Gopher State Ethanol The 3 Mile Island of the Ethanol Industry Gopher State Ethanol Time Line 1998 - - - 1999 - - - 2000 - - - 2001 - - - 2002 - - - 2003 - - - 2004 1990 Heilman Brewing closes old Schmidt brewery 1991 Minnesota Brewing Company purchases plant, using $800,000 taxpayer backed city loan, to reopen brewery 1997 Jack Lee made CEO 1998 MBC begins plans to utilize some capacity to produce ethanol; changes are made in state law to ensure they get ethanol subsidy; actions designed to provide financial support for brewery and its 200+ jobs, as brewery was loosing money 1998 Gopher State Ethanol/MBC submit Environmental Assessment to MPCA claiming "Noise and odor will not be a problem beyond the plant perimeter" and therefore a full EIS is not necessary 1999-2000 Construction 2000 APRIL 24, 2000 Plant opens, Council member Chris Coleman states that complaints about odor began "about 2 hours later" May Newspaper accounts begin highlighting problem of ongoing smell May - Onward Complaints pour in from all over St Paul and surrounding area's July First protest Rally across from plant is held. Attendee's Sen Pappas, candidates for congress, and area residents. Sept Group of interested people/stake holders begin meeting with plant officials. At first meeting residents suggest the installation of the Thermal Oxidizer; Plant officials and contractors reject idea out of hand, citing cost and the fact that the DDGS is too wet to ever be treated by TO. Oct Residents deliver 7 demands to plant to help problem and determine solutions. Although plant hints at agreeing to 6 of the 7, none are ever carried out unless City of St Paul pays for items. Oct City Council holds unprecedented nuisance hearing demanded by residents who have signed petition under little used City Ordinance designed to stop nuisances such as "bawdy houses". 400 people turn out. Dec GSE issues report as to why it is not feasible to truck DDGS mash out wet. Dec GSE determines that a Thermal Oxidizer is the device needed, warnings from experts and citizens make it big enough. 2001 Jan Citizens are assured by MPCA officials that the permit amendment to allow for the TO installation will be a major amendment, allowing citizen input into requirements of permit. Feb Private meeting between Mayor Coleman, GSE and head of MPCA, shortly thereafter, permit amendment characterization changed to "minor" which eliminates public input. March GSE asks City of St Paul and State of MN to each pay one-third of the cost of TO. March Plant allows yellow corn dust particulate over entire neighborhood, later apologizes. April MPCA fines GSE for noise and environmental violations $45,000 May Senate rejects grant request to pay for TO May City files first of many criminal charges against plant for violations of City noise ordinances. May Citizens (and Chuck McGinley) say "we hope your building it big enough" and Jack Lee expresses surprise at the idea that the TO might not be large enough June City begins civil lawsuit against GSE, Seeks restraining order, trial to start in August. When the city began its lawsuit Judge Margaret Marrinan stated that she wanted a swift resolution, "No dilly dallying around" here. June 19 Plant shuts down for 6 weeks to install TO, many are skeptical, but plant says it will remove 95% of the odor. July City settles noise violations, GSE Pays $39,000 in attorney fees July GSE brings request for variance to allow plant to permanently violate noise standards; public and official reaction is so negative plant withdraws request. July TO Installation complete. Far-flung neighborhoods experience relief, but those within 1/4 mile of plant report increased problems Aug Brewery side of plant has ammonia release, and 9,000 gallons release into atmosphere (On National Night Out); 20 people nearby (including 15 plant workers) sent to hospital Aug CASE (Citizens Alliance for Safe Environment) formed and moves to intervene in City's civil lawsuit against plant, citing concerns that City wasn't being aggressive enough. Aug City settles a number of criminal noise complaints with GSE Sept Another ammonia leak at plant Sept Settlement talks between City and GSE on civil lawsuit continue Dec Newly assigned Judge Lindman denies City request for injunction Dec 27 City settles its portion of civil lawsuit, GSE promises to abide by certain noise levels and agrees to certain testing; residents are angry for being left out and having no input into solution; CASE continues on in civil lawsuit. back to top 2002 Jan City announces that GSE has failed to meet first of noise standards agreed to in settlement over course of new few months, GSE fails to meet vast majority of promised goals. Jan Judge Lindman again denies motion to impose sanction/penalties on plant, says plant not in contempt of court order Jan Brewery portion of complex demands City of St Paul guarantee bank loan to keep brewery open, City declines. Feb Brewery files for bankruptcy protection Feb Because of ongoing violations of noise agreement, City brings another contempt of court motion, plant continues to operate Mar Talks continue, testing continues, still stinks in W7th Neighborhood, still Illegally loud Mar Fire leaves plant shut down (First of several fires) Apr GSE hires new CEO James Freeman May 3 EPA Region 5 issues report saying that plants are releasing toxins at a rate many times greater than initially though or measured, especially toxic VOC's May City and CASE back in court requesting sanctions for violation of agreed to noise levels, and GSE spends days questioning noise calculations gathered by the City; Judge finds GSE has violated standards, but won't close plant. May Minn Dept of Health issues report documenting toxins coming from plants that don't have TO's; another series of reports during the spring point to ongoing odor issues, some of which stem from TO under capacity. June Second Fire shuts down ethanol plant June 24 Brewery closes, ending 150 year history of brewing at the site; Ethanol production continues July TO breaks down, but GSE fails to notify City or public; complaints rise dramatically during second half of summer as odor becomes an issue for huge sections of the city once again. Aug GSE invites residents, organizations, environmental groups and City to participate in "advisory group"; Virtually all reject the offer, citing plant's 2 year history of unfilled promises of relief. Sept 16 GSE finally admits to City what citizens had been saying for weeks: TO is broken and not working; GSE tells City that it will take 8 more weeks to fix; Plant spokesperson insists that odor actually declined after breakdown of TO Sept 26 City and CASE back in court seeking Temporary Restraining Order shutting plant down Sept 27 Judge fines GSE but refuses to shut down plant, the judge fined the plant after finding it in contempt of court for failing to obey earlier orders. Oct GSE's application for renewal of air quality permit due, and not submitted until Apr 14 2003, on day before expiration Oct 2 MPCA and EPA hold press conference to announce settlement of 12 pollution cases against ethanol plants in Minnesota, with the approved of fix being the installation of Thermal Oxidizers, the very device that has worked so poorly as its only ethanol plant where it has been installed (GSE); City of St Paul, its experts, nor its citizens consulted or informed in advance but can comment afterwards. Numerous people comment on decree forcing EPA to rewrite and allow for even longer comment period after rewrite. Nov 15 New TO scheduled to be install and running, deadline missed Nov 24 Original date for submission of comments on MPCA/EPA/GSE consent decree extended for 60 days to allow for additional comment Dec 23 In response to citizen inquiry, MPCA announces that GSE not required to renew air quality permit under terms of MPCA/EPA/GSE consent decree; states that permit renewal not need until 6 months after installation of last equipment per consent decree; come calculate that this could mean no permit renewal until sometime in late 2005 or mid 2006 if all actions take full time allotted. Dec 31 Thermal Oxidizer still not installed, Holiday season sees odor levels like those in 2000 back to top 2003 Jan 9 Plant announces its ready to resume normal operations with new thermal oxidizer, has been operating with "wet cake" production for 5 months (wet cake production has had no testing history to determine emissions, although most neighbors find it far more acidic and pungent and currently it's illegal for GSE to engage in this production method). Feb 7 Mayor Kelly attempts to appoint 2 GSE spokes people (Lisa Nasseff and Bert McKasy) to committee that will oversee City's office of License, Inspection and Environmental Protection, the department that is gathering evidence to use in City's own lawsuit against GSE, but public outcry at the conflict of interst causes Mayor to rescind appointments. Mar 6 City Council puts removal of Ethanol Subsidies for GSE into its legislative agenda, Mayor vetoes, calling GSE a "legitimate business", but Council Overrides Mayors veto. Apr 14 GSE Submits renewal application for permit which expires on April 15th in violation of Standard Minnesota Pollution Control Agency Rules. Mar-May Legislative efforts to cut subsidy or to use subsidy to relocate plant are fought by ethanol industry, taxpayers continue to subsidize the ruin of their own neighborhoods. May City and plant gear up for trial on City's nuisance lawsuit, and those witnesses who want to testify to fact that plant stinks must be subjected to deposition by plants lawyers and produce years of physical and mental health records and must answer questions about financial dealings with others who oppose plant May 12 Trial before Judge Lindman (with advisory jury) gets underway, with decision to never come - Lindman submits confusing questions to advisory jury, but never issues order. July 25 Another fire at plant in insulation above TO, one firefighter taken to hospital, plant officials insinuate that plant opponents might be to blame (even though fire took place deep inside plant complex) Sept Heated negotiations on settlement of lawsuit, with City eventually accepting deal on odor measuring and reduction; plant insists on quick decision and signatures even before baseline testing is done; Controversial provision that would give to GSE the names, addresses and phone numbers of those who complain of noise and smell is dropped Oct Plant secretly develops new process that will eventually remove 2/3 of production away from corn processing and turn to untested, experimental process using "sugar water" (hazardous substance) Pop and alcohol with unknown emission type. Oct 22 Benson Ethanol Plant explosion kills one, renewing concern about potential for catastrophe in St Paul, as there is no readily available emergency response plan for GSE. Only available by appointment at Chicago EPA offices. Nov 10 Final Health Assessment by MN Department of Health made available to public. Oct 31 GSE CEO meets with some neighbors about new production methods, but can't / won't answer questions about other locations where this process is used or potential emissions; CEO admits to ex parte meeting with MPCA Commissioner Corrigan that morning. *See documents section Nov 16 New process revealed to public in newspaper article; lends credence to concern that virtually all emission and noise testing over past 3 years will be meaningless henceforth Dec 2 9 months after application renewal, which was submitted outside normal MPCA rules regarding renewal applications, MPCA holds Public Information Hearing in neighborhood on new Air Quality Permit. Auditorium at Monroe School filled with unhappy residents. back to top 2004 Jan Testing on order per City agreement returns with results well above stipulated agreement. Feb Testing on odor continues additional meetings with Judge Lindman; Odor getting worse in neighborhood. Mar City brings GSE back into court over odor testing. GSE is not satisfied with the results which have been reported in local papers, and has changed testing facilities. City claims it violates spirit of settlement. Compromises reached on testing protocols April Bill in legislature to force GSE to close fails vote April MPCA Relases letter detailing some of the emissions and "history" of the plant. (see docs section) April 12 GSE Pays past due water bill, nearly $500,000. They tried to get the city to have the bill attached to their Property Taxes. City say no. MAY 3 - GSE is given another chance by the City and Court to comply with odor tests. Citing expenses with installation of new Thermal Oxidizer gets off with no fine for missing May Deadline. Expects that the new TO will be installed by the end of June. May 11 - GSE Ceases to process corn May 14 - GSE Cease ethanol production. With the cost of corn over $3 a bushel GSE has determined it is not profitable for them to manufacture ethanol and ceases production.