Renewal of an agreement for a longstanding development project in Emporia garnered much attention during the Emporia City Commission’s study session Wednesday.
Renewable Energy Group requested an extension of time in which to finish constructing the biodiesel plant in Industrial Park III. The original agreement between REG and the City of Emporia was originally entered into back in 2007, the new extension would see the agreement carry on for five more years into 2023.
The plant was partially constructed before it was mothballed for the past 10 years. REG Executive Director of Corporate Affairs Scott Hedderich says there are many factors which led to the project’s stagnation, chief among them are decisions made at the federal level.
The Emporia plant is one of four currently uncompleted projects for REG including plants in Atlanta, New Orleans and New Mexico.
In Feb. representatives of Emporia including Regional Development Association of East Central Kansas President Kent Heerman met with REG to discuss the current status of the project and the possibility of the extension. Throughout the past 10 years, REG has repaid the City for several aspects of the project including the upgrades for the natural gas line to Industrial Park III.
Heerman says the company’s continued desire to meet its financial obligations established a line of good faith which led to the city’s desire to consider the possible extension.
The existing agreement is set to expire New Year’s Eve. Heerman did state, if approved, this will be the final extension of the agreement. If the project is not completed by the time the extension were to expire the existing plant would be brought down to ground level and the property would revert back to the City of Emporia.
No decision was made on the matter.
In other business city commissioners also discussed two conditional use permits for the Preston Plaza and Lofts building at 528 Merchant as well as the new S.O.S. Safe House.
A discussion on 2019 legislative policies also took place.
The commission’s next meeting is scheduled for Wednesday, Dec. 5 at 1:30 inside the Municipal Court Room at White Auditorium.
