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HB 3583

Relating to domestic violence survivor defendants; prescribing an effective date; providing for criminal sentence reduction that requires approval by a two-thirds majority.

2025 Regular Session Introduced by April Dobson and 6 co-sponsors

Bans selling motor fuel below cost-based thresholds when tied to promoting other goods or diverting customers, establishes a minimum markup and CFDPA enforcement.

In committee upon adjournment.
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Bill Summary · HB 3583

HB 3583 — Motor Fuel Minimum Markup Act (Introduced)

Sponsor: Rep. Kevin John Olickal
Introduced: Feb 18, 2025 (filed Mar 3, 2025)
Status (most recent): In committee upon adjournment (6/28/2025). Assigned previously to Consumer Protection, Rules, Judiciary and other committees; read first time 3/25/2025.

Purpose / Intent

The bill creates the "Motor Fuel Minimum Markup Act" to prohibit the sale of motor fuel below specified cost-based thresholds when the sale has the intent or effect of inducing purchases of other merchandise or diverting trade from competitors. The aim is to curb alleged predatory or loss-leader pricing in motor fuel markets and to protect competition and consumers from deceptive pricing practices.

Key provisions

  • Creates a new statute (proposed 815 ILCS 505/HHHH) called the Motor Fuel Minimum Markup Act.
  • Makes it unlawful for a retailer, wholesaler, or refiner to sell or offer motor fuel at less than a specified “cost” if that pricing is intended (or has the effect) of inducing purchases of other goods or diverting trade from a competitor.
  • Defines multiple pricing and cost measures, including:
    • “Average posted terminal price” — arithmetic mean of posted rack prices at terminals (plus excise/sales/use taxes, transportation and other listed charges).
    • “Cost to retailer” and “cost to wholesaler” — detailed formulas that vary by seller type (refiner, wholesaler or other retailer). These formulas generally start from invoice or replacement cost (or the refiner’s lowest selling price to other retailers/wholesalers), add applicable taxes and transportation, then add a markup to cover a proportionate part of business costs.
    • The default markup in many circumstances is OPIS (Oil Price Information Service) plus one cent; for some wholesaler sales by a refiner the markup defaults to 3% of the wholesaler cost (absent proof of a lesser cost).
  • Includes unspecified notice requirements (the bill text indicates notice provisions but the excerpt is truncated).
  • States that violations of this Act constitute violations of the Illinois Consumer Fraud and Deceptive Business Practices Act (CFDPA), and makes conforming changes to the CFDPA.

Who is affected

  • Primary: motor fuel refiners, wholesalers, and fuel retailers (including company-owned and independent stations).
  • Secondary: competing retailers/wholesalers, consumers (potentially affected through changes to promotional pricing), and state enforcement authorities and private parties who rely on the CFDPA for remedies.

Enforcement and remedies

  • Because violations are treated as violations of the Consumer Fraud and Deceptive Business Practices Act, enforcement would follow the remedies available under that Act (civil enforcement by the Attorney General and private causes of action under the CFDPA, with potential injunctive relief, civil penalties, restitution and attorney fees as applicable under existing law).

Potential impacts and considerations

  • Could limit aggressive discounting and loss-leader pricing on motor fuel and reduce below-cost promotions tied to in-store purchases (e.g., “buy fuel cheap if you buy X”).
  • May increase compliance costs for fuel retailers who must track invoice/replacement costs, OPIS references, taxes, and document markups to justify low prices.
  • May protect smaller competitors from diversionary pricing but could also reduce consumer-facing discounts and competitive price promotions.
  • Ambiguities in calculations (e.g., selection of “closest terminal,” replacement cost timing, and proof burdens) and the truncated notice provisions may require implementing guidance or litigation to resolve.

Procedural notes / timeline

  • Introduced Feb 18, 2025 (filed 3/3/2025). Read first time 3/25/2025. Referred through multiple committees (Consumer Protection, Judiciary, Rules). As of 6/28/2025 the bill is “in committee upon adjournment,” meaning it did not advance before the legislative adjournment.

If you want, I can:
- Extract and summarize the full cost-formula language line-by-line,
- Compare this bill to existing Illinois or other states’ anti‑predatory pricing or minimum markup laws, or
- Prepare likely compliance steps for fuel retailers.

Compiled from official sources — confirm details with the bill’s official record.

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