URBANDALE, Iowa - The Iowa Soybean Association (ISA) reports important legislation regarding biofuels infrastructure passed through the legislature during the final days of the session.

The final version of the bill included a provision to increase grants for B99-B100 terminal facilities from the current $50,000 to $100,000 per grant. The bill also maintained cost-share funding for tank vehicles through January 1, 2009, allowing fuel distributors further opportunity to take advantage of the program designed to promote biodiesel use in the countryside.

“We’re pleased that the final version of the bill maintained our priorities,” says ISA President Curt Sindergard, soybean producer from Rolfe, Iowa. “Many biofuels interest groups weighed in on the bill during the session. ISA worked with a strong coalition of groups to keep the remaining funds in the infrastructure fund from being arbitrarily split between biodiesel and E85 projects. We have believed from the beginning that market demand should drive the grant process.”

In addition to the increased funding for biodiesel terminals, the legislation now allows biodiesel and E85 blender pumps to qualify for cost share funding. One section of the legislation also encourages government entities to use biodiesel in their fleets.

“You never get everything you want in a bill,” Sindergard concludes. “Although we made progress this session, ISA believes the state of Iowa will need to address critical issues in next year's legislative session to make sure the Iowa biodiesel industry can survive and thrive.”

For more information on the Iowa Soybean Association’s legislative efforts, contact Carol Balvanz at 515-251-8640.