Oilstop to Build 150 Quick Lubes in California
City of Seattle Considers Coffee Tax
BP Settles Lawsuit Over Arco Station Upgrades
U.S. Mint Cuts Production of Dollar Coin
Owner of Closed Oregon Station Fined
Chevron Station Site May Be New Honolulu Fire Headquarters

OILSTOP TO BUILD 150 QUICK LUBES IN CALIFORNIA

ROHNERT PARK, CA. — Oilstop Inc., has signed a deal with the Glenwood Financial Group to build 150 new Oilstop Drive-Thru Oil Change stores in California.

Construction of the first store in the project is expected to begin this Winter, pending governmental approvals.

"This is a tremendous opportunity for Oilstop to build on its growing reputation in California," said Oilstop CEO Larry Dahl. "We’ve been working on this expansion since 1988 when our first Oilstop Drive-Thru Oil Change store was built in Petaluma, California."

Dahl continued, "Our experiences to-date tell us that, when it comes to servicing their vehicles, Californians want to be treated respectfully as though they were guests in someone’s home. They don’t want to be pressured into purchasing anything and they want value for their money."

Oilstop currently operates 26 company-owned and franchised quick lubes in Arizona, California, New Mexico, Oregon, Tennessee, Texas, and Virginia.

CITY OF SEATTLE CONSIDERS COFFEE TAX

SEATTLE, WA. — In a city where coffee is considered to be a right more than a beverage to be consumed, Seattle residents are unhappy over a proposed "espresso tax."

The city of Seattle is considering adding a 10 cent tax to every cup of coffee sold. The money raised would be earmarked for early childhood education. The city estimates that with the amount of coffee sold in Seattle, between $7 million and $10 million would be raised annually.

The "espresso tax" measure is gathering signatures to be added to Seattle’s ballot in November.

BP SETTLES LAWSUIT OVER ARCO STATION UPGRADES

LOS ANGELES, CA. — BP has reached a settlement with the state of California over upgrades to its Arco-branded service stations.

In 2000, the state of California charged that Arco failed to upgrade 59 of its service stations to meet the 1998 Underground Storage Tank upgrades required by the EPA. In its charges, California claimed that Arco either ignored the deadline or misrepresented work done at the stations in order to continue selling gasoline from the outlets.

Under the terms of the settlement, BP admitted no wrongdoing but agreed to pay $25 million in fines and reimbursement to the state for its investigation. BP also agreed to spend $20.8 million in upgrades to its Arco-branded service stations.

The California Attorney General’s office also will have access to the Arco stations to monitor and inspect the sites to make sure they continue to be in compliance with the law.

An Arco spokesman said that the company has completed all of the "required improvements. The work is done."

U.S. MINT CUTS PRODUCTION OF DOLLAR COIN

WASHINGTON, D.C. — After extensive — and expensive — upgrades are in place to accept the Sacagawea dollar, the U.S. Mint has announced that they are cutting back on production of the coin.

The Mint says that they have stopped making new dollar coins for circulation and will suspend production through — at least — the end of this year.

The higher cost of producing the coin versus the printed dollar bill and lackluster public demand for the coin were factors toward the decision to suspend production. The Mint also claims that the poor economy also cut demand for the golden dollar coins.

Among the groups hardest hit by this news are self-service carwashes and stations with vending machines. Many of these businesses upgraded their machines two years ago when the Mint began production so they could accept the Sacagawea dollar coins. With no new coins in production, many business owners are viewing their investments as so many dollars thrown down the drain.

OWNER OF CLOSED OREGON STATION FINED

EUGENE, OR. — The owner of a closed service station has been fined $186,059 for petroleum contamination at the site by the Oregon Department of Environmental Quality.

Brad Templeton owns a piece of land at 89920 Prairie Road here that used to house a service station. The station, which opened in 1968, closed in 1996 and the property is currently vacant.

The DEQ claims that gasoline leaked from the underground storage tanks at the station and has entered the groundwater.

The DEQ met with Templeton in May 2002 and he signed a Mutual Agreement and Order which required him to install a liquid petroleum/free product gasoline recovery system at the station site. He also agreed to undergo investigative work at the site to determine the extent of the contamination.

The DEQ says that they levied the fine because he has taken no remediation action in the last two years, violating the Agreement and Order.

Templeton is appealing the penalty.

CHEVRON STATION SITE MAY BE NEW HONOLULU FIRE HEADQUAR4TERS

KAKAAKO, OAHU, HI. — The corner of South and Queen Streets here, the site of a Chevron station for many decades, may now become the new headquarters for the Honolulu Fire Department.

The corner location had been the site of K&Y Chevron since the 1950s. For the last few years, it had also been the center of a dispute between dealer Frank Young and Chevron. The major oil company sought to remove the dealer who had been operating the family-owned station. The battle between the dealer and Chevron was fought in the courts for several years until a settlement was signed in January and Young left the station as part of the deal.

Now the City of Honolulu is in negotiations to buy the 20,400 square foot site from Chevron Hawaii.

The property borders the existing Kakaako fire station, built 151 years ago. That station would be turned into a museum and a new headquarters building would be constructed on Chevron’s property.

Chevron Spokesman Albert Chee said the major oil company was considering selling the station because they believe it needs some major upgrades to remain competitive but are not sure the investment could be recouped.

Originally published in the September 2002 issue of O&A Marketing News.
Copyright 2002 by KAL Publications Inc.