Florida Gas Stations Say Insurance Rule on Upgrading Tanks Too Costly

By Susan Salisbury | January 27, 2009

  • January 27, 2009 at 9:51 am
    Markee says:
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    I cannot believe someone even wrote this article about poor gas stations not being able to fork out enough to improve the gas tanks.

    It was not long ago that every gas station around was bringing in a ton of money and overcharging the customers. What happened to all that money they made during our times of crisis? I really find it hard to feel sorry for them at this point. We paid up and had no choice now its time for them to pay up. Install the better tanks and protect us as they are required to do. We already gave them enough money to do so.

  • January 27, 2009 at 10:21 am
    LOL says:
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    Check out the big brain on Markee! Hey guy, it’s not gas stations that drill, refine, trade, commodotize, and control the price of oil. Their profit margins are the same whether you’re paying $4.50 or $1.50; they compete against other gas stations that are paying the same price per barrel. Did you even read the article?

  • January 27, 2009 at 1:07 am
    B. Obama says:
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    You only need to hope.

  • January 27, 2009 at 1:13 am
    Mrs Dean Wormer says:
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    I can’t follow parts of this article. It makes reference to a “rule” taking effect on 12/31. Is it this “rule” or the insurers that are forcing the tank replacements?

  • January 27, 2009 at 2:25 am
    Ha! says:
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    Markee – Do you honestly think that gas stations are getting rich off the sale of gasoline? On the contrary, most are barely breaking even on gasoline sales and many times they take a loss on the gas. Why do you think there is not one single true “Gas” station left in this country and by that I mean a station that sells only gasoline, oil and auto services like tune-ups, tires etc…? Because there is no money in it. If it were not for the sales of convenience items inside the store the store would be long gone. I insure many gas stations and not one of them is getting rich on what they make on a gallon of gas. Most are hoping to at least break even and that is difficult in this market.

  • January 27, 2009 at 2:51 am
    Mobil Gas Girl says:
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    My father had a gas station. One does NOT get rich selling gas! The gas station owner doesn’t control the cost and makes pennies per gallon – whether the retail price is $2 or $4/gal! HOWEVER, I am in insurance and know that EPA passed regs in the 1990’s requiring UST upgrades phased in over a number of years. No one can claim that they are caught offguard that they need to upgrade their USTs by 12/31/09. They’ve had a decade to do it.

  • January 27, 2009 at 2:52 am
    Dread says:
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    Let the freakin’ oil companies foot the bill for the tanks. After all, they’re the ones raking in the unconscionable profits on the backs of the retailers. Why is the first reaction to rear end the guy who works his a ss off just to make ends meet?

  • January 27, 2009 at 2:54 am
    caffiend says:
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    If I recall correctly there’s a federal regulation that is to going to kick in on 12/31 that requires that all buried gas tanks be double-walled so as to decrease the chance of the gas leaking.

  • January 27, 2009 at 3:07 am
    Mobil Gas Girl says:
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    I agree that the oil companies should subsidize the upgrades. As usual, it’s not that simple. Many of these gas retailers are “unbranded” or independent – and they buy from many oil companies. Many big oils have subsidized programs for their dealers. But not all gas stations are affiliated with a big oil.

  • January 27, 2009 at 3:14 am
    Stan says:
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    Dread’s suggestion has merit. The oil companies should foot the bill for the upgraded tanks that store their products for sale. It shouldn’t matter if it’s a company station or an independent. An environmental “assessment” should be made based on the gross amount of sales for each company. Station owners could then apply for a subsidy to upgrade the tanks.

  • January 27, 2009 at 4:45 am
    Andrew says:
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    Just to confirm the low margin comments, in my area when gas was $4 some stores stopped taking credit cards as the fee to process the card is a percentage of the sale, regardless of how many gallons were pumped. The processing fee eliminated the station’s profit on the gas sale in many instances.

    Also, as to station ownership, while I am not in FL, there was a recent article that showed that there are relatively few owners for many stations. In my suburb, within about a half mile of commercial property there are 3 Shell stations, 1 Exxon, 1 BP, and 1 Texaco station. One of the Shell stations is locally owned by the same family for years. All of the other stations are owned by the same company.

  • January 27, 2009 at 5:57 am
    chip from the cape says:
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    What’ a moron like Markee doing reading this article? A better question might be,”What’s a moron like Markee doing reading?”. Someone must have done him a favor and read it to him/her.

  • January 27, 2009 at 5:59 am
    Cold Hearted says:
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    Cal me cold hearted, but stations have known this was coming for 10 years. If you kow an impending change is coming and have 10 years to prepare for it, I can have no sympathy. A lot of this is posturing and we’ll see exactly who survives and who doesn’t. Survival of the fittest or don’t we believe in that anymore.

  • January 27, 2009 at 6:21 am
    chip from the cape says:
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    While I agree that the SPCC rules regarding UST’s have been around for years (and have been postponed beaucoup times), I have to disagree with the assertion about “survival of the fittest”. Do the names AIG, FNMA, Bear Stearns, et al ring a bell? Read B Obama’s earlier post, or as Eddie Kendrick’s sang, “Vote for me, an I’ll set you free!, rap-on brother rap-on!”

  • January 28, 2009 at 2:23 am
    Geoff says:
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    Umm, lest we forget the reason for this, folks. You make even less selling gas if you’re putting a chunk of each tank into the local water table. Fix the tanks or close. Period.

  • January 28, 2009 at 3:40 am
    Mrs Dean Wormer says:
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    Thanks! So this

    “Now, hundreds of gas stations around the state are shutting down because their insurance companies will not renew policies unless stations install new double-walled underground gas tanks, which can cost $400,000.”

    should really say this:

    “Now, hundreds of gas stations around the state are shutting down because they cannot afford to comply with federal requirements.”

    Why are the ins cos always blamed for everything?!!

  • January 28, 2009 at 6:11 am
    chip from the Cape says:
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    If you remember ‘Animal House’, you may recall that the Dean’s wife wasn’t exactly a rocket scientist.

  • January 30, 2009 at 12:46 pm
    Mrs Dean Wormer says:
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    Your point being???

  • January 6, 2010 at 12:50 pm
    Anonymous says:
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    how many millions have u paid to gas stations
    huh? everyone get 5 or 7 penny on gallon ok.
    Retarded people like you should get the facts before barking

  • February 5, 2010 at 8:12 am
    abby says:
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    i was planning to buy a gas station with all my money that i am left with thinking it will give me some work to do ,since i am job less for now (am a unemployed commercial pilot )and make some money as well but reading all what you guys have been talking about makes me drop my dream plan :(



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