Long Haul for Ethanol in Travis County?

Many local environmentalists are cheered by the growing acceptance of ethanol as a cleaner-burning fuel option for vehicles, but not everyone is keen on the idea of transferring and storing millions of gallons of the flammable stuff so close to home. That could be a possibility if a Houston-based company is able to forge a freight rail service agreement with Capital Metro.

U.S. Development Group is in preliminary discussions with the transit agency regarding a more efficient system of hauling ethanol, which currently arrives here by truck and then ultimately is distributed to fueling stations that carry the E85 blend of ethanol and gasoline. USDG hopes to switch its transport method to rail, with the help of Cap Metro's Green Line in Elgin, which would move the fuel to a planned facility near the intersection of Decker Lane and Lindell Lane, where it would be off-loaded to nearby existing storage tanks at the Flint Hills fuel plant on Johnny Morris Road. The proposed USDG site would include a rail spur that could accommodate up to 100 rail cars, each with a 30,000-gallon capacity. Those numbers send shivers down the spine of Travis County Com­mis­sioner Ron Davis, who has spent decades fighting tank farms, landfills, and gravel pits in Precinct 1, which he has represented since 1998. "That's 3 million gallons of fuel," he said incredulously.

Davis is concerned about the project's safety and environmental issues, but he's also angry that neither his office nor others who may be affected by the plan weren't notified on the front end. "It bothers me that Cap Metro has placed this in silent mode," he said. Transit agency spokesman Adam Shaivitz replies that there's little to say at this point. "Capital Metro has had discussions with USDG on the possibility of USDG utilizing our freight rail services for the transport of the ethanol," he said, adding that the agency is not involved in the development of the proposed facility.

Davis caught wind of the proposal last month from the county fire marshal's office and then sent a mass e-mail to constituents, elected officials, environmentalists, media representatives, and, of course, Cap Metro, with a number of questions about the project. Austin attorney John Joseph then contacted Davis' office on behalf of USDG to try to arrange a meeting. Davis declined to meet with him, Joseph said, but at the commissioner's suggestion, he met instead with staff in the county's Transportation & Natural Resources division. USDG expects to submit a site plan to the city and county early next year, Joseph said.

Increased demand for ethanol has been a boon for businesses like USDG, which recently opened a new ethanol transport facility in California, where new rules take effect in January requiring a 10% blend of ethanol for vehicles.