Investment Expected to Increase Biofuel Sales by 7.9 Million Gallons Annually
JEFFERSON CITY, MO, Oct. 29, 2020 – U.S. Department of Agriculture Administrator of the Rural Business-Cooperative Service Rebeckah Freeman Adcock was in central Missouri today to celebrate Higher Blends Infrastructure Incentive Program (HBIIP) grants recently awarded to six businesses that serve rural Missourians.
“The Higher Blends Infrastructure Incentive Program supports American farmers and boosts rural economic development by creating infrastructure to expand the sale and use of ethanol and biodiesel,” said Freeman Adcock. “The investments being recognized today are among $22 million awarded in the program nationwide, expected to increase ethanol demand by nearly 150 million gallons annually.
“Moreover, several of these awards were made possible due to application and funding assistance from long-standing partnerships with key state partners. We thank the Missouri Department of Agriculture, Missouri Agricultural and Small Business Development Authority, Missouri Soybean Association, and Missouri Corn Merchandising Council for being instrumental in sharing this new program with applicants. Under the leadership of President Trump and Agriculture Secretary Perdue, USDA is committed to being a strong partner to rural communities, because we know that when rural America thrives, all of America thrives.”
Six grantees will provide services in Missouri:
- Liter’s VP, LLC will use a $61,773 grant to replace two dispensers and one storage tank at its fueling station in Center. This project is expected to increase ethanol sales by 2,080 gallons per year.
- Scrivener Oil Company, Inc., in Ozark, will use a $137,250 grant to replace 12 dispensers and two storage tanks at two fueling stations in Nixa and Seymour. This project is expected to increase ethanol sales by 2.5 million gallons per year.
- Deluxe Truck Stop LLC, in St. Joseph, will use a $126,544 grant to replace four dispensers and one storage tank at it fueling station in St. Joseph. This project is expected to increase biodiesel sales by nearly 200,000 gallons per year.
- Home Services Oil Co., in Barnhart, will use a $498,000 grant to replace and install 39 dispensers and three storage tanks at four fueling stations in Festus, Hillsboro, Arnold, and Barnhart. This project is expected to increase ethanol sales by 5.2 million gallons per year.
- Kum & Go L.C., headquartered in Des Moines, Iowa, will use a $1,589,000 grant to replace 128 dispensers at 17 fueling stations in Arkansas, Colorado, Iowa, Missouri, Nebraska, and Oklahoma including two in Missouri in Springfield and Brookline Station. This project is expected to increase ethanol sales by 23.2 million gallons per year.
- Casey’s General Store, headquartered in Ankeny, Iowa, will use a $4,978,400 grant to replace 346 dispensers at 70 fueling stations in Arkansas, Illinois, Indiana, Iowa, Kansas, Kentucky, Minnesota, Missouri, Nebraska, North Dakota, Oklahoma, South Dakota, and Wisconsin including seven stations in Missouri in Buffalo, Holts Summit, Jefferson City, Kirksville, Springfield, West Plains, and Winfield. This project is expected to increase ethanol sales by 19.6 million gallons per year.
In addition to Missouri, 13 other states received HBIIP grants: California, Florida, Iowa, Illinois, Indiana, Kansas, Kentucky, Minnesota, Nebraska, New York, Ohio, Utah, and Wisconsin.
USDA plans on announcing additional HBIIP investments in the coming weeks.
The Higher Blends Infrastructure Incentive Program helps transportation fueling and biodiesel distribution facilities convert to higher ethanol and biodiesel blends by sharing the costs related to the installation of fuel pumps, related equipment and infrastructure.
Eligible applicants include vehicle fueling facilities such as local fueling stations, convenience stores, hypermarket fueling stations, fleet facilities, fuel terminal operations, midstream partners and distribution facilities. Higher biofuel blends contain greater than 10 percent ethanol or five percent biodiesel by volume.
USDA Rural Development provides loans and grants to help expand economic opportunities and create jobs in rural areas. This assistance supports infrastructure improvements; business development; housing; community facilities such as schools, public safety and health care; and high-speed internet access in rural areas.
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USDA Rural Development has 25 offices across the state to serve the 2.2 million residents living in rural Missouri. Office locations include a state office in Columbia, along with local offices in Butler, Charleston, Chillicothe, Clinton, Dexter, Eldon, Farmington, Higginsville, Houston, Kennett, Kirksville, Maryville, Mexico, Moberly, Neosho, New London, Poplar Bluff, Richmond, Rolla, Sedalia, Springfield, St. Joseph, Troy, and West Plains.
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