The proposed Elite Octane, LLC Ethanol plant in Atlantic, is not going to happen. The Cass County Board of Supervisors were scheduled Wednesday morning, to act on approving a Development Agreement between the County and ethanol plant officials that would have authorized $8.5-million dollars in Tax Increment Payments. The agreement would have also Pledged Certain Tax Increment Revenues to the Payment of the Agreement, but Nick Bowdish, President of N Bowdish Companies, which represents the ethanol group investors, told KJAN News they reached an impasse over discussions about the amount the plant would pay for electricity, and have informed Board Chair Gaylord Schelling and Auditor Dale Sunderman, the deal is dead. (Click on the left side of the audio players below to hear comments)
Steve Tjepkes, Atlantic Municipal Utilities General Manager told KJAN News last week, that the AMU Board declined to approve a request from Elite Octane to reduce their electrical rate to 5.6-cents per kilowatt hour. Elite Octane officials told the Board that if they were unable to get that rate, AMU should transfer its service territory to Mid-American Energy, which likely can charge 5.5-cents per kwh. Tjepkes says the AMU Board voted against transferring the service territory to Mid-American because of a contractual obligation AMU has with its regional power provider.
Bowdish said since there’s no chance of getting a reduced rate, he’s “Out of ideas,” on how to make the project work.
Bowdish said the company could have explored “self-generation” of electrical power, but that would have been too costly.
He says from this point, he’s stepping back from involvement in the project.
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