This section defines what a 'motor oil dealer' is and clarifies the meaning of 'motor oil' for the purposes of this law. A motor oil dealer is anyone involved in making, packaging, selling, or distributing motor oil. The term 'motor oil' refers to any product used to lubricate the parts inside an engine.

This law requires certain people involved in the business of motor oil to pay a fee of up to five cents per gallon. First, the producer pays when selling to retailers or dealers, even if selling to the government. Retailers importing motor oil into California must also pay the fee. Dealers pay the fee on other sales unless they sell directly to consumers. The fee is only paid once per gallon of oil, and a lower fee of three cents may apply before regulations are set. Sales of motor oil exported out of state aren't subject to this fee.

The fees mentioned in the earlier section are the highest possible fees, but the secretary can lower them if there’s more money than needed to manage and enforce the rules, and to keep a small reserve fund for these activities.

This section allows the secretary to establish rules about how often certain fees need to be paid, how these payments should be processed, how refunds are handled, and what penalties apply if the payments are late.

This law states that any money the secretary receives under this chapter must be put into the Department of Food and Agriculture Fund. The money can only be used for managing and enforcing the rules in this chapter and another set of rules starting at Section 13700.