National Air Toxic Standards For Gasoline Dispensing Facilities (GDF)

National Air Toxic Standards For Gasoline Dispensing Facilities (GDF)

40 CFR 63 Subpart CCCCCC

11

2011 40cfr Plan2011 40cfr Plan

Goal:• Continue 2010 Success on 40cfr Products in 2011

Define:• Current State• The Market by DM• The Opportunities

To Do:• Attack Plan• Generic Action Plan• How do we measure

Dates to RememberDates to Remember

Any GDF built after 11/9/06 has to be upgraded immediately – actually 1/10/08

Any station built after 1/10/08 has to be built to new standards

Every location in US that does more than 100K gallons per month has to be in compliance by 1/10/11

• 100K includes E85

• AST’s are included

Pressure Decay testing every three years along with Pressure Vacuum Vent Testing

CARB TP 201.1, 201.1E & 201.3

33

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Define the Market – Current State• 144,541 C-Stores in US -- downward trend last 2 years• 115,340 sell motor fuels• Average volume is 118,000 gal/mo• Top Ten States for Convenience Stores

• Texas 14,226• California 10,312• Florida 9,223• New York 7,552• Georgia 6,363• North Carolina 6,146• Ohio 5,182• Michigan 4,814• Illinois 4,496• Virginia 4,461

40cfr40cfr Current State Continued

• 62% are single store operators• Washington 78%• Georgia 74%• Louisiana 71%• Mississippi 71%• New Jersey 71%

• Hypermarkets• 79 Hypermarket companies in US • 4,300 locations with average volume of 275, 000 gal/mo• By 2012, five companies will be responsible for 77% of all

hypermarket fuel sales– Wal-Mart/Sam’s Club– Costco– Kroger– Safeway– BJ’s

40cfr40cfr

Current State Challenges• State Approvals Improved from 2010 to 2011• Lack of Enforcement Improved from 2010 to 2011• Pricing Pressure Still an issue with Emco and EBW• Shipping Issues Still a Major concern for 2011• Education Has greatly improved over the year

• Distributor• End User• Contractors• Regulators

• EPA Enforcement Still a major concern. No “hammer” yet

MUTINA-226

EVANS - 207

NELSON – 233

NELSON - 233

WYOMING

COLORADO W. VA

N. CAROLINA

OWEN-204

BRITISH

COLUMBIA

NEWFOUNDLAND

QUEBECONTARIO

ALBERTA

NORTHWEST

TERRITORIES

SASKATCHEWAN

MANITOBA

NOVA SCOTIA

YUKON

HERZOG-303

MARTINEAU-301

AMES - 213

KAMMERER-215

CALIFORNIA

SIMON – 235

HYATT – 236

SCHWARTZ - 230

GILLISPIE-202

POPE – 225

VA

S. CAROLINA

TEXAS

OKLAHOMA

LOUISANA

OPW-FC SALES TERRITORIES

NORTH DAKOTA

WASHINGTON

IOWA

NELSON – 233

MISSISSIPPI

PENN

TENNESSEE

ILLINOISINDIANA

Revised 1-27-09

HEIM-205

KAMMERER-215

ARIZONANEW MEXICO

UTAH

IDAHO

MONTANA

OREGON

NEVADA

HAWAII

ALASKA

SOUTH DAKOTA

MINNESOTA

WISCONSIN

OHIO

NEW YORK

KENTUCKY

MICHIGAN

KANSAS

NEBRASKA

MISSOURI

ALABAMA

GEORGIA

ARKANSAS

NEW JERSEY

DELWARE

MARYLAND

MAINE

N.H.

VT.

MASS.R.I.

CONN.

FLORIDA

MISSISSIPPI

TENNESSEE

ALABAMAGEORGIA

Parrish Evans Parrish Evans

Georgia• 6,363 C-Stores• EVR in 23 Counties• Not Stage 1 in the other 133 counties• Adopted 40cfr 11/28/09

Tennessee• 4,619 C-Stores• Stage 1 in Memphis, Chattanooga,

Knoxville & Nashville only• Begin enforcement in early 2011

Alabama• 5,907 C-Stores• Not Vapor Tight Stage 1• Need more Federal funds to enforce.

Select city enforcement Mississippi

• 3,369 C-Stores (less than 200)• Not Stage 1• Will take over enforcement at some

point, but no air division

Year over Year Changes in Red above

INDIANA

OHIO

KENTUCKY

MICHIGAN

Ed Kammerer Ed Kammerer Michigan

• 4,814 C-Stores• Will begin enforcement 1/10/11• Stage 1

Ohio• 5,182 C-Stores• Leaving enforcement to Regional

EPA• Stage 1

Indiana• 3,058 C-Stores• No plans for enforcement, leaving

to Regional EPA, no possibility of future enforcement

• Stage 1 Kentucky

• 3,317 C-Stores• Have not recognized regulation, no

possibility of future enforcement• Stage 1

ILLINOIS

IOWA

KANSAS

NEBRASKA

MISSOURI

ARKANSAS

Bennett Schwartz Bennett Schwartz

Illinois• 4,496 C-Stores• CARB Stage 1 in 18 counties• Starting enforcement in January 2011

Arkansas• 2,540 C-Stores• Starting enforcement in January 2011

Missouri• 4,094 C-Stores• Stage 1 in Kansas City, St. Louis, & Springfield• Starting enforcement in January 2011

Iowa• 2,700 C-Stores• Starting enforcement in January 2011

Nebraska• 1,541 C-Stores• Starting enforcement in January 2011

Kansas• 2,800 C-Stores• Stage 1 in Wichita, Topeka, & around Kansas

City.• Starting enforcement in January 2011

FLORIDA

Gene PopeGene Pope

Florida• 9,223 C-Stores• Stage 1 currently• No plans to enforce 40cfr

because of a lack of funding from EPA

TEXAS LOUISIANA

TEXAS

OKLAHOMA

LOUISANA

JAY MUTINAJAY MUTINA

Louisiana• 3,594 C-Stores• Stage 1 in Baton Rouge area• No enforcement planned b/c

they believe their laws already exceed

Texas• 14,226 C-Stores• Stage 1 in Eastern Half of Texas

and in El Paso area• Will enforce sometime in 2011.

Oklahoma• 3,900 C-Stores• No Stage 1• Will enforce once rules are

revised. Could be 2012

WASHINGTON

OREGON

R & D MarketingR & D Marketing Washington

• 3,086 C-Stores• Stage 1 & EVR• No enforcement planned for 40cfr• 60% of sites already meet requirements

Oregon• 1,673 C-Stores• Stage 1 and EVR• No enforcement planned for 40cfr• 85% of sites already meet requirements

Alaska• 442 C-Stores• Have adopted 40cfr, deadline 1/10/11• 70% of sites already meet requirements

Hawaii• 362 C-Stores• No enforcement plans• 90% of sites meet requirements

CALIFORNIA

NEVADA

KEITH SIMON KEITH SIMON

California• 10,312 C-Stores• EVR exceeds 40cfr

Nevada• 1,010 C-Stores• Exceeds requirement in Reno

and Las Vegas. No plan for statewide enforcement

W. VIRGINIA

N. CAROLINA

VIRGINIA

S. CAROLINA

MAC OWEN MAC OWEN

South Carolina• 3,682 C-Stores• Has adopted 40cfr, but has little

enforcement capabilities• Not Stage 1

North Carolina• 6,146 C-Stores• Enforced Stage 1 for sites over

50,000 gal/mo• Do not plan on enforcing 40cfr

Virginia• 4,461 C-Stores• No enforcement on 40cfr

West Virginia• 1,450 C-Stores• No enforcement on 40cfr• No Stage 1

PENNSYLVANIA

NEW YORK

NEW JERSEY

DELAWARE

MARYLAND

Scott HeimScott Heim New York

• 7,552 C-Stores• Will adopt sometime in 2011, down to

10,000 gal/yr Pennsylvania

• 4,713 C-Stores• State has no intentions to adopt 40cfr –

let EPA enforce• Stage 1

New Jersey• 3,142 C- Stores• On the books, but not enforcing• Stage 1

Maryland• 2,182 C-Stores• On the books, but only enforcing new

locations Delaware

• 373 C-Stores• On the books and enforces• Stage 1 and Stage 2

MAINE

N.H.VT.

MASS.

R.I.

CONN.

David GillespieDavid Gillespie Maine

• 1,427 C-Stores• Will enforce 40 cfr, but state already requires

most parts• Stage 1

New Hampshire• 914 C-Stores• Stage regulations are more strict than 40cfr

already Vermont

• 616 C-Stores• Will enforce, but most stations already meet

regulations Massachusetts

• 3,835 C-Stores• Will enforce, but state already requires

everything but 623 Connecticut

• 1,530 C-Stores• Will enforce, but state already requires

everything but 623

Rhode Island• 375 C-Stores• Will enforce, but state already requires

everything but 623

WYOMING

COLORADO

ARIZONA

NEW MEXICO

UTAH

IDAHO

MONTANA

Bob HyattBob Hyatt Montana

• 800 C-Stores• Some acceptance, but not enforcement of all

parts & pieces Wyoming

• 575 C-Stores• Do not have the resources to enforce

Colorado• 2,322 C-Stores• Not enforcing 40cfr statewide but enforcing it in

the Denver area. New Mexico

• 1,165 C-Stores• Is moving to enforce 40cfr sometime in the near

future Idaho

• 957 C-Stores• Enforcing 40cfr in 3 counties only. No plans to

enforce statewide Utah

• 1,125 C-Stores• Enforcing 40cfr

Arizona• 2,051 C-Stores• Follows CARB pre-EVR regulations which are

almost equal to 40cfr

NORTH DAKOTA

ILLINOIS

SOUTH DAKOTA

MINNESOTA

WISCONSIN

Bob AmesBob Ames North Dakota

• 788 C-Stores• No plans to enforce 40cfr• No Stage 1

South Dakota• 1,042 C-Stores• State is not enforcing, but Sioux

Falls is by reference Minnesota

• 3,080 C-Stores• No plan to adopt 40cfr, but they are

enforcing by reference Wisconsin

• 4,024 C-Stores• Enforcement of 40cfr now

Illinois• 4,496 C-Stores• CARB Stage 1 in 18 counties• Enforcing 40cfr

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• Top Ten States for Convenience Stores• Texas 14,226 YES• California 10,312 DONE• Florida 9,223 NO• New York 7,552 NO*• Georgia 6,363 YES• North Carolina 6,146 NO• Ohio 5,182 NO*• Michigan 4,814 YES• Illinois 4,496 YES• Virginia 4,461 NO

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What Should Be Our Plan of Attack • Who• What• When

What Should be our Goal for 2011

What Should our Action Plans Be

How Should we Track our Progress

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WHO• Convenience Store News Top 100 that haven’t converted yet• http://csnews.com/csnews/images/pdf/CSN-2009_Top_100_Chart.pdf

• All customers in States that have Approved 40cfr WHAT

• Special Pricing When Necessary• Continued Education to Distributors, End Users and Regulators

WHEN• As quickly as possible, and in conjunction with our other targets

from the Growth Summits• Drive sales for 2011 to make up 2010 sales from large customers• State Association Meetings/Trade Shows

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Action Plans – Generic, not customer specific Track Progress – Proposal• Non SGD Level Action Plan• Quarterly Conference Call with Sales and FCS• Compare 2011 vs 2009 & 2010• Update State Approvals• List of customers doing upgrades by DM• Tie into Accountability Plan for DM’s to add x number

per quarter where applicable• Spec conversion is already tied to quarterly bonus plan

40cfr40cfr

Related Issues• Must have product to ship in less than 5 days• EVR Approved Pressure Vacuum Vent

• Every 623 in EVR areas has to be removed before 5/1/12• 3,500 Stations in GA to be upgraded by 5/1/12