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Independent gas stations see how low they can go

seattletimes.nwsource.com -- If you are looking for gas deals in the Puget Sound area, your first stop might not be General Brushless Car Wash, the family-owned Everett establishment with a bucket-headed mascot.

But that is where, on Thursday, a lucky driver could find a gallon of gas going for just $3.76 — well below the state average of $4.08 and 38 cents cheaper than the average price of gas in the Seattle metro area, according to AAA data.

So how does owner Mark Hoidal keep prices so low, while Washington still carries the dubious distinction of having the most expensive gas in the contiguous 48 states?

Since the carwash is not tied to a particular brand of gasoline, Hoidal said he isn't wed to a particular brand-owned refinery. Instead, he relies on his gas supplier, PetroCard, to buy gas on the more vo


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Submitted Jun 15, 2012 By: teafortwo
Category: Daily News Article Discussions > Topics Add to favorite topics  
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REPLIES (newest first)
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GetMaxCashBack
Veteran Author Trenton

Posts:386
Points:163,425
Joined:Mar 2012
Message Posted: Jun 15, 2012 12:29:00 PM

I feel safer buying from a brand because I feel like I can hold a company responsible for the quality of gas. Not so much with private sellers who can probably go a while selling bad gas, and then close down and open somewhere else before anybody catches on.
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jrs4125
Champion Author Indiana

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Message Posted: Jun 15, 2012 7:15:50 AM

alrighty then
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rbrk02
Champion Author Rhode Island

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Message Posted: Jun 15, 2012 5:07:41 AM

$3.76 is considered low?
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ziyulu
Champion Author Oklahoma City

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Message Posted: Jun 15, 2012 4:35:37 AM

I'm still waiting for $2.999 gas. And I'm hopeful we can see it.
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MImusicman
Champion Author Michigan

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Message Posted: Jun 15, 2012 4:20:05 AM

we benefit here in mid-mich from new stations coming in and then having gas wars.
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Nancy&Len
Champion Author Cleveland

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Message Posted: Jun 15, 2012 2:52:39 AM

ok
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djgunrunner
Champion Author Salt Lake City

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Message Posted: Jun 15, 2012 2:20:28 AM

Brand name stations usually have to sign a contract to sell at the price of the refinery they deal with whether they want to or not.
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TIGERPAW46
Champion Author Florida

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Message Posted: Jun 15, 2012 12:41:40 AM

People argue we shouldn't hurt American businesses by applying an export tax on Petroleum but what is the difference that makes it ok to apply it on other american business Exports? There is a need for import & Export taxes to keep the playing field more equal & to keep prices for some products less expensive for the American public. Why should we sell our countries resources to another nation while shorting our own country, or pricing them such as achieving the same. Non American Citizens are buying up this country & sending our resources back to their sister lands. Is that ok with the majority of Americans. The USA will end up just like many foreign countries unproductive over worked land depleted of it's surface & Subterranean minerals etc.
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TIGERPAW46
Champion Author Florida

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Message Posted: Jun 15, 2012 12:20:22 AM

He's still handicapped by Those pushing prices higher than reasonable by Speculation on Futures, illegal price fixing & monopolies. plus the manipulation of supplies by refineries & oil companies. Then there is the unrestricted Exportation of oil & distillates out of the USA when the Government restricts or applies restrictive level exportation taxes on other US products to control distribution & keep prices lower within the nation. Other countries do the same & we should be also.

[Edited by: TIGERPAW46 at 6/15/2012 1:23:32 AM EST]
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truvoice1
Champion Author San Diego

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Message Posted: Jun 15, 2012 12:15:30 AM

As the article points out, the independent stations live and die by the supply available from the local refineries. There is a local independent near my home who has huge storage tanks which enables them to stock up when prices are down and then as prices rise they are able to undercut all of the majors and most other independents. It can be a crap shoot and there have been a few times when they guessed wrong and had to price their gas above the majors because they guessed wrong on which way prices were going.
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NanaNJNJ
Veteran Author New Jersey

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Message Posted: Jun 15, 2012 12:14:20 AM

Seems like it would be very stressful to run one in this economy.
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Ahking
Champion Author Orange County

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Message Posted: Jun 15, 2012 12:13:07 AM

Hope he's appreciated.
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BigBob12345
Champion Author Gasbuddy

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Message Posted: Jun 15, 2012 12:12:21 AM

ok
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ican2step
Champion Author Pittsburgh

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Joined:Feb 2012
Message Posted: Jun 15, 2012 12:10:27 AM

It still costs me over $50 to fill my tank. Crazy.
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Sisu58
Champion Author Michigan

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Message Posted: Jun 15, 2012 12:09:53 AM

A gas war, now that my kind of war.
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NedW
Champion Author Indianapolis

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Message Posted: Jun 15, 2012 12:08:33 AM

When are writers going to stop calling gas over $2.00/gal. low?
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sdiddydaddy
Champion Author Grand Rapids

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Message Posted: Jun 15, 2012 12:07:42 AM

good for them. Nice to see somebody take a stand.
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Ready Eddie
Champion Author Twin Cities

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Message Posted: Jun 15, 2012 12:06:00 AM

Good for all.
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chicoCA
Champion Author California

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Message Posted: Jun 15, 2012 12:03:36 AM

okay
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Gas Thirsty
Champion Author Los Angeles

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Message Posted: Jun 15, 2012 12:03:29 AM

Independent stations tend to have lower prices.
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Ron77095
Champion Author Houston

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Message Posted: Jun 15, 2012 12:02:10 AM

ok.
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alterman156
Champion Author New York

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Message Posted: Jun 14, 2012 11:59:52 PM

I saw a few stations in my area with lower prices than most and they're not always independent stations.
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Bussman
Champion Author Dallas

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Message Posted: Jun 14, 2012 11:58:56 PM

Keep it going, men.
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58salty
Champion Author Jacksonville

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Message Posted: Jun 14, 2012 11:58:21 PM

Good for all of them.
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GAS1251
Champion Author Texas

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Message Posted: Jun 14, 2012 11:55:00 PM

Glad I'm not there,3.76 doesn't sound like a bargain.
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kcboy
Champion Author Utah

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Message Posted: Jun 14, 2012 11:53:08 PM

Interesting but I would like to see lower gas prices. We are still way above the national average.
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jetskijerry
Champion Author North Carolina

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Message Posted: Jun 14, 2012 11:52:26 PM

NC is still at $3.33
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OOXXFF
Champion Author Greensboro

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Message Posted: Jun 14, 2012 11:52:20 PM

Good for Mark.
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tsa3333
Rookie Author Michigan

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Message Posted: Jun 14, 2012 11:52:12 PM

good luck
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300kmiles
All-Star Author Orange County

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Message Posted: Jun 14, 2012 11:52:12 PM

Mark, great work!
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jetskijerry
Champion Author North Carolina

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Points:771,295
Joined:Mar 2011
Message Posted: Jun 14, 2012 11:52:01 PM

just filled up in SC for $3.03.
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SHEP20715
Champion Author Maryland

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Message Posted: Jun 14, 2012 11:51:18 PM

Good for them
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mrbee
Champion Author Little Rock

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Message Posted: Jun 14, 2012 11:49:59 PM

Lower here by far.
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heartbroken2010
Champion Author Ottawa

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Message Posted: Jun 14, 2012 11:48:21 PM

for now this is good , but i can only hope he can maintain this. kudos to him.
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bojiway1
Champion Author Minnesota

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Message Posted: Jun 14, 2012 11:48:13 PM

Ok
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Z51Corvette
Champion Author Austin

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Message Posted: Jun 14, 2012 11:47:05 PM

You do what you need to in order to stay in business. Good for him.

On another topic...
The Washington politicians need to have their pay for life revoked. It is a gross dereliction of duty to expect to receive an annual pay that exceeds 90 percent of all Americans. Public servants... spare me the rhetoric! Bring the pay to the average American and show us a reason to vote for you... Humility before Greed!
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firefly09
Champion Author San Diego

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Message Posted: Jun 14, 2012 11:45:16 PM

Hope we see a lot more lower gas prices because of this.
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SavALot
Champion Author Virginia Beach

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Message Posted: Jun 14, 2012 11:43:43 PM

Competition breeds the lowering of prices
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throttle
Champion Author Maryland

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Message Posted: Jun 14, 2012 11:43:42 PM

Makes sense.
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TBONE3
Champion Author Pennsylvania

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Joined:Mar 2005
Message Posted: Jun 14, 2012 11:43:38 PM

We need more owners like Mr. Hoidal. Good going sir!!!
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LCSTEELERBOB
Champion Author Gary

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Message Posted: Jun 14, 2012 11:40:26 PM

lets support the little guy
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Saunch2012
Veteran Author Pennsylvania

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Message Posted: Jun 14, 2012 11:40:14 PM

ok
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BackwoodsPundit
Champion Author Richmond

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Message Posted: Jun 14, 2012 11:39:43 PM

What free ride? The only one getting a free ride is government bureaucrats, they produce nothing and want ever more. Oil companies produce a product we all absolutely need. And the US oil companies arent even in the top 10 as terms of size - they are price takers, not price makers.

The vast majority of the so-called special tax breaks that "medium oil" gets in the US are the same business deductions that every company gets. To take them away is not leveling the playing field, it is punishing them for daring to profit.

Understanding that helps one understand why people and businesses are largely not willing to risk expanding , except in special government favored and subsidized ventures. Because if you succeed, you will be labeled a "Big" something or rather, and your profits targeted for confiscation by some wanna-be Comrade Commissars who believe they are better able to spend it.

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frostyWV
Champion Author West Virginia

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Message Posted: Jun 14, 2012 11:39:17 PM

wish we had independents around here.
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jem069
Champion Author Detroit

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Message Posted: Jun 14, 2012 11:39:16 PM

Ok
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Matt G
Champion Author Boston

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Message Posted: Jun 14, 2012 11:38:46 PM

Ok
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otherdave
Champion Author Indiana

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Joined:Oct 2008
Message Posted: Jun 14, 2012 11:38:33 PM

Around here almost all of the "independently" owned stations and C stores are branded. If the "brandholder" says raise prices the "independent" owner has no choice. Over 1/2 of the stations in my county are Marathon / Greedway! Monopoly?
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Jskidmore
Rookie Author Vancouver

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Message Posted: Jun 14, 2012 11:38:25 PM

I buy at the COOP and get a rebate back on all purchases
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joel27nc
Champion Author Raleigh

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Message Posted: Jun 14, 2012 11:38:14 PM

I wish they'd start soon..they should be about $1.xx/gallon.
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teafortwo
Champion Author Washington

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Message Posted: Jun 14, 2012 11:38:03 PM


FROM THE ARTICLE:

All gas sold in the country has to meet national quality standards, but branded gasoline can contain brand-name additives like Techron for Chevron stations.

The supply of gas on the West Coast is rising now that several previously closed refineries are back online, said Tim Hamilton, executive director of the Automotive United Trades Organization, a nonprofit group representing gas stations and suppliers in Washington. He said the unbranded-gas market usually experiences the price drop first, which is why Costco, Safeway and other unbranded stations often have the lowest prices in the state.

The benefit of being unbranded can be great when wholesale prices drop, but when they rise, they can send the price at the pump soaring.

"As an independent, you live and die with market volatility," said Tom Kloza, chief oil analyst at the Oil Price Information Service. "As spot prices and wholesale prices for gasoline go up or down, your cost moves very quickly."

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