Agenda - 04-29-2004-4a - Laserfiche WebLink

Browse Search

~~~' (~I Human I<in~ness Founc~dti~n PO Box 61619 Durham NC 27715 0919) 304-2.220 0919) 304-3220 fax www humanl<indness.or~ I2>J: Carolina Biodiesel Industries & The Assembly of Governments in Orange County NC Carolina Biodiesel Lulustries (C~ Human I{indness Foundation (HKF), a SOI (c)(3) naiprofit organization headquartered in Orange County, has been working with prisoners and prison staff since 197.3. In 1994, HI{F created Kindness House, Orange County's only post- release residential facility for selected parolees. In 2003, FIICF acquired afive-acre tract eleven miles north of Hillsborough on Hwy 86, including a 10,000 sq ft factory in good condition (the former site of The Wizard's Cauldron, a food condiments company). This acquisition is for the purpose of creating a job training program for parolees and other ex-offenders and recovering addicts. HI{F owns the site free and clear. After months of consideration about the product around which to revolve the program, HICF decided to launch Carolina Biodiesel Industries for the following reasons: • NC is the fifth leading state in the use of biodiesel, yet the closest biodiesel suppliers are located in Kentucky or Florida, requiring expensive transportation costs for procurement; • NC is the ninth worst diesel polluter in the U.S., and biodiesel is a clear solution to that problem, drastically reducing emissions without any modifcations to existing engines; • The Triangle's air quality has reached the "non-attaimnent" designation by federal standards, and we aze now mandated to improve it, in part, by using alternative fuels; • Biodiesel production entails a diverse range of job training, leading to very marketable skills. Our plant would simultaneously address environmental quality, employment security and economic development. Our Proposal Because our sole aims in CBI are to create jobs and improve our local eco-environment, we propose a partnership between CBI and the local governments that will enable us to provide ASTM-certified biodiesel fuel to those partners and others in the most direct and economical ways possible. At least three areas of partnership would be: 1) CBI "splash-blending" B100 into B20 at the municipal yards rather than selling B 100 first to a petroleum,jobber who would need to blend it at a profit before delivering B20 to the municipal yards. 2) CBI and government jointly creating official proclamations to encourage the use of biodiesel in our commwrities among public and private fleets, farm equipment and personal diesel vehicles. 3) CBI and govermnent working together to encourage area restaurants, institutions, schools, hospitals, etc., to contract with CBI for disposal of their waste vegetable oil ("yellow grease") which would be a primary and lowest-cost feedstock of our biodiesel fueh 4) CBI and government working together in a pilot program to test B100 in a small nwnber of vehicles and keep reports as to cost efficiency and increased engine life. The Next Step We are now in the process of developing our business plan and feasibility study. Without disrupting your present contracts, we request a simple Agreement in Principle between CBI and the Assembly of Governments (or the four entities individually), that all parties agree to the spirit of this partnership contingent, of course, on CBI opening its plant and producing ASTM-certified biodiesel at a price less than the entities are now paying. Further, upon signing of such Agreement in Principle, CBI could begin working with public works staff of the four entities toward practical arrangements involving yellow grease collection and biodiesel storage and pumping facilities. We are mainly looking for an agreement of friendly collaboration on this project which promises such clear benefit to all our mutual constituencies. Staff of HKF/CBI, along with your staff, could jointly draft this Agreement in Principle which would be signed by officials of all involved entities at a press release /media event for the benefit of public awareness of this partnership.