Bulletin #2: Actions Needed by May 31, 2023

As mentioned in my last few Member emails, I’ve been working on a new contract/provider since January. I had hoped to have clear ‘next steps’ well before now as our contract expires 5/31/23. Unfortunately, the process is taking considerably longer than anticipated. Meanwhile, AmeriGas continues to be uncooperative; many unanswered questions remain. Given that, the “next steps” are a bit complex. I have attempted to explain the options as clearly as possible, but it’s challenging as there are many moving pieces.

Please read the sections below that pertain to you and take action / order propane as needed. Be sure to scroll down to the end for a final message to all.

PS: For now, the blog will serve as a place I post Member emails for those who are not receiving them. If you are not receiving Co-op emails, please check Spam or other email addresses you may have used to sign up, e.g. wife/husband/partner, old email addresses, etc. I cannot help with email address changes at this time but will offer a way to do that shortly.

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ALL MEMBERS:

• Hopefully by now you have changed your account to will-call as previously suggested.

• Will-call deliveries are priced at the time of order; all orders placed by 5/31/23 should be priced at Co-op rates.

• The change to will-call service may take a few days & must be done by phone: 800-263-7442.

• If you order by 5/31 and your quote does not match Co-op pricing, I suggest you order it anyway and immediately submit a billing adjustment request, per info here.

• Co-op price as of 5/27/23: $1.50 Bus / $1.59 Res / $1.98 Friends & Family (F&F)

• AmeriGas’ price as of 6/1/23 will be at least ~$1.00 per gallon MORE; potentially even higher for F&F, plus $20 - $30 per delivery for all.

• If you’re on will-call remember to monitor your tank level.

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MEMBERS WHO OWN THEIR TANK:

• To take advantage of current pricing, order a fill ASAP; no later than 5/31/23.

• After 5/31, I suggest you call around until I have the new supplier in place.

• If you don’t know if your tank is leased or owned, check your contract and/or contact AmeriGas.

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MEMBERS WITH LEASED AMERIGAS TANKS Once things are finalized with our new supplier, the tank change-out process will begin. This project will likely take 3-4 months. The goal is to complete most tank change-outs by September, before propane demand picks up. In order to change to the new provider, your tank will need to be at or below 30% of capacity, e.g. 75 gallons for a 250-gallon tank. Therefore, I recommend the following:

• Aim to have a 3-4 month supply of propane as of 5/31/23 so you are ready to move to the new supplier once that option is available.

• An alternate option is to fill your tank completely to take advantage of the current low Co-op pricing. If you opt to do this, be aware that:

  • Depending upon your usage, it may take until winter or longer for you to get back down to ~30%.

  • Volume tank switch-outs will be more challenging in fall/winter; you may have to wait and may be forced to pay higher AmeriGas rates.

  • There is a potential $150 Tank Pickup Fee. It is unclear if AmeriGas is legally entitled to this fee. I am attempting to get it waived and/or will try to get them to reimburse it if they charge it. Assuming I am successful with a waiver, the longer you wait to end your AmeriGas service, the less likely any such waiver will apply.

Given all of the unknowns, my recommended action is for members to be ready to switch out tanks within 3-4 months, and to order only enough propane for that to happen.* * AmeriGas may require a minimum of 100 gallons per order or may assess you a minimum delivery fee for anything less than 100 gallons.

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MEMBERS WITH LEASED AMERIGAS TANKS FOR LESS THAN 3 YEARS In addition to the Tank Pickup Fees and price increases noted above, AmeriGas may attempt to charge a $150 Early Termination Fee if you cancel service within 3 years. Check your original contract for details about your Term, or contract AmeriGas. I am attempting to also get this fee waived. Your options are: 1. Continue AmeriGas’ service until you’re beyond your 3-year Term to avoid a potential $150 Early Termination Fee. In this case, fill your tank by 5/31/23 to take advantage of low Co-op pricing… OR 2. Fill your tank with enough propane to last you 3-4 months; wait for more info to determine your best course of action. You’ll need to weigh 1) your Term end, 2) your propane usage, 3) forthcoming pricing details once the new contract is signed.

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FINAL NOTE TO ALL MEMBERS: Members have saved thousands of dollars over the years. Please keep this in mind as it puts fees and temporary higher costs in perspective. One example: a new Friends & Family Co-op member just saved ~$2,000 over 2 winter deliveries of only 390 gallons total! She was originally billed over $5 per gallon + fees! Her account was just adjusted and she was refunded $2,000+!

I realize the last-minute nature of these directions is not ideal; unfortunately it is unavoidable. Also, know that the suggestions may change if the signed contract does not materialize as expected. I appreciate your patience over the coming months as we navigate this change together.

Please hold questions regarding this process for now; more info will be available shortly.

P.S. If you still have an open billing issue, please review the revised process here.