Ethanol plant proposed for Madison County

ALEXANDRIA - It appears to be only a matter of time before Broin & Associates announces plans to construct an ethanol production plant in Madison County.

On July 14, the Sioux Falls, S.D.-based company filed an initial air permit application with the Indiana Department of Environmental Management to create a 253-acre facility near Alexandria. The plant, which will operate under the name Ultimate Ethanol LLC, is expected to generate 69 million gallons per year.

"I can tell you right now that we're considering the prospect of an ethanol plant in the area," said Mike Lockrem, vice president of communications for Broin Companies. "We are continuing to evaluate a lot of areas in Indiana and throughout the Midwest. Once more information becomes available we will definitely be forthcoming."

Seven Alexandria households have received letters informing them of the proposed plant. The company has been in contact with the city of Alexandria, officials said, and may make an official announcement in September.

"It's quite obvious that if they do locate here within our corporate limits or even within Madison County, it would be a benefit to the city of Alexandria," said Alexandria Mayor Steven Skaggs. "We've been contacted by companies before and we've always had high hopes. Apparently, we're still in the ball game."

Jeremy VanErman, Alexandria building and planning commissioner, said the city first received a call from an unnamed company in late May or early June. He was cautiously optimistic because such inquiries rarely produce results.

"We, honestly, get a handful of these a year," said VanErman. "Companies come in and want to know 'What's your capacity at your water and sewer plant? How are your roads and streets? What's the rail like in town?' They ask for kind of a community résumé."

In accordance with state regulations, a copy of the permit application has been filed at the Alexandria-Monroe Public Library and is available for public viewing. According to documentation provided in the permit packet, the facility would be located near the corner of County Road 1300 North and Summitville Road (County Road 100 East) in Monroe Township.

Two weeks ago, Nancy Draper of Alexandria received a letter from ENSR Corp., which prepared the permit application on behalf of Ultimate Ethanol.

"We farm about 1,500 acres so, of course, we were enthused about it," said Draper, who lives south of the proposed site across 1300 North. "Apparently, they're in need of corn and have to truck it in from South America. We can store 150,000 to 160,000 bushels right here on our farm."

Draper plans to contact the company to determine the right variety of corn to grow. Her husband, Max, has farmed the area since 1946 and the couple have turned over most of the operation to their grandchildren.

"It will be a good tax break for Monroe Township," Draper said. "Some places don't like (ethanol plants), they think it makes extra dust and things."

Some Alexandria residents have their own concerns.

Ron Parker, who lives near the proposed site, is worried about quality of living for his family.

"I'd say they are less than half a mile from us, and I'm saying that they'll buy us out," Parker said. "They've already appraised my house. When you live out here in the country, you don't want Delco Remy moving in next door."

According to specifications available at the library, the Ultimate Ethanol premises will include nine buildings: a grain structure, two mechanical structures, four processing structures, a distillation building and a fermentation building.

"I've talked to some people in South Bend, they have a plant up there, and they said you can't live within a five-mile radius of a plant it stinks so bad," said Parker, who runs an upholstery business out of his home. "All they're doing is raising corn liquor, it's just a big still."

In June, Broin announced plans to build Premier Ethanol LLC near Portland, a 120-million gallon production facility. The $175 million project is expected to create 40 new permanent jobs.

Broin is the second-largest producer of ethanol, producing, managing and marketing more than 800 million gallons annually. At the time of the Premier announcement, the company operated 23 plants and had nine more under construction or development.

If the plant becomes a reality in Alexandria, it would be the 11th new ethanol facility to be introduced in Indiana in the past year. VanErman believes it could be a turning point for a community looking to grow beyond the automotive business to an industry of the future.

"If it is what we're all hoping it will turn out to be, it could be a real nice boost for the community," said VanErman. "In this economic time, with (General Motors) disappearing, this will hopefully add to the portfolio of jobs in a struggling community."