Ethanol Plant Proposals Raising Concerns

July 28, 2016 at 4:25 p.m.

By JOHN DeGROFF, Times-Union Correspondent-

Editor's Note: This is the first in a three-part series on the impact of ethanol production.

Maple Leaf Farms owner Scott Tucker thinks alternative fuel may have a serious impact on his business.

"We're in a difficult position," he said. "We're not against ethanol or alternative fuel.ÊWe don't want to be any more dependent on foreign sources of oil than anybody else.ÊWhat we're concerned with is that in the rush to fill this need with alternative fuel, our government and the experts haven't ran all the numbers to see what the impact is going to be overall on feed costs and animal agriculture as a whole."

The business was started by Tucker's grandfather in 1958 and has been family owned and operated ever since.ÊThey are the largest producer of ducks in the United States, raising 16 million annually, and producing about 80 million pounds of meat commercially.ÊIndiana is the company's primary location, but they also maintain facilities in Wisconsin, Michigan and California.Ê

In Kosciusko County, Maple Leaf is one of the area's largest employers.Ê Along with the company's main offices, there are two processing facilities, a distribution center, a feedmill located between Milford and Syracuse and hatcheries in Cromwell and Warsaw.Ê The company also owns several of its own breeding and growing farms, although most of this part of the operation is done by family farms who contract to Maple Leaf.

Maple Leaf has 1,250 employees, with 650 of those being in Kosciusko County.Ê Of the contract farmers, most of those are in this county as well.

Tucker said Maple Leaf would like to double its production in the county and surrounding area over the next five years. However, an ethanol refinery in Milford could make that an impossibility because the cost of grain would be controlled by how much of a demand the refinery would create on local markets.

Bob Bowerman, a resident of Milford and a grain buyer for Maple Leaf, is aware of what an ethanol refinery would do to the local animal agriculture feeding companies.

"These refineries are so lucrative because of the tax structure ... they'll put them anywhere," said Bowerman.Ê"Here, they want to put a refinery in the middle of mixed agriculture.ÊBy moving east, these companies move closer to their usage markets.ÊThere's no way that animal feeding companies can compete.ÊThese ethanol companies are beginning to put up more refineries than supply."

Maple Leaf Farms and related agricultural-based businesses are just one group that is expressing concern about an ethanol refinery.ÊThe residents of the Milford area who live near the proposed site are the people who would feel the direct impact of having the refinery in their community.ÊThey are also the people who have organized opposition to the site.

Calling themselves Northern Lakes Area Concerned Citizens, they have shown this opposition by attending meetings of the Milford and Syracuse town councils and the Wawasee School Board.ÊThey also developed a Web site - www.milfordethanol.com - as well.

Representing parents, business owners and residents who live in the area, this group has repeatedly pointed out to local officials the potential for problems that locating a refinery near Milford could cause.

Immediate problems with the site include pollution emissions, risk of fire, and risk of a leak or spill ofÊstored ethanol, they say.

The citizens group has brought to the attention of officials the fact that several schools - Milford School, Syracuse Elementary, Wawasee High School - could be directly affected if there is a problem at the refinery.ÊLocal nursing homes, assisted-living facilities, daycare and preschools, as well as residential homes, could all be affected as well, the group claims.

The group says they are not against ethanol, alternative fuels or economic growth in any way.ÊTheir concern is the location of the refinery.

"I usually don't get involved in community affairs," said Bowerman. "But this thing is huge (110 million gallons proposed capacity annually) - right up against town.ÊIt will hurt property values.ÊPeople's careers, homes, future even, is all right here in this small community.ÊIt's not right," he said.

"We're kind of rushing headlong into ethanol production," said Tucker. "If we converted every acre of corn in this country to ethanol production, it would only replace 12 percent of all petroleum used.ÊIt's not a panacea.

"Trying to look at this on a broader basis, we have to look at the overall impact.ÊIt may help us from a fuel standpoint, but it has a very negative impact on food production.ÊIt's a very complicated picture. Shifting the model of corn usage over to ethanol production damages the ability of the animal agriculture industry to be competitive.Ê Americans will be faced with the prospect of having to buy meat products from overseas.ÊThe issue could turn into food or fuel."

The ethanol company proposing the refinery is VeraSun, and the site would be developed by American Milling. So far, the company has not filed a zoning petition and no hearing before the Kosciusko County Board of Zoning Appeals has been scheduled.

Milford resident Ken Long has tried to contact both these companies.Ê"I've tried twice to contact American Milling and was told they would get back to me," said Long.Ê"I've left my phone number, and no one has ever returned a phone call.Ê The last week of August was the first time I tried to call them.

"VeraSun has met with officials in the county and some of our town board, and I believe the town clerk went to a presentation they did. VeraSun has yet been unwilling to meet with us.ÊThey haven't made any effort to come and say here we are."

VeraSun, for its part, claims the refinery will create 50 jobs locally.ÊAbout 12 would be local employees, while the bulk of managerial positions would be filled by company employees outside the community.

Attempts to contact VeraSun regarding this story were unsuccessful as company officials failed to return telephone calls.

Northern Lakes Area Concerned Citizens have developed a petition drive and letter-writing campaign, and plan to conduct more public meetings.

For more information, they can be contacted at Northern Lakes Area Concerned Citizens Association, P.O. Box 82, Syracuse, IN 46567, or through the Web site.

"We as a nation have to decide, what's a good balance" said Tucker.Ê"There's nothing wrong with developing alternative fuels, but at what cost?" [[In-content Ad]]

Editor's Note: This is the first in a three-part series on the impact of ethanol production.

Maple Leaf Farms owner Scott Tucker thinks alternative fuel may have a serious impact on his business.

"We're in a difficult position," he said. "We're not against ethanol or alternative fuel.ÊWe don't want to be any more dependent on foreign sources of oil than anybody else.ÊWhat we're concerned with is that in the rush to fill this need with alternative fuel, our government and the experts haven't ran all the numbers to see what the impact is going to be overall on feed costs and animal agriculture as a whole."

The business was started by Tucker's grandfather in 1958 and has been family owned and operated ever since.ÊThey are the largest producer of ducks in the United States, raising 16 million annually, and producing about 80 million pounds of meat commercially.ÊIndiana is the company's primary location, but they also maintain facilities in Wisconsin, Michigan and California.Ê

In Kosciusko County, Maple Leaf is one of the area's largest employers.Ê Along with the company's main offices, there are two processing facilities, a distribution center, a feedmill located between Milford and Syracuse and hatcheries in Cromwell and Warsaw.Ê The company also owns several of its own breeding and growing farms, although most of this part of the operation is done by family farms who contract to Maple Leaf.

Maple Leaf has 1,250 employees, with 650 of those being in Kosciusko County.Ê Of the contract farmers, most of those are in this county as well.

Tucker said Maple Leaf would like to double its production in the county and surrounding area over the next five years. However, an ethanol refinery in Milford could make that an impossibility because the cost of grain would be controlled by how much of a demand the refinery would create on local markets.

Bob Bowerman, a resident of Milford and a grain buyer for Maple Leaf, is aware of what an ethanol refinery would do to the local animal agriculture feeding companies.

"These refineries are so lucrative because of the tax structure ... they'll put them anywhere," said Bowerman.Ê"Here, they want to put a refinery in the middle of mixed agriculture.ÊBy moving east, these companies move closer to their usage markets.ÊThere's no way that animal feeding companies can compete.ÊThese ethanol companies are beginning to put up more refineries than supply."

Maple Leaf Farms and related agricultural-based businesses are just one group that is expressing concern about an ethanol refinery.ÊThe residents of the Milford area who live near the proposed site are the people who would feel the direct impact of having the refinery in their community.ÊThey are also the people who have organized opposition to the site.

Calling themselves Northern Lakes Area Concerned Citizens, they have shown this opposition by attending meetings of the Milford and Syracuse town councils and the Wawasee School Board.ÊThey also developed a Web site - www.milfordethanol.com - as well.

Representing parents, business owners and residents who live in the area, this group has repeatedly pointed out to local officials the potential for problems that locating a refinery near Milford could cause.

Immediate problems with the site include pollution emissions, risk of fire, and risk of a leak or spill ofÊstored ethanol, they say.

The citizens group has brought to the attention of officials the fact that several schools - Milford School, Syracuse Elementary, Wawasee High School - could be directly affected if there is a problem at the refinery.ÊLocal nursing homes, assisted-living facilities, daycare and preschools, as well as residential homes, could all be affected as well, the group claims.

The group says they are not against ethanol, alternative fuels or economic growth in any way.ÊTheir concern is the location of the refinery.

"I usually don't get involved in community affairs," said Bowerman. "But this thing is huge (110 million gallons proposed capacity annually) - right up against town.ÊIt will hurt property values.ÊPeople's careers, homes, future even, is all right here in this small community.ÊIt's not right," he said.

"We're kind of rushing headlong into ethanol production," said Tucker. "If we converted every acre of corn in this country to ethanol production, it would only replace 12 percent of all petroleum used.ÊIt's not a panacea.

"Trying to look at this on a broader basis, we have to look at the overall impact.ÊIt may help us from a fuel standpoint, but it has a very negative impact on food production.ÊIt's a very complicated picture. Shifting the model of corn usage over to ethanol production damages the ability of the animal agriculture industry to be competitive.Ê Americans will be faced with the prospect of having to buy meat products from overseas.ÊThe issue could turn into food or fuel."

The ethanol company proposing the refinery is VeraSun, and the site would be developed by American Milling. So far, the company has not filed a zoning petition and no hearing before the Kosciusko County Board of Zoning Appeals has been scheduled.

Milford resident Ken Long has tried to contact both these companies.Ê"I've tried twice to contact American Milling and was told they would get back to me," said Long.Ê"I've left my phone number, and no one has ever returned a phone call.Ê The last week of August was the first time I tried to call them.

"VeraSun has met with officials in the county and some of our town board, and I believe the town clerk went to a presentation they did. VeraSun has yet been unwilling to meet with us.ÊThey haven't made any effort to come and say here we are."

VeraSun, for its part, claims the refinery will create 50 jobs locally.ÊAbout 12 would be local employees, while the bulk of managerial positions would be filled by company employees outside the community.

Attempts to contact VeraSun regarding this story were unsuccessful as company officials failed to return telephone calls.

Northern Lakes Area Concerned Citizens have developed a petition drive and letter-writing campaign, and plan to conduct more public meetings.

For more information, they can be contacted at Northern Lakes Area Concerned Citizens Association, P.O. Box 82, Syracuse, IN 46567, or through the Web site.

"We as a nation have to decide, what's a good balance" said Tucker.Ê"There's nothing wrong with developing alternative fuels, but at what cost?" [[In-content Ad]]

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