Internal Policy Directive 2004-1
INTERNAL POLICY DIRECTIVE 2004-1
UPDATED NOVEMBER 22, 2004
MOTOR FUEL TAX ACT -- Diesel Fuel Not Meeting ASTM Standard on January 1, 2005
POLICY ISSUE
Shall the Department exercise its authority under the Motor Fuel Tax Act (MFTA) to delay enforcement of the requirement that diesel fuel sold or purchased in Michigan meet ASTM (American Society for Testing Materials) standard D975-04b, thereby allowing the sale or purchase of diesel fuel in Michigan that does not meet ASTM standard D975-04b?
POLICY DETERMINATION
Pursuant to MCL 207.1124(1), the Department shall not require diesel fuel to meet ASTM standard D975-04b until January 1, 2006. For the period commencing on January 1, 2005 and ending on December 31, 2005, the Department shall require all diesel fuel sold or purchased in Michigan to meet the previously existing ASTM standard, D-975.
DISCUSSION
The ASTM has approved changes to ASTM standard D975 that add new standards for diesel fuel lubricity. These changes are set forth in ASTM standard D975-04b and shall take effect on January 1, 2005.
Section 124(1) of the MFTA reads:
"Except as otherwise provided by the department, a person shall not sell or knowingly purchase any motor fuel or other product for use in the fuel supply tank of a motor vehicle for use on the public roads or highways of this state that does not meet ASTM standards for motor fuel or other products as published in the annual book of standards and its supplements." MCL 207.1124(1) (emphasis added).
The statute permits the Department to delay enforcement of the requirement in section 124(1) of the MFTA that diesel fuel meet ASTM standard D975-04b. For the period commencing on January 1, 2005 and ending on December 31, 2005, the Department shall not enforce the new ASTM standards for diesel fuel as set forth in D-975-04b. Notwithstanding, all diesel fuel that is sold or purchased in Michigan during calendar year 2005 shall continue to meet all ASTM standards set forth in ASTM standard D-975, as it exists on December 31, 2004.