[DEC. 12, 2005]
News of an ethanol plant to be constructed by
Illini Bio-Energy in Logan County has been slow in the last six
months. The group has had a couple of meetings with Hartsburg
authorities in pursuit of a site northwest of town. It is the third
and most likely site to be evaluated so far, according to Illini
Bio-Energy representative Brian Wrage.
Wrage, who was at the Logan County Regional Planning Commission this
past week to engage in the next planning steps, said that it has
appeared as though nothing is happening, but that is far from what
has really been happening. It has been very, very busy, he said.
Illini Bio-Energy is under a "quiet period" regulated by the
Security Exchange Commission. The company can do no public speaking
that could be construed as promotion that would presell stock. That
would be considered "jumping the gun," he said. But they can conduct
regular business in getting the business set up, such as he was
there to do at the meeting.
Wrage recalled the past sites that they looked at and explained
why those were rejected. Elkhart was a good site, but Turris Coal
Company was in bankruptcy at the time. A north Lincoln site required
a half-million dollars in directional soil borings to confirm the
site safe for building, and it had local resident opposition.
Scully Estates came to the company in late spring and offered to
sell them acres that meet all the company's criteria: highway
access, rail access and water.
Illini Bio-Energy has taken out an option on 222 acres that lie
within the triangle created by the Illinois Central railroad,
Interstate 155 and 2300th Street, which runs east-west through
Hartsburg.
Railroad engineers and the builder, Fagin, have determined that
the best location for the plant is over the township roadway, East
800th Avenue. The south half of the roadway would need to be closed.
Illini Bio-Energy met with Orville Township last week to discuss
it. The closure would cause a handful of farmers some inconvenience.
They would need to go around by way of other roadways. Most farmers
are using 2300th Street to access the Hartsburg Grain Elevator,
Wrage said.
The roadway would also need to be brought up to standards for
80,000 pounds. The township said that they don't have the funds,
estimated at $900,000 to $950,000 per mile, that would be needed to
do this. They would be willing to turn it over the company, and the
company has agreed to this.
This would still leave a small portion of township roadway --
2300th Street between 800th Avenue and I-155 -- to upgrade to 80,000
pounds. Illini Bio-Energy will be asking the county to take over
this section of road and fund that road upgrade.
To do this, county engineer Bret Aukamp said that it would need
to be connected as an entire segment to county highway 18, which
reaches the east side of Hartsburg. It would constitute an extension
of about 1 to 1 1/2 miles. The
portion from 800th Avenue to the interstate would need to be brought
up to 80,000 pounds, and the remainder connecting to highway 18
would need to meet county highway standards.
The roadway is all that the company plans to ask the county for
in hard dollars, Wrage said. "We believe that the tax that you'll
receive far exceeds what you're going to pay on a road," Wrage said.
Wrage is working with Lincoln and Logan County Development
Partnership director Rob Orr to get the necessary local government
approvals, land-use changes and support. The company would be
requesting rezoning from agriculture to industrial, enterprise zone
and that the county take over and provide costs of upgrade and
maintenance of the township section of highway 18.
Wrage wanted to clear up any misconceptions that nothing has been
happening. It is because of the quiet period that they are under
that it just seems like it. He said that they had about 25 meetings
in August, and meetings have continued since then. He's been in
quite a few all-day meetings lately.
They're in the process of filing federal EPA permits. Those
permits will be the defining guide for the start of the plant
construction. That typically takes 14 months, but it could be less.
They hope to be able to start construction in 12 to 14 months at
the Hartsburg site. It would be 24 months before the new road would
be needed.