Motor Fuels Tax Minute, Episode 31: Above the Rack vs Below the Rack

In this week’s episode of Motor Fuels Tax Minute, our hosts are going back to the basics to explain the difference in definitions between “Above the Rack” and “Below the Rack.”

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Detailed Description of Weaver’s Motor Fuels Tax Minute, Episode 31

00:00:00

Leanne: Welcome to this week’s Motor Fuels Tax Minute, where we talk all things Motor Fuel. It’s summertime here and we’re going back to the basics.

Kelly, who is all set for summer, is going to give us a little bit of a rundown on the difference in definitions between above and below the rack. Kelly, nice hat!

00:00:18

Kelly: Thank you! I am excited for summertime, but we still have some of those basic topics to cover for all of you.

We are going to get started with “what is the rack?” It is basically a mechanism capable of delivering fuel from a refinery or terminal, into a truck or rail car. Above the rack would be prior to the fuel crossing over the rack to the trucks. So that would be more your walk transactions, like pipelines and vessels.

As an added bonus for everyone, I drew a little drawing, not sure how well you can see it. But as you can see, you have your tanks over here and you have your trucks over here. Once it crosses the rack, that is where we get above the rack and below the rack.

That’s all I have for you today.

00:00:39

Emilda: Well that’s very good information, Kelly, because I always get confused with above the rack, below the rack, so very insightful information. I love the hat in your preparation for the sun.

That wraps up this week’s Motor Fuels Tax Minute. Join us next week.

Thank you.