California Legislature—2015–16 Regular Session

Assembly Bill No. 808

Introduced by Assembly Member Ridley-Thomas

February 26, 2015

An act to amend Sections 13405, 13410, 13413, 13420, 13421, 13440, 13440.5, 13442, 13450, 13470, 13470.5, 13471, 13472, 13477, 13480, 13481, 13482, 13485, 13486, 13500, 13501, 13502, 13530, 13531, 13532, 13535, 13550, 13570, 13590, 13591, 13592, 13595, 13600, 13700, 13710, 13711, and 13741 of, to amend the headings of Chapter 14 (commencing with Section 13400) of, Article 5 (commencing with Section 13440) of Chapter 14 of, Article 5.5 (commencing with Section 13446) of Chapter 14 of, Article 6 (commencing with Section 13450) of Chapter 14 of, Article 8 (commencing with Section 13470) of Chapter 14 of, and Article 13 (commencing with Section 13550) of Chapter 14 of, Division 5 of, to repeal Sections 13401, 13402, and 13403 of, and to repeal and add Sections 13400, 13404, and 13446 of, the Business and Professions Code, relating to automotive fuels and products.

LEGISLATIVE COUNSEL’S DIGEST

AB 808, as introduced, Ridley-Thomas. Automotive fuels and products.

(1) Existing law regulates the sales of motor vehicle fuels and lubricants. Existing law requires the Department of Food and Agriculture to establish standards for motor vehicle fuels and other petroleum products that are offered for sale in the state and requires the department, through the Division of Measurement Standards to enforce regulations and standards for motor vehicle fuels and lubricants. A violation of this law and those regulations and standards is a crime.

This bill would revise and recast those provisions and would additionally subject the retail sale of electricity for the purposes of transferring electricity to, or storing onboard electricity, an electric vehicle primarily for the purpose of propulsion and other alternative fuels. The bill would authorize the department to establish interim specification for alternative fuels, as defined, until specified conditions are met. The bill would require the Secretary of Food and Agriculture to establish the method of sale of motor vehicle fuels and lubricants sold at retail to the public.

(2) Existing law makes it unlawful for a person to sell or distribute engine oil or axle and manual transmission lubricant unless the SAE/API service classification is conspicuously marked on each container. A violation of this requirement is a crime.

This bill would also require the product to conform to a specified classification or specification. The bill would require that, whenever the motor oil does not meet an active API service category, each sign or label bear a plainly visible cautionary statement in compliance with SAE J183 Appendix A.

(3) Existing law regulates the sale of automotive products, such as engine coolant and antifreeze. Existing law requires the department to establish specification for those products. Existing law deems an automatic transmission fluid as mislabeled under certain conditions. A violation of regulations governing the sale of automotive products is a crime.

This bill would revise and recast those provisions and would additionally deem an automatic transmission fluid to be mislabeled if the container and carton do not bear a lot or batch number on the label identifying the container lot or batch. The bill would require the secretary to establish the method of sale of diesel exhaust fluid sold at retail to the public. The bill would authorize the sealer to take samples reasonably necessary for enforcement purposes under certain conditions. The bill would require manufacturers or packagers of automotive products, upon request, to provide to a duly authorized representative of the department documentation of claims made on their products.

(4) This bill would make conforming and nonsubstantive changes.

(5) Because a violation of the above provisions is a crime, this bill would impose a state-mandated local program.

(6) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

SECTION 1.  

The heading of Chapter 14 (commencing with
Section 13400) of Division 5 of the Business and Professions Code
is amended to read:

 

Chapter  14. begin delete Petroleum and Hydrogen end delete Fuels begin insert and
Lubricants end insert

 

SEC. 2.  

Section 13400 of the Business and Professions Code
is repealed.

begin delete

13400.  

“Advertising medium,” as used in this chapter, includes
banner, sign, placard, poster, streamer, and card.

end delete

SEC. 3.  

Section 13400 is added to the Business and Professions
Code, to read:

13400.  

For purposes of this chapter, the following terms mean
the following:

(a) “Advertising medium” includes banner, sign, placard, poster,
streamer, and card.

(b) “Alternative fuels” means any of the following:

(1) “Biodiesel,” which is a fuel comprised of monoalkyl esters
of long chain fatty acids derived from plant or animal matter that
meets the requirements of American Society for Testing and
Materials (ASTM) International Standard Specification D6751
“Standard Specification for Biodiesel Fuel Blend Stock (B100)
for Middle Distillate Fuels.”

(2) “Biodiesel blend,” which is a fuel consisting of biodiesel
mixed with diesel fuel that meets the requirements of ASTM
International Standard Specification D7467 “Standard Specification
for Diesel Fuel Oil and Biodiesel Blend (B6 to B20).”

(3) “Dimethyl ether,” which is an organic compound meant for
combustion in compression-ignition engines that meets the
requirements of dimethyl ether prescribed in this chapter.

(4) “Electricity,” which is electrical energy transferred to, or
stored onboard, or both transferred to and stored onboard, an
electric vehicle primarily for the purpose of propulsion.

(5) “Ethanol,” which is denatured motor fuel ethanol meeting
the requirements of ASTM International Standard Specification
D4806 “Standard Specification for Denatured Fuel Ethanol for
Blending with Gasolines for Use as Automotive Spark-Ignition
Engine Fuel.”

(6) “Ethanol fuel blend,” which is a motor vehicle fuel consisting
primarily of ethanol mixed with gasoline meeting the standards
prescribed by this chapter.

(7) “Hydrogen,” which is a fuel consisting of molecular
hydrogen intended for consumption in a surface vehicle or
electricity production device with an internal combustion engine
or fuel cell that meets the standards for hydrogen prescribed by
this chapter.

(8) “Methanol fuel blend,” which is a motor vehicle fuel
consisting primarily of methanol mixed with gasoline meeting the
standards prescribed by this chapter.

(9) “Natural gas,” which is a gaseous mixture of hydrocarbon
compounds consisting of primarily methane in the form of a
compressed gas or a cryogenic liquid intended for use as a motor
vehicle fuel.

(10) “Propane,” which is a liquefied petroleum gas intended for
use as a motor vehicle fuel and meeting the standards prescribed
by this chapter.

(11) Any other fuel intended for use as a motor vehicle fuel that
the Secretary of Food and Agriculture determines is an alternative
fuel.

(c) “Automotive spark-ignition engine fuel” means a product
used for the generation of power in a spark-ignition internal
combustion engine.

(d) “Compression-ignition engine fuel” means a product used
for the generation of power in a compression-ignition internal
combustion engine.

(e) “Developmental engine fuel” means an experimental
automotive spark-ignition engine fuel or compression-ignition fuel
that does not meet standards established by this chapter but has
characteristics that may lead to an improved fuel standard or the
development of an alternative fuel standard.

(f) “Diesel fuel” means a hydrocarbon oil meant for combustion
in compression-ignition engines offered for sale that meets the
standards for diesel fuel prescribed by this chapter.

(g) “Engine fuel” means any gasoline, diesel, or alternative fuel
used for the generation of power in an internal combustion engine
or fuel cell in a motor vehicle, or electrical power delivered
conductively or inductively to an electric motor in electric or
plug-in hybrid vehicles. “Motor fuel” means “engine fuel” when
that term is used in this chapter.

(h) “Fuel oil” means any lubricant offered for sale that meets
the standards for fuel oil prescribed by this chapter.

(i) “Gasoline” means a volatile mixture of liquid hydrocarbons,
generally containing small amounts of additives, suitable for use
as a fuel in a spark-ignition internal combustion engine.

(j) “Gasoline-oxygenate blend” means a fuel consisting primarily
of gasoline along with a substantial amount of one or more
oxygenates. For purposes of this subdivision, “substantial amount”
means more than 0.35 mass percent oxygen or, if methanol is the
only oxygenate, more than 0.15 mass percent oxygen.

(k) “Kerosene” means a fuel offered for sale that meets the
standards for kerosene prescribed in this chapter.

(l) “Lubricant” means a lubricating oil or other substance that
reduces friction and wear between moving parts within an engine
and other motor vehicle components.

(m) “Lubricating oil” means motor oil, engine lubricant, engine
oil, lubricating axle oil, gear oil, or manual transmission fluid.

(n) “Manufacturer” means manufacturer, refiner, producer, or
importer.

(o) “Motor oil” or “engine oil” means an oil that reduces friction
and wear between the moving parts within an internal combustion
engine and also serves as a coolant.

(p) “Motor vehicle fuel” means an engine fuel intended for
consumption in, including, but not limited to, an internal
combustion engine, fuel cell, or electric motor to produce power
to self-propel a vehicle designed for transporting persons or
property on a public street or highway.

(q) “Octane number” or “antiknock index number,” when used
in this chapter, means that number assigned to a spark ignition
engine fuel that designates the antiknock quality. The “octane
number” or “antiknock index number” shall be determined
according to the ASTM International method or methods
designated in the latest ASTM International Standard Specification
D-4814.

(r) “Oxygenate” means an oxygen-containing ashless organic
compound, such as an alcohol or ether, that can be used as a fuel
or fuel supplement.

(s) “Renewable diesel fuel” means a diesel fuel derived from
nonpetroleum renewable resources.

(t) “Sell” or any of its variants means attempt to sell, offer for
sale or assist in the sale of, permit to be sold or offered for sale or
delivery, offer for delivery, trade, barter, or expose for sale.

(u) “Standard test,” as used in this chapter, means test conducted
in accordance with the latest published standard adopted by ASTM
International.

SEC. 4.  

Section 13401 of the Business and Professions Code
is repealed.

begin delete

13401.  

(a) “Sell” or any of its variants means attempt to sell,
offer for sale or assist in the sale of, permit to be sold or offered
for sale or delivery, offer for delivery, trade, barter, or expose for
sale.

(b) “Manufacturer” means manufacturer, refiner, producer, or
importer.

(c) “Petroleum products” means gasoline, diesel fuel, liquefied
petroleum gas only when used as a motor fuel, kerosene, thinner,
solvent, liquefied natural gas, pressure appliance fuel, or white
gasoline, or any motor fuel, or any oil represented as engine
lubricant, engine oil, lubricating or motor oil, or any oil used to
lubricate transmissions, gears, or axles.

(d) “Barrel,” when applied to petroleum products, consists of
42 gallons.

(e) “Oil” means motor oil, engine lubricant, engine oil,
lubricating oil, or oils used to lubricate transmissions, gears, or
axles.

(f) “Motor oil” means engine oil, engine lubricant, or lubricating
oil.

(g) “Gasoline” means a volatile mixture of liquid hydrocarbons,
generally containing small amounts of additives, suitable for use
as a fuel in spark-ignition internal combustion engines.

(h) “Engine fuel” means any liquid or gaseous matter used for
the generation of power in an internal combustion engine or fuel
cell. “Motor fuel” means “engine fuel” when that term is used in
this chapter.

(i) “Motor vehicle fuel” means any product intended for
consumption in an internal combustion engine or fuel cell to
produce the power to self-propel a vehicle designed for transporting
persons or property on a public street or highway.

(j) “Diesel fuel” means any petroleum product offered for sale
which meets the standards prescribed for diesel fuel by this chapter.

(k) “Kerosene” means any petroleum product offered for sale
which meets the standards prescribed for kerosene by this chapter.

(l) “Fuel oil” means any petroleum product offered for sale
which meets the standards prescribed for fuel oil by this chapter.

(m) “Automotive spark-ignition engine fuel” means any product
used for the generation of power in a spark-ignition internal
combustion engine.

(n) “Compression-ignition engine fuel” means any product used
for the generation of power in a compression-ignition internal
combustion engine.

(o) “Gasoline-oxygenate blend” means a fuel consisting
primarily of gasoline along with a substantial amount of one or
more oxygenates. For purposes of this section, “substantial amount”
means more than 0.35 mass percent oxygen or, if methanol is the
only oxygenate, more than 0.15 mass percent oxygen.

(p) “Oxygenate” means an oxygen-containing, ashless, organic
compound such as an alcohol or ether, which can be used as a fuel
or fuel supplement.

(q) “Developmental engine fuel” means any experimental
automotive spark-ignition engine fuel or compression-ignition fuel
which does not meet current standards established by this chapter
but has characteristics which may lead to an improved fuel standard
or the development of an alternative fuel standard.

(r) “Hydrogen” means a fuel composed of the chemical
hydrogen intended for consumption in an internal combustion
engine or fuel cell.

end delete

SEC. 5.  

Section 13402 of the Business and Professions Code
is repealed.

begin delete

13402.  

“Standard test,” as used in this chapter, means test
conducted in accordance with the latest published standard adopted
by the American Society for Testing and Materials.

end delete

SEC. 6.  

Section 13403 of the Business and Professions Code
is repealed.

begin delete

13403.  

“Octane number” or “antiknock index number,” when
used in this chapter, means that number assigned to a spark ignition
engine fuel that designates the antiknock quality. The “octane
number” or “antiknock index number” shall be determined
according to the ASTM International method or methods
designated in the latest ASTM International Standard Specification
D-4814.

end delete

SEC. 7.  

Section 13404 of the Business and Professions Code
is repealed.

begin delete

13404.  

(a) The sale of compressed natural gas by persons who
sell compressed natural gas at retail to the public for use only as
a motor vehicle fuel, and who are exempted from public utility
status by subdivision (f) of Section 216 of the Public Utilities Code,
is a sale of a motor fuel for the purposes of this chapter.

(b) Compressed natural gas sold at retail to the public for use
as a motor vehicle fuel shall be sold in a gasoline gallon equivalent
that shall be equal to 126.67 cubic feet, or 5.66 pounds, of
compressed natural gas, measured at the standard pressure and
temperature, described in Section 8615 of the Revenue and
Taxation Code.

(c) Liquefied natural gas sold at retail to the public for use as a
motor vehicle fuel shall be sold in a diesel gallon equivalent that
shall be equal to 6.06 pounds of liquefied natural gas.

end delete

SEC. 8.  

Section 13404 is added to the Business and Professions
Code, to read:

13404.  

The secretary shall establish the method of sale of motor
vehicle fuels and lubricants sold at retail to the public. In doing
so, the secretary shall adopt, by reference, the latest method of sale
for motor vehicle fuels and lubricants adopted by the National
Conference on Weights and Measures and published in the National
Institute of Standards and Technology Handbook 130 “Uniform
Laws and Regulations in the Areas of Legal Metrology and Engine
Fuel Quality,” except as specifically modified, amended, or rejected
by the secretary. In the absence of national standards, the secretary
may adopt interim standards of method of sale until the time when
the standards are adopted by the National Conference on Weights
and Measures.

SEC. 9.  

Section 13405 of the Business and Professions Code
is amended to read:

13405.  

(a) The begin delete Department of Food and Agriculture end delete
begin insert department end insert may grant a variance from the specifications of this
chapter for developmental engine fuels if all of the following
conditions apply:

(1) Variances may only be granted to provide for the
development of information under controlled test conditions to
assist in the creation of chemical and performance standards for
engine fuels.

(2) Developmental engine fuel shall only be distributed or sold
to fleet-type centrally fueled vehicle and equipment users.

(3) The applicant shall warn all parties in writing of any potential
risk associated with the use of the developmental engine fuel.

(4) The applicant shall report information when and as the
department may prescribe in order for the department to monitor
the progress of the developmental engine fuel technology
evaluation.

(b) The applicant for a variance shall comply with all other
requirements, terms, and conditions begin delete that are end delete contained in begin insert this
division and end insert regulations adopted by the department to further the
purposes and administration of this section.

(c) (1) In granting a variance, the department expresses no
opinion as to whether an applicant’s developmental engine fuel
will perform as represented by the applicant nor any opinion to
the extent, if at all, that the developmental engine fuel may be
safely and effectively used as a substitute for other spark-ignition
or compression-ignition engine fuels without incident.

(2) Damages caused by the sale, delivery, storage, handling,
and usage of the developmental engine fuel shall be addressed in
accordance with contractual provisions negotiated and agreed upon
by the applicant and the user.

(d) The department may withdraw a variance if the applicant
does not adhere to the conditions required to obtain the variance
or if the department recognizes a high probability of equipment
harm with the continued use of the developmental engine fuel or
to protect public safety.

SEC. 10.  

Section 13410 of the Business and Professions Code
is amended to read:

13410.  

(a) No person begin delete who is end delete engaged in the business of
extracting oil or gas from lands within the state, or of begin delete refining
gasoline end delete begin insert producing motor vehicle fuels end insert for sale within the state,
may refuse to sell to any city or county sufficient quantities of his
or her begin delete petroleum products end delete begin insert motor vehicle fuels or lubricants, or
both, sold during the normal course of business end insert for the essential
services provided by begin delete such end delete begin insert the end insert city or county.

(b) The board of supervisors of a county or its designated county
agency, upon application for the purchase of begin delete petroleum products end delete
begin insert motor vehicle fuels or lubricants, or both, end insert to perform essential
services by a city within that county, by any agency of such city
or county begin delete which end delete begin insert that end insert performs an essential service, or by any transit
district created pursuant to law, may arrange for begin delete such end delete begin insert the end insert purchase
and shall apportion the purchase among all persons specified in
subdivision (a) who engage in the sale of begin delete petroleum products end delete begin insert motor
vehicle fuels or lubricants, or both, end insert within that county. The board
of supervisors or its designated county agency shall, to the extent
possible, apportion the total purchase of the begin delete petroleum product end delete
begin insert motor vehicle fuels or lubricants, or both, end insert on the basis of begin delete such end delete begin insert the end insert
persons’ sales of begin delete such petroleum product end delete begin insert that motor vehicle fuel
or lubricant, or both, end insert in the county during the most recent 90-day
period for which information is available.

(c) For begin delete the end delete purposes of this section, “essential services” means
police, fire, health, and transportation services provided by public
agencies.

SEC. 11.  

Section 13413 of the Business and Professions Code
is amended to read:

13413.  

begin insert (a) end insert begin insert   end insert It is unlawful for any person or other legal entity
to make any deceptive, false, or misleading statement by any means
whatever regarding quality, quantity, performance, price, discount,
or saving used in the sale or selling of any commodity regulated
pursuant to this chapter.

begin delete

The

end delete

begin insert (b) end insert begin insert   end insert begin insert The end insert following misleading, unfair, or deceptive acts or
practices committed or permitted by any person offering for sale
any product begin delete which end delete begin insert that end insert is regulated by this chapter are also a
violation of this section:

begin delete

(a)

end delete

begin insert (1) end insert  Misrepresenting the brand, grade, quality, or price of a
begin delete petroleum product. end delete begin insert motor vehicle fuel or lubricant. end insert

begin delete

(b)

end delete

begin insert (2) end insert  Using false or deceptive representations or designations in
connection with the sale of begin delete petroleum products. end delete begin insert motor vehicle fuels
or lubricants. end insert

begin delete

(c)

end delete

begin insert (3) end insert  Advertising begin delete petroleum products end delete begin insert motor vehicle fuels or
lubricants end insert or services and not selling them as advertised.

begin delete

(d)

end delete

begin insert (4) end insert  Advertising begin delete petroleum products end delete begin insert motor vehicle fuels or
lubricants end insert of a designated brand, grade, trademark, or begin delete tradename end delete
begin insert trade name end insert not actually sold or available for sale.

begin delete

(e)

end delete

begin insert (5) end insert  Making false, deceptive, or misleading statements concerning
conditions of sale or price reductions.

begin delete

(f)

end delete

begin insert (6) end insert  Representing that the consumer will receive a rebate,
discount, or other economic benefit and then failing to give that
rebate, discount, or other economic benefit.

begin delete

(g)

end delete

begin insert (7) end insert  Except as otherwise permitted, selling a grade of motor
begin insert vehicle end insert fuel at more than one price and advertising only the lower
price without advertising each of the higher prices in equal size
numerals on the same advertising medium.

begin delete

(h)

end delete

begin insert (8) end insert  Placing letters, words, figures, or numerals on any
advertising medium offering for sale any goods or merchandise,
other than motor begin insert vehicle end insert fuel, if the advertising medium may be
construed by any reasonable person as advertising a price of motor
begin insert vehicle end insert fuel.

begin delete

(i)

end delete

begin insert (9) end insert  Forging or falsifying any records or documents required by
this chapter or knowingly keeping, using, or displaying the false
or forged records or documents.

SEC. 12.  

Section 13420 of the Business and Professions Code
is amended to read:

13420.  

Every person, firm, partnership, association, trustee,
or corporation begin delete which end delete begin insert that end insert owns, leases, or rents and operates a
begin delete gasoline service station or other end delete facility begin delete which end delete begin insert that end insert offers begin delete gasoline
or other end delete begin insert any end insert motor vehicle fuel for sale to the public from begin delete such a end delete
begin insert the end insert facility abutting or adjacent to a street or highway shall
accurately update all signs, banners, or other advertising media
begin delete which end delete begin insert that end insert indicate hours of begin delete such end delete begin insert the end insert sale. Advertising media
indicating hours of sale shall be updated on a monthly basis.

SEC. 13.  

Section 13421 of the Business and Professions Code
is amended to read:

13421.  

Every person, firm, partnership, association, trustee,
or corporation begin delete which end delete begin insert that end insert owns, leases, or rents and operates a
begin delete gasoline service station or other end delete facility begin delete which end delete begin insert that end insert offers begin delete gasoline
or other end delete begin insert any end insert motor vehicle fuel for sale to the public from begin delete such a end delete
begin insert the end insert facility abutting or adjacent to a street or highway shall turn
off all outdoor lighted advertising media at their place of business
when they are not open for business. This section shall only apply
to the begin delete service station end delete begin insert fueling facility end insert and not the retail business in
a situation where begin delete gasoline service station or other end delete begin insert the fueling end insert
facility is a part of and adjacent to a retail business provided the
retail sale of gasoline or other motor vehicle fuel is not the primary
purpose of that business.

SEC. 14.  

The heading of Article 5 (commencing with Section
13440) of Chapter 14 of Division 5 of the Business and Professions
Code is amended to read:

 

Article 5.  Standards for begin delete Gasoline end delete begin insert Spark-Ignition Fuels end insert

 

SEC. 15.  

Section 13440 of the Business and Professions Code
is amended to read:

13440.  

(a) The department shall establish specifications for
automotive spark-ignition engine fuels. The department shall adopt
by reference the latest standards established by a recognized
consensus organization or standards writing organization such as
the ASTM International or the SAE International, for automotive
spark-ignition engine fuel, except that no specification shall be
less stringent than required by any California state law.

(b) Any gasoline-oxygenate blend containing methanol shall
also contain an alcohol cosolvent (butanol or higher molecular
weight alcohol) in an amount equal to or greater than the volume
percentage of methanol except those blends previously granted a
waiver by the begin insert United States end insert Environmental Protection Agency.

begin delete

(c) Any gasoline-oxygenate blend containing ethanol that
complies with Section 2258 of Title 13 of the California Code of
Regulations, as it reads on the effective date of the act amending
this section during the 1993-94 Regular Session, or as amended,
may exceed the Reid vapor pressure limits of ASTM D 4814 for
the area and season in which the blend is sold at retail by not more
than 6.9 kilopascals (1.0 pounds per square inch), except the total
Reid vapor pressure shall not exceed 103 kilopascals (15 pounds
per square inch).

end delete begin delete

(d)

end delete

begin insert (c) end insert  The antiknock index as defined in Section begin delete 13403 end delete begin insert 13400 end insert for
gasoline and gasoline-oxygenate blends shall not be less than 87.

begin delete

(e)

end delete

begin insert (d) end insert  Gasoline and gasoline-oxygenate blends shall meet the latest
specifications set forth in ASTM begin delete D 4814, end delete begin insert International Standard
Specification D4814, end insert except that no specification shall be less
stringent than required by any California state law.

begin delete

(f)

end delete

begin insert (e) end insert  Notwithstanding any other provision of this section, gasoline
sold for use in Inyo or Mono County, or the portion of Kern County
lying east of the Los Angeles County Aqueduct, shall comply with
the latest specification set forth in ASTM begin delete D 4814 end delete begin insert International
Standard Specification D4814 end insert relating to volatility class standards
for the season during which the gasoline is sold for either the
interior region or the southeast region of California, except that
no specification shall be less stringent than is required by any
California state law.

begin insert

(f) Ethanol fuel blends shall meet the latest specifications set
forth in ASTM International Standard Specification D5798, except
that no specification shall be less stringent than required by any
California state law.

end insert begin insert

(g) Methanol fuel blends shall meet the latest specifications set
forth in ASTM International Standard Specification D5797, except
that no specification shall be less stringent than required by any
California state law.

end insert begin insert

(h) Liquefied petroleum gas shall meet the latest specifications
set forth in ASTM International Standard Specification D1835,
except that no specification shall be less stringent than required
by any California state law.

end insert begin insert

(i) Natural gas for use as a motor vehicle fuel shall meet the
latest specification set forth by the American Society for Testing
and Materials International or Society of Automotive Engineers
International, except that no specification shall be less stringent
than required by any California state law.

end insert

SEC. 16.  

Section 13440.5 of the Business and Professions
Code is amended to read:

13440.5.  

For purposes of determining the percentage of begin delete a motor
fuel (including gasohol) which consists of alcohol, end delete begin insert ethanol in a
gasoline-oxygenate blend, end insert the volume of begin delete alcohol end delete begin insert ethanol end insert includes
the volume of any denaturant (including gasoline) begin delete which end delete begin insert that end insert is
added to the extent that these denaturants do not exceed 5 percent
of the volume of the begin delete alcohol (including denaturants). end delete begin insert ethanol. end insert

SEC. 17.  

Section 13442 of the Business and Professions Code
is amended to read:

13442.  

begin insert (a) end insert begin insert   end insert It is unlawful for any person to sell, offer for sale,
or cause or permit to be sold or offered for sale, or deliver or offer
for delivery, any begin delete petroleum end delete product as a fuel for internal
combustion engines at any place where begin delete petroleum products end delete begin insert motor
vehicle fuels end insert are kept or stored for sale, which does not conform
to the requirements of this article, unless and until there shall be
firmly attached to or painted upon each container, receptacle,
pump, and inlet end of the fill pipe of each underground storage
tank, from which or into which begin delete such petroleum product end delete begin insert the motor
vehicle fuel end insert is drawn or poured for sale or delivery, a sign or label,
plainly visible, comprising the brand, trademark, or trade name of
such fuel, or the words “no brand,” begin delete which end delete begin insert that end insert words shall be in
letters of gothic type with a stroke of not less than one-eighth inch
in width and not less than one inch in height, and also the words
“not gasoline” in red letters of gothic type with a stroke of not less
than one-half inch in width and not less than three inches in height,
on a white background and not less than twice the size of any other
letters or words appearing on or near the label or sign.

begin delete

The

end delete

begin insert (b) end insert begin insert   end insert begin insert The end insert provisions of this article, as to the words “not gasoline,”
shall not apply to signs or labels used in connection with the sale
or delivery of kerosene, jet or turbine fuel, diesel fuel, liquefied
petroleum gas, or motor fuel comprised of a mixture of gasoline
and lubricating oil properly labeled in accordance with the
provisions of Article 9 (commencing with Section 13480).

SEC. 18.  

The heading of Article 5.5 (commencing with Section
13446) of Chapter 14 of Division 5 of the Business and Professions
Code is amended to read:

 

Article 5.5.  Standards for begin delete Hydrogen end delete begin insert Alternative Fuels end insert

 

SEC. 19.  

Section 13446 of the Business and Professions Code
is repealed.

begin delete

13446.  

On or before January 1, 2008, the department, with the
concurrence of the State Air Resources Board, shall establish
specifications for hydrogen fuels for use in internal combustion
engines and fuel cells in motor vehicles until a standards
development organization accredited by the American National
Standards Institute (ANSI) formally adopts standards for hydrogen
fuels for use in internal combustion engines and fuel cells in motor
vehicles. The department shall then adopt by reference the latest
standards established by the ANSI-accredited standards
development organization for hydrogen fuel for use in internal
combustion engines and fuel cells in motor vehicles, except that
no specification or standard shall be less stringent than is required
by state law.

end delete

SEC. 20.  

Section 13446 is added to the Business and
Professions Code, to read:

13446.  

The department may establish interim specifications
for alternative fuel for use in motor vehicles until a standards
development organization accredited by the American National
Standards Institute (ANSI) formally adopts a standard for the fuel
for use in motor vehicles. The department shall then adopt, by
reference, the latest standard established by the ANSI-accredited
standards development organization for alternative fuel, except
that no specification shall be less stringent than required by any
California state law.

SEC. 21.  

The heading of Article 6 (commencing with Section
13450) of Chapter 14 of Division 5 of the Business and Professions
Code is amended to read:

 

Article 6.  Standards for begin delete Diesel Fuel, end delete begin insert Compression-Ignition
Engine Fuels, end insert Kerosene, and Fuel Oils

 

SEC. 22.  

Section 13450 of the Business and Professions Code
is amended to read:

13450.  

The department shall establish specifications for
compression-ignition engine fuel, kerosene, and fuel oil. The
department shall adopt by reference the latest standards established
by a recognized consensus organization or standards writing
organization such as the begin delete ASTM end delete begin insert American Society of Testing and
Materials (ASTM) end insert International or the begin delete SAE end delete begin insert Society of Automotive
Engineers end insert International, for compression-ignition engine fuels,
kerosene, and fuel oil, except that no specification shall be less
stringent than required by any California state law.

(a) Diesel fuel begin insert oil end insert shall meet the specifications set forth in
ASTM begin delete D-975, except that sulfur specifications shall not exceed
the maximum specified by any California state law. end delete begin insert International
Standard Specification D975. end insert

(b) Kerosene shall meet the specifications set forth in ASTM
begin delete D-3699. end delete begin insert International Standard Specification D3699. end insert

(c) Fuel oil shall meet the specifications set forth in ASTM
begin delete D-396, except that sulfur specifications shall not exceed the
maximum specified by any California state law. end delete begin insert International
Standard Specification D396. end insert

begin insert

(d) Biodiesel blends shall meet the latest specifications set forth
in ASTM International Standard Specification D7467.

end insert begin insert

(e) Dimethyl ether used as a motor vehicle fuel shall meet the
latest specifications set forth in ASTM International Standard
Specification D7901.

end insert

SEC. 23.  

The heading of Article 8 (commencing with Section
13470) of Chapter 14 of Division 5 of the Business and Professions
Code is amended to read:

 

Article 8.  Price Indications on begin delete Petroleum end delete begin insert Motor Vehicle Fuel end insert
Dispensing Apparatus

 

SEC. 24.  

Section 13470 of the Business and Professions Code
is amended to read:

13470.  

(a) A person shall not sell at retail to the general public,
any motor begin insert vehicle end insert fuel from any place of business in this state
unless there is displayed on the dispensing apparatus in a
conspicuous place at least one sign or price indicator showing the
actual total price per begin delete gallon or liter end delete begin insert gallon, liter, or other unit of
measurement adopted pursuant to Section 12107 or 13404 end insert of all
motor begin insert vehicle end insert fuel sold therefrom. The actual total price per begin delete gallon,
or liter, end delete begin insert gallon, liter, or other unit of measurement end insert shall include
begin insert applicable end insert fuel taxes and all sales taxes.

(b) (1) A person shall not sell at retail to the general public,
any compressed natural gas for use as a motor begin insert vehicle end insert fuel from
any place of business in this state unless there is displayed and
labeled on the dispensing apparatus in a conspicuous place
“Gasoline gallon equivalent.”

(2) A person shall not sell at retail to the general public, any
liquefied natural gas for use as a motor begin insert vehicle end insert fuel from any place
of business in this state unless there is displayed and labeled on
the dispensing apparatus in a conspicuous place “Diesel gallon
equivalent.”

(c) When a discount begin delete for cash end delete is offered from a dispenser
computing only at begin delete the credit end delete begin insert a higher end insert price, at least one sign or
label shall be conspicuously displayed on the dispenser indicating
that the dispenser is computing at the begin delete credit end delete begin insert higher end insert price and
indicating the amount of the discount per begin delete gallon or liter end delete begin insert gallon,
liter, or other unit of measurement end insert in letters and numerals not less
than one-half inch high.

(d) If motor begin insert vehicle end insert fuel is sold by begin delete the liter, the word “liter” end delete begin insert unit
of measurement other than gallon, that unit end insert shall be conspicuously
displayed on the side of the dispensing apparatus from which
service can be made.

SEC. 25.  

Section 13470.5 of the Business and Professions
Code is amended to read:

13470.5.  

Any person selling, offering for sale, or advertising
for sale, at retail to the general public, any gasoline or other motor
begin insert vehicle end insert fuel from any place of business in this state by use of or
through or from any dispensing apparatus and displaying any sign
showing the actual total price per liter, shall, in addition, display
in a conspicuous fashion in full view of the retail purchaser and
in accordance with provisions of this chapter, a gallon-to-liter
conversion table showing quantity and price equivalents.

SEC. 26.  

Section 13471 of the Business and Professions Code
is amended to read:

13471.  

Each sign required by this article shall be placed in a
conspicuous place on the dispensing apparatus and if service of
begin delete gasoline or other end delete motor begin insert vehicle end insert fuel may be made from more than
one side of such dispensing apparatus the sign shall be so placed
as to be visible from at least two sides of the dispensing apparatus.

SEC. 27.  

Section 13472 of the Business and Professions Code
is amended to read:

13472.  

When a sign is used in addition to a price begin delete indicator end delete
begin insert indicator, end insert as defined in Section 13470, and if the same grade of
motor begin insert vehicle end insert fuel is sold at a different price from any other
dispenser on the same premises, it shall be unlawful to display
begin delete such end delete begin insert the end insert sign on a dispenser unless a sign with price numerals of
equal size is displayed upon each dispenser from which the same
grade of motor begin insert vehicle end insert fuel is dispensed at higher prices.

SEC. 28.  

Section 13477 of the Business and Professions Code
is amended to read:

13477.  

The provisions of this article do not apply to the sale
of motor begin insert vehicle end insert fuel for aircraft through or from any portable
dispensing device.

SEC. 29.  

Section 13480 of the Business and Professions Code
is amended to read:

13480.  

(a) It is unlawful for any person to sell any begin delete petroleum
product end delete begin insert motor vehicle fuel or lubricant end insert referred to in this chapter
at any place where begin delete petroleum products end delete begin insert motor vehicle fuels or
lubricants end insert are kept or stored for sale, unless there is affixed to each
container, receptacle, pump, dispenser, and inlet end of the fill
pipe of each underground storage tank, from which or into which
that product is drawn or poured out for sale or delivery, a sign or
label plainly visible consisting of the name of the product, the
brand, trademark, or trade name of the product, and, in the case
of begin delete engine end delete begin insert motor vehicle end insert fuel and kerosene, the grade or brand name
designation.

(b) When the product is begin delete oil, end delete begin insert a lubricant, end insert as defined by Section
begin delete 13401, end delete begin insert 13400, end insert each sign or label shall also have in letters or
numerals, plainly visible, the viscosity grade classification as
determined in accordance with the SAE International latest standard
for engine oil viscosity classification SAE J300 or manual
transmission and axle lubricants viscosity classification SAE J306,
as applicable, and shall be preceded by the letters “SAE.”

(c) When the product is automotive spark-ignition engine fuel,
begin delete except M-85 and M-100 methanol fuel, there shall be
conspicuously displayed on the dispensing device at least one sign
or label showing the minimum octane number or antiknock index,
as defined in Section 13403, of the product sold therefrom. end delete begin insert the
secretary shall make rules and regulations as are reasonably
necessary to define and enforce the octane number or antiknock
index labeling requirements of the product sold. end insert

(d) When the product is a motor begin insert vehicle end insert fuel consisting of a
mixture or premixture of gasoline and oil or gasoline-oxygenate
blend and motor oil, there shall be conspicuously displayed on the
dispensing device at least one sign or label stating the ratio of
gasoline to motor oil or gasoline-oxygenate blend to motor oil.

(e) All signs or labels required by this section for retail motor
begin insert vehicle end insert fuel dispensers and containers of more than one gallon
capacity shall be in letters and numerals not less than one-half inch
(12.70 mm) in height. On containers of one gallon or less, the signs
or labels shall be in letters and numerals not less than one-fourth
inch (6.35 mm) in height and one-sixteenth inch (1.59 mm) in
width.

(f) The provisions of this section pertaining to octane numbers
or antiknock index and motor oil SAE International viscosity
number grade shall not apply to products sold for aviation purposes.

begin delete

(g) This section shall apply, with respect to thinners or solvents,
only to the sale, delivery, or offer for sale of the products through
service stations, garages, and other retail outlets.

end delete begin insert

(g) This section does not apply to electricity sold as a motor
vehicle fuel.

end insert

SEC. 30.  

Section 13481 of the Business and Professions Code
is amended to read:

13481.  

If any begin delete petroleum product end delete begin insert motor vehicle fuel or lubricant end insert
is offered for sale, but not under any brand, trademark, or
begin delete tradename, end delete begin insert trade name, end insert the words “no brand” shall be used as the
brand, trademark, or begin delete tradename end delete begin insert trade name end insert designation. The words
“No Brand” shall be in letters of gothic type with a stroke of not
less than one-half inch in width, not less than three inches in height,
and shall consist of red letters on a white background.

SEC. 31.  

Section 13482 of the Business and Professions Code
is amended to read:

13482.  

begin insert (a) end insert begin insert   end insert It is unlawful for any person to sell or distribute
engine oil or axle and manual transmission lubricant unless begin delete the
SAE/API end delete begin insert both of following are met: end insert

begin insert

(1) The product conforms to SAE J183 “Engine Oil Performance
and Engine Service Classification,” or the European Automobile
Manufacturers’ Association (ACEA) “European Oil Sequences
specification.”

end insert

begin insert (2) end insert begin insert   end insert begin insert The SAE/API or ACEA end insert service classification is conspicuously
marked on each container. begin delete Each end delete

begin insert

(b)  Whenever the motor oil does not meet an active API service
category as defined to be the latest version of SAE J183, each sign
or label shall bear a plainly visible cautionary statement in
compliance with SAE J183 Appendix A.

end insert

begin insert (c) end insert begin insert   end insert begin insert Each end insert container of engine oil with a volume of one gallon or
less shall bear a plainly visible statement indicating generally the
automobile model years or condition of service for which the
engine oil is suitable for gasoline engines as described in SAE
J183.

SEC. 32.  

Section 13485 of the Business and Professions Code
is amended to read:

13485.  

Small hand measures used for delivery of begin delete petroleum
products, end delete begin insert motor vehicle fuels or lubricants, end insert and filled in the
presence of the customer, need not be labeled in accordance with
this chapter if the receptacle, container, or pump from which
begin delete petroleum products end delete begin insert motor vehicle fuels or lubricants end insert are drawn or
poured into begin delete such end delete begin insert the end insert hand measures is properly labeled as required
by this chapter.

SEC. 33.  

Section 13486 of the Business and Professions Code
is amended to read:

13486.  

(a) It is unlawful, at any place of business where
begin delete petroleum products end delete begin insert motor vehicle fuels or lubricants end insert are sold, for
any person to do either of the following:

(1) Deliver into a storage tank or container any begin delete petroleum
product end delete begin insert motor vehicle fuel or lubricant end insert other than the product
identified on the label attached to the storage tank or container.

(2) Sell by means of, or through, a pump or other device, any
begin delete petroleum product end delete begin insert motor vehicle fuel or lubricant end insert other than the
product identified on the required label, tag, or sign attached to
the pump or other device.

(b) This section does not prohibit the delivery of motor begin insert vehicle end insert
fuel into a storage tank labeled with the authorized rebrand as
provided in Article 14 (commencing with Section 13560).

SEC. 34.  

Section 13500 of the Business and Professions Code
is amended to read:

13500.  

begin delete (a) end delete begin delete   end delete It is unlawful for any person to transport in any
tank vehicle, for the purpose of sale or for delivery to any place
where begin delete petroleum products end delete begin insert motor vehicle fuels or lubricants end insert are
stored for sale, any begin delete petroleum end delete product referred to in this chapter
unless there is firmly affixed at each outlet or valve of the tank
vehicle, a metal tag, plate, or label. The tag, plate, or label shall
display, in letters not less than one-half inch in height, the name
and grade of the product in the tank compartment of the tank
vehicle. In the case of motor oil, the Society of Automotive
Engineers begin insert International end insert (SAE) viscosity number shall also be
displayed on the tag, plate, or label.

begin delete

(b) If the product is gasoline intended to be sold as unleaded
gasoline, the grade designation shall contain a designation of
unleaded.

end delete

SEC. 35.  

Section 13501 of the Business and Professions Code
is amended to read:

13501.  

It is unlawful for any person, when delivering for the
purpose of sale, or delivering to any place where begin delete petroleum end delete
products begin insert referred to in this chapter end insert are kept for sale, to commingle
any product with another product or to commingle grades of a
product, if as a result of the commingling the product delivered
does not meet the specifications adopted or established by the
department.

SEC. 36.  

Section 13502 of the Business and Professions Code
is amended to read:

13502.  

It is unlawful for any person to deliver into a storage
tank or container at any place where begin delete petroleum end delete products begin insert referred
to in this chapter end insert are stored for sale, any product other than the
product identified on the label attached to the storage tank or
container.

SEC. 37.  

Section 13530 of the Business and Professions Code
is amended to read:

13530.  

(a) Nothing in this article applies to price indicators
and signs referred to in Article 8 (commencing with Section
13470). However, any numerals designating the price per begin delete gallon
or liter end delete begin insert gallon, liter, or other unit of measurement adopted pursuant
to Section 12107 or 13404 end insert for a particular brand and grade of
motor begin insert vehicle end insert fuel permitted or required under Article 8
(commencing with Section 13470) shall, unless otherwise stated,
be identical in numerical value with the price per begin delete gallon or liter end delete
begin insert gallon, liter, or other unit of measurement end insert for the same brand and
grade of motor begin insert vehicle end insert fuel permitted or required under this article.

(b) Nothing in this chapter requires that the cash or merchandise
value of trading stamps be stated on any advertising media begin delete which end delete
begin insert that end insert either advertises the stamps or advertises the price of motor
begin insert vehicle end insert fuel.

(c) Unless otherwise prohibited, any person selling motor begin insert vehicle end insert
fuel by the liter shall be authorized to advertise its price by
displaying on the advertising medium either the price per liter or
the price per gallon.

SEC. 38.  

Section 13531 of the Business and Professions Code
is amended to read:

13531.  

(a) Every person offering for sale or selling any motor
vehicle fuel to the public from any place of business shall display
on the premises an advertising medium begin delete which end delete begin insert that end insert complies with
the requirements of this article and begin delete which end delete begin insert that end insert advertises the prices
of the three major grades of motor vehicle fuel offered for sale.
The advertising medium shall be clearly visible from the street or
highway adjacent to the premises. When the place of business is
situated at an intersection, the advertising medium shall be clearly
visible from each street of the intersection. For begin delete the end delete purposes of
this subdivision, motor vehicle fuel does not include begin delete propane. end delete
begin insert propane or electricity. end insert

(b) The governing body of any city, county, or city and county
may, by ordinance, exempt specified geographic areas from the
provisions of this section if, pursuant to Article 5 (commencing
with Section 65300) of Chapter 3 of Title 7 of the Government
Code, the areas are designated on the local general plan as scenic
corridors or historic preservation areas.

(c) (1) Except as provided in paragraph (2), any person who
violates the provisions of subdivision (a) is guilty of an infraction
and, upon conviction, is punishable by a fine not to exceed five
hundred dollars ($500).

(2) Any person who violates the provisions of subdivision (a)
and who has been previously convicted two or more times of a
violation of subdivision (a) is guilty of a misdemeanor and, upon
conviction, is punishable by imprisonment in the county jail not
exceeding six months, by a fine not exceeding one thousand dollars
($1,000), or by both.

(d) Notwithstanding Section 13590, the district attorney of each
county, or pursuant to Section 41803.5 of the Government Code,
the city attorney of any general law city or chartered city within
each county, or the county sealer, shall, upon complaint or upon
his or her own motion, enforce the provisions of this section and,
in addition, may bring an action for injunctive relief in accordance
with Section 13611.

SEC. 39.  

Section 13532 of the Business and Professions Code
is amended to read:

13532.  

(a) It is unlawful for any person to display any
advertising medium begin delete which end delete begin insert that end insert indicates the price of motor begin insert vehicle end insert
fuel unless the advertising medium displays all of the following:

(1) The price per begin delete gallon or liter, end delete begin insert gallon, liter, or other unit of
measurement adopted pursuant to Section 12107 or 13404, end insert
including all taxes, in numerals, and fractions when applicable,
not less than six inches in height and of uniform size and color.
For the purpose of this article, fractions are considered one
numeral. begin insert For purposes of this section, electricity sold as a motor
vehicle fuel shall meet only the requirements adopted pursuant to
Section 13404. end insert

(2) The trademark or brand of the motor begin insert vehicle end insert fuel in letters,
figures, or numerals not less than one-third the size of the numerals
designating the price.

(3) The word “gasoline” or the name of other motor begin insert vehicle end insert fuel
in letters not less than one-third the size of the numerals designating
the price, but these words need not be more than four inches in
height.

(4) The grade designation of the motor begin insert vehicle end insert fuel in letters or
numerals not less than one-sixth the size of the numerals
designating the price, but this designation need not be more than
four inches in height.

(5) If motor begin insert vehicle end insert fuel prices are advertised by the begin delete liter, the
word “liter” end delete begin insert unit of measurement other than gallon, the unit end insert shall
be displayed on the advertising medium in letters not less than
one-third the size of the numerals designating the price.

(b) (1) It is unlawful for any person to display an advertising
medium begin delete which end delete begin insert that end insert advertises a discount or price reduction for
motor begin insert vehicle end insert fuel, unless the advertising medium contains all the
following:

(A) The price per begin delete gallon or liter end delete begin insert gallon, liter, or other unit of
measurement adopted pursuant to Section 12107 or 13404 end insert from
which the discount or price reduction is to be taken.

(B) The amount of the discount or price reduction in cents per
begin delete gallon or liter end delete begin insert gallon, liter, or other unit of measurement end insert using
numerals begin delete which end delete begin insert that end insert do not exceed the height of the numerals in
the advertised price.

(C) The conditions of the discount or price reduction using
words whose letters are not less than one-third the size of the price
numerals.

(2) Any limitations under which the discount or price reduction
is offered shall be explained in words whose letters are not less
than one-third the size of the numerals indicating the prices.

(3) There shall be available for each customer’s reference, a
chart showing the amount of discount for each type unit being sold
begin delete (gallon/liter) end delete or fraction thereof in one cent ($0.01) increments, or
the retail dispensers used to dispense fuel at the discount price
shall be set to compute the total sale at the discounted price per
gallon or liter and shall be clearly labeled “Includes Cash Discount”
in letters not less than one inch in height.

(4) For purposes of this subdivision, the motor begin insert vehicle end insert fuel shall
be sold in the same unit of measure begin delete (e.g., gallons or liters) end delete in which
the discount and the price from which the discount is taken are
advertised.

(c) In the event that the same grade of motor begin insert vehicle end insert fuel is sold
at different prices from any single place of business, it is unlawful
for any person to display any advertising medium begin delete which end delete begin insert that end insert
advertises a price of a grade of motor begin insert vehicle end insert fuel unless the
advertising medium advertises in numerals of equal size each of
the higher prices, including all taxes for which the grade is sold
or offered for sale, and unless the advertising medium explains
the conditions, and any limitations, under which that grade is sold
or offered for sale at different prices. The words of explanation
shall be clearly shown in letters at least one-third the size of the
numerals indicating the prices. The different prices at which the
same grade of motor begin insert vehicle end insert fuel is sold or offered for sale shall
be advertised in the same unit of measure begin delete (either price per gallon
or price per liter) end delete as permitted or required by law.

(d) Nothing in this section prohibits any person who has posted
or displayed a sign or advertising medium in compliance with this
chapter from displaying additional signs or advertising media
begin delete which end delete begin insert that end insert state either (1) the amount of discount in cents per
begin delete gallon or liter, end delete begin insert gallon, liter, or other unit of measurement adopted
pursuant to Section 12107 or 13404, end insert or (2) the price of one or
more brands or grades of motor begin insert vehicle end insert fuel sold or offered for
sale, provided the conditions and any limitations of the discount
or price of the brand or grade of motor begin insert vehicle end insert fuel are included
in the additional advertising media in letters not less than one-third
the size of the numerals indicating the discount or price.

SEC. 40.  

Section 13535 of the Business and Professions Code
is amended to read:

13535.  

If any motor begin insert vehicle end insert fuel or begin delete motor oil end delete begin insert lubricant end insert is
advertised for sale, but not under any brand designation, the words
“no brand” shall be used on the advertising medium as a brand
designation.

SEC. 41.  

The heading of Article 13 (commencing with Section
13550) of Chapter 14 of Division 5 of the Business and Professions
Code is amended to read:

 

Article 13.  Inducements for the Sale of begin delete Gasoline or end delete Motor
begin insert Vehicle end insert Fuel

 

SEC. 42.  

Section 13550 of the Business and Professions Code
is amended to read:

13550.  

No begin delete petroleum corporation end delete begin insert motor vehicle fuel producer end insert
or distributor shall compel or unduly or unreasonably influence
any retail begin delete gasoline end delete dealer to participate in the giveaway or offer
to give away free of charge any item of value, including trading
stamps or any kind of merchandise or goods, whether or not begin delete such end delete
begin insert the end insert giveaway is conditional upon the purchase of begin delete gasoline, end delete motor
begin delete fuel, or petroleum products. end delete begin insert vehicle fuels or lubricants. end insert The
decision to participate in begin delete such end delete begin insert those end insert giveaways shall be solely that
of the retail begin delete gasoline end delete dealer. Nothing in this section shall prohibit
a retail begin delete gasoline end delete dealer from entering into an agreement to
participate in any begin delete such end delete giveaway program.

SEC. 43.  

Section 13570 of the Business and Professions Code
is amended to read:

13570.  

(a) A manufacturer, blender, agent, jobber, consignment
agent, or distributor who distributes motor begin insert vehicle end insert fuel begin delete products end delete
that contain at least 1 percent alcohol by volume, shall state on an
invoice, bill of lading, shipping paper, or other documentation
used in normal and customary business practices, the percentage
of alcohol, the type of alcohol, and, except in documentation
certifying the octane rating of gasoline as required by federal law,
the minimum antiknock index number, as defined in Section 13403,
of the products distributed.

(b) If a motor vehicle fuel product contains less than 10 percent
begin delete alcohol, end delete begin insert ethanol, end insert a statement in the documentation that the product
“contains up to 10% ethanol” meets the requirement of subdivision
(a) that it state the percentage of alcohol.

(c) This section, as it relates to certification of the minimum
antiknock index number, applies to all motor vehicle gasoline
distributed.

SEC. 44.  

Section 13590 of the Business and Professions Code
is amended to read:

13590.  

It is the duty of the department acting through the
Division of Measurement Standards to enforce the provisions of
this chapter, and to appoint and employ begin delete such end delete inspectors as may be
begin delete necessary therefor. end delete begin insert necessary. end insert

SEC. 45.  

Section 13591 of the Business and Professions Code
is amended to read:

13591.  

begin insert (a) end insert begin insert   end insert The department, its inspectors, and each sealer, are
hereby authorized and empowered to inspect the begin delete petroleum
products end delete begin insert motor vehicle fuels or lubricants end insert referred to in this chapter
and to enter, for the purpose of begin delete such end delete begin insert the end insert inspection, any place
where begin delete petroleum products end delete begin insert motor vehicle fuels or lubricants end insert are
kept or stored for sale.

begin delete

All such

end delete

begin insert (b) end insert begin insert   end insert begin insert All those end insert officers shall enforce the provisions of this chapter.

SEC. 46.  

Section 13592 of the Business and Professions Code
is amended to read:

13592.  

The department, each sealer, and any person now or
hereafter authorized or empowered by law to inspect the begin delete petroleum
products end delete begin insert motor vehicle fuels or lubricants end insert referred to in this
chapter, may take such sample or samples as may be necessary of
any begin delete petroleum or petroleum product end delete begin insert motor vehicle fuel or lubricant end insert
kept or stored for the purpose of sale.

SEC. 47.  

Section 13595 of the Business and Professions Code
is amended to read:

13595.  

(a) It is unlawful for any person to sell or deliver any
begin delete petroleum product end delete begin insert motor vehicle fuel or lubricant end insert referred to in
this chapter begin delete which end delete begin insert that end insert fails to meet the specifications required by
this chapter.

(b) It is unlawful for any person to sell or deliver any begin delete petroleum
product end delete begin insert motor vehicle fuel or lubricant end insert referred to in this chapter
into, from, or through an unlabeled or mislabeled container or
device.

(c)  begin insert (1) end insert begin insert   end insert The department, each county sealer, deputy county
sealer, and inspector may close and seal outlets and inlets of any
receptacles, containers, pumps, dispensers, or storage tanks
connected to the outlets and inlets, containing any begin delete petroleum
product end delete begin insert motor vehicle fuel or lubricant end insert referred to in this chapter
begin delete which end delete begin insert that end insert fails to meet the requirements of this chapter.

begin delete

The

end delete

begin insert (2) end insert begin insert   end insert begin insert The end insert person so sealing shall post in a conspicuous place on
the premises, where a receptacle, container, pump, dispenser, or
storage tank connected to the outlets and inlets has been sealed, a
notice stating that the action of sealing has been taken in
accordance with this chapter, and giving warning that it is unlawful
to break, mutilate, or destroy the seal or seals of the outlets and
inlets, to move the container, or to remove the contents from the
container, under the penalty provided in this division.

(d) If a container or lot of containers of any commodity subject
to this chapter is found to contain a commodity not in conformity
with this chapter, the begin delete director end delete begin insert secretary end insert or sealer representing the
begin delete director end delete begin insert secretary end insert may take a sample or samples reasonably
necessary for enforcement purposes and may in writing order the
containers off sale. Any lot or container ordered off sale pursuant
to this section shall be subject to a disposal order by the enforcing
officer and shall not be sold, offered for sale, or transported, except
in accordance with that disposal order. Any action pursuant to this
section shall not affect any rights of a retailer under a warranty of
merchantability or warranty of fitness.

SEC. 48.  

Section 13600 of the Business and Professions Code
is amended to read:

13600.  

It is unlawful for any person, or any member, officer,
agent, or employee of a firm, association, or corporation, other
than the department or any of the officers mentioned in this article,
to break, mutilate, or destroy any seal or seals placed upon a
container, receptacle, pump, or storage tank connected thereto, or
any other storage tank containing a begin delete petroleum product, end delete begin insert motor
vehicle fuel or lubricant, end insert when placed thereon as provided by this
article, or to move a container so sealed, or remove the contents
therefrom, or to cover, deface, or remove the notice of sealing
required by this article.

SEC. 49.  

Section 13700 of the Business and Professions Code
is amended to read:

13700.  

begin insert

For purposes of this chapter, the following terms mean
the following:

end insert

(a) “Automotive product” means engine coolant or antifreeze,
prediluted engine coolant or prediluted antifreeze, brake fluid, and
automatic transmission fluid.

(b) “Automatic transmission fluid” means a product intended
for use in a passenger vehicle, other than a bus, as either a lubricant,
coolant, or liquid medium in any type of fluid automatic
transmission, or any other type of unit through which, or by which,
force, energy, or power is transferred from a motor vehicle engine
by hydraulic means to the driving assembly.

(c) “Brake fluid” means the fluid intended for use as the liquid
medium through which force is transmitted in the hydraulic brake
system of a vehicle operated upon the highways.

(d) “Carton” means the package or wrapping in which a number
of containers are shipped or stored.

(e) “Container” means any receptacle in which a commodity is
immediately contained when sold, but does not mean a carton or
wrapping in which a number of receptacles are shipped or stored,
or a tank car or truck.

begin insert

(f) “Diesel exhaust fluid” or “DEF” means an aqueous urea
solution used in selective catalytic reduction to lower oxides of
nitrogen concentration in the exhaust emissions of diesel engines
that meets the last version of International Organization for
Standardization (ISO) specification for DEF.

end insert begin delete

(f)

end delete

begin insert (g) end insert  “Engine coolant” or “antifreeze” means any substance or
preparation, regardless of its origin, intended to be diluted before
use as the cooling medium in the cooling system of an internal
combustion engine to provide protection against freezing,
overheating, and corrosion of the cooling system, or any product
intended to be diluted before use begin delete which end delete begin insert that end insert is labeled to indicate
or imply that it will prevent freezing or overheating of the cooling
system of an internal combustion engine.

begin delete

(g)

end delete

begin insert (h) end insert  “Label” means all written, printed, or graphic
representations, in any form whatsoever, imprinted upon or affixed
to any container or accompanying any product referred to in this
chapter.

begin delete

(h)

end delete

begin insert (i) end insert  “Prediluted engine coolant” or “prediluted antifreeze” means
any substance or preparation, regardless of its origin, intended or
labeled for use full strength as the cooling medium or as a top off
in the cooling system of an internal combustion engine to provide
or supplement protection against freezing, overheating, or corrosion
of the cooling system.

begin delete

(i)

end delete

begin insert (j) end insert  “Principal display panel” means that part of the label that is
designed to most likely be displayed, presented, shown, or
examined under normal and customary conditions of display and
purchase.

SEC. 50.  

Section 13710 of the Business and Professions Code
is amended to read:

13710.  

(a) (1) The department shall establish specifications
for engine begin delete coolants and end delete begin insert coolants, end insert antifreeze, begin delete and end delete prediluted engine
begin delete coolants end delete begin insert coolants, end insert and prediluted antifreeze that promote the public
safety in the operation of motor vehicles.

begin delete

(2) In addition to paragraph (1), if the ASTM International
adopts standards for recycled engine coolants and antifreeze, the
department, on or before January 1, 2002, shall establish
specifications for recycled engine coolants and antifreeze, and
recycled prediluted engine coolants and antifreeze that promote
the public safety in the operation of motor vehicles.

end delete begin delete

(3)

end delete

begin insert (2) end insert  The chemical, physical, and performance specifications for
engine coolants and antifreeze and prediluted engine coolants and
prediluted antifreeze under begin delete paragraphs end delete begin insert paragraph end insert (1) begin delete and (2) end delete shall
not fall below the minimum specifications, if any, established by
the ASTM International. Engine coolant and antifreeze shall not
contain, after dilution with 30 percent water and subsequent
mixing, visually identifiable suspended matter or sediment.
Prediluted engine coolant and prediluted antifreeze shall not
contain, after mixing, visually identifiable suspended matter or
sediment.

begin delete

(4)

end delete

begin insert (3) end insert  For purposes of this subdivision, the department shall adopt
begin insert the ASTM International end insert testing begin delete procedures and shall specify a
virgin reference coolant that it finds is recognized as standard in
the industry. Alcohol-based end delete begin insert procedures. Methanol- and
ethanol-based end insert coolants and begin delete antifreeze, excluding glycols, end delete begin insert antifreeze end insert
are not suitable for use in automotive engines and shall not be sold
or distributed for automotive use.

(b) Any automatic transmission fluid sold without limitation as
to type of transmission for which it is intended, shall meet all
automotive manufacturers’ recommended requirements for
transmissions in general use in the state. Automatic transmission
fluids that are intended for use only in certain transmissions, as
disclosed on the label of its container, shall meet the latest
automotive manufacturers’ recommended requirements for those
transmissions.

(c) The department shall establish specifications for brake fluid
that promote the public safety in the operation of automotive
vehicles. The specifications for brake fluid shall not fall below the
minimum specifications established by the National Highway
Traffic Safety Administration of the United States Department of
Transportation.

(d) Any manufacturer or packager of any product regulated by
this chapter and sold in the state shall provide, upon request to
duly authorized representatives of the department, documentation
of any claim made upon their products’ label.

SEC. 51.  

Section 13711 of the Business and Professions Code
is amended to read:

13711.  

(a) An engine coolant or antifreeze is mislabeled if
any of the following occurs:

(1) The container does not bear a label on which is printed the
brand name, principal ingredient, intended application of the
coolant or antifreeze, name and place of business of the
manufacturer, packer, seller, or distributor, and an accurate
statement of the quantity of the contents in terms of liquid measure.

(2) The container does not bear a chart on the label showing
appropriate amounts of engine coolant or antifreeze and water in
terms of liquid measure to be used to provide protection from
freezing at temperatures to at least 30 degrees below zero
Fahrenheit.

(3) The container does not bear a statement on the label showing
the boiling point of a 50 percent by volume mixture of engine
coolant or antifreeze and water in degrees Fahrenheit.

(4) The container is one quart or less and does not bear a label
on which is printed the words “engine coolant” or “antifreeze” in
letters at least 1⁄8 inch high on the principal display panel. The
container is greater than one quart and does not bear a label on
which is printed the words “engine coolant” or “antifreeze” in
letters at least 1⁄4 inch high on the principal display panel.

(5) The principal ingredient is propylene glycol begin insert or glycerin end insert and
the container does not bear a statement on the label not to use an
ethylene glycol hydrometer concentration tester for propylene
glycol begin insert or glycerin end insert coolants.

(6) The container and carton do not bear a lot or batch number
on the label identifying the container lot and date of packaging.

(b) A prediluted engine coolant or prediluted antifreeze is
mislabeled if any of the following occurs:

(1) The container does not bear a label on which is printed the
brand name, principal ingredient, intended application of the
coolant or antifreeze, name and place of business of the
manufacturer, packer, seller, or distributor, and an accurate
statement of the quantity of the contents in terms of liquid measure.

(2) The container does not bear a statement on the label showing
the protection from freezing in degrees Fahrenheit.

(3) The container does not bear a statement on the label showing
the boiling point in degrees Fahrenheit.

(4) The container is one quart or less and does not bear a label
on which is printed the words “prediluted engine coolant” or
“prediluted antifreeze” in letters at least 1⁄8 inch high on the
principal display panel. The container is greater than one quart
and does not bear a label on which is printed the words “prediluted
engine coolant” or “prediluted antifreeze” in letters at least 1⁄4 inch
high on the principal display panel.

(5) The container is one quart or less and does not bear a label
on which is printed the words “DO NOT ADD WATER” in letters
at least1⁄8 inch high. The container is greater than one quart and
does not bear a label on which is printed the words “DO NOT
ADD WATER” in letters at least 1⁄4 inch high.

(6) The principal ingredient is propylene glycol begin insert or glycerin end insert and
the container does not bear a statement on the label not to use an
ethylene glycol hydrometer concentration tester for propylene
glycol begin insert or glycerin end insert coolants.

(7) The container and carton do not bear a lot or batch number
on the label identifying the container lot and date of packaging.

(c) Automatic transmission fluid begin delete shall be deemed to be end delete begin insert is end insert
mislabeled if any of the following occurs:

(1) The container does not bear a label on which is printed the
brand name, the name and place of business of the manufacturer,
packer, seller, or distributor, the words “Automatic Transmission
Fluid,” and the duty type classification.

(2) The container does not bear a label on which is printed an
accurate statement of the quantity of the contents in terms of liquid
measure.

(3) The labeling on the container is false or misleading.

begin insert

(4) The container and carton do not bear a lot or batch number
on the label identifying the container lot or batch.

end insert

(d) Brake fluid is mislabeled if any of the following occurs:

(1) The container does not bear a label begin delete which end delete begin insert that end insert conforms to
the requirements of the National Highway Traffic Safety
Administration, United States Department of Transportation, and
upon which is printed the brand name.

(2) The container does not bear an accurate statement on the
label of the quantity of the contents in terms of liquid measure.

(3) The labeling on the container is false or misleading.

begin insert

(e) The secretary shall establish the method of sale of diesel
exhaust fluid sold at retail to the public. In doing so, the secretary
shall adopt, by reference, the latest method of sale for diesel
exhaust fluid adopted by the National Conference on Weights and
Measures and published in the National Institute of Standards and
Technology Handbook 130 “Uniform Laws and Regulations in
the Areas of Legal Metrology and Engine Fuel Quality,” except
as specifically modified, amended, or rejected by regulation
adopted by the secretary.

end insert begin insert

(f) If a container or lot of containers of any commodity subject
to this chapter is found to contain a commodity not in conformity
with this chapter, the sealer may take one or more samples
reasonably necessary for enforcement purposes and may, in
writing, order the containers off sale. Any lot or container ordered
off sale pursuant to this section shall be subject to a disposal order
by the enforcing officer and shall not be sold, offered for sale, or
transported, except in accordance with that disposal order. Any
action pursuant to this section shall not affect any rights of a
retailer under a warranty of merchantability or warranty of fitness.

end insert

SEC. 52.  

Section 13741 of the Business and Professions Code
is amended to read:

13741.  

begin insert (a) end insert begin insert   end insert It is unlawful for any person or other legal entity
to make any deceptive, false, or misleading statement by any means
whatever regarding quality, quantity, performance, price, discount,
or saving in the sale or selling of any commodity regulated pursuant
to this chapter.

begin insert

(b) Any manufacturer or packager of any product subject to
this chapter and sold in this state shall provide, upon request, to
a duly authorized representative of the department documentation
of any claim made on his or her product’s label.

end insert

SEC. 53.  

No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of
the Government Code, or changes the definition of a crime within
the meaning of Section 6 of Article XIII B of the California
Constitution.