2012 -- H 7791

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LC01809

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STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2012

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A N A C T

RELATING TO BUSINESSES AND PROFESSIONS - PROPANE GAS SALES

     

     

     Introduced By: Representatives Keable, Blazejewski, and O`Grady

     Date Introduced: February 28, 2012

     Referred To: House Corporations

It is enacted by the General Assembly as follows:

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     SECTION 1. Section 5-83-1 of the General Laws in Chapter 5-83 entitled "Propane Gas

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Sales" is hereby amended to read as follows:

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     5-83-1. Requirements for guaranteed price plans, price protection and prepaid

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contracts. -- (a) A contract for the retail sale of propane gas that offers a guaranteed price plan,

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including a ceiling price cap plan contract and any other similar plan, must be disclosed in a way

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to clearly define the terms and conditions of the price plan. The disclosure of terms and

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conditions must be in plain language, must immediately follow the language concerning the price

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or service that could be affected and must be, if initiated verbally, confirmed in writing no more

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than fourteen (14) days from the initiation date using no less than twelve (12) point boldface type

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of uniform font. The disclosure of terms and conditions, must include, but not be limited to, any

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additional fees or costs for securing the guaranteed price, as well as, any early termination fees,

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and shall express the price in terms of the sum of any such fees divided by the number of gallons

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delivered.

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      (b) A solicitation for the retail sale of propane gas that offers a guaranteed price plan,

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including a ceiling price cap plan and any other similar plan, must be confirmed in writing no

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more than fourteen (14) days from the solicitation date, and the terms and conditions of that offer

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must be disclosed in plain language.

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      (c) A propane gas dealer that pays for media or print advertising of a price shall offer

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said price for a period of no less than twenty-four (24) hours or until the next advertised price is

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so publicized, whichever occurs first.

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      (d) No prepaid propane gas contract shall require any consumer commitment to purchase

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propane gas pursuant to the terms of such contract for a period of more than twelve (12) months.

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      (e) Any violation of this section shall render the terms and conditions of the

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aforementioned contract null and void.

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     SECTION 2. This act shall take effect upon passage.

     

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LC01809

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

RELATING TO BUSINESSES AND PROFESSIONS - PROPANE GAS SALES

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     This act would provide that the price for propane gas would be expressed in terms of the

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sum of any fees divided by the number of gallons delivered.

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     This act would take effect upon passage.

     

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LC01809

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H7791