Proposed bill would allow RYAM's bioethanol plant

Circled area indicates proposed location of RYAM's bioethanol plant

Buried within the bowels of a proposed Florida Senate bill regarding the development of agriculture enclaves is an amendment on ethanol production that would negate restrictions on Rayonier Advanced Materials (RYAM) plans to build a bioethanol production plant.

RYAM is currently suing the city Fernandina Beach over its denial to building the facility on the grounds that bioethanol is 'chemical manufacturing' which is not allowed under the city's Comprehensive Plan and Land Development Code.

But an amendment to Senate bill 1118 includes this provision:

PRODUCTION OF ETHANOL— For the purposes of this section, the production of ethanol from plants and plant products as defined in s. 581.011 by fermentation, distillation, and drying is not chemical manufacturing or chemical refining.

This subsection is remedial and clarifying in nature and applies retroactively to any law, regulation, or ordinance or any interpretation thereof.

If passed into law, the bill would nullify the city's outside legal expert's previous opinion that RYAM's proposed bioethanol process is 'chemical manufacturing.' The legal ruling was the basis of the city's rejection of RYAM's application to construct the $51 million facility at its Gum Street complex.

"The proposed amendment to Senate bill 1118, introduced Friday, is an unconscionable attempt to manipulate the legislative process and provide RYAM an “end run” around local control of zoning decisions.  If successful, this legislation will set a precedent so onerous that Florida communities will suffer the consequences in perpetuity, said Tom Budd, President Fernandina Wins, Inc. DBA No Ethanol Fernandina. "Committee members charged with the responsibility of considering this amendment should refuse to be manipulated in this obvious and reprehensible way.  Local control is the premier tenant of our system of government.  All legislators should be horrified by this blatant assault on local control of zoning decisions and vote accordingly."

Once in operation, the production plant would generate 7.5 million gallons of bioethanol yearly that would be transported for sale at other locations. The facility would include several large storage tanks.

The amendment to the bill was added last Friday. The bill is sponsored by State Senator Stan McClain of Ocala. There is a companion state House bill 1209 before the Housing, Agriculture & Tourism Subcommittee.

RYAM's Gum Street property is a combined 450 acres with only one third of the parcel used for cellulose production. It's unclear whether RYAM would claim the land as an agriculture enclave eligible to be included in the proposed bill, however, it's clear with the specific ethanol language that is the company's intent.

Last month, City Manager Sarah Campbell sent RYAM a notice that its application to construct the bioethanol facility would not be reviewed by the city because chemical manufacturing is not permitted in the city.

RYAM followed that notice by filing a lawsuit claiming the city acted improperly in processing its application for the project.