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S2992Senate2017-2018 SessionSame asA2353

Ban Gas Payment Surcharges

Official title

“Prohibits method of payment pricing of gasoline”

Sponsor Kenneth P. LaValleSD-1Affects Public Safety & Consumer Affairs
Status
In Senate Committee
Consumer Protection
Impact
5/10
Moderate
Passage
0%

Bill progress

Step 2 of 7

In committee · Consumer Protection

What's happening

This bill prohibits gas stations from charging different prices based on payment method, except for limited credit or debit card fees.

Why it matters

  1. Reduces confusion and potential deception at the pump. by requiring that the advertised price is generally the price paid, regardless of whether a customer uses cash or card—helping consumers make clearer, more informed purchase decisions.

  2. Limits extra charges for card payments. to only the actual transaction fee or up to 3% of the cash price, whichever is higher, preventing gas stations from imposing excessive surcharges that go beyond the true cost of processing card payments.

  3. Promotes fairness and transparency in pricing. by preventing gas stations from offering artificially low “cash” prices that most customers can’t access, reducing the likelihood that lower-income or unbanked consumers are penalized for their payment method.

  4. May impact station business practices and pricing models. by standardizing prices across payment methods, potentially leading stations to adjust their overall pricing or absorb card processing costs rather than passing them disproportionately onto card users.

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Who cares

Headline styles

Ban Gas Payment Surcharges

Plain English, a few words. Used as the page title.

Sponsors

Primary sponsor
Kenneth P. LaValle

Senator · Senate District 1

Chair, Higher Education

No co-sponsors yet.

History

  1. Referred to consumer protection
  2. Referred to consumer protection

Companion bill

The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.

A2353Assembly

Ban Gas Payment Surcharges

In Assembly Committee · Consumer Affairs And Protection · Sponsor Fred Thiele

Impact 5 · Moderate0% to pass

Full text

1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗

STATE OF NEW YORK

S. 2992 A. 2353

2017-2018 Regular Sessions

SENATE - ASSEMBLY

January 18, 2017

IN SENATE -- Introduced by Sen. LAVALLE -- read twice and ordered printed, and when printed to be committed to the Committee on Consumer Protection

IN ASSEMBLY -- Introduced by M. of A. THIELE -- read once and referred to the Committee on Consumer Affairs and Protection

AN ACT to amend the general business law, in relation to method of payment pricing of gasoline

The People of the State of New York, represented in Senate and Assembly, do enact as follows:

Section 1. The section heading of section 399-ee of the general business law, as added by chapter 579 of the laws of 2008, is amended to read as follows:

Zone pricing and method of payment pricing of gasoline prohibited.

§ 2. Subdivision 1 of section 399-ee of the general business law is amended by adding two new paragraphs (n) and (o) to read as follows:

(n) "Method of payment" means the manner in which a customer pays for motor fuel at a retail outlet using cash, check, debit card, credit card or a similar means of payment.

(o) "Method of payment pricing" means differences in the price per gallon of motor fuel of like grade or quality offered for sale or sold by a retail outlet based on the customer's method of payment.

§ 3. Subdivision 3 of section 399-ee of the general business law is renumbered subdivision 4 and a new subdivision 3 is added to read as follows:

3. No dealer shall engage in method of payment pricing with respect to any motor fuel of like grade or quality, except that the dealer may impose a charge for the use of a credit or debit card in an amount not to exceed the greater of the transaction fee incurred by the dealer for processing the credit or debit card purchase or three percent of the cash price.

§ 4. This act shall take effect on the thirtieth day after it shall have become a law.

EXPLANATION--Matter in italics (underscored) is new; matter in brackets

[ ] is old law to be omitted.

LBD07157-01-7

Reflowed for reading: line numbers and page breaks removed. Cite the official text.

Sponsor's memo

Title of bill

An act to amend the general business law, in relation to method of payment pricing of gasoline

Purpose

To prevent unrestrained additional charges for the use of credit and debit cards when purchasing gasoline.

Summary of provisions

This bill amends the general business law to add paragraphs 'o' and 'p' to subdivision 1 of section 399-ee of the general business law. It also adds a new subdivision 3 of the same section of the general business law.

Justification

This legislation would prohibit gasoline stations from charging a greater rate per gallon for gasoline for credit and debit card customers, as opposed to those who pay cash except that the dealer may impose a charge for the use of a credit or debit card in an amount not to exceed the greater of the transaction fee incurred by the dealer for processing the credit or debit card purchase or three percent of the cash price. Certain retailers are charging as much as two dollars per gallon for the use of a credit card. This legislation will prevent gasoline retailers from charging consumers exorbitant surcharges for using a credit or debit card when purchasing gasoline.

Legislative history

2015-16 S.1594/A.1889; 2013-14 S.3063/A.3887; 2012 S.7226/A.9788A.

Fiscal implications

None to the State

Effective date

This act shall take effect on the thirtieth day after it shall have become law.

Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.