Inspections

Motor Fuel Inspection

Appendix A: Motor Fuel Inspection Laboratory and Field Testing of Motor Fuel

I. POLICY

Maryland Code Business Regulation Title 10 - Motor Fuel and Lubricants Subtitle 2 - Administration and Enforcement § 10-203, addresses the Comptroller’s duty to analyze motor fuel. MD Bus Reg Code § 10-203

(a) The Comptroller periodically shall collect or cause to be collected and cause to be analyzed samples of all motor fuel that is: (1) subject to regulation under this title; and (2) stored and offered for sale in the State. Field Enforcement Bureau Agents and Inspectors routinely inspect all points of the Maryland motor fuel supply chain to ensure compliance with tax laws, regulations, and consumer protection. This is accomplished by conducting on-site enforcement and compliance inspections of retailers, bulk storage sites, major terminals, petroleum transporters, motor carriers, the International Fuel Tax Agreement (IFTA), and dyed fuel enforcement. The inspections include review of motor fuel registrations, delivery documents, fuel tank inventories, advertising signage, pricing, color code tank storage symbols, decals, and the collection of motor fuel samples for quality control testing to ensure compliance with federal and state specifications.

II. MOTOR FUEL INSPECTIONS

The following procedure is performed for collecting fuel samples:

  • Frequency of motor fuel inspections (fuel sampling) statewide is as follows:
    • Retail fueling sites  (Annual completion rate based on MFR.)
    • Bulk fuel storage facilities (Annual completion rate based on MFR.)
    • Major fuel terminals (100% monthly completion rate.)

Note: except for major fuel terminals, all other uninspected (sampleable) facilities will be inspected at a rate of once every four years to achieve an inspection rate of 100% of all sampleable motor fuel accounts.

  • Upon arrival at the fueling site, the agent/inspector will notify a representative of the location of the motor fuel inspection. The agent/inspector will identify the types of fuel for sale, types of pumps (single hose blend, single hose for each grade) take note of the hose configuration to determine if gasoline, ethanol flex fuels, or distillate fuels are properly segregated. The agent/inspector will check color coding of the fuel storage tank fill covers and locate display of API color code chart. The agent/inspector will check pump labeling for Federal octane decals, grade descriptions and Comptroller inspection decal. The agent/inspector will inspect motor fuel licenses, fuel delivery records, and document the tank inventory inventories.
  • The agent/inspector shall complete a serialized laboratory analysis sheet with chain of custody and a matching sample label for gasoline and distillate motor fuel. The forms are submitted with each motor fuel sample to the Motor Fuel Testing Laboratory.
  • The agent/inspector will activate a motor fuel pump using a state issued credit card, state issued cash advance, or pre-authorized gratis fuel pump test function from retail owner/operator. Motor fuel samples collected using cash or credit card as payment require receipt of payment to be later submitted for credit card reconciliation or cash reimbursement.
  • The agent/inspector will dispense the required amount of gasoline or distillate fuel into a fuel sample container from a fuel pump nozzle and visually examine the contents for debris or water contamination. If water contamination is suspected, a tape gauge affixed with water finding paste will be lowered into the corresponding motor fuel storage tank to determine the level of water.
  • Gasoline fuel samples are field tested using the portable octane instrument. If the octane measurement is within tolerance (-0.5) posted fuel grade, the tested fuel is returned to the sample can and is later submitted to the Motor Fuel Testing Lab for further analysis.
  • If the octane measurement does not test within (-0.5), additional samples of the same fuel are collected from the pump nozzles and storage tank and submitted to the Motor Fuel Testing Lab for octane engine verification testing.
  • Collecting a motor fuel sample from a single nozzle blend pump will require fuel hose to be purged to remove prior unknown grade of gasoline from fuel line to obtain the desired grade fuel. The fuel line flush will be returned to the regular unleaded fuel storage tank. a fuel line flush is not purchased or retained.
  • Fuel sample forms are signed by a representative from the location where the fuel samples were obtained at the conclusion of the inspection.
  • Fuel samples are transferred, by Chain of Custody, to the Comptroller of Maryland, Motor Fuel Testing Laboratory for analysis.
  • Laboratory staff review the laboratory analysis sheets (lab sheets) for accuracy and sign the form to verify complete Chain of Custody.
  • Lab personnel analyze the corresponding fuel samples.
  • Following completion of the analyses, the Motor Fuel Testing Laboratory Manager will perform a quality control data review of the completed laboratory analysis sheets (lab sheets) and initial the form to indicate approval.
  • The Inspector Supervisor will then perform supervisory review of the completed laboratory analysis sheets (lab sheets) for data input to the forms by Field Inspectors. Upon completion of review, the Inspector Supervisor will sign the bottom right side of the lab sheet for approval of field data.
  • Laboratory staff log the date of the inspection and the name of Inspector into the Motor Fuel Inspections spreadsheet.
  • In the event a fuel sample fails to meet minimum specifications, the agent/inspector will be notified by a supervisor and will be provided with a Stop Sale number to cease the sale of fuel at a fueling site.
  • The agent/inspector will return to the corresponding location to enforce the Stop Sale order, witness the closure of the affected fuel pumps, and issue the Stop Sale notice. While under Stop Sale, the agent/inspector will monitor the fueling site, over the duration of the order, for adherence to the order until it is released. Observations of adherence to the order will be recorded on the Stop Sale notice.
  • Depending on the nature of a fuel violation, a temporary conditional release may be granted on the stop sale order pending corrective action by the retailer/supplier of the fuel.
  • Upon completion of corrective action to restore the fuel quality, the agent/inspector will return to the location to collect a resample of the fuel for analysis.
  • The Stop Sale order will be released only after the fuel meets required minimum specifications.
  • Stop Sale orders may be issued for violations of motor fuel licensing and registration and violations of COMAR unrelated to motor fuel quality.

The following procedure is for inspection of non-sampleable motor fuel accounts:

  • Entities will be monitored for adherence to licensing and registration regulations.
  • Stop Sale orders may be issued for violations of motor fuel licensing and registration.

III. PETROLEUM TRANSPORTER INSPECTIONS

Agents and Inspectors of FEB may examine and inspect a vehicle, its delivery documents, its carried product, and other information to determine compliance with Business Regulations and COMAR. All businesses operating petroleum transporter conveyances engaged in transporting motor fuel to or from a place in Maryland shall register with the Comptroller. The term conveyance includes any carrying or transporting device which has a capacity exceeding 1749 gallons, exclusive of the propulsion tank, if any, for its own propulsion. Products covered under this regulation include gasoline and special fuel. Any transport passing through this State, neither loading nor unloading motor fuel, is exempt from this registration. There are no annual fees associated with Petroleum Transporter Registration at this time.

IV. IFTA INSPECTIONS

The International Fuel Tax Agreement (IFTA) is an agreement among states and Canadian provinces to simplify the reporting of fuel used by interstate/inter-jurisdictional motor carriers. Properly displayed and valid credentials issued by any jurisdiction will allow an IFTA licensee to travel in all IFTA jurisdictions. IFTA member jurisdictions include the contiguous 48states of the U.S. and the 10 provinces of Canada.

Six notable non-IFTA member jurisdictions in which IFTA credentials are not valid for travel:

In the United States: Alaska, Hawaii, and the District of Columbia

The Three Territories of Canada: The Northwestern Territories, Nunavut, and Yukon Territory.

Any Maryland based carriers with valid IFTA credentials who travel in non-IFTA jurisdictions must continue to follow the procedures and file the reports required by the statutes and regulations of the individual non-IFTA jurisdictions.

A Qualified Motor Vehicle is a motor vehicle used, designed, or maintained for transportation of persons or property and: has two axles and a gross vehicle weight or registered gross vehicle weight exceeding 26,000 pounds or has three or more axles regardless of weight; or, is used in combination, when the weight of such combination exceeds 26,000 pounds.

A carrier may elect not to obtain any decals for the intrastate vehicles that are tagged by the Maryland Motor Vehicle Administration since intrastate-only vehicles do not require any decals unless they begin interstate travel. Carriers that qualify as IFTA licensees, but do not wish to participate in the IFTA program, must obtain trip permits to travel through member jurisdictions according to the regulations and fees of each member jurisdiction including Maryland on any trip.

Two IFTA decals are issued for each qualified motor vehicle operated by the licensee and remain the property of the Comptroller. The decals must be permanently affixed to the exterior portion of the power unit, one on each side of the unit. In the case of transporters, manufacturers, dealers, or drive-away operations, the decals may be temporarily displayed in a visible manner on both sides of the cab. Failure to display the IFTA decals properly shall subject the licensee to citations and/or fines, and the licensee may be required to purchase a trip permit for each jurisdiction to be traveled.

V. NON-TAXED DYED DIESEL FUEL INSPECTIONS

Dyed diesel (off road diesel) is fuel containing red dye. The red dye added to diesel fuel identifies fuel on which excise taxes have not been paid. A person may not operate a motor vehicle on a highway in the State with propulsion tanks containing dyed diesel fuel. Agents and Inspectors will routinely conduct dyed fuel enforcement operations by inspecting propulsion tanks of diesel-powered vehicles, for dyed fuel, when operating on Maryland highways.

VI. STANDARD OPERATING PROCEDURES

  • Standard Operating Procedures (SOP) for motor fuel inspection and enforcement are located on the FEB network drive in the SOP folder.

VII. CANCELLATION

None.

The following regulations govern Motor Fuel Inspections:

  • Business Regulation, Title 10-101 thru 503
  • Traffic Regulation, Title 26-201 thru 204
  • Code of Maryland Regulations (COMAR) 03.03.04.01 thru 03.03.05.32
  • Tax General, Title 9-205