§ 159A.15 — Renewable fuel infrastructure program for biodiesel terminal facilities

Iowa § 159A.15

• Jurisdiction: Iowa
• Title V: AGRICULTURE
• Ch. 159A: RENEWABLE FUELS AND COPRODUCTS

Text

The department, under the direction of the renewable fuel infrastructure board created
in section 159A.13, shall establish and administer a renewable fuel infrastructure program
for terminal facilities that store and dispense biodiesel or biodiesel blended fuel. The
infrastructure must be designed and shall be used exclusively to store and distribute
biodiesel or biodiesel blended fuel. The department as directed by the infrastructure board
shall provide a cost-share program for financial incentives.
1. A person may apply to the department to receive financial incentives on a cost-share
basis. The department shall award financial incentives to an eligible person whose
application was approved by the infrastructure board.
2. The department shall award financial incentives to a terminal operator participating in
the program as directed by the infrastructure board. In order to be eligible to participate in
the program, the terminal operator must apply to the department in a manner and according
toproceduresrequiredbytheinfrastructureboard. Theapplicationmustcontaininformation
required by the infrastructure board and shall at least include all of the following:
a. The name of the terminal operator and the address of the terminal to be improved.
b. A detailed description of the infrastructure to be installed, replaced, or converted.
11 RENEWABLE FUELS AND COPRODUCTS, §159A.16
c. A statement describing how the terminal is to be improved, the total estimated cost of
the planned improvement, and the date when the infrastructure will be first used to store and
distribute biodiesel or biodiesel blended fuel.
d. A statement certifying that the infrastructure shall not be used to store or dispense
motor fuel other than biodiesel or biodiesel blended fuel, unless granted a waiver by the
infrastructure board pursuant to this section.
3. a. An award of financial incentives to a participating person shall be in the form of a
grant. In order to participate in the program, an eligible person must execute a cost-share
agreement with the department as approved by the infrastructure board in which the person
contributes a percentage of the total costs related to improving the terminal. The financial
incentives awarded to the participating person shall not exceed the following:
(1) Forimprovementstostore, blend, ordispensebiodieselfuelfromB-2orhigherbutnot
as high as B-99, fifty percent of the actual cost of making the improvements or fifty thousand
dollars, whichever is less.
(2) For improvements to store, blend, and dispense biodiesel fuel from B-99 to B-100,
fifty percent of the actual cost of making the improvements or one hundred thousand dollars,
whichever is less. However, a person shall not be awarded moneys under this subparagraph
if the person has been awarded a total of eight hundred thousand dollars under this
subparagraph during any period of time and pursuant to all cost-share agreements in which
the person participates.
b. The infrastructure board may approve multiple awards to make improvements to a
terminal so long as the total amount of the awards does not exceed the limitations provided
in paragraph “a”.
4. A participating terminal operator shall not use the infrastructure to store or dispense
motor fuel other than biodiesel or biodiesel blended fuel, unless one of the following applies:
a. The participating terminal operator is granted a waiver by the infrastructure board.
The participating terminal operator shall store or dispense the motor fuel according to the
terms and conditions of the waiver.
b. Therenewablefuelinfrastructurefundcreatedinsection159A.16isimmediatelyrepaid
the total amount of moneys awarded to the participating terminal operator together with a
monetary penalty equal to twenty-five percent of that awarded amount. The amount shall be
deposited in the renewable fuel infrastructure fund created in section 159A.16.
c. A participating terminal operator who acts in violation of an agreement executed with
the department pursuant to this section is subject to a civil penalty of not more than one
thousand dollars a day for each day of the violation. The civil penalty shall be deposited into
the general fund of the state.