S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5698
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                              March 22, 2023
                                ___________
 
 Introduced by M. of A. THIELE, COOK, SANTABARBARA, ZEBROWSKI, McDONOUGH,
   ROZIC,  L. ROSENTHAL,  OTIS -- read once and referred to the Committee
   on Economic Development
 
 AN ACT to amend the general business law, in relation to zone pricing of
   gasoline, and to amend chapter 579 of the laws of 2008,  amending  the
   general business law relating to zone pricing of gasoline, in relation
   to zone pricing for retail motor fuel based on geographic location
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Paragraph (a) of subdivision 1 of  section  399-ee  of  the
 general  business  law is relettered paragraph (a-1) and a new paragraph
 (a) is added to read as follows:
   (A) "ADDITIONAL COSTS" MEANS ALL REPLACEMENT AND TRANSPORTATION  COSTS
 AND TAXES INCURRED.
   §  2.  Paragraph (g) of subdivision 1 of section 399-ee of the general
 business law, as added by chapter 579 of the laws of 2008, is amended to
 read as follows:
   (g) "Relevant geographic market" means the geographic area [of  effec-
 tive competition] WHICH IS SUPPLIED BY THE SAME TERMINAL FACILITY.
   §  3.  Paragraph (m) of subdivision 1 of section 399-ee of the general
 business law, as added by chapter 579 of the laws of 2008, is amended to
 read as follows:
   (m) "Zone  pricing"  means  the  [arbitrary]  ESTABLISHMENT  OF  price
 differences  BASED  ON  THE  GEOGRAPHICAL  LOCATION OF THE RETAIL OUTLET
 within the relevant geographic market, [based on] WITHOUT REGARD TO  the
 posted  terminal price [or] AND ANY ADDITIONAL COSTS where the effect is
 to injure competition.
   § 4. Subdivision 2 of section 399-ee of the general business  law,  as
 added by chapter 579 of the laws of 2008, is amended to read as follows:

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD10348-01-3
 A. 5698                             2
 
              

   2.  No  wholesaler OR DEALER shall engage in zone pricing with respect
 to any motor fuel of like grade or quality, WHICH IS SUPPLIED TO  DEALER
 OPERATED RETAIL OUTLETS.
   §  5.  Subdivision  3 of section 399-ee of the general business law is
 amended by adding a new undesignated paragraph to read as follows:
   NOTWITHSTANDING ANY  RIGHT  OF  ACTION  TO  THE  ATTORNEY  GENERAL  AS
 PROVIDED IN THIS SECTION, A WHOLESALER OR DEALER WHO HAS BEEN INJURED BY
 REASON  OF A VIOLATION OF THIS SECTION MAY BRING AN ACTION IN HIS OR HER
 OWN NAME TO ENJOIN SUCH UNLAWFUL ACT, HOWEVER, NO DAMAGES OF ANY  NATURE
 SHALL BE RECOVERABLE IN SUCH ACTION.
   § 6. Section 2 of chapter 579 of the laws of 2008, amending the gener-
 al business law relating to zone pricing of gasoline, is amended to read
 as follows:
   § 2. Legislative findings and intent. The legislature hereby finds and
 declares  that for the past several years motor fuel prices have greatly
 fluctuated. In some cases, price  fluctuations  are  caused  by  natural
 market  conditions.  In other cases, fluctuations result from artificial
 manipulation of the market. One such artificial pricing manipulation  is
 zone  pricing. Zone pricing is the setting of different wholesale prices
 for retail motor fuel [that operate in different geographic areas] BASED
 ON GEOGRAPHIC LOCATION. Zone pricing increases the price of retail motor
 fuel for certain consumers, leading to inequities  among  consumers  and
 regions  around  the state.   Therefore, the legislature hereby declares
 that while natural market occurrences may lead  to  price  fluctuations,
 artificial  changes  in  motor  fuel prices unfairly harm many consumers
 around the state.
   § 7. This act shall take effect on the thirtieth day  after  it  shall
 have become a law.