Case No. RF272-94137

October 14, 1998

DECISION AND ORDER

OF THE DEPARTMENT OF ENERGY

Applications for Refund

Names of Petitioners: Harrison County Road Dept, et al.

Date of Filings: September 26, 1994, et al.

Case Numbers: RF272-94137, et al.

This Decision and Order considers and ultimately grants, in whole or in part, 14 Applications for Refund, releasing a total of $122,892 in the Subpart V crude oil refund proceeding. The names of the 14 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 all 14 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. Twelve of the 14 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 applicant’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 76,807,240 gallons and the sum of the refunds granted is $122,892.

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 after the resolution of a few outstanding enforcement proceedings whether sufficient funds are available for additional refunds.

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 or their representatives listed in the Appendix. A refund check in the amount of $115,412 shall be sent to the representative of 12 applicants:

Energy Refunds, Inc.

31 Small Lane

Hardin, KY 42048

Checks totaling $7,480 shall be sent to the representative of the other applicants listed in the Appendix:

Wilson, Keller & Associates

P.O. Box 221145

Memphis, TN 38122

(3) To facilitate the payment of 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 14, 1998

Case Number

Applicant

Address

Volume

(gallons)

Refund Amount

RF272-94616

Alma Farmers Union Co-op

.

P.O. Box 4481

Alma, WI 54610

11,642,639

$18,628

RF272-94663

Farmers Coop. Association or

Energy Refunds, Inc.

31 Small Lane

Hardin, KY

42048

1,425,051

2,280

RF272-94669

Schaeffer Manufacturing Co.

102 Barton St.

St. Louis, MO 63104

8,689,750

13,904

RF272-94688

Decatur Farmers Coop. or Energy Refunds Inc.

31 Small Lane Hardin, KY 42048

1,099,528

1,759

RF272-94696

Forestberg Farmers Elevators Co. or Energy Refunds, Inc.

31 Small Lane

Hardin, KY 42048

1,826,819

2,923

TOTAL

5 Applicants

24,683,787

$39,494

(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: Farmers Elevator Co., Case No. RF272-94654 (1%); Coffee Farmers Coop., Case No. RF272-94656 (2%); United Co-op Inc., Case No. RF272-94657 (2%); Haywood Farmers Coop., Case No. RF272-94655 (15%); Farmers Co-op Trading Co., Case No. RF272-94658 (1%); Blount/Greenback Farmers Co-op, Case No. RF272-94659 (4%); Hardin Farmers Cooperative, Case No. RF272-94660 (3%); Cocke Farmers Cooperative, Case No. RF272-94661 (2%); Bradley Farmers Cooperative, Case No. RF272-94662 (5); Knox Farmers Cooperative, Case No. RF272-94664 (10%); Dyer/Lauderdale Farmers, Inc., Case No. RF272-94666 (1%); Rutherford Farmers Cooperative, Case No. RF272-94667 (1%).

Appendix
CASE NO.APPLICANT CONTACTSTREET ADDRESSCITY/STATE VOLUMEREFUND
RF272-94137 HARRISON COUNTY ROAD DEPT.C/O D. GILLESPIE OR WILSON, KELLER & ASSOCIATESP.O. BOX 221145MEMPHIS, TN 38122 1,030,864 $1,649
RF272-94641 CENTEX REAL ESTATEC/O RENEE WALES OR WILSON, KELLER & ASSOCIATESP.O. BOX 221145MEMPHIS, TN 38122 3,644,360 $5,831
TOTALS: 2       4,675,224 $7,480
             
             
CASE NO.APPLICANT FIRM CONTACT VOLUME REFUND  
RF272-94654 FARMERS ELEVATOR CO.OR ENERGY REFUNDS, INC.C/O FLOYD GREEN5,700,475 $9,121  
RF272-94655 HAYWOOD FARMERS COOPERATIVEOR ENERGY REFUNDS, INC.C/O TERRY KELLY4,606,701 $7,371  
RF272-94656 COFFEE FARMERS COOPERATIVEOR ENERGY REFUNDS, INC.C/O SAMMY YOUNG4,820,067 $7,712  
RF272-94657 UNITED CO-OP, INC.OR ENERGY REFUNDS, INC.C/O ALAN TERRY3,996,503 $6,394  
RF272-94658 FARMERS CO-OP TRADING CO.OR ENERGY REFUNDS, INC.C/O LLOYD LEE12,103,139 $19,365  
RF272-94659 BLOUNT/GREENBACK FARMERS CO-OPOR ENERGY REFUNDS, INC.C/O BUTCH LOGGINS6,060,448 $9,697  
RF272-94660 HARDIN FARMERS COOPERATIVEOR ENERGY REFUNDS, INC.C/O DAN BARNHILL4,149,743 $6,640  
RF272-94661 COCKE FARMERS COOPERATIVEOR ENERGY REFUNDS, INC.C/O PHILLIP HAWK4,149,938 $6,640  
RF272-94662 BRADLEY FARMERS COOPERATIVEOR ENERGY REFUNDS, INC.C/O MR. ROBERTS3,597,706 $5,756  
RF272-94664 KNOX FARMERS COOPERATIVEOR ENERGY REFUNDS, INC.C/O JOHN CRAWFORD4,727,936 $7,565  
RF272-94666 DYER/LAUDERDALE FARMERS, INC.OR ENERGY REFUNDS, INC.C/O STAN ANDERSON6,676,116 $10,682  
RF272-94667 RUTHERFORD FARMERS COOPERATIVEOR ENERGY REFUNDS, INC.C/O BILL BRACY11,543,244 $18,469  
TOTALS: 12     72,132,016 $115,412  
             


Last Updated on 9/18/98
By OHA