Board OKs application for ethanol

TRENTON -- Hitchcock County commissioners Monday afternoon OK'd a $608,000 grant application for funds to build an ethanol plant in Hitchcock County.

Pending the completion of an environmental assessment and final approval from Gov. Mike Johanns, construction of the new plant could start by the middle of April, according to Stew Jobes of Grand Island, a business finance and manufacturing consultant with the Nebraska Department of Economic Development.

Wading through piles and piles of paperwork, commissioners unanimously approved the Community Development Block Grant application following a public hearing Monday.

Trenton Agriproducts LLC and a bank will provide $44,400,000 in matching funds for the construction of the plant. Several spoke during the public hearing in favor of the plant; no one spoke against it.

The plant will result in 24-32 full-time jobs, 51 percent of which will be held by or made eligible to low-moderate family income persons.

Jobes told commissioners, with good jobs, a great tax base and added value to ag products, the ethanol plant is "a win-win situation."

Of the $608,000 grant to the county, $600,000 will be loaned to Trenton Agriproducts, and $8,000 will be retained by the county for audit and administrative expenses.

As Trenton Agriproducts repays its loan, Jobes said, the county will retain $100,000 to create a revolving loan fund to finance other business requests that can attract or retain jobs.

Because the original grant is federal money, Jobes said future reuse must also make jobs eligible to low-moderate family income persons.

Area residents have raised $60,000 for the project, and this amount will be loaned to Trenton Agriproducts at 4 1/2 percent for 10 years. A separate revolving loan fund will be created as this loan is repaid, Jobes said.

Jobes said the environmental assessment includes a 30-day comment period, which will end the middle of April. He told commissioners he foresees no problems with the assessment, which will be forwarded on or about March 31 to the governor for his final approval. Gov. Johanns has two weeks to review the application, Jobes said, and make a final ruling.

Everitt Huddleston of the Trenton Community Development Commission said he anticipates no opposition as the proposed plant has had the support of Gov. Johanns and Sen Tom Baker.

The plant would be built east of Trenton on the south side of Highway 34.