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Direct Assistance to Ethanol Industry Vital in Next COVID-19 Relief Package
Congress is working on the next coronavirus aid package. On May 15, the U.S. House of Representatives passed its phase four stimulus bill the “Heroes Act,” which would establish a new Renewable Fuel Reimbursement Program at USDA. The passage marks another positive step toward economic relief for ethanol producers and now we need the Senate to consider similar legislation.

Join ACE in calling on the Senate to include direct aid in any form to help the U.S. biofuel industry come back online, retain its high-skilled workforce, and help alleviate the devastating ripple effect ethanol plant closures are having on livestock and food processing supply chains and rural communities.

As an industry that came into 2020 already beat down by EPA’s mismanagement of the RFS, trade wars, poor markets and bad weather, the combination of Russia and Saudi Arabia flooding the market with cheap oil and the steep and sudden drop in ethanol demand as the coronavirus pandemic brought the economy to a standstill has landed a direct hit on the ethanol industry, unlike anything we’ve ever faced.

The Coronavirus Aid, Relief, and Economic Security (CARES) Act Congress enacted at the end of March did not contain ethanol-specific provisions. The American Coalition for Ethanol (ACE) urged the U.S. Department of Agriculture (USDA) to utilize its increase in Commodity Credit Corporation (CCC) funding via the CARES Act to provide emergency assistance to ethanol producers suffering from the economic fallout of the COVID-19 pandemic, but we were left out of USDA’s initial round of funding.

An immediate cash infusion is needed to help producers survive this catastrophic downturn. With the passage of a phase four stimulus bill in the House, join ACE in alerting your Senators of the importance of passing legislation which includes direct aid for U.S. renewable fuel producers.
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