Economic development officials and local leaders have been trying for years to bring an ethanol plant to Atlantic. After hopes were dashed in 2006 when Amaizing Energy pulled plans to build a plant here, and a Green Plains Renewable Energy deal fell through, plans were announced in 2011-2012 for Ron Fagen, with Fagen, Inc. of Granite Falls, MN, to buy the property. But since then, only an administrative building, an outbuilding and foundation have been placed on the site, and the County constructed a road leading to the facility.
During a meeting of the Cass County Board of Supervisors this (Wednesday) morning,
Kathy Schowalter, with PlanScape Partners, said by speakerphone, momentum is once again building for the stalled-out project. She said Fagen has been trying to market the site, and if he can get assistance from the State of Iowa, the County and City of Atlantic, he will work and develop the site himself.
The company is now ready to submit an application to the Iowa Economic Development Authority (IEDA), but officials there have made it clear they need proof such a plant is needed before financial assistance is considered and granted. She said they have had to demonstrate there is adequate corn available for processing, and an available labor force.
Showalter said they used 2013 data provided by CADCO (the Cass-Atlantic Development Corporation) and other anecdotal information about the county to support the application. The application needs to be submitted to the State by January 4th. A decision on the request won’t be made until the end of January.
As part of the application, Showalter said there has to be “Some local skin in the game,” in the form of a 50-percent match of the TIF (tax Increment Financing) for 10-years, which is projected to be nearly $3.5-million, based on an assessed value of $25-million dollars.
The County, has passed a Resolution approving the sponsorship of and local match for the application to the IEDA High Quality Jobs Program for Farmers Energy, Cardinal, LLC. If the application is approved, the ball would start rolling on $190-million dollar investment toward bringing an annual 150-million gallon ethanol plant to the County just outside of Atlantic. The plant would be added to the Cass County Urban Renewal Plan, and the project, which is larger than the originally proposed 100-million gallon production facility, would create at least an estimated 45 new jobs. Other details about the proposal are still being worked out, and are pending approval of an economic development package from the State.
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