Case No. RK272-05571

March 13, 2000

DECISION AND ORDER

OF THE DEPARTMENT OF ENERGY

Supplemental Order

Name of Petitioner: I.O.I. Systems, Inc.

Case Numbers: RK272-05571

RK272-05572

Date of Filing: November 19, 1999

On January 16, 1990, the Office of Hearings and Appeals (OHA) of the Department of Energy (DOE) issued a Decision and Order to 90 applicants, in the crude oil refund proceeding. See Hyway Concrete Pipe Company, et al., Case Nos. RF272-77401 et al. (January 16, 1990) (Hyway Concrete). In that Decision, this Office granted a refund of $889 to I.O.I. Systems, Inc. (I.O.I. Systems), a construction business located in Houston, Texas (Case No. RF272- 77477, redesignated as RK272-05571), based on purchases of 1,111,013 gallons of refined petroleum products from August 1973 through January 1981 and a per gallon volumetric refund amount of $0.0008.

This Office is in the process of issuing supplemental refunds to all applicants granted refunds in the crude oil proceeding. As we stated in Hyway Concrete, when additional crude oil monies became available, meritorious applicants would receive a share of the additional monies. During our review process for this supplemental refund, we discovered that in July 1990, I.O.I. Systems was granted an additional refund of $645 for purchases of 805,666 gallons of refined petroleum products under Case No. RF272-65822. See Blackwell Land Company, Inc., et al., Case Nos. RF272-65519 et al. (July 27, 1990). Mr. Jack Calvia, II, Treasurer of I.O.I. filed both applications. Each application requested a refund based on purchases for I.O.I. Systems, Inc.

Mr. Calvia has informed us that he believes that the gallonage submitted with the application filed in Case No. RF272-65822 was also submitted in I.O.I. System’s application for Case No. RF272-

77477. Therefore, we find that we granted I.O.I. a duplicative refund. Based on the available information in the files, this Office has decided that the second claim filed by I.O.I. (RF272- 77477) is the more accurate one.(1)

We stated in Ordering Paragraph (3) of Hyway Concrete:

The determinations made in this Decision and Order are based upon the presumed validity of statements and documentary material submitted by the applicants. Any of these determinations may be revoked or modified at any time upon a finding that the basis underlying any refund application is incorrect.

Hyway Concrete, slip. op. at 2. Such remedial action is appropriate here. This Office is therefore rescinding the refund in the amount of $645 that was granted to I.O.I. Systems under Case No. RF272- 65822. Since the supplemental per gallon refund amount ($0.0008) is the same as the prior per gallon refund amount, rather than requiring I.O.I. Systems to repay the duplicative refund, we will subtract that amount ($645) from the supplemental refund to which the firm is entitled ($889) and issue a supplemental refund for the difference ($244). See State of Montana, 25 DOE ¶ 85,059 (1995).

It Is Therefore Ordered That:

(1) The Director of Special Accounts and Payroll, Office of Departmental Accounting and Financial Systems Development, Office of the Controller of the Department of Energy shall take appropriate action to disburse a supplemental refund to the recipient as set forth in ordering Paragraph (2) of this Order.

(2) A Supplemental Refund filed by I.O.I. Systems, Inc., Case No. RF272-77477, redesignated as RK272-05571, is hereby granted in the amount of $244.

(3) The Decision and Order issued by the Department of Energy on July 27, 1990, Blackwell Land Company, Inc., et al., Case Nos. RF272-65519 et al., is hereby rescinded as to I.O.I. Systems, Inc., Case No. RF272-65822, redesignated as RK272-05572.

(4) Any conditions that applied to an applicant’s receipt of the initial crude oil refund shall also apply to that applicant’s receipt of this supplemental refund.

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

George B. Breznay

Director

Office of Hearings and Appeals

Date: March 13, 2000

(1)Both applications filed by I.O.I. were granted based on different gallonage figures. Case No. RF272-77477 received a refund based upon 1,111,013 gallons of refined petroleum products, and Case No. RF272-65822, received a refund based on 805,666 gallons of refined petroleum products.