Case No. RF272-79057

August 6, 1997

DECISION AND ORDER

OF THE DEPARTMENT OF ENERGY

Applications for Refund

Names of Petitioners: Morris Hertling & Co., et al.

Date of Filings: July 30, 1990, et al.

Case Numbers: RF272-79057, et al.

This Decision and Order considers and ultimately grants, in whole or in part, 14 Applications for Refund, releasing a total of $139,290 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. 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) The total volume for which refunds are approved in this Decision is 87,056,738 gallons and the sum of the refunds granted is $139,290.

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 $6,097 shall be sent to the representative of two applicants:

McMickle & Edwards

P.O. Box 221145

Memphis, TN 38122

A refund check in the amount of $12,510 shall be sent to the representative of four applicants:

Petroleum Funds, Inc.

P.O. Box 1386

Paris, TN 38242-9986

Checks totalling $120,683 shall be sent to the other applicants listed in the Appendix.

(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: Aigist 6, 1997

(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.


Appendix
CASE NO. APPLICANT CONTACT STREET ADDRESS CITY/STATE VOLUME REFUND
RF272-79057 MORRIS HERTLING & CO. C/O GREGORY SCHIEMER OR REFUND CONSULTANTS P.O. BOX 1380 PARIS, TN 382429986 437,688 $700
RF272-79070 SWITZERLAND OF OHIO I.S.D. C/O LARRY L. BAYLESS OR REFUND CONSULTANTS P.O. BOX 1380 PARIS, TN 382429986 2,012,807 $3,220
RF272-79095 DRIVEWAY SERVICE, INC. C/O DEAN CHADBOURNE OR PETROLEUM FUNDS, INC. P.O. BOX 1380 PARIS, TN 38242 3,867,982 $6,189
RF272-79200 CITY OF UTICA, COMPTROLLER OFF C/O THOMAS B. KEELER OR REFUND CONSULTANTS P.O. BOX 1380 PARIS, TN 382429986 1,500,545 $2,401
RF272-79579 NATIONWIDE HORSE CARRIERS INC. C/O DELORES BISHOP OR MCMICKLE & EDWARDS P.O. BOX 221145 MEMPHIS, TN 38122 3,659,169 $5,855
RF272-94618 W.C. HARGIS & SON, INC. C/O HELEN COY P.O. BOX 351 TERRE HAUTE, IN 478080351 10,864,731 $17,384
RF272-94631 MARCENKO TRUCKING C/O GEORGE MANRCENKO OR WILSON, KELLER & ASSOCIATES P.O. BOX 221145 MEMPHIS, TN 38122 151,357 $242
RF272-94649 GIBSON FARMERS COOPERATIVE C/O LARRY COCHRAN P.O. BOX 497 TRENTON, TN 38382 8,276,274 $13,242
RF272-94650 GREENE FARMERS COOPERATIVE C/O DAVID OOTEN 1414 W. MAIN GREENEVILLE, TN 37743 12,783,963 $20,454
RF272-94670 CO-OP, INC. C/O V. TOLSMA BOX 8 TYNDALL, SD 57066 5,272,032 $8,435
RF272-94671 FARMERS UNION OIL CO. C/O JIM WZNICK P.O. BOX G CAVALIER, ND 58220 13,813,365 $22,101
RF272-94672 AUDRAIN COOPERATIVE ASSN. C/O DAVID REICHERT P.O. BOX 6 THOMPSON, MO 65285 10,817,206 $17,308
RF272-94675 RED CAB, INC. C/O DONALD B. HILTON P.O. BOX 457 BROOKLINE, MA 02146 2,935,801 $4,697
RF272-94693 INGRAM OCEAN SYSTEMS, INC. C/O WILTON T. MCCAY JR. 4100 ONE SHELL SQUARE NEW ORLEANS, LA 70139 10,663,818 $17,062
Totals: 14       87,056,738 $139,290


Last Updated on 8/13/97
By OHA