19 Gallon AE ESPA2008
User Manual: 19 Gallon AE
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E 2008 MPIRE STATE PETROLEUM ASSOCIATION inside Hard Times Call for Straight Talk Are you keeping your customers in the dark? How to Prevent Collections Catastrophes Signed, Sealed, Delivered Business unions require prenups, too Presorted Std. U.S. Postage PAID Albany, New York Permit 438 Join one of the world’s largest and most-recognized gasoline brands. When you become part of the Shell brand, you can expect: UÊ ÃÌVÌÊ>`Ê`vviÀiÌ>Ìi`ÊvÕið UÊ"iÊvÊÌ iÊ>À}iÃÌÊVÀi`ÌÊV>À`ÊL>ÃiÃÊÊÌ iÊVÕÌÀÞ° UÊÊ/ iÊ}>ÃiÊ`ÕÃÌÀÞ½ÃÊLiÃÌÊV LÀ>`i`ÊVÀi`ÌÊ V>À`]ÊLiV>ÕÃiÊÌÊ >ÃÊÌ iÊ } iÃÌ Û>ÕiÊVÃÕiÀÊ ÀiL>ÌiÊvviÀ}° UÊ >Ì>Ê>`ÛiÀÌÃ}ÊÃÕ««ÀÌ° UÊ «Ê>`ÛiÀÌÃ}° UÊ iÀV>Ê>`ÊiiÌÊ >À`Ê«À}À>ð Low-Quality Discount Gasoline Shell Gasoline - iÊÀ>ÀÃÊÌÊÓäänÊÜÌ Ê >ÞÌ>ÊxääÊÜiÀÊiÛÊ>ÀÛV]Ê,V >À`Ê `ÀiÃÃÊ,>V}]Ê>`ÊÌ iÊÓÊ- i*iâÊV>À°Ê/ ÃÊ«ÀÃiÃÊÌÊLiÊ>Ê Ãi>ÃÊvÊVÀi`LiÊÌ ÀÃÊ>ÃÊÜiÊÀiÌÕÀÊÌÊÌ iÊÜ`ÞÊ««Õ>ÀÊëiVÌ>ÌÀÊ /Êi>ÀÊÀiÊÊ Steven Lancia >LÕÌÊ- iÊLÀ>`}ÊÊ ÌÛ>Ê ÌiÀ«ÀÃiÃÊ ««ÀÌÕÌiÃÊÊ 7 iÃ>iÊÀi>Ê>>}iÀ «i>ÃiÊVÌ>VÌ\ "vwVi\Ê£{ÓÎ{ ä£nÇ >Ý\Ê£{ÓÎ{ {{Î ÃÌiÛi°>V>JÌÛ>iÌ°V ëÀÌÊvÊÌÀÊÀ>V}°ÊÊ- iÊÜÊ>`ÊLiÊ«>ÀÌÊvÊÌ iÊ>VÌt The name, likeness, signature of Kevin Harvick and the Kevin Harvick, Incorporated, logo are registered trademarks of Kevin Harvick, Incorporated, and are used under license from Kevin Harvick, Incorporated. Radiate confidence! We have grown from owning a single U.S. refinery to America’s largest refiner with over 4,700 stores stretching from coast to coast. We know America is the land of opportunity, and we offer plenty to anyone who joins the Valero family. We provide strong branded and unbranded programs, a cooperative attitude, a reliable source of high quality products, a solid track record of growth plus a very positive community image. Give us a call. Once you’ve heard what we have to say, you’ll be glowing too. www.valero.com/wholesale NYSE:VLO To inquire about branding opportunities, contact Glenn Zomack at 609.409.0667, or glenn.zomack@valero.com. For unbranded inquiries, contact Robert Ryan at 630.427.0190, Ext. 205 or robert.ryan@valero.com. Beyond the Fundamentals A Better Oil-Fired Water Heater by the Numbers This residential center flue water heater from Bradford White doesn’t look extraordinary. But when you dig a little deeper, you’ll find a huge difference in the details. 1 Flexible Stainless Steel Flue Baffle for easy service in tight spaces 2 Electronic Aquastat Controller with 7-segment troubleshooting LED display 3 Dielectric Waterway Fittings minimize the occurrence of corrosion formation 4 Two protective anode rods provide added protection against corrosion 5 Beckett Burner is compatible up to B5 (5% Biofuel) 6 Hydrojet® Total Performance System to reduce sediment build-up and increase First Hour Delivery 7 Vitraglas® Lining protects against the corrosive effects of hot water as well as providing a tough interior surface for our water heaters 8 Brass Drain Valve 9 Six year limited tank warranty / Two year limited parts and burner warranty 10 Bradford White – Always a superior, feature-packed product at the best possible price It’s a simple formula- take a great product and make it better with innovation and real value. All 18 residential and commercial models from Bradford White follow this plan. The value, performance and premium product features of Bradford White oil-fired water heaters is a combination your customers can find nowhere else. 800.523.2931 | Built to be the Best™ | www.bradfordwhite.com ©2008, Bradford White Corporation. All rights reserved. Reduce Fuel-Related Service Calls by Almost 60% Reduce Demands on Service Technicians Increase Customer Satisfaction Create a Powerful Tool to Market Your Heating Oil The Proven Heating Oil Additive Proven to Reduce Service Calls … and Save You Money! Avalux was developed by a major oil company and Innospec, a leading manufacturer of fuel stability additives. Its performance was fieldtested over several years by a prominent Connecticut heating oil retailer. Prior to using Avalux, this retailer experienced 19.1 fuelrelated service calls per 100,000 gallons of heating oil delivered. After two years of Reduced by using Avalux, their fuelFuel-Related related service Service Calls calls were at Per 100,000 Gallons. 10.4, a 45% reduction. After seven years, fuel-related service calls were down to 8.0, a reduction of 58%. 58% 15 10 5 Base Year2 Year7 Because of Avalux, the Connecticut retailer ultimately experienced $610 11.1 fewer fuel$500 related service calls per 100,000 gallons delivered. If the cost of a fuel-related Service Additive Net service call is Savings Cost Savings $100, the PER 100,000 GALLONS savings from 11.1 fewer service calls is $1,110 per 100,000 gallons. The cost to additize 100,000 gallons is $500 (one half cent per gallon of heating oil). $1,110 Net Savings is $610. On-Truck And Bulk Plant Additive Injection Systems Are Available. t$BMMPSUPPSEFS"WBMVYPSUPTDIFEVMFBDPOTVMUBUJPOt Advanced Distillate Technologies, s,LLC 7jUWbf[a`S^V[ef[^^SfWbWdXad_S`UWefSdfeZWdWQQQQQ Distributor Sales Team >Your Energy Partner Contact us for all your energy needs. John McConville Manager, Distributor Sales (732) 750-6463 Tom Gowers Manager, Motor Fuel Sales (732) 750-6664 Bob Kravcenko Senior Account Manager (813) 957-3983 Michael Puig Senior Account Manager (203) 265-2525 Joan Sunris Senior Account Manager (732) 672-7223 Madonna Bruseo Sales Coordinator (732) 750-6788 Janice Taylor Marketing Representative (732) 750-6652 Gwen Morgan Sales Support Specialist (732) 750-7359 Merc Phone (732) 750-6788 ask for Madonna (800) HESS-USA (800-437-7872) www.hessenergy.com 8179 2008 E MPIRE STATE Chairman of the Board Dean Smith Scott Smith & Son 8 Delphine Street Owego, NY 13827 Tel: (607) 687-1803 Fax: (607) 687-7154 President Richard Spiegel M. Spiegel & Sons Oil Corp. P.O. Box 833 Tuxedo, NY 10987-0833 Tel: (845) 351-4700 Fax: (845) 351-4694 Executive Vice President/CEO Thomas J. Peters Empire State Petroleum Association 80 Wolf Road, Suite 308 Albany, NY 12205 Tel: (518) 449-0702 Fax: (518) 449-0779 General Counsel Morris A. Mondschein, Esq. Borenkind, Mondschein & Bliss 399 Knollwood Road, Suite 213 White Plains, NY 10603 Tel: (914) 422-0001 Fax: (914) 946-6301 PETROLEUM 9 CEO’s Message By Thomas J. Peters 11 In Case of Emergency… Will you be open for business when disaster strikes? By Federated Insurance 15 How to Prevent Collections Catastrophes Manage outstanding receivables with web-based tools Contributed by I.C. System ASSOCIATION 23 Understanding Credit Card Data Security Why it’s crucial to protect credit card data By Tracy Richmond 27 Signed, Sealed, Delivered Business unions require prenups, too By Raymond Fink, Esq. 32 Hard Times Call for Straight Talk Are you keeping your customers in the dark? By Richard Rutigliano 17 Claims Reporting— What’s the Big Deal? Delay of workplace injury reporting raises costs for employers By Edward K. Ludlum, CSP 36 Products & Services Marketplace 41 Buyers’ Guide Listings 19 42 Index of Advertisers New program helps you retain customers, find revenue streams 42 Advertiser.com The TankSure® Solution By Gerry Brien Published for the Empire State Petroleum Association 80 Wolf Road, Suite 308 Albany, NY 12205 Tel: (518) 449-0702 Fax: (518) 449-0779 www.espa.net Publisher Mark Migliore Layout & Design Naylor, LLC Editor Thea Galenes Advertising Art Allan S. Lorde Marketing & Research Amanda Everett Published by Project Manager Jason Dolder ©2008 Naylor, LLC. All rights reserved. The content of this publication may not be reproduced by any means, in whole or in part, without the prior written consent of the publisher. Naylor, LLC 5950 NW 1st Place Gainesville, FL 32607 Tel: (800) 369-6220 Fax: (352) 331-3525 www.naylor.com Empire State Petroleum Association • 2008 Publication Director Eric Singer Account Representatives Janet Frank, Shaun Greyling, Jessica Imm, Rick Jones, Bill Lovett, Paul Walley, Marcus Weston, Shawn Wiggins, Jamie Williams, Jason Zawada Published September 2008 / ESP-A0008 / 7486 7 CEO’s MESSAGE By Thomas J. Peters Executive Vice President/CEO I n this magazine, you will find several articles authored by some of the professionals who provide important services to ESPA members. These companies work very closely with the ESPA office and share a special relationship with the association. Federated Insurance Company is the ESPA-endorsed company for property and casualty insurance. Federated provides programs specifically tailored for petroleum marketers at competitive rates. It insures petroleum marketers throughout New York State, and its statewide sales representatives are available to assist marketers with a variety of risk management programs. Richard Rutigliano is president of PriMedia, the provider for the ESPA Web site and the ESPA MemberLetter. PriMedia offers a comprehensive line of marketing and communications services: newsletters; postcards; direct mail marketing; Web site creation, hosting and maintenance; message-on-hold systems; Internet and print advertising; public relations writing; and consultation, training and more for petroleum marketers. Tracy Richmond is vice president of COCARD, the preferred credit card processing company for ESPA. COCARD’s specialty is automating the payment process to help customers take control of their cash flow. COCARD also provides reduced credit card processing rates for heating oil marketers. Ed Ludlum is the director of risk management services for First Cardinal Corporation, the administrator of the New York Petroleum Association Compensation Trust (NYPACT), which was formed to provide ESPA members with an alternative to traditional workers’ compensation coverage. Participating members in NYPACT have Empire State Petroleum Association • 2008 realized significant savings on their insurance premiums by leveraging the collective clout of safety-conscious employers in the same industry to lessen costs. Gerry Brien is senior vice president of Boston Environmental, which provides a technology with the capability, along with their proprietary software, to predict when an oil tank will fail prior to its actual failure due to corrosion. Boston Environmental calls this program, and the other consulting services that are included, its TankSure® Program. I.C. System was established in 1938 as a two-person collection agency, and the company has grown to become an industry leader in accounts receivable management, with 30,000 clients nationwide. I.C. System holds exclusive endorsements from 500 professional and trade associations, including the Empire State Petroleum Association. Raymond Fink, Esq. is a partner in the law firm of Harter Secrest & Emery, LLP. The firm is Legislative Counsel to ESPA and represents the interest of members before the Governor’s Office and State Legislature. The firm also represents business clients in a many different areas and is available to assist ESPA members with their business needs. As an ESPA member, you are part of an association of hundreds of industry colleagues who share your concerns and who are working to create a more prosperous environment for independent petroleum marketers. In addition to having access to these and many other services and resources, your membership in ESPA affords you a strong voice in the state and federal government. ESPA continually identifies and assesses new legislation that may impact your business and vigorously works to shape favorable governmental policy. ESPA also pursues key legislation to help marketers better compete and maintain profitability and the viability of their marketplace as a whole. V 9 386363_Savage.indd 1 7/15/08 8:48:22 PM In Case of Emergency… Will you be open for business when disaster strikes? By Federated Insurance N atural disasters have been grabbing headlines across the United States in epic proportion. We’re all at risk from their destruction, no matter our location. Some disasters—such as hurricanes or flooding—come with advanced warning, and others—like tornadoes— strike in an instant with little time to get to safety. What happens next? The winds have died down. The storm has passed. The water has receded. Thankfully, no one has been seriously injured. Now your mind-set changes from survival to recovery. Businesses that are able to reopen sooner after a disaster strikes help their communities recover more quickly. A community cannot survive a disaster Types of Catastrophic Losses 1986-2005 Tropical Storms/Hurricanes 47.5% Tornadoes 24.5% Winter Storms 7.8% Terrorism 7.7% Earthquakes 6.7% Wind/Hail/Flood 2.8% Fire 2.3% Civil Disorders 0.4% Utility Disruption 0.1% Water Damage 0.1% Insured disaster losses totaled $289.1 billion Source: Institute for Business and Home Safety Empire State Petroleum Association • 2008 At least one-fourth of all businesses that close because of a disaster never reopen. unless businesses like yours survive— and a business cannot survive unless its employees survive. At least one-fourth of all businesses that close because of a disaster never reopen. Small businesses are especially vulnerable, because few have the resources or knowledge to assess disaster risks and develop comprehensive recovery plans. Be prepared Whether the event is a natural disaster or a fire, there are basic things every business needs in order to get operations quickly back on track. Consider the creation of a disaster recovery plan to be like CPR training for your business. You’ll be glad you’re prepared, because a good plan can help pump life back into your business. Our recommended insurance carrier, Federated Insurance®, has partnered with the Institute for Business and Home Safety (IBHS), a national nonprofit group that works to reduce commercial and residential property losses associated with extreme weather events and natural disasters. Through IBHS, Federated® is making available many valuable resources relating to disaster and recovery planning for you, your business and your employees. These tools are being offered at no cost to Empire State Petroleum Association members as another benefit. 11 One of the exciting programs available through IBHS is called Open for Business®. It contains a variety of tools to help small business owners reduce their potential for loss should disaster strike, and to help them reopen quickly should they be forced to close. Open for Business is designed to walk a business owner through the steps to develop a continuity plan to keep a business profitable after a disaster. It is available online or in print. IBHS also provides information about best practices, assessments, guides and checklists to protect against these perils: • Earthquakes; • Freezing weather; • High winds; • Tornados; • Floods; • Hail; • Hurricanes; and • Wildfires. The IBHS Web site includes a zip code tool designed to concentrate the efforts of a business in preparing for specific perils. IBHS provides customized results for the disasters most likely to occur in the zip code area. These guides are critical to your business and may be used for your home as well. These are just a sample of the many valuable features available through IBHS. In addition, businesses can access tools to customize their own disaster planning and recovery program through Open for Business. Information is saved securely online to be available whenever it may be needed. Plans can also be saved locally— e.g., on a hard drive, disk, CD or on paper. Open for Business focuses on three categories of protection to help businesses survive a natural disaster: • Human resources; • Physical resources; and • Business operations. Businesses can identify which natural hazard events could affect them and learn what they can do to reduce exposures. They can also develop a plan to resume essential business operations. They can create their plans in stages, save the current work on the IBHS Web site and return later to finish. At all times, the data entered and the final plans are protected and accessible only by user name and password. Businesses have the option to save the completed plan online with IBHS, so it is available at any time from any location. This is especially important following a disaster when the primary location may not be accessible. Empire State Petroleum Association, Federated and IBHS believe that together we will make a difference in helping secure long-term financial success to small businesses throughout the country. To get started with this program, please visit Federated’s Web site at www.federatedinsurance.com and click “Open for Business,” or contact your Federated representative. V If hydronic heating has a playbook, this is it. Take a page from our free playbook – the first-of-its-kind heating handbook filled with tips, techniques, strategies and tactics for all aspects of hydronic heating. Every team needs a playmaker. We’re yours. Visit www.grundfos.us/handbook to order your free copy of the Grundfos Handbook on Hydronic Heating and Hot Water Recirc Systems. 12 343275_Grundfos.indd 1 Empire State Petroleum Association • 2008 8/18/07 1:49:33 PM Proven Performance - Defining the Future XCELLINK GPS LAN Radio Cell Phone ComLink Data Card & Drive 6501 SMARTLINK General Purpose Computer Slip Printer Roll Printer Thermal Printer 8000 Connecting To The World . . . Phone: 641-456-4848 • Fax: 641-456-4600 Email: sales@midcomcorp.com Website: www.midcomcorp.com The Complete System to Assess Risk and Retain Customers What is Oil Well™? The Advantage Oil Well™ is a Consumer Reporting Agency which provides residential and commercial heating oil dealers with real-time information necessary to make informed credit decisions and control risk. Oil Well™ affords its clients the ability to improve the customer relationship experience while helping to identify potential fraud and better predict credit default risk. Oil Well™ allows you to assess your risk with a prospective new customer before you make your first delivery. Check to see if the consumer owes another dealer money and for how long. How it Works Oil Well™ gathers records exclusively from residential and commercial heating oil dealers thus allowing our subscribers access to actionable and unique information that is not always available from other consumer information providers. Each subscriber is required to upload their delinquent customer information at least every 15 days or their searching capability gets suspended until the next upload is performed. This ensures that the data is current and subscribers are contributing data as much as they are using it. You can manually enter records or upload files exported from your accounting software. Accepted formats are Microsoft Excel Spreadsheets (.xls) or Comma Separated Values (.csv). Oil Well™ is a valuable tool for customer retention. Our proprietary Oil Well Alert™ alerts a subscriber that its delinquent customer’s file has been accessed by another oil dealer thus alerting the subscriber that its customer may be preparing to avoid payment by switching oil dealers. See if your new customer owes ANOTHER dealer money and receive an email alert whenever YOUR customer’s file is accessed by another dealer. 30 DAY FREE TRIAL Endorsed By ¹ 2ISK !SSESSMENT $ATA ,,# s www.OILWELLRAD.com How to Prevent Collections Catastrophes Manage outstanding receivables with web-based tools Contributed by I.C. System D o you know what your collection agency is doing? If not, it’s likely because it does not offer online, web-based tools to help you manage your accounts. At I.C. System, we link you to our collection activity through free online tools. Currently, thousands of clients are registered to use the secure tools, and more than 1,000 clients log on daily to perform the following functions: • Submit debts for collection 24 hours a day, seven days a week. Consumer and commercial debts are uploaded nightly and ready for work effort within two business days, sooner than if you had sent the debts to us via regular mail. • View the status of debts submitted for collection. A simple search tool shows the real-time status of each debt, including the number of letters sent, number of calls made, number of right-party contacts, paid amount and more. • Generate four different reports: Account placement acknowledgement report, two inventory progress reports and an incorrect phone number and address report. • Report payments on debts submitted for collection. Additionally, the online tools include access to I.C. System’s InstiServices: • InstiCredit® enables you to pull consumer and commercial credit reports in just seconds for the purpose of minimizing financial risk. • InstiFind™ enables you to perform instant skip tracing to Maximize Revenue AND Minimize Risk I.C. System’s collection services, the only such services endorsed by ESPA, recover millions of dollars for clients each year. More importantly, the agency spares no expense in making sure customer data is secure during transfer to and from clients and while they use it for business purposes. I.C. System is one of the few agencies worldwide with verified data security protocols: SAS 70 Type II audited, ISO 17799 assessed and PCI compliant. For a free consultation and to learn more about I.C. System, including ESPA member-only benefits, please call (800) 279-3511 or visit www.icsystem.com. Empire State Petroleum Association • 2008 learn addresses/phone numbers for purposes of resending returned, undeliverable invoices and contacting relocated customers. (Currently, all new clients receive a limited number of free InstiFind searches.) Did You Know? Every 50 seconds, a client uses I.C. System’s online tools to: • View an account’s activity; • Read our collectors’ notes; • Submit an account; • Report a payment; or • Generate a report. I.C. System’s online tools offer users many advantages, including: • User-friendliness – Registered users receive a User’s Guide to ensure their online success. And, our online debt support staff is available toll free or via e-mail. • Security – Access to the tools is strictly controlled and password-protected. Any information you submit is encrypted to prevent third-party disclosure. • Precision – Information enters our system just as you submit it. To view a demo, visit www.icsystem.com and select “online tools.” To speak with an I.C. System representative about the online tools, ESPA-endorsed collection services and more, please call (800) 279-3511. V Established in 1938 as a two-person collection agency, I.C. System has grown to become an industry leader in accounts receivable management, with 30,000 clients nationwide. I.C. System holds exclusive endorsements from 500 professional and trade associations, including the Empire State Petroleum Association. 15 problem. Lime build-up on ordinary probe. no problem. McDonnell & Miller self-cleaning probe eliminates lime build-up. Say goodbye to probe maintenance for the next five years with the only low water cut-off with a self-cleaning probe. *Patent Pending McDonnell & Miller’s new low water cut-offs with our exclusive self-cleaning probe* can save you time and money since probe maintenance is needed only once every five years. The self-cleaning design prevents excessive lime buildup on the probe surface, which can lead to nuisance boiler shutdowns and the potential for water overfill. McDonnell & Miller offers a wide range of electronic low water cut-offs and other products for hot water and steam boilers and systems. The movement of water around the probe causes the cleaning element to oscillate, constantly removing lime build-up. To learn more visit www.mcdonnellmiller.com McDonnell Miller The “ITT Engineered Blocks Symbol”; and “Engineered for life” are registered trademarks of ITT Corporation. © 2007 Claims Reporting – What’s the Big Deal? Delay of workplace injury reporting raises costs for employers By Edward K. Ludlum, CSP L ate one afternoon, an employee cut himself on the job, left work at quitting time and headed home for the weekend, never telling his employer about the injury. By Sunday, the cut had become severely infected, forcing the employee to go to the hospital and undergo emergency surgery on his hand, wrist and arm to clean out the infection. Had the worker reported the injury to his employer at the time of the accident, he would have undoubtedly been sent to a local urgent care facility to be examined immediately and likely would have avoided surgery, pain, suffering, rehabilitation and missed work time. Regardless of whether the injury resulted in a health insurance or workers’ compensation claim, the care would have been much less expensive than emergency surgery and a hospital stay. Studies consistently show that injuries that are reported late cost more to treat, involve more invasive treatment and require employees to miss work for longer periods. On average, reporting a claim between eight and 17 days after an accident can increase its cost by more than 31 percent. Reporting a claim 18 days or more after an injury can increase the cost by 61 percent. So, how do you make sure your employees understand their responsibility to report injuries even when the injury seems minor? For starters, you need a written management policy that requires employees to report all accidents immediately. A good policy should spell out the steps involved in reporting an employee’s injury on the job. The reporting policy should also list information about who to contact Injuries that are reported late cost more to treat, involve more invasive treatment and require employees to miss work for longer periods. Empire State Petroleum Association • 2008 after an accident and their telephone number(s). After all, if you want employees to report injuries in a timely fashion, they need to know how. Some businesses maintain operations during nontraditional working hours. How will those employees report an accident, and to whom? All of this information needs to be in your accident reporting policy and procedures. Any special needs or considerations your operation might require should be considered in advance and included in your policy. The policy should be distributed to all employees, who should be required to sign and return a copy of the policy in acknowledgement of having read it. Copies of the policy should also be posted in public areas and visible to all employees and managers in the event of an accident. Most importantly, management must enforce the policy. If an employee does not report an accident, management must take some kind of action. Consistency will help send a message to the individual employee and the rest of the workforce that that you expect timely reporting of accidents in the workplace. V Edward K. Ludlum, CSP, is director of risk management at First Cardinal, LLC, a third-party administrator of self-insured workers’ compensation groups based in Latham, N.Y. For more information, contact Ludlum at (518) 213-1915 or eludlum@firstcardinal. com, or visit www.firstcardinal.com. 17 ©2008 BP Products North America Inc. put your future in drive Customer Focused/Performance Driven That vibrant green sunburst is more than a logo. It stands for innovative new offers and is home to Amoco® Ultimate, which has been rated #1 in quality by drivers in a nationwide survey.* Let it stand behind you. For more information, contact Adel Hreiz, Jobber Sales Manager, (215) 529-9518 www.bp.com *2007 fuel study conducted by The NPD Group, Inc. ® The TankSure Solution New program helps you retain customers, find revenue streams By Gerry Brien D av id Br i n k ley, t he lat e network newsman, once said, “A successful man is one who can lay a firm foundation with the bricks others have thrown at him.” If this is true, the challenges in today’s oilheat market may well improve the shortstop skills of many oilheat marketers. Unfortunately, catching the ones you can and ducking the ones you can’t is the current reality. Everybody understands the current market issues; they need not be recounted or re-recited here. The challenges resulting from these issues are obviously financial and marketing in nature. With that said, having the right marketing strategy and tools can have a positive effect on both sides of this equation. Customer migration will be higher than the norm, and that requires a feasible and workable mitigation plan. And, gaining from additional revenue streams will ease the cash squeeze on pure oil sales. How can you efficiently achieve both? The TankSure® Program has developed a new software application, imbedded in the oilheat provider’s (TankSure®) database. The system can now be used as a new equipment sales generation tool. This means that all of the “tank system” corrective actions that are identified can be catalogued in that database by homeowner and the type of corrective action necessary. The system provides this data in an easy to use “sales tool” format for your sales personnel. Hence, the system has been designed to help oilheat Empire State Petroleum Association • 2008 providers track—and most importantstatistics. Most marketers are very surly, sell—their tank system upgrades prised to discover the value of this data and replacements. in terms of “mining” it for new revenue The objective of this new applicaopportunities. And, equally important, tion is simple: to help oilheat providers the turnkey marketing process that supgenerate additional revenue through ports gaining the replacement work is their TankSure® database. It is effiestablished, easy to implement and has cient because the data has already achieved great results across the oilbeen gathered as part of the testing and heat footprint. This is an efficient and inspection process. And, there is a spesystematized process to grow revenue cific marketing campaign designed to and increase margin and cash flow. support the new equipment sales. Some There are a finite number of oilTankSure® oilheat providers, even heat consumers, and they will all, without the benefit of this latest sales function and marketing campaign, have generated more than $1,000,000 in new tank sales since 2007. Mike Hodge, the service manager for Griffith Energy in Fredericksburg, Md., said, “We have generated over The TankSure® Program 200 tank replacements out helps oilheat providers of Frederick [Maryland] alone. There has been virtugenerate additional ally no customer pushback; revenue through their in fact, the vast majority of customers are grateful that TankSure® database. we have the ability to assess the tank and make proactive recommendations.” The system also includes a financial analysis tool so oilheat providers can analyze their data and project additional income based on their historic tank system inspection 19 Association Recommendation for: Property and Liability and Financial Protection Services “We at SOS Fuels don’t “like” Federated Insurance, WE LOVE THEM! They provide us with excellent programs, seminars, and on the job training. This has reduced accidents and spills which have helped reduce our premium and build employee confidence. Few other insurance companies provide these programs and services.” Richard Spiegel SOS Fuels Tuxedo, New York The FEDERATED Insurance Companies Home Office: 121 East Park Square, Owatonna, Minnesota 55060 s WWWFEDERATEDINSURANCECOM s !$ %30! %D ultimately, be serviced this heating season. More will shop price and service based on the market conditions. Not exactly breaking news, but what can you do besides budget plans and prebuys to secure your base? What is your plan to attract and acquire good new accounts? One significant step that can be taken is to partner with companies that can add value to your customers; that reflects positively on you and ties them into your services. TankSure® Partnerships has established one of the best marketing platforms of this kind in any industry. “TankSure® Partnerships is amazing,” said Fred Koerber, TankSure® customer/oilheat consumer, Brunswick, Maine. “By connecting me with TD DIESEL ENGINES & TRANSMISSIONS Banknorth™ Insurance, I was able to save over $1,000 per year off my home and auto policies. The overall customer Keep your trucks on the road and profitable with service experience was wonderful, everyone remembered Factory authorized parts and service. my name, and I didn’t have to deal with automated systems. Thank you, Dead River Company, TD Banknorth™ Insurance and TankSure®.” Pine Brook, NJ There are literally countless examples of TankSure® (Corp. Headquarters) 973-575-0309 For more Lodi, NJ 201-489-5800 oilheat marketers endearing themselves to their custominformation Piscataway, NJ 732-752-7100 call 973-575-0309 ers through third parties, adding significant value to oilLatham (Albany), NY 518-452-0000 or call your Ronkonkoma, NY 631-981-5800 heat consumers. nearest location: Middletown, CT 860-632-0218 ® TankSure has established insurance discounts in all South Burington, VT 802-865-4672 states that have a predominance of oilheat with more www.atlanticdda.com big-brand underwriters coming onboard. What does this mean to the oilheat marketer and consumer? It’s good 6/14/08 news when good news is hard to come by. It is probably386423_Atlantic.indd 1 one of the best customer retention processes for the oilService Managers & heat marketer because it ties the consumer to the marFuel Oil Companies keter and their insurance carrier. It is a retention tool that survives heating season to heating season. It is established and does not need re-selling. And, it provides great word-of-mouth promotion for your brand. TankSure® Partnerships does not end with the insurance industry. Real Estate agencies and home inspectors are adopting the TankSure®’s tank inspection process as their industry’s standard. Statewide partnerships with big brands like Coldwell Banker are established and count“New Freeze Resistant” less “local” partnerships have been established with VaporRemed™ virtually all recognized brands in the real estate indus“Fuel oil fumes try. Clients of these partners that are buying (or selling) gone in minutes” now get positive messages about oilheat. Why? Because Carry wherever you go the insurance industry is behind it, because it reduces in rain or in snow everybody’s liability and—most importantly—because it makes sense! TankSure® offers unmatched customer retention tools and Now available in Mini’s unmatched partnerships that benefit oilheat marketers and at no extra cost your customers. Add more value to your customers, build For your spill kit important partnerships, efficiently develop more revenue and lay a firm foundation for the future. V Contact: 877-71-SARVA For more information, contact Gerry Brien at (603) 334-1002 www.sarvabioremed.com or Gerry_Brien@bostonenv.com. Atlantic Detroit Diesel-Allison Empire State Petroleum Association • 2008 387490_sarva.indd 1 9:07:26 AM 21 6/25/08 11:23:21 PM Understanding Credit Card Data Security Why it’s crucial to protect credit card data By Tracy Richmond H ere we go again…It’s us here at COCARD telling you once again that you MUST protect your credit card data! The credit card companies have never been more serious about data breaches, and your company can be held financially liable for any stolen credit card data. It is time to take action, and this article will help you understand how to begin that process. What is PCI? The Payment Card Industry Data Security Standard (PCI DSS) is a set of comprehensive requirements for enhancing payment account data security, developed by the founding payment brands of the PCI Security Standards Council— including American Express, Discover Financial Services, JCB, MasterCard Worldwide and Visa International—to help facilitate the broad adoption of consistent data security measures on a global basis. Empire State Petroleum Association • 2008 PCI DSS is a multifaceted security standard that includes requirements for security management, policies, procedures, network architecture, software design and other critical protective measures. This comprehensive standard is intended to help organizations proactively protect customer account data. The best source for information on PCI is the organization’s Web site. Visit www.pcisecuritystandards.org/index.htm to get the most up-to-date information. You can also sign up to receive any updates to the requirements and obtain the self assessment form or contact COCARD for the correct form for your organization. It is requirement of card acceptance that your organization complete this form annually. Examining data security I recently visited one of my fuel oil dealers in Vermont, and his main topic of concern was PCI compliance and 23 390884_Boston.indd 1 7/21/08 9:28:56 AM ENERGY INSURANCE BROKERS, INC. Michael J. Reilly, President Services Provided: Energy Insurance Brokers, Inc. (EIB) specializes in providing total property and casualty insurance services for the Petroleum industry. Our particular experience encompasses the following: Auto Liability & Physical Damage General Liability & Umbrella Property & Transit Workers’ Compensation Energy Insurance Brokers employs an experienced staff to provide claims handling, policy and coverage administration, account marketing services and insurance consultation. Currently, Energy Insurance Brokers, Inc. retains appointments with many stable and highly rated insurance companies specifically selected to match our clients’ target needs. We are privileged to enjoy an excellent relationship with each of our company appointments for the following industries: LPG Dealers, Distributors and Transporters Petroleum Products Distributors and Transporters Energy Equipment Manufacturers and Distributors Environmental Contractors, TSDF’s and Consultants Hazardous Waste/Materials Transporters Chemical Manufacturers, Distributors and Transporters PO Box 1729, Albany, NY 12201-1729; Phone: (518) 479-7244 or (800) 666-0732; Fax: (518) 479-7251 Members of NYPGA, PGANE, NYMTA, ATA, ESPA 24 243682_Energy.indd 1 Empire State Petroleum Association • 2008 8/27/08 7:11:25 PM Your company can be held financially liable for any stolen credit card data. protecting his customers’ card data. He thought he was fairly safe because the card numbers were stored only in the company’s customer database, which was password-protected. I asked this dealer’s credit manager to walk me through her receivables process. At the end of each day, she printed a report that showed all the customers who owed this dealer money and whose credit cards were about to be charged. We were all surprised when we looked at this report and saw that all the credit card numbers and expiration dates were being printed out every day! Talk about a security risk. This dealer had never thought about where that document went and the associated risks. Needless to say, this process has since been revised. As you might imagine, there are specific requirements for securing this data based on the types of transactions you are running. The PCI Data Security Standard is comprised of 12 general requirements designed to: • Build and maintain a secure network; • Protect cardholder data; • Ensure the maintenance of vulnerability management programs; • Implement strong access control measures; Empire State Petroleum Association • 2008 386328_ESMI.indd 1 • Regularly monitor and test networks; and • Ensure the maintenance of information security policies. I would like you to review the PCI Data Security Standard, which can be found at www.pcisecuritystandards. org/pdfs/pci_dss_v1-1.pdf. The PCI Data Security Standard Self-Assessment Questionnaire is a validation tool intended to assist merchants and service providers in self-evaluating their compliance with the PCI DSS. There are multiple versions of the PCI DSS SAQ to meet various scenarios. This document has been developed to help organizations determine which SAQ best applies to them. The PCI DSS SAQ is a validation tool for merchants and service providers not required to undergo an on-site data security assessment, per the PCI DSS Security Audit Procedures, and may be required by your acquirer or payment brand. Please consult your acquirer or payment brand for details regarding PCI DSS validation requirements. V Tracy Richmond, vice president of COCARD, Inc., Beverly, Mass., can be reached at (866) 849-8800 or via www.cocardprocessing.com. As the preferred credit card processor for ESPA, COCARD is here to assist dealers with any questions they might have about PCI. Please contact COCARD directly at info@cocardprocessing.com or call the number provided above. 25 6/24/08 1:07:53 PM WHY JUST TEST A TANK WHEN YOU CAN OFFER PROGUARD INSURANCE PROTECTION. ProGuard is affordable coverage for underground storage tanks and aboveground storage tanks that protects against the problems associated with a heating oil tank release. ProGuard provides up to $100,000 for cleanup and up to $2,000 for tank repair or replacement. Plus, your customers can transfer their policy if they sell their home. Get all the facts about providing ProGuard coverage to your customers. It’s the valuable protection they’ve been looking for. Contact the Powderhorn Agency today for more information about this comprehensive program. The insurance policy in New York will be issued by Navigators Insurance Company. (Licensed by the New York Insurance Department) The Powderhorn Agency, Inc. • 888-354-0677 • www.powderhornagency.com Signed, Sealed, Delivered Business unions require prenups, too By Raymond Fink, Esq. D espite taking nuptial vows of eter nal union, people who a re getting ma r r ied often contemplate the possibility of a short-lived relationship and accordingly enter into prenuptial agreements. W h ile t hese ag reements aren’t a prerequisite to marriage, they are certainly advisable in many situations. However, when embarking upon the formation of a business enterprise, the use of agreements concerning the relationships between or among business owners is even more compelling. To stretch the analogy even further, the actual business enterprise might be considered the child of the union. So, in this sense, Empire State Petroleum Association • 2008 27 the object is to nurture and protect the business entity. Savvy attorneys and accountants counseling clients who are contemplating forming a business association stress the need for the owners to negotiate and execute operative agreements that address issues concerning— among other things—governance, financial participation (including the allocation of profits and losses) and the rights and remedies available upon a dissolution or withdraw (e.g., the divorce). All too frequently, the organizational documentation is skeletal, containing nothing more than a mandated filing receipt from the state and/or copies of published notifications. Similarly, where the organizational paperwork is completed, often it isn’t updated as circumstances change. Even more remarkable are those instances where attorneys and accountants don’t bother to memorialize their own internal relations when establishing professional service fi rms, despite the advice they likely give to their business clients. In other words, it is the proverbial “do what I say, not what I do.” When there are no or minimal organizational agreements, the law fi lls in the gaps, usually with undesired or harsh results. Depending upon the type of business model (e.g., general or limited partnership, corporation, limited liability entity, joint venture) the applicable state statutes do provide a general framework and, to the extent the statutes do not cover all bases, courts fi ll in the void. Set it in stone Rather than casting one’s fate to the vagaries of the statutory and common law, it is unquestionably preferable to resolve such fundamental terms at the outset. These agreements have familiar names, such as bylaws, buy-sell agreements, operating agreements, shareholder agreements, partnership agreements, etc. The necessity and wisdom of having one or more of these in place is multi-faceted. In certain instances, these underlying agreements are required by statute in order to legally form the entity. For instance, a corporation cannot legally exist without fi ling a certificate or articles of incorporation and issuing stock. Typically, for corporations, bylaws are also adopted. Unfortunately it isn’t uncommon to fi nd that the contents are nothing more than the minimal statutory provisions. If there is only a single shareholder, the minimalist approach may suffice, but where there are multiple shareholders, this is sheer folly. On the other hand, a general partnership can be formed without fi ling any paperwork or perhaps merely filing a partnership certificate. In New York, a general partnership is amorphous and can be deemed to have been formed where there is an “association of two or more persons to carry on as co-owners a business for profit and , LLP OHI & ESPA Members Specialists in all the complex areas of petroleum business taxes. Experienced tax audit representatives. Serving the Greater New York oil heat industry for over 30 years in all areas of accounting, tax and financial planning. For further assistance call Mr. Richard F. Libero, CPA or Mr. Jeffery Faha, CPA Tel.: (516) 333-5511 • Fax: (516) 333-5621 28 386424_automated.indd 1 6/19/08 10:49:11 386339_Libero.indd PM 1 Empire State Petroleum Association • 2008 6/25/08 10:53:31 PM includes... a registered limited liability partnership.” (See, New York Partnership Law § 10.) The basic, generic topics that need to be addressed in the underlying organizational agreements are governance, fi nancial matters and dissolution/winding up. There are many subtopics within each, and none of these categories are exclusive. When there are no or minimal organizational agreements, the law fills in the gaps, usually with undesired or harsh results. Governance essentially concerns internal operations and decision making. Unlike the marital prenuptial agreement, this aspect focuses upon how the principals conduct themselves during the relationship. The authority of the principals, both internal and external, is a basic and crucial matter to be resolved. It starts with the fundamental ownership structure and whether the equity is equally or disproportionately held. This then drives the determination of voting rights, which, depending upon the issue, may require an affi rmation by a simple majority, supermajority or unanimity (however, no super-delegates!). The equity ownership interests typically elect the fi rst tier of management (i.e., directors or board of managers). In turn, the fi rst tier then elects/appoints the day-to-day officers or managers of the business. The larger the ownership base, the more likely a complex governance structure will be required. The authority or limitations upon authority are usually detailed in the organizational agreements. This model is applicable not just to corporations, but to the other formats, including partnerships. Your ONE STOP Source A & M Truck Center Corp. S A L E S • PA R T S • S E R V I C E • New & Used Truck Chassis • New & Used Petroleum & L.P. Tanks Follow the money • Petroleum Parts & Accessories Financial matters are pervasive and are implicitly the primary motivation for embarking upon the business venture in the first place—making money. Again, the initial capital structure frequently will dictate the allocation of ownership interests. This becomes challenging when the owners contribute different types of assets or some combination thereof (e.g., cash vs. in-kind property or services). Determining the value of non-cash capital contributions can prove to be a source of difficulty. The contribution of non-cash real or personal property necessitates the transferring of legal title to the business entity, an event oftentimes overlooked. Subsequent capital calls need to be considered, not only how such • L.P. Parts & Accessories • Complete Changeovers • Equipment Modifications • D.O.T. Tank Inspection • Tank & Meter Testing & Repair • National Board “R” Stamp Certified • Bottom Loading Equipment • Vapor Recovery Equipment A L L M A K E C H A S S I S A V A I L A B L E Conveniently Located 25 6 1/2 Station Road Goshen, NY 10924 1-800-216-1163 www.aandmonline.com Visit our New Location Empire State Petroleum Association • 2008 338151_CKBusiness.indd 1 7/12/07 8:09:59 PM 29 calls are initiated (a governance issue), but also the resulting consequences if there are owners who default by not satisfying a capital call. The incurring of debt by way of loans, capital leases, providing guarantees, etc., all need to be considered. Of great importance is the election of tax treatments (e.g. Subchapter S election, cash vs. accrual tax basis), which need to be adopted, as well as the allocation of profits/losses between or among the owners. Dissolutions can occur as a result of a variety of circumstances or occurrences that affect an owner’s equity interests. Without an agreement directing a contrary result, the voluntary or involuntary transfer of an ownership interest or an owner’s withdrawal can cause an automatic dissolution of the business. Typically, this is partially guarded against by restricting the transferability of an owner’s interests in the business. These restrictions not only assure the continuity of the business but also determine the outcome should there be a voluntary or involuntary attempted transfer or withdrawal. Predictability certainly is preferable to uncertainty. Involuntary transfers can occur where an owner dies, becomes disabled, is divorced, declared bankrupt or otherwise is rendered insolvent. Buy-sell types of provisions can be invoked both where there is an involuntary or voluntary withdrawal or transfer. The valuation methodology is of equal importance. In the absence of a stipulated 30 386340_carlin.indd 1 formula, the process can be time-consuming, expensive and create a difficult fi nancial burden upon the business and/or the remaining owners. If the parties forming the business enterprise are unwilling or unable to resolve these types of matters from the inception, it simply does not bode well for the future success of the business enterprise. Lead by example Why is it that so many lawyers and accountants ignore their own advice? There is no good answer and only difficult outcomes. For example, a group of lawyers may associate with each other using their respective names on the masthead and in signage, but never fi le a partnership certificate or enter into any formal agreements. Is this suggestive that they formed a professional partnership or are they merely sharing space? As mentioned previously, New York imputes a general partnership where two or more persons engage in a business enterprise with the expectation of sharing profits and losses. This is an extremely broad and all-encompassing defi nition. Different and inconsistent results may follow. From the clients’ perspective, it would appear to be a general partnership, thereby exposing all of the attorneys to potential malpractice liability. The determination of Empire State Petroleum Association • 2008 6/24/08 12:58:07 PM whether a partnership actually was created, inter se, will depend upon a variety of factors from which the parties’ intentions are inferred. In the absence of a formal partnership agreement, courts look to many factors, such as how the profits and losses are allocated, the type of tax returns that are fi led, whether the attorneys “held themselves out” as a partnership, internal governance, course of dealing and other factual considerations. Assuming the existence of a partnership and the absence of a formal agreement, if one of the “partners” dies or withdraws, this precipitates dissolution such that the partnership is required to wind up its affairs and to legally account between and among the partners. Litigation can ensue to determine in the first instance whether or not a partnership existed. The notion of different tiers of partnership mandates a partnership agreement. For instance, if it is the intention of the parties to have both equity and non-equity partners, then this simply cannot be done without a written partnership agreement. Furthermore, without restrictions, one partner can freely transfer his or her partnership interest to a third party, thus thrusting a new partner into the mix, much to the chagrin of the remaining partners. The risks of equity/ownership interests becoming exposed to the claims of a particular equity holder’s creditors is also extremely troublesome, as an execution could cause a dissolution when the intention of the remaining owners is to continue on with the enterprise. It is astonishing that anyone would enter into a business venture without formalizing substantive agreements that consider numerous contingencies (good or bad) and articulate the fundamentals of the relationships between the owners. Rest assured that ignoring these imperatives is a recipe for disaster that will become a litigator’s feast. Having represented business owners in internal disputes and lawsuits, the author is always amazed at how frequently parties—consciously or unwittingly—opt to ignore the need for organizational agreements. While not every event can be anticipated, certainly the spectrum of typical areas of contention can be addressed through appropriate prenuptial agreements. Even though the owners may separate, the child’s welfare can be preserved and protected. V Raymond Fink, Esq. is a partner in the law firm of Harter Secrest & Emery, LLP. He has been practicing law for more than 29 years, representing business clients in various areas, including disputes between owners and financial structuring at various stages of development. Harter Secrest & Emery, LLP is a 130-attorney full-service law firm with offices in Rochester, N.Y., Buffalo, N.Y., Albany, N.Y., and Naples, Fla. You work hard all winter, so you can have restful summer nights. Who are you going to be this summer? Call Angus Energy today at 1-800-440-0472 and we can help you with more than your handicap. ANGUS ENERGY If you're not hedging... You're speculating 800-440-0472 • info@angusenergy.com Empire State Petroleum Association • 2008 288836_angus.indd 1 31 6/21/06 7:00:46 PM Hard Times Call Straight Talk Are you keeping your customers in the dark? By Richard Rutigliano A s the challenges facing our industry escalate, oilheat dealers must adopt new communications strategies to match customers’ changing expecta- tions. The year 2008 has proven to be a uniquely difficult year for marketers and customers alike. As customers struggle to adapt to sharply higher prices, oilheat dealers are reeling from the one-two punch of extreme volatility and tight credit. Customer anxiety is high, and customers want to know how they’re going to pay for this winter’s heat and how much it’s going to cost. At the same time, retailers find themselves holding off on price protection programs—or even discontinuing them—because they don’t want to get stuck if prices fall. The customers want answers now, but the dealers are unaccustomed to delivering timely information on the fly. We have traditionally used marketing and communications to provide supportive, helpful information that was not particularly time-sensitive. Now we’re making important 32 decisions on the fly that directly affect our customers, and there is a corresponding premium on delivering specific information with minimal delay. The Internet has changed expectations regarding business-to-consumer communications. Companies are now expected to communicate more openly on a much shorter cycle. Quarterly newsletters and annual Web site updates continue to be very effective, but we need to supplement those with timely communications efforts. The identity that we proudly wear on our sleeves—local, friendly, service-oriented—carries an emerging expectation of open communication. There is now a disconnect between positioning yourself as the friendly neighborhood business that is always there for your customers and not providing timely, open communication via the Web. Empire State Petroleum Association • 2008 for the oilheat dealer? When you don’t provide an explanation preemptively, you leave customers to draw their own conclusions, which could easily include any or all of the following: (a) your company is in trouble; (b) you don’t care about your customers; and (c) they’ll have to go elsewhere to get price protection. Bridging the communication gap People are hungry for information about oil prices and home energy use, and the companies that fill this need will have a huge image advantage. Case study: price protection The developments around price protection in 2008 provide a perfect case in point. A lot of dealers delayed their programs this spring while waiting for prices to come down, while others got out of the game completely. Many of these decisions proved to be prudent, but they represented significant interruptions for program customers. Denial of price protection, even if only temporary, constitutes a significant change in operations. For the customer, it’s like going to the dry cleaner and fi nding out it no longer launders shirts, or stopping in the grocery store and fi nding out it has discontinued bread and cereal. You would expect the dry cleaner or the grocer to make every effort to explain this radical departure from standard operating procedure to their loyal customers. What about Empire State Petroleum Association • 2008 Just as marketers were deciding to alter or delay their programs, the news media was focusing a lot of attention on heating oil prices, and customers were looking for answers. Marketers who were already in the habit of disseminating information quickly were positioned to inform customers about their decisions, but most dealers found themselves with a communication gap, and their CSRs bore the brunt. They were forced to field calls from customers who felt they were being kept in the dark. We need to acknowledge that we have become a conspicuous industry. Heating oil payments used to be minor affairs for most customers, akin to the cable or electric bill, but our bills are now apt to be the second largest in the household, trailing only the mortgage. This causes customers to think about us more often. When they set the thermostat lower than they used to, they think of us. When they cancel the newspaper subscription because they can no longer afford it, they think of us. When we call and ask them to pay their overdue bills, they think of us. When customers are giving this much thought to your business, it is incumbent to communicate quickly, often and openly. Here and now, the main topic we must address is how customers manage their oil bills. Payment is already a serious problem for many customers, and those ranks will only grow. We have solutions available, particularly budget plans, and we need to talk them up in this context and get more customers signed up—for their good and ours. Conservation is another critical discussion point. It truly is the best way to cope with high fuel prices, and 33 www. yourcompany.com dealers should stop at nothing to promote high-efficiency upgrades, energy audits and all other conservation services they offer. It’s a good time to partner with a company doing audits, insulation or window replacements and get the word out. Talking up your company’s fi nancial good health is smart too. There has been enough bad publicity about oilheat company failures to make customers wary, particularly when it comes to advancing you money. If you have solid fi nancials, tell that to your customers and assuage any fears they might have about doing business with you. Let the Web work for you The good news is that it’s very easy to get your message out to customers in 2008, and the best strategy is to use your Web site like never before. Your site is the perfect vehicle to deliver timely information and perspective, and it can be updated as often as needed. Transforming a Web site into an effective, time-sensitive public relations platform is easier than you might 34 386602_Amthor.indd 1 imagine. There are several ways to serve up fresh information online, and you can highlight the timely postings without even performing a major site overhaul. The job begins with development of your message. Once you know what you want to say, get it onto your Web site. With good professional assistance, you can deliver your message with a combination of letters, articles, links, videos and podcasts. (It won’t be long before we see blogs on oilheat sites.) Once the information is posted, use all your existing channels to direct customers to your site. You can easily train your employees to send people there. You can also use on-hold messages, newsletters, letters, electronic newsletters, signage and advertising to publicize your new site’s content. Once you have made your site an effective communications hub, you will steadily reap the benefits. Existing customers will have more respect for you and will give you generous word of mouth, to the effect of, “You should see what my oil dealer does!” or “My dealer already 5 Ways to Re-tool Your Communication Strategies 1. Preemptively explain industry developments that could positively or negatively affect your customers. 2. Communicate quickly, often and openly with your customers. 3. Talk up your company’s financial good health. 4. Transform your company’s Web site into a time-sensitive public relations platform. 5. Use employees, electronic newsletters, e-mail, signage and advertising to direct customers to your Web site. Empire State Petroleum Association • 2008 6/19/08 10:39:46 AM explained that to us.” Also, Internet search engines will fi nd your informative postings and return them in search results. Prospective customers will fi nd you on the Web, and they’ll form a favorable impression of you relative to your less communicative competition. People are hungry for information about oil prices and home energy use, and the companies that fill this need will have a huge image advantage. Price inflation has shoved us into the Information Age, like it or not, and success awaits those who seize the opportunity. V Richard Rutigliano is president of PriMedia, Inc., a fullservice marketing and communications firm specializing in the oilheat industry, with offices in New York City, N.Y., Long Island, N.Y., and Boston, Mass. For more information, call (800) 796-3342 or visit www.primediany.com and www.oil-heat.com. ™ 386422_Advanced.indd 1 6/12/08 10:38:44 PM commitment to the New York business community Long established Weiser LLP Certified Public Accountants Weiser provides a full-range of services tailored to the petroleum industry including: • Accounting and auditing • Tax planning and compliance • Estate planning • Succession planning New York City 135 West 50th Street New York, NY 10020 Tel 212.812.7000 Fax 212.375.6888 Long Island 3000 Marcus Avenue Lake Success, NY 11042 Tel 516.488.1200 Fax 516.488.1238 New Jersey 399 Thornall Street Edison, NJ 08837 Tel 732.549.2800 Fax 732.549.2898 www.weiserLLP.com For more information, contact Ed Ichart, CPA, ESPA member since 1995 at 516.620.8441. 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One call and you can have our team of more than 400 professionals working for you. E-10 Conversions ULSD/Heating oil GES Central New York GES Western New York 300 Gateway Park Drive North Syracuse, NY 13212 (800) 220-3069 158 Sonwil Drive Cheektowaga, NY 14225 (800) 287-7857 GES Lower Hudson Valley GES Long Island 25 Jon Barrett Road Patterson, NY 12563 (866) 839-5195 95 Hoffman Lane Islandia, NY 11749 (800) 360-9405 www.gesonline.com 38 9/12/08 1:57:31 PM Add lubricity Stop microbes Eliminate freeze-ups KINETIC LABORATORIES 1205 Balmer Rd. Youngstown, NY 14174 (716) 745-1461 • K100fueltreatment.com info@gesonline.com 386428_kinetic.indd 1 Empire State Petroleum Association • 2008 8/25/08 1:18:53 PM PRODUCTS & SERVICES M ARKETPLACE Construction & Petroleum Services onsttr u ons onstruction uct cttio on n Construction • Management • Design/Build • Facility Maintenance Provides concealed warmth & comfort TOESTER 4/5 (4000 - 5000 BTU) * Services TOESTER 6/8 (6000 - 8000 BTU) * • Petroleum Storage • Fleet Maintenance • Compliance TOESTER 11/13 (11,000 - 13,000 BTU) * TOESTER 16/19 (16,000 - 19,000 BTU) * * @ 180º WATER Parts & Equipment • Full Stocking Distribution • Rapid Response Time • Results & Solutions to Meet Your Needs! Service Available: Toesters are compact, under counter hot/water fan coils, designed for bathrooms, kitchens and other hard to heat areas. 24/7! 4001 PEARL ROAD 216/741-8300 Glen Burnie, MD (410) 761-1200 East Syracuse, NY (315) 414-0494 Toll Free (877) 655-4953 • www.SWsvcs.com INNOVATION IS AN AMERICAN TRADITION IN UPSTATE NY CALL: J.R. BAKER ASSOCIATES • (315) 638-2516 FOR NYC & LONG ISLAND: BELSKY ASSOCIATES • (516) 678-1655 386398_Turbonics.indd 1 9/12/08 2:13:20 PM 363531_sandw.indd 1 CLEVELAND, OHIO 44109 FAX: (216) 741-7768 Webster 8/25/08 1:48:37 PM ® Fuel Pumps & Valves Manufacturing pumps & valves for over 50 years! Available for immediate delivery! High Pressure BIO Fuel Pumps Single & Two Stage Mini Pumps for residential applications R & V Series Pumps for Industrial and Commercial Burners Supply and Transfer pumps for fuel oil distribution systems Duplex Manual and Automatic Pump & Motor Sets Oil Safety Valves and Regulating Valves Call our toll free number 800-766-1233 www.websterfuelpumps.com A Division of Capital City Tool, Inc. Empire State Petroleum Association • 2008 386399_Webster.indd 1 7/17/08 9:57:51 PM 39 PRODUCTS & SERVICES M ARKETPLACE VINCENT F. MITCHELL President V.F. Mitchell Agency LLC • METER TICKETS 831 Maple Road • Williamsville, NY 14221 Office: (716) 204-1088 • 800-701-5835 Fax (716) 204-1099 E-mail: vince@mitchellagencyllc.com • STATEMENTS • INVOICES • DOOR KNOB ENVELOPES • STOCK FORMS • LABELS Members of Hudson Valley Oil Heat Council, NYOHA, NY Propane Gas Association, Oil Heat Institute of Eastern NY, Central Oil Heat Council ESPA, Long Island Oil Heat Institute METER TICKETS 338064_VFMitchell.indd 1 TO FIT ANY APPLICATION; GIVE US A CALL 8/27/07 3:38:46 PM J.P. NOONAN TRANSPORTATION, INC. Mark Halpin Account Representative mhalpin@jpnoonan.com 66 Western Avenue West SpringÀeld, MA 01089 Phone: 413-732-5991 1-800-966-5991 Cell: 508-813-3800 Fax: 413-732-5950 Web: www.jpnoonan.com 386336_Wehof.indd 1 7/21/08 8:20:32 394347_noonan.indd PM 1 We have proudly supported the ESPA since 1941 8/25/08 1:16:00 PM EDWARD CUCCURULLO PRESIDENT WAREX TERMINALS CORPORATION 1 SOUTH WATER STREET P.O. BOX 488 NEWBURGH, N.Y. 12550 (845) 561-4000 FAX: (845) 562-4500 ecucc@warexterminals.com www.warexterminals.com 336989_Warex.indd 1 CONFIDENCE Peter J. Carini Chairman Chief Executive Officer One Radisson Plaza, Suite 801 New Rochelle, New York 10801 Tel. (914) 576-6190 Fax (914) 576-6126 pcarini@championenergy.com 40 294561_Champion.indd 1 8/21/08 8:41:06 PM HEATINGHELP.COM 8/9/06 5:29:33386425_holohan.indd PM 1 OPEN 24/7 Empire State Petroleum Association • 2008 6/19/08 10:56:06 PM Buyers’ Guide Listings BIODIESEL PRODUCERS Innovation Fuels 393893_Innovation.indd 126 Passaic St 1 8/13/08 10:39:33 AM Newark, NJ 07104 Phone: (917) 699-8877 Fax: (212) 656-1836 E-mail: bob@innovationfuels.com Web: www.innovationfuels.com Innovation Fuels is a leader in the biodiesel industry. With strategic port locations within the U.S., we have a regional focus and global reach. Our biodiesel is produced from a variety of virgin oils, creating a sustainable, high performance fuel. We supply premium Agri biodiesel, as well as bio heat blends and other custom blends meeting customers’ specific requirements. As an accredited BQ-9000 producer, we manufacture to the highest standards using proprietary technology at our biodiesel refineries, 24 hour rack with truck scale on location. Taking care of our customers is our number one business priority Contact Bob Lindenbaum, CMO, 917-699-8877, bob@innovationfuels.com OIL COMPANIES ™ 389818_Aztech.indd 1 7/2/08 9:54:06 PM Global Companies LLC 800 South Street P.O. Box 9161 6/25/08 9:48:28 AM Waltham, MA 02454 Phone: (781) 275-0131 Fax: (781) 398-9220 E-mail: MLaFrance@globalp.com Web: www.globalp.com A History of Dependability For more than 50 years, Global has served the energy and fuel requirements of a broad spectrum of commercial, industrial and government operations throughout the Northeast. Our customers are diverse, including local independent heating oil, gasoline and diesel fuel distributors, state and municipal agencies, utility companies and other commercial end-users. Customers benefit from our vast experience in energy markets and our dedication to meeting their needs. Global has a proven record of supply under difficult market conditions. Our expertise in traditional and emerging fuel markets enables us to be at the forefront of reliable energy supply. 387343_global.indd 1 Empire State Petroleum Association • 2008 BICK & HEINTZ, Inc. Est. 1921 • New Trucks & Tanks • Tank Testing & Inspections • Meter & Register Repairs • ASME “R” Stamp Repair Shop • Pump Repairs 1101 Stark Street, Utica, N.Y. 13502 800-662-1566 315-733-7577 fax: 315-733-7570 THE LARGEST INVENTORY OF TANK TRUCK PARTS IN N.Y.S. 41 Index of Advertisers ABSORBENTS C G Industrial Safety Supply ....................................... 37 COMPUTER SYSTEMS & SOFTWARE ADD Systems ............................................................. 37 FUEL PERFORMANCE ADDITIVE PROGRAMS Sprague Energy ................................ outside back cover ACCOUNTING SERVICES Libero & Kappel, CPA ................................................. 28 Weiser, LLP ................................................................ 35 CONSULTANTS Aztech Technologies .................................................. 41 CK Business Consultants, Inc. .................................... 29 HEATERS Turbonics ................................................................... 39 ADDITIVES ADT Fuel Additives ....................................................... 5 CREDIT CARD PROCESSING COCARD .................................................................... 38 BIODIESEL PRODUCERS Innovation Fuels......................................................... 41 BIOHEAT® Advanced Fuel Solutions ............................................ 35 ELECTRONIC REGISTERS MID:COM ................................................................... 13 ENERGY PRODUCTS Champion Energy Corp. ............................................. 40 HYDRONIC SYSTEMS Bradford White Corporation .......................................... 4 INSURANCE Conifer Energy ............................................................. 8 Energy Insurance Brokers, Inc.................................... 24 Federated Insurance .................................................. 26 The Powderhorn Agency ............................................ 20 V. F. Mitchell Agency ................................................... 40 ENVIRONMENTAL CONSULTANTS Boston Environmental ................................................ 24 C2G Environmental .................................................... 38 LOW WATER CUT-OFF PROBES ITT McDonnell & Miller............................................... 16 ENVIRONMENTAL CONSULTING/ENGINEERING Aztech Technologies .................................................. 41 OIL BOILERS Bradford White Corporation .......................................... 4 ENVIRONMENTAL SERVICES ESMI of New York....................................................... 25 GES ........................................................................... 38 OIL COMPANIES Global Companies, LLC .............................................. 41 Shell/Motiva Enterprises ......................inside front cover COMPLIANCE- PETROLEUM BULK STORAGE C2G Environmental .................................................... 38 FUEL ADDITIVES Advanced Fuel Solutions ............................................ 35 Kinetic Laboratories ................................................... 38 OIL SPILL ABSORBENTS C G Industrial Safety Supply ....................................... 37 COMPUTER HARDWARE & SOFTWARE Automated Wireless Environments, Inc....................... 28 FUEL OIL PUMP MANUFACTURERS Webster Fuel Pumps & Valves .................................... 39 PETROLEUM MARKETERS/REFINERS BP Petroleum ............................................................. 18 Citgo Petroleum .................................. inside back cover Valero Energy Corporation............................................ 3 BOILERS Bradford White Corporation .......................................... 4 BULK PLANT EQUIPMENT Bradford White Corporation .......................................... 4 Savage Associates ..................................................... 10 BURNERS Carlin Combustion Technology, Inc. ............................ 30 Advertiser.com ADVERTISER WEB ADDRESS PAGE A & M Truck Center Corporation ....................................... www.aandmonline.com .............................................................. 29 ADD Systems ..................................................................... www.addsys.com ....................................................................... 37 ADT Fuel Additives............................................................. www.ADTFuelAdditives.com ......................................................... 5 Advanced Fuel Solutions ................................................... www.fuelsolution.com ................................................................ 35 Amthor Inc. ........................................................................ www.AmthorInternational.com .................................................... 34 Angus Energy, ................................................................... www.angusenergy.com .............................................................. 31 Atlantic Detroit Diesel-Allison ........................................... www.atlanticdda.com ................................................................. 21 Automated Wireless Environments, Inc. ........................... www.automatedwireless.com ..................................................... 28 Aztech Technologies .......................................................... www.aztk.com ............................................................................ 41 Boston Environmental ....................................................... www.bostonenv.com................................................................... 24 BP Petroleum ..................................................................... www.bp.com .............................................................................. 18 Bradford White Corporation .............................................. www.bradfordwhite.com............................................................... 4 Buckeye Energy Services, LLC .......................................... www.buckeyeenergyservices.com .............................................. 37 C G Industrial Safety Supply.............................................. www.cgindustrialsafety.com ....................................................... 37 C2G Environmental ............................................................ www.c2g.us ............................................................................... 38 Carlin Combustion Technology, Inc. .................................. www.carlincombustion.com ........................................................ 30 Champion Energy Corp. ..................................................... www.championenergy.com ......................................................... 40 Citgo Petroleum ................................................................. www.citgo.com.................................................... inside back cover CK Business Consultants, Inc............................................ www.ckbc.net............................................................................. 29 COCARD .............................................................................. www.cocardprocessing.com ....................................................... 38 Conifer Energy ................................................................... www.coniferenergy.com ............................................................... 8 Dan Holohan Associates, Inc. ............................................ www.heatinghelp.com ................................................................ 40 ESMI of New York .............................................................. wwwesmiofny.com ..................................................................... 25 Federated Insurance .......................................................... www.federatedinsurance.com .................................................... 20 GES ..................................................................................... www.gesonline.com ................................................................... 38 Global Companies, LLC ...................................................... www.globalp.com ....................................................................... 41 Grundfos Pumps Corporation ............................................ www.grundfos.us........................................................................ 12 Hess Corporation ............................................................... www.hess.com ............................................................................. 6 Innovation Fuels ................................................................ www.innovationfuels.com ........................................................... 41 ITT McDonnell & Miller ...................................................... www.mcdonnellmiller.com .......................................................... 16 J.P. Noonan Transportation................................................ www.jpnoonan.com .................................................................... 40 Kinetic Laboratories .......................................................... www.k100fueltreatment.com...................................................... 38 Libero & Kappel, CPA ......................................................... www.liberoandkappel.com.......................................................... 28 MID:COM ............................................................................ www.midcomcorp.com ............................................................... 13 The Powderhorn Agency ................................................... www.powderhornagency.com ..................................................... 26 Priority Payment Systems ................................................. www.prioritypaymentsystems.com ............................................. 36 S&W Services Inc., EPE...................................................... www.swsvcs.com ....................................................................... 39 Sarva Bio Remed, LLC ....................................................... www.sarvabioremed.com ........................................................... 21 Savage Associates............................................................. www.petrochemtech.com ........................................................... 10 Shell/Motiva Enterprises ................................................... www.motivaenterprises.com................................ inside front cover Sprague Energy ................................................................. www.spragueenergy.com/bioheat.htm ............... outside back cover Valero Energy Corporation ................................................ www.valero.com ........................................................................... 3 Warex Terminals Corporation ............................................ www.warexterminals.com .......................................................... 40 Webster Fuel Pumps & Valves........................................... www.websterfuelpumps.com...................................................... 39 Wehof Forms ...................................................................... www.formspro.net ...................................................................... 40 Weiser LLP ......................................................................... www.weiserllp.com .................................................................... 35 ZCL Composites, Inc .......................................................... www.zcl.com .............................................................................. 22 42 PETROLEUM PARTS & EQUIPMENT S&W Services Inc., EPE .............................................. 39 PETROLEUM REFINERS & SUPPLIERS Buckeye Energy Services, LLC ................................... 37 PETROLEUM TRANSPORTATION Amthor Inc. ................................................................ 34 J.P. Noonan Transportation ......................................... 40 PETROLEUM WHOLESALERS Hess Corporation ......................................................... 6 Sprague Energy ................................ outside back cover Warex Terminals Corporation ..................................... 40 POS SYSTEMS Priority Payment Systems .......................................... 36 PRINTING & BUSINESS FORMS Wehof Forms ............................................................. 40 PUMPS Grundfos Pumps Corporation ..................................... 12 REMEDIATION OF FUEL OIL FUMES Sarva Bio Remed, LLC ............................................... 21 REPAIR/SALES/SERVICE- DIESEL ENGINES, ALLISON TRANSMISSIONS Atlantic Detroit Diesel-Allison ..................................... 21 RISK ASSESSMENT Oil Well ...................................................................... 14 TANK LININGS/CATHODIC PROTECTION Bradford White Corporation .......................................... 4 TANKS & ACCESSORIES Bradford White Corporation .......................................... 4 ZCL Composites, Inc. ................................................. 22 TRADING & RISK MANAGEMENT Angus Energy, INC ..................................................... 31 TRAINING Dan Holohan Associates, Inc./HeatingHelp.com .......... 40 TRUCK & TANK SALES A & M Truck Center Corporation ................................. 29 Bick and Heintz, Inc. .................................................. 41 WATER HEATERS Bradford White Corporation .......................................... 4 Empire State Petroleum Association • 2008 PARTNERING WITH CITGO CAN BE AND YOUR COMMUNITY. Join the CITGO team to discover a unique way of doing business. Our flexible programs, extraordinary service and deep commitment to the communities we serve are just a few of the ways the people of CITGO are there at every turn. THERE AT EVERY TURN. For more information, contact Steve Morris at 1-800-225-2352 or smorri1@citgo.com. You can find a way to manage unscheduled service calls. Or you can find a way to eliminate them. Just one unscheduled service call can drain the entire profitability out of an annual service contract. Those calls also mean you have less time to generate additional revenue through equipment sales and installations. HeatForce™ premium heating oil from Sprague helps eliminate costly unscheduled service calls with its powerful additive package including: t Dispersant – Gradually cleans the entire heating oil system t Corrosion Inhibitor – Prevents rust in heating oil systems t Fuel Stabilizer – Keeps fuel fresher, longer Learn more. Go to www.spragueenergy.com/heatforce.htm Or call 1-800-225-1560.
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