§818.48.  Diversions

A.  The importer, exporter, or motor fuel transporter shall deliver gasoline or diesel fuel only to the destination state or states indicated on the shipping document.  However, a shipment of gasoline or diesel fuel may be diverted from the destination stated on the original shipping document where the shipping document is incorrect or where there is a legitimate business need to divert the shipment.  Prior to any diversion or change to the shipping document, the shipper, the motor fuel transporter, or an agent of either, shall:

(1)  Notify the National Fuel Diversion Registry that the motor fuel transporter has received, after the shipping document was issued, instructions to deliver the gasoline or diesel fuel to a different destination state.

(2)  Receive a diversion number from the National Fuel Diversion Registry.

(3)  Manually write the change in destination state and the diversion number on the shipping document.

(4)  Give a copy of the amended shipping document to the person to whom the gasoline or diesel fuel is delivered.

B.  The licensee ordering the diversion is responsible for paying the applicable destination state taxes along with filing a claim for refund with the origin state or the original destination state whose taxes have been collected.

C.  The secretary may assess a penalty in an amount equal to the taxes and fees on the product, without regard to any exemption or dye, or one thousand dollars, whichever is greater, for each violation, against any person who diverts a shipment or alters a shipping document other than as provided herein.  No penalty will be assessed in those cases where the prior notification required in Subsection A was not accomplished due to error, other than negligence, if within three working days the shipper, the motor fuel transporter, or the agent of either, notifies the secretary of the diversion and error.

Acts 2005, No. 252, §1, eff. July 1, 2006.