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January 23, 2014

Dear Customer,

As you are undoubtedly well aware, the propane industry is experiencing severe supply disruptions due to the unusually cold temperatures across most of the country.  The supply situation for Milton Propane is now critical as numerous pipelines and refineries have notified us that they are on allocation or have no supply at all.  As a result, we are in the unfortunate position of having to change our business model drastically to insure our existence.

Coupled with this supply issue is the equally catastrophic pricing of propane and our credit lines will not survive.  Effective immediately we will not be providing credit to residential customers and limiting all commercial accounts to net ten-day terms. Those with pre-purchase contracts or credit cards on file will be kept supplied.  Collect on delivery, payment in office prior to delivery or ordering and paying on line at our website; www.miltonpropane.com are all the options.

We will cease pricing commitments for bids immediately and will deliver at market rate instead, as provided for in paragraph 5, the indemnity provision of the Agreement for Propane Service and Equipment. We will keep you apprised of the situation as we learn about improvement in the supply of our contract volumes from our suppliers that back these commitments. All budget customers will now be required to pay in full for their future deliveries as well.  All accounts will be filled to forty percent and will-call delivery times are 10-days for those who watch their own gauge.  Commercial accounts requiring weekly delivery will not be interrupted at this time but it does remain a viable risk. 

The EIA-U.S. Energy Information Administration has factual statistics surrounding the subject for an information source and I have posted several links to certain articles of there’s and other sources on our website.  Conservation and warm weather are needed to see this situation through in the short term. The customer service representatives have been dealing with a high level of call volume/ related stress and I apologize for that but all are finding compassion to deliver quickly if at all possible, I can assure you. Bottom line; when the situation is to this unique extreme no one has a preparation plan to model after.

 

Sincerely,

John Arndt,

President/Owner

 

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For those of you who wish to change your fill type and/or leave credit info if choosing to be kept full, fill in and return the bottom portion of this letter.

                                                                                                              Keep-full: ___, Will-call: ___ 

 

M/Cor Visa: # __ __ __ __-__ __ __ __-__ __ __ __-__ __ __ __, Mo/Yr: __/__, CCV code____   

 

Name:________________________________ Signature: ______________________________

 

Address:______________________________________________________________________





Click here to read Executive Order#130

 

  Click here to read News Release 




Governor Walker calls on President Obama for Assitance 1-30-2014


Governor Walker Orders Further Action 1-27-14



Helpful Links



Wisconsin Propane Gas Association Statement


Illinois Propane Gas Association Statement


Illinois Declaration of Emergency


                        Energy Assistance Contact Phone Numbers


Illinois Letter to the Governor


Broken Wholesale Contract


    Channel 3000 News Video     

 1.    http://video.channel3000.com/watch.php?id=56592


                                               US Energy Information Administration

1.       http://www.eia.gov/oog/info/twip/twip.asp

2.      http://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=MPREXUS2&f=M

3.       http://www.eia.gov/oog/info/twip/twipprint.html

                                          US DOT Emergency Declaration

1.    Click here to download a copy ofthe Midwest Service Center declaration.

                                          National Propane Gas Association – Letters Written

1.    Click here to read the letter.

2.    Click here to read the letter.  

 Kinder Morgan –Pipeline Information

                         1.      http://www.kindermorgan.com/business/products_pipelines/cochin_open_season.cfm

                                            Breaking Energy – News Article

                                 1.       http://breakingenergy.com/2013/11/20/the-uss-absurd-oil-gas-export-laws/



  
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