of New York, et al., Case Nos. RF272-00380, et al. (June 21, 1989). On July 25, 1995, the OHA issued a Decision and Order granting a supplemental refund to NYCHHC. Crude Oil Supplemental Refund Distribution, Case No. RB272-20 (July 25, 1995). For the reasons stated below, we find that we must modify our prior Decisions and Orders.

NYCHHC’s refund application was based on purchases of petroleum products by a number of hospitals and health care centers in New York City. We recently discovered that we have granted crude oil refunds to five hospitals based on purchases for which NYCHHC also received a refund. See Upstate Milk Cooperatives, et al., Case Nos. RF272-95470, et al. (December 11, 1997) (Metropolitan Hospital, Case No. RG272-00186); Whiteside FS, Inc., et al., Case Nos. RG272-200, et al. (July 22, 1996) (Elmhurst Hospital Center, RG272-00271); U.S. Turbine Corp., et al., Case Nos. RG272-205, et al. (July 8, 1996) (Harlem Hospital Center, Case No. RG272-00246); Wilkinson County et al., RF272-86105, et al. (March 3, 1995) (Queens Hospital Center, Case No. RF272- 86131); Pentair, Inc., et al., RF272-26608, et al. (June 20, 1989) (Kings County Hospital Center, Case No. 272-29747); Crude Oil Supplemental Refund Distribution, Case No. RB272-54 (December 13, 1995) (Queens Hospital Center); Crude Oil Supplemental Refund Distribution, Case No. RB272- 56 (October 27, 1995) (Kings County Hospital Center).

The OHA generally requires that applicants who received refunds for duplicate applications remit any crude oil refunds that were incorrectly issued. We therefore will modify the decisions granting both the original and supplemental refunds to NYCHHC to the extent that those refunds were duplicative of the refunds granted to the five hospitals in the above-referenced cases. The total of the original and supplemental refund amounts granted to the five hospitals in the above-referenced cases is $96,832, based on purchases of 60,519,089 gallons of petroleum products. Thus, of the

$483,086 granted to NYCHHC in the original and supplemental refund decisions, we will order that NYCHHC remit $96,832 to the Department of Energy. In addition, the volume granted to NYCHHC must be changed from 301,928,798 gallons to 241,409,709 gallons in the OHA’s database.

It Is Therefore Ordered That:

(1) The Decision and Order issued by the DOE on June 21, 1989, City of New York, et al., Case Nos. RF272-00380, et al., is hereby modified as to New York City Health & Hospitals Corporation, redesignated Case No. RC272-396.

(2) The Decision and Order issued by the DOE on July 25, 1995, Crude Oil Supplemental Refund Distribution, Case No. RB272-20, is hereby modified as to New York City Health & Hospitals Corporation, redesignated RJ272-67.

(3) New York City Health & Hospitals Corporation is directed to remit the sum of $96,832 to the Department of Energy. Payment shall be mailed to the following address:

U.S. Department of Energy

Office of the Controller

P.O. Box 500

Germantown, MD 20874-0500

Payment should be made by check payable to the U.S. Department of Energy and should refer to Case No. RC272-00396. In the event that payment is not made within 30 days of the date of this Decision and Order, interest shall accrue on the amount due at the rate generally assessed by the Department of Energy on overdue receivables. Other charges generally assessed on overdue DOE receivables shall also apply.

(4) The Office of Hearings and Appeals shall modify the approved volume claim for New York City Health & Hospitals Corporation, redesignated Case No. RC272-396, in the OHA database from 301,928,798 gallons to 241,409,709 gallons.

(5) This is a final Order of the Department of Energy.

George B. Breznay

Director

Office of Hearings and Appeals

Date: November 24, 1998