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IMPACT OF STATE LISTING DECISIONS

SSDA briefed this issue in our earlier comments which are attached as an appendix and incorporated by reference.

We would again remind the Agency that the regulatory and legal frameworks in those states which have listed are far different from what would exist under these proposals, therefore any "apples and oranges" comparisons are invalid.

With respect to DIY oil we would point out that New Jersey requires service stations to accept DIY oil, while exempting stations collecting 1,001 gallons per month of used oil, from regulation.

We again point out SSDA and its affiliates will challenge the constitutionality of such statutes in the event of a listing, or if EPA fails to address the issue of DIY contamination causing service stations used oil to count towards the RCRA small quantity generator limit. (See New York statute attached.)

The RCRA small quantity generator problem does not exist in any state. SSDA respectfully suggests that the Agency specifically exempt all used oil from counting towards the small quantity generator limit.

CONCLUSION

With few exceptions, the used oil recycling system has worked In those few cases where the system has broken down, such as Times Beach, the Agency has had the ability to quickly and effectively respond.

SSDA offers the full and unequivocable support of itself and its 60,000 members in order to expand environmentally sound recycling activities. SSDA has already begun to work with EPA on a DIY educational campaign. Achieving this goal will require many more collection facilities than presently available. Given that the number of services stations having the capacity to collect used oil is dwindling and that service stations already handle two-thirds of the DIY oil that is recycled, more collection facilities will be needed.

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To this end, SSDA makes the following suggestions.

Do not list used oil as a hazardous waste.

If used oil is listed; confine the listing to used oil when disposed of.

Raise accumulation limits for small quanity used oil generators to 1,001 gallons generator per month.

Drop reference in small quantity used oil generator regs that limit the total amount accumulated over time.

Drop proposed standards for used oil storage tanks.

Specifically exempt all used oil from counting towards RCRA small quantity generator requirements to ensure continued acceptance of DIY oil.

Raise mixture limits to account for possible contamination of oil by DIY's.

Propose strict warning labels on motor oil containers.

Require establishments selling over a certain amount of motor oil to provide collection facilities for that oil.

Increase participation of the regulated community in the process before regulations are proposed.

SHARES OF SERVICE BAY OCCURRENCE CATEGORIES IN U.S. RETAIL
GASOLINE NETWORK, 1985 vs. 1981

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TWO DECADES AGO, when American motorists could expect to find one or more gasoline stations offering automotive service, minor repairs, and accessories on most important intersections, they were well accustomed to shop the whole community for groceries, newspapers, bakeries, sundries, and various consumer services in a series of additional stops. They restored their cars overall, then themselves, piecemeal.

Today, many motorists increasingly find one or more self-serve gasoline outlets per main intersection, increasingly with associated convenience stores, where they fuel up and can also purchase groceries, snacks, and just about anything else other than tires, batteries, accessories, and auto service. Their groceries and sundries shopping done, they thereafter set out to search for various auto-related specialty shops, department stores and discount houses to do the piecemeal maintenance of their cars..

Such is the widening gap between fuel sales and auto aftermarket activity that more and more motorists must make more or less educated guesses as to which type of vendors of auto goods and services to choose--before finally choosing among options. Increasingly, this process is not related to replenishing fuel.

The graph above illustrates how the network has changed as to service bay occurrence according to national Lundberg Surveys of January 1981 and July 1985. January 1981 is chosen because it was the month of complete oil industry decontrol, at which time operating costs were on the rise while consumption was not. The greatest change is in the percentage of outlets with no bays: 43%.

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inside report on trends in petroleum marketing without the influence of advertising

SBA study reveals

Here's how much EPA regs

could cost your business

You could pay at minimum tens of thousands of dollars a year for the next 30 years complying with Environmental Protection Agency petroleum regs.

That's what a Small Business Administration analysis of EPA's proposed gasoline tank, used oil and "hazardous waste" reg options shows.

The SBA gave the study to EPA last week to show the regulators how tough the combined impact of the regs would be on the typical gas station.

However, one marketer attorney told Oil Week that the SBA study, if anything, actually paints a rosy picture of the costs to a typical marketer. The SBA study repeats EPA assumptions that (Continued on page 2)

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