October 03, 2014

Dear NJGCA Member:

Thank you for reading this week's NJGCA Road Warrior!

Here is what you will find in this edition:

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EXECUTIVE DIRECTOR'S MESSAGE: GREETINGS & SAL-UTATIONS! 

CALIFORNIA GOVERNOR SIGNS PLASTIC BAG TAX INTO LAW
NEW JERSEY MINIMUM WAGE SET TO INCREASE JANUARY 1, 2015
NJGCA TESTIFIES ON REWARDS BILL IN TRENTON
MARKETPLACE ANALYSIS
NJGCA BREAKFAST MEETING IN WEST AMWELL - OCTOBER 15

Making news this week was the California Governor's decision to sign into law a tax on plastic bags. Similar laws have been proposed in NJ, including an attempt to institute a tax on plastic and other non-reusable bags within Mercer County. Since individual counties do not have the power to tax, they will be holding a nonbinding referendum on the issue this November. They are asking voters if they approve of the idea for individual retailers to tax each of these non-reusable bags at a rate of 5 cents per bag. As an attempt to deflect criticism, it also called for a few exemptions: for prescriptions, for customers using food stamps, and for fresh produce and meat. However, that only makes complying with the law even more complex, instead of just counting the number of bags and charging 5 cents each, your clerk would have to track which bags contain what items, since a bag with a banana in it would not get taxed. Thankfully, even if voters in Mercer County do pass this, it will not actually become law, however, it will certainly put pressure on the Legislature to create a statewide tax, which we obviously oppose.
 
This week it was also announced that, effective Jan 1, 2015, NJ’s minimum wage will increase to $8.38 per hour.  The increase follows a constitutional amendment which was approved by voters in Nov. 2013. The amendment initially raised New Jersey’s minimum wage from $7.25 per hour to $8.25 per hour and then added annual cost-of-living increases tied to the Consumer Price Index (CPI).  The increases are calculated each September.  As a result, employers should be aware that regardless of when their pay periods begin or end, employees must be paid at least $8.38 per hour beginning Jan. 1, 2015. The ever-increasing cost of labor is an important reality to keep in mind when considering the benefits of self-serve in NJ. 
 
You may remember several years ago, in 2011, big corporations came in trying to create rewards and loyalty programs for customers, connected with the sale of gasoline. The way this bill was originally introduced it would have created a below-cost selling scenario. We fought it for two years before finally compromising and coming up with a great bill for you and your customers. NJGCA helped craft new language which would allow your business to receive the benefits of these programs without being forced to shoulder the costs. Unfortunately, there was a loophole in the way the bill was written that is allowing these big companies to force the costs onto you by calling them “transaction fees”.  We have written a NEW bill that will force a corporation who invents a rewards program to be responsible for the ENTIRE cost.
 
The first action was today, at a committee hearing in Trenton. It was for testimony only, and no vote was taken, but it was a great opportunity to have our concerns heard and start a conversation about this important issue. Sal was joined by NJGCA members Meer Fazaldin, Kashmir Gill and Jeff Ashwood, who were also able to voice their support for the bill.  To hear the testimony that Sal and your fellow NJGCA members provided to the Committee, please click HERE (Sal and Meer) or HERE (Kashmir and Jeff Ashwood). Please go to the bottom of this message to see some pictures from the hearing!
 
Finally, I want to discuss the marketplace. We all see that the price of gas is falling. There were several decreases of this nature earlier this year, however they were quickly followed up by a rise of equal value. But altogether, throughout the course of this year, there has been a steady decline in gas prices, and as I stated before, there are a number of factors that are working here. One of them is that gasoline consumption and demand just have not grown the way that analysts had expected and predicted. That, coupled with the enormous increase in crude oil production, has combined to give us the decrease in price that we have seen.
 
In the last few years, we have seen prices drop towards the end of the year, but this year looks to be a steeper decline than previous years.  Remember the 2008 Presidential and Vice Presidential candidates that exclaimed, "Drill, baby drill!"  It looks like they were on the right track!
 
One last thing, for members in Somerset, Hunterdon and Mercer counties, you should expect to receive emails from us about the upcoming NJGCA Diner Tour FREE Breakfast Meeting in West Amwell. The meeting will be on Wednesday, October 15, 2014 from 9:30-11:00 AM. More details will follow. We encourage you all to attend!  These are short, informational meetings with many updates about what is going on in the industry, and also plenty of time for roundtable discussions and questions about issues on YOUR mind.  Also, it's a free breakfast, and a chance to win $50 from NJGCA.  There's no reason to miss out on this great opportunity!

Sal and Meer Fazaldin testify in front of the Committee while Kashmir Gill and Jeff O'Connor await their turn.

That's all for now.  Thanks for reading.  See you next week!

Regards,
Sal Risalvato
Executive Director

CLASSIFIEDS! -- FOR SALE & HELP WANTED ADS 

Do you have a business for sale?  Are you looking for a new location or opportunity?

• NJGCA regularly assists members looking to sell their business by getting the word out.  Since everyone reading this message is involved in the small business gasoline retail, convenience store, and automotive repair trades, it is an ideal medium to connect with interested buyers and prospects!

NJGCA also helps members sell equipment by placing ads in the Road Warrior!

• If you'd like to list equipment for sale, or have an open position you'd like to make other industry professionals aware of, please contact NJGCA at 973-376-0066 and let us help you get the word out! 

NEWS AROUND THE STATE: THE NEWS YOU SHOULD KNOW

 
10/01/2014
Gas prices down in NJ, but will they continue to drop?
The drop in crude oil prices continues to push down the cost of gasoline for motorists both in NJ and nationwide. The good news for drivers is that filling up should get even cheaper as the weathers turns colder, demand decreases as we move further into autumn, analysts say. "The actual bottom in this current down-cycle may not occur until January," GasBuddy.com chief oil analyst Tom Kloza said. A gallon of regular gas in NJ averages $3.16 per gallon today, a nearly two-cent per gallon dip from last week and more than 11 cents cheaper than at this time last year. Nationally, the price is about $3.334. On this date two years ago, a gallon in NJ cost more than $3.71; it ran about $3.28 on Oct. 1, 2013. The raw cost of gas falls about 2.38 cents per gallon for every dollar drop in the price of a barrel of crude oil. The Brent crude oil future's contract closed below $95 a barrel Tuesday, about $20 per less than it cost in June. A drop in the cost of ethanol has also benefitted motorists. Most finished gasoline contains a 10% mixture of ethanol. NJ gas prices are the 10th-least expensive in the country.
 
09/30/2014
California Bags Plastic: C-Stores Have Until 2016 to Comply
California Governor Jerry Brown has signed the nation's first statewide ban on single-use plastic bags, aligning state law with ordinances passed by a growing number of local governments in California to reduce plastic waste. The legislation prohibits grocery stores and pharmacies from distributing single-use plastic bags after July 2015 and enacts the same ban for convenience stores and liquor stores the following year. It will also provide up to $2 million in competitive loans, administered by CalRecycle, to businesses transitioning to the manufacture of reusable bags. "This bill is a step in the right direction -- it reduces the torrent of plastic polluting our beaches, parks and even the vast ocean itself," said Brown. "We're the first to ban these bags, and we won't be the last." More than 120 local governments in California have passed ordinances banning single-use bags in some fashion, with widespread support from community and environmental groups.
 
 
09/30/2014:
Pay Issues Getting Attention A Month Before Elections: Minimum Wage Hike Proposals Floated In New York City And Chicago
This week, NYC Mayor Bill deBlasio signed an executive order to require many previously exempt business that receive municipal subsidies to pay their workers $13.13 an hour. The deBlasio Administration estimates that 18,000 workers will benefit from the change over the next five years. In Chicago, Mayor Rahm Emanuel wants all of his city’s agencies to pay a $13/hr minimum wage, after having already signed an executive order mandating that city contractors pay at least that much. While some of the recent actions taken to boost the minimum wage apply only to government contractors, they are part of a wider campaign involving labor unions and the Obama White House that could result in steep wage increases affecting all employers.
 
09/29/2014:
Hate the gas tax? Not fixing NJ roads could cost you a lot more, experts say
How much would it cost the average NJ motorist if the state does not raise the gas tax? It’s a tricky question. Studies put the cost of not fixing NJ’s ailing roads and bridges at about $600 a year per motorist, mostly to replace cracked rims or repair damaged suspensions. And that’s not including the cost to life and limb that safety experts say can result from blown tires, hydro-planing on poorly drained roads or other decaying conditions. A 2013 report by the American Society of Civil Engineers put the cost of NJ's potholes and other poor roadway conditions at $601 a year in repairs. A similar study in 2010 by the non-profit U.S. Public Interest Research Group Education Fund put New Jersey's average annual cost at $596, the highest in the nation, and much higher than the national average of $335. Citing that and other data, advocates of a 31-cents-per-gallon gas tax hike floated last week say that failing to raise the tax in order to fund improvements could outweigh the $200-a-year the increase could cost the average motorist.

TRAINING CLASSES!!
-ALL CLASSES WILL BE HELD AT NJGCA HEADQUARTERS-
66 Morris Avenue - Springfield, NJ 07081 (Union County)

In order to be licensed as a Motor Vehicle Emission Inspector, you must complete this course and pass a "Written Exam" given by the State of New Jersey. NJGCA offers this training in a ONE DAY State approved training program that will provide an understanding of inspection related issues including EPA Regulations, Safety, Diesel, Customer Service and the New Jersey State Specific Curriculum. This specially tailored NJGCA course fulfills all requirements.

CLICK HERE TO REGISTER

CLASS DETAILS:

Class Date: Monday, October 06, 2014
Class Location: NJGCA Headquarters, located at 66 Morris Avenue - Springfield, NJ 07081
Arrival Time: 7:00am
Lunch Break: 12:00pm (Pizza and soda will be served)
NJMVC Test: 1:00pm

CLASS FEES:

NJGCA Members: $250.00
Non-members: $300.00

Manuals are included and payment is due upon registration. All credit cards are accepted.

License Fee: Bring a $50.00 check made payable to NJMVC to satisfy the State's licensing fee.

PLEASE NOTE: If you live out of state, you must bring 6 points of ID with you, such as a license, passport, healthcare card, utility bill, etc.

FUTURE CLASSES WILL BE ADDED UPON REQUEST AND ACCORDING TO DEMAND.  CONTACT DEBBIE at 973-376-0066 or DEBBIE@NJGCA.ORG TO LET HER KNOW YOU ARE INTERESTED IN TAKING A SPECIFIC CLASS.  THIS WILL ALLOW US TO GAUGE YOUR NEEDS AND KEEP TRACK OF THOSE WISHING TO PARTICIPATE!!

MEMBER BENEFIT PARTNER MESSAGE BOARD:

TMP Energy Solutions
Another Way to Save on Your Energy Bills

We have had a number of NJGCA members successfully reduce their rate per kWh signing up through our energy saving program. We know it's difficult to collect 12 months worth of previous electric bills to get an "accurate" analysis when comparing a variable rate to a fixed rate, but we now have another option available. 

This new solution is a power purchase option; the other program is still in full force and has saved members thousands of dollars. If you sign up for the power purchase option, you will be grouped with other NJGCA members until the minimum KW demand is acquired. By pooling the member's usage together, you will be able to take advantage, as large energy users do, and receive a lower kWh rate.

Each member will receive their own contract. Each member is responsible to sign and return the agreement the day it is received in order to secure the price for their group.

Please do your due diligence, so when you receive the proposal and the agreement you will be able to make an intelligent decision.

If by chance, you still want us to assess you bills, to give you a price to compare, we will require12 months of your most recent utility bills.

There are no bills required, but we would still like to have one bill per meter on file to check account #'s, meter #'s  service addresses and other pertinent information incase there is a problem.

The term of the agreement is for 12 months. During this term period, you will have price protection against any energy price increases along with a low fixed kWh rate.

If you are interested in becoming part of this power purchase option, please contact Greg Cannon at the NJGCA.

Remember when you sign up your energy through the NJGCA Energy Program, TMP makes a considerable donation to the NJGCA Scholarship Fund through their proceeds. This has no affect on your rate, and costs you nothing out of pocket.

We hope to help hundreds of NJGCA members reduce their utility costs by participating in this and our other cost reduction programs.  Our purpose, in the endeavor, is to help NJGCA members lower their energy costs while supporting the NJGCA Scholarship Fund. 

Contact GREG CANNON at 973-376-0066 or email Greg at greg@njgca.org. Mention that you are interested in saving money on your energy bills. NJGCA & TMP Energy Solutions will handle all the rest.