With the negotiations surrounding an extension of the Highway Bill coming to a close, NPGA reports that one of its legislative priorities is included in the three month extension-excise tax equalization. After being included in the House-passed five month extension on July 15, some uncertainty remained as to whether this provision would be included in the legislation that ultimately becomes law. That uncertainty ended when Congress passed the extension bill, H.R. 3236, with the provision intact. Excise tax equalization alters the calculation for the excise tax levied against propane used as an auto fuel to be based on an energy content rather than the current volumetric calculation. Due to the lower energy content of propane compared to gasoline, this will result in lower excise taxes...

On July 15, 2015, the House of Representatives passed a five-month extension of the Highway Bill, H.R. 3038, by a large, bipartisan margin. The excise tax equalization provision, one of the National Propane Gas Association’s (NPGA) legislative priorities for this year is included in the bill. Excise tax equalization alters the calculation for the excise tax levied on propane used as an auto fuel to be based on an energy content basis, rather than the current volumetric calculation. The Highway Bill also adjusted the calculation for liquefied natural gas. There are still several steps that need to happen before this provision becomes law. Currently, House and Senate leaders appear to be at an impasse on how to best handle the looming expiration of federal highway...

The Wisconsin Propane Gas Association (WPGA) announced that Emma Shultz has been named the Interim Executive Director. Shultz previously served as WPGA’s Executive Assistant.“It has been a pleasure getting to know everyone over the past several years and I am honored to have the opportunity to continue my work with the Wisconsin Propane Gas Association in this new capacity,” Shultz said. “I’m dedicated to making sure that the Association thrives, programs flourish, and that each member of the WPGA feels that there is value in everything that we do. The work that the WPGA does is needed now more than ever and I look forward to being part of this exciting new chapter!” Shultz also manages the activities and programs of the Wisconsin Propane Education...

Leading Florida Propane Company Installs TankLink to Improve Delivery Efficiency and Customer Service TankLink, a wireless remote tank monitoring and tank data analytics company recently announced that South Florida Gas Company has chosen TankLink to provide remote monitoring and analytics for over 1000 underground residential propane tanks. TankLink was selected to help meet South Florida Gas’ complex needs involving technology advances, communication challenges and cost-effective monitoring hardware leading to cost reductions for the customer. South Florida Gas supplies many upscale residential neighborhoods, often second homes, where the propane tank (used for heating pools/spas, outdoor cooking and home heating) is underground. Any equipment attached to the tank must be installed under the cover for easy installation and access, and for protection, but it still has to...

Marathon Petroleum Corp. (MPC; Findlay, Ohio) said July 13 that its midstream master limited partnership, MPLX LP, had signed a merger agreement with MarkWest Energy Partners LP (Denver) whereby MarkWest would become a wholly owned subsidiary of MPLX. The merger would be a unit-for-unit transaction, generally expected to be tax-free, plus a one-time cash payment to MarkWest unit holders. The deal is valued at about $20 billion, including assumption of debt of about $4.2 billion. MarkWest owns and operates midstream service businesses in several liquids-rich natural gas resource plays in the U.S. and is a major processor of natural gas and one of the largest processors and fractionators in the Marcellus and Utica shale regions. “This combination is a significant step in executing MPC’s strategy...

Most propane businesses, excluding the majors, are family businesses. With four generations involved with the operations, communications and the ability to work together can be challenging. The four generations are: the traditionalists, the baby boomers, the Generation X-ers, and Generation Y-ers or millennials. Soon a fifth, the Generation Z-ers, will be joining the workforce. Getting all these different generations to work together as a cohesive team is one challenge facing business owners, but how to transition the ownership of the business is a greater concern. And what is the “right” answer — sell to a third party, or pass the company to the next generation? Owners are facing both questions. Tamera Kovacs of Propane Resources spoke about the changing family dynamic of propane businesses in a presentation...