Fernandina Beach will not allow Rayonier Advanced Materials (RYAM) to construct and operate a bioethanol plant at its Gum Street complex announced City Manager Sarah Campbell at Tuesday's city commission meeting.
Campbell told commissioners earlier in the day she had sent RYAM officials a written notification of the city's decision.
"Given the applicable requirements of the Comprehensive Plan and the LDC and the statutory requirements to enforce them, state law requires the City to reject the site plan application related to the development and operation of the proposed 2G Bioethanol Plant and enforce its Comprehensive Plan and LDC. As such, the City will take no further action on the site application concerning the proposed Bioethanol Plant," the notification to RYAM stated.
RYAM has applied to the city to build a $53 million bioethanol production facility that would make 7.5 million gallons of ethanol a year. Also included were several storage tanks and the fuel would be trucked off site to potential customers.
At issue was whether bioethanol production was 'chemical manufacturing' which is prohibited by the city's Land Development Code. RYAM argued the process was fermentation similar to making beer and alcohol and should be allowed.
"Both the Comprehensive Plan, in its Industrial future land use category, and the LDC, in the definitions applicable to the Heavy Industrial zoning, clearly and expressly prohibit the development and operation of the proposed 2G Bioethanol Plant. Comprehensive Plan Policy 1.07.12(g) clearly provides that 'chemical or petroleum manufacturing or refining.....shall be prohibited.' Under this mandatory prohibition, the production of chemical, including the Ethanol manufacturing or refining proposed to occur in the 2G Bioethanol Plant, are prohibited uses in the Industrial future land use category," the notification stated.
"The action by our city in defending our Comprehensive Plan and LDC is very much appreciated. We expected no less," said Tom Budd, president of Fernandina Wins, Inc., doing business as No Ethanol Fernandina. "No Ethanol Fernandina will continue to stand with the city as it defends its decision through the inevitable appeals processes. When it is over, the citizens opposing this dangerous proposal will prevail and there will be No Ethanol in Fernandina!"
Under city policy, the decision on the bioethanol plant proposal is made by the city manager.
Campbell's determination is subject to administrative appeal to the city's Board of Adjustment, which must be filed by RYAM no later from 30 days from the date "of this written interpretation concerning the proposed use."
RYAM officials were unavailable for comment Tuesday night.
The city was assisted in its interpretation by the outside law firm of Weiss Serota, legal experts on land use and municipal codes.
Campbell and City Attorney Tammi Bach in December had a telephone conversation with Weiss Serota asking the firm to review RYAM's application to the city to build the facility.
The city had earlier retained Weiss Serota for a legal opinion on RYAM's efforts for bioethanol production. The law firm ruled that the process was chemical manufacturing and thus prohibited by city regulations.
"I am proud of the City Manager for upholding our Comprehensive Plan and protecting our city," said Commissioner Genece Minshew. "However, I fear this issue is a very long way from being resolved."
Campbell told commissioners "We have no clear indications of what RYAM's next steps may be. They could pursue the BOA appeals process, but they're not required to."
RYAM began its efforts to build the bioethanol facility in November 2023 with the application for an air quality permit from the state, which was eventually granted.
That prompted a groundswell of opposition from city residents and the formation of No Ethanol Fernandina, comprised of volunteers organized to fight against the project.
Opponents to RYAM's efforts to produce ethanol cited not only city regulations barring the facility, but also safety concerns to the surrounding residential neighborhoods and the historic downtown.
They cited fires at RYAM's facility in Jesup, Georgia last October, an explosion at a sugar/ethanol plant in northern France in October 2023.
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