Regulatory & Policy
NY, CA, IL Push Identical Bills to Triple Propane Tank Setback Distances
Three States Want to Triple Tank Setbacks — Act Now
Executive Summary
Three states are pushing 25→75 ft setbacks for propane tanks near schools. No data supports this. 2,400+ accounts and $180M-$240M in revenue are at risk. The NPGA is leading the opposition.
The Situation
Lawmakers in New York, California, and Illinois have introduced nearly identical bills that would triple propane tank setbacks near schools from 25 to 75 feet. The identical language strongly suggests a coordinated national campaign — despite zero incident data to support such a drastic change.
The Facts
Coordinated Attack
New York S.4891, California AB-2217, and Illinois HB-3304 use nearly identical language. This is a clear sign of model legislation, likely originating from an environmental group like Clean Air Future. All three bills would mandate 75-foot setbacks for propane tanks located within 500 feet of schools or daycare facilities.
The Data Argument
Data from the Propane Education & Research Council (PERC) and the National Propane Gas Association (NPGA) incident database shows zero school-proximity propane incidents in the past 20 years under the current 25-foot NFPA 58 standard. Committee hearings are rapidly approaching: New York on May 14, Illinois on May 28, and California on June 2. Approximately 2,400 commercial accounts — including restaurants, laundromats, churches, and retail shops — currently sit in the 25-75 foot zone, often sharing blocks with schools.
Business Impact
The NPGA estimates a potential $180M-$240M in annual revenue is at risk across these three states. For individual marketers with downtown or suburban territories, losing 15-30 commercial accounts could mean $45K-$240K in lost revenue per company — with no transition period specified in the current bill language. If even one state passes this legislation, expect 5-10 copycat bills to emerge in other states within a year.
Key Data Points
- Bills: NY S.4891, CA AB-2217, IL HB-3304
- Proposed setback: 25→75 ft
- Safety record: Zero incidents in 20 years
- 2,400+ accounts at risk
- Revenue impact: $180M-$240M/year
Key Takeaways
- Identical language signals a coordinated national campaign — this issue will spread.
- Zero incidents in 20 years is the industry's strongest argument against these changes.
- If one bill passes, expect 5-10 copycat bills in other states within 12 months.
- Legislative testimony and direct contact with representatives are the highest-impact actions right now.
Action Steps
- 1Map which of your accounts fall within the 25-75 ft zone near schools.
- 2Contact your state propane association immediately to join the opposition efforts.
- 3Prepare customer impact statements for potential legislative testimony.
- 4Call your state representatives directly — constituent stories often sway votes.
Competitive Advantage
Companies that actively lead the legislative fight build significant community trust and strengthen government relationships. These benefits extend far beyond the immediate bill. When you can tell a customer you fought to preserve their service, that builds loyalty no discount can buy.
Public safety data campaign or quiet lobbying — what strategies have worked best in your state when facing similar legislative threats?