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USDA Rural Development Awards $3.1 Million To Expand Access to Domestic Biofuels in Rural Iowa

Name
Cecilia Lynch
Release Date

Grants impact fuel options in Hamilton, Jackson, Jefferson, Jones, Polk, Story and Webster counties

DES MOINES, Iowa, Oct. 29, 2024 – U.S. Department of Agriculture (USDA) Rural Development State Director in Iowa Theresa Greenfield announced that USDA is awarding $3,143,693 in grant funding for six projects in Iowa to increase the availability of domestic biofuels that will give Iowans cleaner, more affordable fuel options. 

“By making these investments today, USDA is supporting homegrown biofuels to create new revenue streams and good-paying jobs in rural Iowa communities,” said Director Greenfield. “President Biden’s Inflation Reduction Act legislation is a historic investment that will expand clean energy, lower costs for Iowans, and build an economy that benefits working families and small businesses.” 

The Department will also make $200 million available through the new Biobased Market Access and Development Grants made possible by Commodity Credit Corporation (CCC) funds. USDA will use previously transferred CCC funds to create the Biobased Product Market Development and Access Grant program to support innovative biobased technologies and bridge the gap between pilot-scale demonstrations and commercial viability. The funding will be available to applicants who have been accepted into the Biorefinery, Renewable Chemical and Biobased Product Manufacturing Assistance Program (Section 9003), which is administered by Rural Development. The $200 million program is being funded through the reallocation of unobligated CCC funds from 2020.

All six Iowa projects are funded through the Higher Blends Infrastructure Incentives Program (HBIIP) and are part of a larger nationwide announcement. Recipients are:

-Kardes Inc. received a $930,000 grant to create infrastructure to expand the sales and use of renewable fuels. Kardes Inc. is the owner of 10 or fewer fueling stations. This project will install eight E15 dispensers, eight E85 dispensers, eight B20 dispensers, two ethanol storage tanks, and two biodiesel storage tanks at two fueling stations, located in Iowa. Two stations in Monticello in Jones County are impacted by this funding. This project is expected to increase the amount of biofuel sold by 1,710,115 gallons per year. The purpose of this funding program is to assist owners of transportation fueling and fuel distribution facilities in activities designed to expand the sales and use of ethanol and biodiesel.

-SNK Gas & Food LLC received a $624,750 grant to create infrastructure to expand the sales and use of renewable fuels. SNK Gas & Food LLC is the owner of 10 or fewer fueling stations. This project will install three E15 dispensers, five B20 dispensers, one ethanol storage tank, and one biodiesel storage tank at one fueling station in Zwingle in Jackson County. This project is expected to increase the amount of biofuel sold by 410,732 gallons per year. The purpose of this funding program is to assist owners of transportation fueling and fuel distribution facilities in activities designed to expand the sales and use of ethanol and biodiesel.

-H&A Mini Mart Corp. received a $1,009,943 grant to create infrastructure to expand the sales and use of renewable fuels. H&A Mini Mart Corp. is the owner of 10 or fewer fueling stations. This project will install eleven E15 dispensers, three B20 dispensers, three ethanol storage tanks, and one biodiesel storage tank at three fueling stations—two in Des Moines in Polk County, and one in Ames in Story County. This project is expected to increase the amount of biofuel sold by 404,554 gallons per year. The purpose of this funding program is to assist owners of transportation fueling and fuel distribution facilities in activities designed to expand the sales and use of ethanol and biodiesel.

-Stratford Country Store LLC received a $229,500 grant to create infrastructure to expand the sales and use of renewable fuels. Stratford Country Store LLC is the owner of 10 or fewer fueling stations. This project will install two E15 dispensers, one B20 dispenser, one ethanol storage tank, and one biodiesel storage tank at one fueling station in Stratford in Hamilton County. This project is expected to increase the amount of biofuel sold by 204,659 gallons per year. The purpose of this funding program is to assist owners of transportation fueling and fuel distribution facilities in activities designed to expand the sales and use of ethanol and biodiesel.

-Libertyville Gas & Goodies received $248,250 to create infrastructure to expand the sales and use of renewable fuels. Libertyville Gas & Goodies is the owner of 10 or fewer fueling stations. This project will install two E15 dispensers, one B20 dispenser, and one ethanol storage tank at one fueling station in Libertyville in Jefferson County. This project is expected to increase the amount of biofuel sold by 136,002 gallons per year. The purpose of this funding program is to assist owners of transportation fueling and fuel distribution facilities in activities designed to expand the sales and use of ethanol and biodiesel.

-GA Combine LLC received a $101,250 grant to create infrastructure to expand the sales and use of renewable fuels. GA Combine LLC is the owner of 10 or fewer fueling stations. This project will install three E15 dispensers and two E85 dispensers at two fueling stations in Fort Dodge in Webster County. This project is expected to increase the amount of ethanol sold by 165,637 gallons per year. The purpose of this funding program is to assist owners of transportation fueling and fuel distribution facilities in activities designed to expand the sales and use of ethanol and biodiesel.

Background

HBIIP provides grants to fueling station and distribution facility owners—including marine, rail, and home heating oil facilities—to help expand access to domestic biofuels as a clean and affordable energy source. For more information, go to the HBIIP webpage. 

The Inflation Reduction Act provides funding to USDA Rural Development to help eligible organizations invest in renewable energy infrastructure that will significantly reduce greenhouse gas emissions through programs such as HBIIP and the Rural Energy for America Program. 

Contact USDA Rural Development

USDA Rural Development has 11 offices across the state to serve the 1.3 million Iowans living in rural communities and areas. Office locations include a state office in Des Moines, along with area offices in Albia, Atlantic, Humboldt, Indianola, Iowa Falls, Le Mars, Mount Pleasant, Storm Lake, Tipton and Waverly. 

To learn more about investment resources for rural areas in Iowa, call (515) 284-4663 or visit www.rd.usda.gov/ia. If you’d like to subscribe to USDA Rural Development updates, visit our GovDelivery subscriber page.

Under the Biden-Harris Administration, Rural Development provides loans and grants to help expand economic opportunities, create jobs, and improve the quality of life for millions of Americans 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, Tribal, and high-poverty areas. 

 

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