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Control Number: AX-14-000-1577

Printing Date: November 20, 2013 02:24:17
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Citizen/Originator: Kimberley, Grant
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1255 SW Prairie Trail Parkway, Ankeny, IA 50023
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AX-14-000-1577
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Nov 14, 2013
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Nov 18, 2013
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401_127_a General Correspondence Files Record copy
Daily Reading File - Please consider increasing conventional corn ethanol, biomass based
diesel and advanced biofuel categories of the Renewable Fuel Standard for 2014
For Your Information -- No action required
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IEliska Postell

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IOAR

j Nov 20, 2013

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CREW FOIA 2014-006851-0001142

Date: Mon Nov 18 09:50:57 EST 2013

From: Leavy.Jacqueline@epamail.epa.gov
To: CMS.OEX@epamail.epa.gov
Subject: FW: 2014 RFS-2 requirements: Please consider increasing conventional corn ethanol,
biomass based diesel and advanced biofuel categories of the RFS for 2014.

From: Grant Kimberley [mailto:GKimberley@iasoybeans.com]

Sent: Thursday, November 14, 2013 5:28 PM
To: Mccarthy, Gina
Subject: 2014 RFS-2 requirements: Please consider increasing conventional corn ethanol,
biomass based diesel and advanced biofuel categories of the RFS for 2014.
Ms. Gina McCarthy,
You had the opportunity to visit Iowa and my family farm with Senator Grassley a few years ago.
We appreciated the opportunity to host you at our farm and thank you for taking the time to come
to Iowa to learn more about agriculture and the biofuels industries and how they are important to
each other and the Midwest economies. Both agriculture and the biofuel industries are tied
together in so many ways for the benefit of the entire country. Farmers and biofuel producers
work hard to provide and produce essential products for the American consumer and economy
and play a big role in ensuring America's energy security, providing an economic engine for job
growth, rural economic development as well as being a net positive for the U.S. economy in
general.
I am very concerned with reports that the EPA is considering reducing and not allowing the
renewable fuel targets to increase as outlined in law and that your agency is actually even
considering a reduction in the targets to 13 billion gallons of corn ethanol and 1.28 billion gallons
of biodiesel. Especially in light of the fact that in 2013 the ethanol and biodiesel industries
produced in excess of 13.8 and 1.7 billion gallons in 2013 and the fact that corn and soybean
prices have fallen in price by nearly half as compared to last year. USDA recently confirmed that
we will have record supplies of corn and soybeans this year and most likely for the foreseeable
future.
There really is no economic reason to hault or reduce the RFS targets in light of these facts. I also
believe that the so called blend wall could be easily breached if the oil industry knew they had to
move forward and offer E-15, E-85 and biodiesel blended fuels on a more widespread basis. The
infrastructure will be in place if the path forward is made more certain. The RFS is about offering
consumers choices, without it, the oil industry will not allow consumers any other choice but

CREW FOIA 2014-006851-0001143

petroleum based fuels and nominal biofuel blends. If the targets are reduced the oil industry will
have no incentive to offer choices to consumers with higher blends of ethanol and biodiesel and
instead the oil industry will take that as a free pass and that will cut out the legs from underneath
any investment or innovation in future alternative energy sources or technologies and it will also
hurt farmers, small town jobs and rural economies that are tied to agriculture and biofuel
businesses.
Biodiesel is having a record year and will produce over 1.7 billion gallons this year and Ethanol is
having a very good production year as well producing in excess of 13.8 billion gallons, despite
being on the heels of a record drought. Both corn and soybean crop production is significantly
higher this year so feedstock availability is more than sufficient to sustain growth. But according to
a rumored draft proposal for next year's RFS volumes, the EPA is considering setting a
requirement of just 1.28 billion gallons for biodiesel and 13 billion gallons for corn ethanol next
year.
This would be a devastating blow to the ethanol and biodiesel industries, corn and soybean
farmers, livestock producers and rural communities. It would likely cause dozens of plants to shut
down, thousands of layoffs, farmers would go out of business and severely jeopardize any future
investment in the bio energy industry. It would hurt demand for corn and soybeans, lowering
prices for soybean and corn farmers and increasing the price of soybean meal and dried distiller
grains due to lower supply with reduced processing of soybeans and corn, consequently raising
feed costs for livestock producers. This would personally affect me and set back my opportunity to
join my family's farming operation in a time when it appears we would lose significant money in
agriculture and see negative agriculture margins if reductions in the RFS occurred.
I understand the EPA proposal is being moved quickly through the Office of Management and
Budget, and farmers and biofuel supporters and rural communities urge the Administration to set a
volume requirement at least consistent with this year's projected production of 1.7 billion gallons of
biodiesel and 13.8/14 billion gallons of corn ethanol.
This is truly an urgent matter that has wide ranging energy security and economic impacts for
many people across the country. The RFS and reasonable increases each year of the Biofuel
targets have given consumers more choices in a market that would have otherwise been locked
out of due to the monopoly and legacy of the petroleum industry. All RFS biofuel targets should
be allowed to have continued increased growth as to place certainty into the marketplace and
incentive to the oil industry to bring the infrastructure up to date so consumers have choices. It is
truly critical to my livelihood and the success of my family farm business and all other related
agriculture and biofuel businesses that the RFS be allowed to move forward as outlined by law
based off of current production capacities. Thank you very much for your consideration and I
appreciate your support.

CREW FOIA 2014-006851-0001144

Best Regards,

Grant Kimberley
1255 SW Prairie Trail Pkwy
Ankeny, IA 50023
515-251-8640

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