Case No. RF272-94395

October 26, 2001

DECISION AND ORDER

OF THE DEPARTMENT OF ENERGY

Applications for Refund

Names of Petitioners: Tony Vullo, Inc., et al.

Date of Filings: March 1, 1993, et al.

Case Numbers: RF272-94395, et al.

This Decision and Order considers and ultimately grants, in whole or in part, three Applications for Refund, releasing a total of $66,195 in the Subpart V crude oil refund proceeding. The names of the Applicants are set forth in the Appendix to this Decision and Order. Each Applicant purchased refined petroleum products during the period August 19, 1973 through January 27, 1981 and each has requested a refund from crude oil monies available for disbursement by the Office of Hearings and Appeals of the Department of Energy (DOE) pursuant to the Statement of Modified Restitutionary Policy In Crude Oil Cases, 51 Fed. Reg. 27899 (August 4, 1986). Each Applicant relies on the presumption of injury for end-users as the basis for its refund claim. Under this presumption, OHA will presume applicants were injured if they were end-users of petroleum products and were not covered by the DOE or its predecessors’ price controls. City of Columbus, Georgia, 16 DOE ¶ 85,550 (1987).

We have reviewed the information submitted by the applicants and determined that each was an end- user of eligible petroleum products. Each of the applicants listed in the Appendix derived its purchase volume claim by consulting actual records or by using reasonable estimation techniques. Two of the applicants listed in the Appendix are agricultural cooperatives. Each application is based on petroleum products that the cooperative purchased for resale to the farmers who were its members. We regard a refund application filed by a cooperative that resold petroleum products to its members as a claim filed on behalf of the members themselves. Farmers Union Oil Co., 17 DOE ¶ 85,464 (1988). A cooperative can thus claim the presumption of end-user injury to the extent that its members were end-users. Each cooperative has certified that it will pass through any refund received to its members. Consequently, on this basis we will grant a refund to these cooperatives based on products resold to members.

After considering each Application carefully, we have concluded that refunds are warranted for the purchase volumes and in the amounts set forth in the Appendix attached to the Decision. (1) We have reduced each cooperative’s approved gallonage claim by the percentage of petroleum sales to non-members during the refund period. (2) The total volume for which refunds are approved in this Decision is 41,371,612 gallons and the sum of the refunds granted is $66,195.

The final deadline for the crude oil proceeding was June 30, 1995. It is the current policy of the DOE to pay eligible crude oil refund claimants at the rate of $0.0016 per gallon. We will decide, as we near the resolution of the remaining open claims, whether any further payment is appropriate.

It Is Therefore Ordered That:

(1) The Applications for Refund filed by the claimants listed in the Appendix to this Decision and Order for all available crude oil overcharge funds are hereby approved as set forth in Paragraph (2) below.

(2) 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 the refund amounts set forth in the Appendix to this Decision and Order from the DOE deposit fund escrow account maintained at the Department of the Treasury denominated Crude Tracking-Claimants IV, Account No. 999DOE010Z, to the applicants listed in the Appendix. Checks totaling $66,195 shall be sent to the applicants at the addresses listed in the Appendix.

(3) To facilitate the payment of any future refunds, the applicants shall notify the Office of Hearings and Appeals in the event that there is a change in its address, or if an address correction is necessary.

Such notification shall be sent to:

Director of Management Information

Office of Hearings and Appeals

Department of Energy

1000 Independence Avenue, S.W.

Washington, D.C. 20585-0107

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

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

George B. Breznay

Director

Office of Hearings and Appeals

Date: October 26, 2001

(1)Interested parties were given an opportunity to submit comments regarding individual crude oil refund applications. No such comments were filed with respect to any application involved in this determination.

(2)Following are the names of the cooperatives and in parentheses the percentages sold to non- members: Dimmitt Consumer Fuel Association, Case No. RF272-94613 (2%); Cooperative Oil Company, Case No. RF272-94628 (0%).

Appendix

CASE NO. APPLICANT CONTACT ADDRESS CITY/STATE VOLUME REFUND
RF272-94395TONY VULLO, INC. C/O SARAH VULLO  24456 DIAMOND RD. PORT SULPHUR, LA 700832153166,148 $266
RF272-94613DIMMITT CONSUMER FUEL ASSN.C/O DANNY RICE  608 W. LEE ST.DIMMITT, TX 79027    12,958,165 $20,733
RF272-94628COOPERATIVE OIL CO. C/O RON JURGENS  310 LOGANHOLDREGE, NE 68949    28,247,299 $45,196
TOTALS:3       41,371,612 $66,195