FOR MORE INFORMATION:
Lucy Norton, Managing Director, 515-225-9242
Monte Shaw, Executive Director, 515-225-9242

FOR IMMEDIATE RELEASE

JOHNSTON, Iowa - Mar 09, 2006 - After only the third monthly round of grant approvals, the Iowa Renewable Fuels Association (IRFA) today announced the final recipients of Renewable Fuels Infrastructure Grants from the Iowa Values Fund for this fiscal year. Grants totaling more than $100,000 to six retailers for E85 pumps extinguished the remaining funds in the program. Approximately a dozen pending applicants and any new requests will have to wait until additional funds become available on July 1, 2006, the start of the next state fiscal year.

“The response to this program has been overwhelming,” stated Monte Shaw, IRFA Executive Director. “We are working with the Legislature to find ways to expand the funding in the future. Clearly the demand for biodiesel and E85 is there. The infrastructure grants are a critical component of making these renewable fuels available to the public.

The innovative program makes monies available to gasoline retailers and biodiesel suppliers to help offset the infrastructure cost of bringing biodiesel and E85 (85% ethanol, 15% gasoline) to the public.

“The selection committee IRFA put together did an excellent job working through the requests,” stated Lucy Norton, IRFA’s Managing Director who oversees the program. “It was unfortunate, but we had to defer many worthy applications until new funding becomes available. For this fiscal year we were able to fund the installation of E85 pumps at 15 retail stations and 2 biodiesel blending facilities, each of which will serve dozens of retail outlets.”

New Values Fund Grant Recipients

Retailer Type Award

East Central Iowa Cooperative, Hudson New Installation $14,336

Farm Service Coop, Harlan New Installation $20,000

Heart of Iowa Coop, Nevada New Installation $20,000

K & H Coop Oil, Mason City Upgrade $7,500

Kum & Go, Clear Lake New Installation $20,000

Two Rivers Cooperative, Pella New Installation $20,000

The IRFA will continue to accept new applications. Applications received by June 15, 2006 will be reviewed, along with pending applications that were deferred, for the first round of grants in the next fiscal year, beginning July 1, 2006.

Forgivable loans, up to 50% of total project cost, will be awarded in three categories:

• Category I - Financial assistance would be available for equipment purchases to upgrade fueling sites to dispense E85 fuel, not to exceed $7,500 per location.
• Category II - Financial assistance would be available for equipment purchases for new E85 fueling sites, not to exceed $20,000 per location
• Category III – Financial assistance would be available for equipment purchases for biodiesel on-site or off-site storage facilities, not to exceed a maximum of $50,000 per location.

A total of $325,000 has been allocated annually for three years to expand the availability of E85 and biodiesel to Iowans. For an application or further information, contact Lucy Norton at the IRFA office at 515-225-9242, by email at info@IowaRFA.org or on the web at: www.IowaRFA.org.

The Iowa Renewable Fuels Association was formed in 2002 to represent the state’s liquid renewable fuels industry. The trade group fosters the development and growth of the renewable fuels industry in Iowa through education, promotion, legislation and infrastructure development.