---
kind: "section"
citation: "15 U.S.C. § 6405"
title: "15"
title_heading: "Commerce and Trade"
number: "6405"
heading: "Assessments"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/15/6405"
units:
  - "Chapter 90 — Propane Education and Research"
---

# §6405. Assessments

- (a) **Amount—** The [Council](/usc/15/6402.md?p=1) shall set the initial assessment at no greater than one tenth of 1 cent per gallon of [odorized propane](/usc/15/6402.md?p=4). Thereafter, annual assessments shall be sufficient to cover the costs of the plans and programs developed by the [Council](/usc/15/6402.md?p=1). The assessment shall not be greater than one-half cent per gallon of [odorized propane](/usc/15/6402.md?p=4), unless approved by a majority of those voting in a referendum in both the [producer](/usc/15/6402.md?p=5) and the [retail marketer](/usc/15/6402.md?p=9) class. In no case may the assessment be raised by more than one tenth of 1 cent per gallon of [odorized propane](/usc/15/6402.md?p=4) annually.
- (b) **Ownership—** The owner of [odorized propane](/usc/15/6402.md?p=4) at the time of odorization, or the time of import of [odorized propane](/usc/15/6402.md?p=4), shall make the assessment based on the volume of [odorized propane](/usc/15/6402.md?p=4) sold and placed into commerce. Assessments collected are payable to the [Council](/usc/15/6402.md?p=1) on a monthly basis by the 25th of the month following the month of such collection. [Propane](/usc/15/6402.md?p=6) exported from the United States to another country is not subject to the assessment.
- (c) **Alternative collection rules—** The [Council](/usc/15/6402.md?p=1) may establish an alternative means of collecting the assessment if another means is found to be more efficient and effective. The [Council](/usc/15/6402.md?p=1) may establish a late payment charge and rate of interest to be imposed on any [person](/usc/15/7a.md?p=6) who fails to remit or pay to the [Council](/usc/15/6402.md?p=1) any amount due under this chapter.
- (d) **Investment of funds—** Pending disbursement pursuant to a program, plan, or project, the [Council](/usc/15/6402.md?p=1) may invest funds collected through assessments, and any other funds received by the [Council](/usc/15/6402.md?p=1), only in obligations of the United States or any agency thereof, in general obligations of any [State](/usc/15/15g.md?p=2) or any political subdivision thereof, in any interest-bearing account or certificate of deposit of a bank that is a member of the Federal Reserve System, or in obligations fully guaranteed as to principal and interest by the United States.
- (e) **State programs—** The [Council](/usc/15/6402.md?p=1) shall establish a program coordinating the operation of the [Council](/usc/15/6402.md?p=1) with those of any [State](/usc/15/15g.md?p=2) [propane](/usc/15/6402.md?p=6) education and research [council](/usc/15/6402.md?p=1) created by [State](/usc/15/15g.md?p=2) law or regulation, or similar entity. Such coordination shall include a joint or coordinated assessment collection process, a reduced assessment, or an assessment rebate. A reduced assessment or rebate shall be 20 percent of the regular assessment collected in that [State](/usc/15/15g.md?p=2) under this section. Assessment rebates shall be paid only to—
  - (1) a [State](/usc/15/15g.md?p=2) [propane](/usc/15/6402.md?p=6) education and research [council](/usc/15/6402.md?p=1) created by [State](/usc/15/15g.md?p=2) law or regulation that meets requirements established by the [Council](/usc/15/6402.md?p=1) for specific programs approved by the [Council](/usc/15/6402.md?p=1); or
  - (2) a similar entity, such as a foundation established by the retail [propane](/usc/15/6402.md?p=6) gas [industry](/usc/15/6402.md?p=2) in that [State](/usc/15/15g.md?p=2), that meets requirements established by the [Council](/usc/15/6402.md?p=1) for specific programs approved by the [Council](/usc/15/6402.md?p=1).

## Source credit

(Pub. L. 104–284, § 6, Oct. 11, 1996, 110 Stat. 3374.)
