The bill amends the Motor Fuels Quality Act to enhance the regulation of gasoline and diesel fuel quality in Michigan. It introduces new definitions for terms such as "alcohol," "biomass-based diesel," and "recreational gasoline," while updating existing definitions to align with current standards. The director of the department is tasked with establishing standards for fuel quality, including the adoption of ASTM International standards and specific vapor pressure requirements during certain times of the year. Additionally, refiners and blenders are required to register special grades of motor fuel, ensuring compliance with specifications before sale, and must renew their registrations annually.

The legislation also prohibits the use of methyl tertiary butyl ether (MTBE) in gasoline and mandates that firms offering hydrogen fuel register with the department. New labeling requirements for fuel dispensers are established to inform consumers about fuel grades and additives, including specific labeling for gasoline containing ethanol and biodiesel blends. Retail dealers must maintain testing supplies and periodically test storage tanks for contamination. The bill introduces licensing requirements for distributors and retail dealers, a comprehensive inspection program, and a structured penalty system for violations, with fines increasing for repeat offenses. It also clarifies exemptions and updates vapor pressure standards, streamlining the regulatory framework by repealing Section 5a of the Motor Fuels Quality Act.

Statutes affected:
Senate Introduced Bill: 290.642, 290.645