July 20, 2006
July 20, 2006
"Penn-Mar Ethanol is no longer considering a site in the Cumberland Valley Business Park in Greene Township for its proposed $80-million production plant for the corn-based alternative fuel, according to Project Manager Scott Welsh. Penn-Mar intended to build the ethanol plant on a 55-acre tract of land in the park that it had agreed to buy from the Letterkenny Industrial Development Authority (LIDA) for $2.24 million. “At this point I can confirm that Penn-Mar is no longer trying to do anything at LIDA, but I cannot comment on any other plans,” Welsh said on Tuesday...." Penn-Mar Ethanol no longer considering LIDA site by Terry Talbert, TheGazetteNews.com, Wednesday, September 20, 2006 (Click to read the entire article)
"...Commonwealth
Court on Friday dismissed Penn-Mar's appeal of Franklin County
Court Judge Richard Walsh's decision that negated township
approvals of the concept for an ethanol plant. Penn-Mar no
longer had legal standing for the appeal, according to court
order.
Frederic Antoun Jr., a Chambersburg attorney representing
a citizens' group opposing the ethanol plant, said the group's
victory was as "complete and total as you can get."
Ethanol
foes claim victory
by Jim Hook, Senior writer, Public
Opinion, September 6, 2006
►
(Click to read the Order of The Commonwealth Court of
Pennsylvania)
►
(Click here for more background info)
"...This has nothing to do with the merits of the
case," Antoun said Tuesday. Rather, it was based on Penn-Mar not
having either purchased the land or maintaining the agreement of
sale it had with the Letterkenny Industrial Development
Authority, he said.
...When that sales agreement expired, Penn-Mar no longer
had legal standing in the case, Antoun said. Legal standing, he
said, has to be maintained throughout litigation...
Ethanol plant plan suffers court setback
by Don Aines,
Herald-Mail.com, September 6, 2006
(Click to read)
"...The Citizens for a Quality Environment said
they are not surprised by the court's decision.
“I would like to take all the credit, but I’d have to say
that their inability to obtain the money to buy the land, let
alone build the facility is just the kiss of death for this
project. It has been since it all started in Conoy Township four
or five years ago,” said Fred Antoun, attorney for Citizens for
a Quality Environment...."
HIGHER COURT THROWS OUT PENN-MAR'S APPEAL
by Gretchen Gailey,
WHAG NBC25 News, September 5, 2006
(Click to read)
"...Frederic G. Antoun Jr., an attorney representing
Citizens for a Quality Environment, asked Commonwealth Court to
dismiss the appeal because Penn-Mar no longer had legal interest
in the property.
"It made no sense from a taxpayer point of view, or from my
client's point of view, to continue to spend money on this,"
Antoun said. "We're pleased that the court granted our
motion...."
Court ruling goes against ethanol-plant proposal
by Tom Dochat, The
Patriot-News,
September 6, 2006
(Click to read entire article)
►"Penn-Mar
Ethanol failed to close the deal on a $2.2 million land purchase
at the Cumberland Valley Business Park by midnight Wednesday,
meaning the 55-acre parcel will go back on the market...."
Missed deadline cripples ethanol project
by Don Aines, The
Herald-Mail, July 21, 2006 (Click
to read entire article)
►"...Penn-Mar Ethanol LLC had
not dropped off a $2.2 million check by the close of business
Wednesday for 55 acres in the Cumberland Valley Business
Park...."
Ethanol plant fate unknown by
Jim Hook, Senior writer, Public Opinion, July
20, 2006
(Click to read)
►
“...When you have so many ... actively involved in opposing it,
you can definitely affect the outcome ... The Letterkenny
industrial Development Authority listened to the community, and
just said no to Penn-Mar's request for another extension of time
to purchase the land....”
Penn Mar's plan runs out of gas by Marijon Shearer,
Shippensburg Bureau Chief, The Sentinel Online, July 20, 2006
(Click to read)
► "The clock appeared to
have run out Wednesday for Penn-Mar Ethanol's plan to purchase
55 acres in the Cumberland Valley Business Park for an ethanol
plant..."
Ethanol group apparently misses deadline
by Don Aines, The
Herald-Mail, July 20, 2006
(Click to read)
► C4aQE attorney Fred Antoun says C4aQE's work was
“critical” to stopping the plant....
...“That's the way the world functions. Someone in the community
stands up and says, do you understand all the facts? There are
always more factors that the developer wishes to point out,”
Antoun says....
Penn Mar investors may lose $2 million
by Marijon Shearer,
Shippensburg Bureau Chief, The Sentinel Online, July 19, 2006
(Click to read)
"Citizens for a Quality Environment forced the issues to be debated," said L. Michael Ross, executive director of the Franklin County Area Development Corp. "They did an effective job of generating and creating the debate, and putting the developer in a position to respond." What's next for ethanol issue? by Jim Hook, Senior writer, Public Opinion, July 21, 2006
"It a win, win, win for the Franklin
County community," said DeEtta Antoun, a neighbor to the
business park and leader of a citizens' group that opposed the
plant. "The distillery would have made the entire area miserable
for years to come."
Ethanol developers don't pay by
Jim Hook, Senior writer, Public Opinion, July
21, 2006
(Click to read)
Penn-Mar Ethanol
Closing Date NOT Extended
The Letterkenny Industrial Development Authority took no
action on Penn-Mar Ethanol LLC’s revised request to extend their
closing date to January 19, 2007 for a payment of $30,000, and a
further option to extend the closing date for another 6 months
from the January date for an additional $30,000 deposit.
The Board’s no-action-response to Penn-Mar’s request to
extend their closing date to January 19, 2007 leaves in place
the July 20th* closing date for their purchase of the 55 acres of
land from LIDA to site an ethanol distillery. Under the existing
Agreement of Sale, Penn-Mar has until close-of-business
Thursday, July 20th* to pay the entire $2.24 million to purchase
the land. Based on the information Penn-Mar announced regarding
possible financing, it seems highly unlikely that they will be
able to close within the time required.
Monday, July 17, 2006 LIDA Board
Meeting
Click to read Penn-Mar Ethanol's request for further extension
to close
*Correction: Scott Welsh, Penn-Mar Ethanol's, Project Manager, confirmed to the media that the actual final day for closing on the Agreement of Sale with LIDA is July 19, 2006 (C4aQE had identified July 20, 2006 as the final date).
"The developer of an ethanol plant has until Thursday to come up
with $2.2 million to buy 55 acres in the Cumberland Valley
Business Park.
The Letterkenny Industrial Development Authority on
Monday declined to extend the date for the real estate
settlement....
...Welsh and Wolf were accompanied by Shelton* Gross, who
identified himself as representing all investors in the Penn-Mar
plant...."
Ethanol plant deadline nears by
Jim Hook, Senior writer, Public Opinion, July
18, 2006
(Click to read)
*Correction
by C4aQE: Sheldon Gross
Monday, July 10, 2006
Report from the Letterkenny Industrial Development Authority
(LIDA) Board Meeting:
Scott Welsh, representing Penn-Mar Ethanol LLC, requested that
the LIDA Board extend the time for closing on its Agreement of Sale
to purchase 55 acres of land at the Cumberland Valley Business
Park (CVBP) until one month
after the Pennsylvania Commonwealth Court decision or until
December 31, 2006, without paying more money to hold the land off
the market. The LIDA Board discussed the proposal and set
a Special Board Meeting for July 17th at 8:30 AM to respond to
Penn-Mar's request.
..."You're at the point where you're investing in ethanol,"
Frederic Antoun Jr., a Chambersburg attorney representing
Citizens for a Quality Environment, told LIDA on Monday. "The
delay is: They don't have any money...."
..."If they can't come to you with 5 percent, you know they're
not realistic," Antoun said...."
Ethanol backer requests more time by
Jim Hook, Senior Writer,
Public Opinion, July 11, 2006
"The
developers of a proposed ethanol plant in Greene Township are at
a crossroads and could be required to put up cash for the
project....
...Board members also did not respond to
remarks by Frederic Antoun Jr., a neighbor to the ethanol plant
site and attorney for Citizens for a Quality Environment. "If
you don't collect any money and grant an extension, you're
investing (in the ethanol plant)," Antoun told them. "You're
going to be taking the property off the market for years...."
Deadline nears for ethanol plant developers
by Jim Hook, The
Public Opinion, April 4, 2006
"...We remain convinced that this project will never
become a reality," says DeEtta Antoun, director of Citizens for a
Quality Environment, the grassroots group opposing the
plant.
Tuesday's deposit "was required under the agreement
with LIDA, and they wanted to keep their option on this land open,"
Antoun says.
"Penn-Mar still must overcome some significant
obstacles. They must convince the Commonwealth Court to overturn the
Franklin County Court decision; go through the lengthy township
approval process from the beginning again; move through the PADEP
permitting process with its hearings and reviews; somehow support
their choice to locate next to Letterkenny Army Depot's Patriot
missile, maintenance, and munitions operations; and raise the
remaining $84,980,000 that they have not been able to come up with
in the four years since the project began."
Penn Mar continues quest for ethanol
plant
"...The LIDA board appeared hesitant to extend the sales agreement without some kind of cash to hold the property. The land has been off the market for 14 months...." Group pays installment for ethanol plant by Jim Hook, The Public Opinion, April 19, 2006
"...The proposed plant, which Welsh said would cost approximately $85 million to build, is the subject of ongoing litigation. Last fall, Common Pleas Court Judge Richard Walsh ruled in favor of Citizens for a Quality Environment and other individuals in a suit asserting that the Greene Township Zoning Hearing Board was wrong in determining an ethanol plant is a permitted use in an industrial zone and erred in approving a height variance requested by Penn-Mar...." Penn-Mar Ethanol production project is moving forward by Don Aines, The Herald-Mail, April 19, 2006 (Click for article)
The ORDER OF COURT was issued on October 31, 2005. By advertisement in the Public Opinion Public Notices section on November 2, 2005, John M. Van Horn, LIDA Executive Director, cancelled the LIDA (Letterkenny Industrial Development Authority) Board Meeting scheduled for Monday, November 7th, 2005.
According to Penn-Mar Ethanol's Project Manager Scott Welsh's
Guest Essay: Letterkenny site is a good one for ethanol plant,
in the Saturday, February 25th Public Opinion, "...All of the
founders would love to have the facility in their backyard..."
Click here to see where their backyards are!
►Is
it time for the LIDA Board to require Penn-Mar Ethanol to show
it the money?
►Is it even possible for Penn-Mar
Ethanol's distillery to operate using expensive natural gas as a
power source?
►Would Penn-Mar attempt to use coal as a
source of energy to power its distillery process?
►
Click here to read excerpts from Scott Welsh
Testimony in the Franklin County Court of Common Pleas that
Penn-Mar Ethanol has no financing.
►After
3 years of efforts, could Penn-Mar Ethanol LLC not afford to pay
the $20,000 deposit due per the Agreement of Sale on October 20,
2005?
Click to read
Penn-Mar had to pay a third "Deposit" of $20,000 on or before October 20th,
Under Paragraph 2(c). If they did not do so, they are in default under the
Agreement of Sale between Penn-Mar Ethanol, LLC and LIDA dated February 7, 2005.
Since LIDA has no meeting on Monday, November 7, 2005, the Board cannot vote to
declare Penn-Mar in default if they did not make the required third deposit.
If Penn-Mar paid the third deposit, they have 90 days from October 20th to close
on the Agreement of Sale (purchase the property) under Paragraph 3(b)
(page 3 of the Agreement see below)--unless the LIDA
Board votes to extend the time for closing.
If Penn-Mar did not pay the third deposit, but LIDA does not declare Penn-Mar in
default and terminate the contract, Penn-Mar has 90 days from October 20th to
close on the Agreement of Sale (purchase the property) under Paragraph 3(b)
(page 3 of
the Agreement see below)--unless the LIDA Board votes to extend
the time for closing.
► Agreement of Sale between LIDA and Penn-Mar Ethanol,
LLC dated February 7, 2005
(Click to read)
► Addendum to Agreement
of Sale dated March 8, 2005
(Click
here to read)
► Pages 2, 3,
and 4 from the Agreement of Sale
(Click here to read)
► Initial Deposit
Check to LIDA dated February 7, 2005 and signed by Scott W. Welsh and James E.
Eisenhower
(see Penn-Mar Farmer/Owner info
subsidy payments) and
Click here to see the check.
Jim Eisenhour, Wellsville, PA (James E. Eisenhour)
$644,029.44 through 2004
Subsidy
payments
► Letter from Penn-Mar to LIDA confirming Extended Review Period and
date when Extended period ends
(Click to read)
► Memo from Kip Feldman (Real Estate Manager for Cumberland Valley Business
Park/LIDA) acknowledging Extended Review Period deadline date of October 20,
2005
(Click to read)
► Second Deposit Check for Extended Review Period to LIDA dated July 1, 2005
and signed by Scott W. Welsh and James E. Eisenhower
Click here to see the check.
Letterkenny
Industrial Development Authority (LIDA) Board Meeting Minutes
February
7, 2005 - LIDA Board "accepted the
recommendation of the Finance Committee for a $2 million revolving line of
Credit from F&M Trust..."
and after an Executive Session "...unanimously accepted an agreement of
sale from Penn-Mar Ethanol for 55 acres on Parcel 29 at a price of
$2,240,000."
(Click
to read Minutes)
March
7, 2005 - LIDA's "review team" (Phil
Tarquino, Dave Jamison, Charles Myers, John Van Horn) visited
Badger State Ethanol plant in Monroe, WI and unanimously recommended
"...that LIDA should keep the agreement of sale with Penn-Mar Ethanol in
place."
(Click
to read Minutes - Page 2)
At the same March 7th LIDA Meeting, LIDA also
"...adopted a resolution entering into an agreement of sale with the County
of Franklin for the sale of 19.3 acres for construction of a county prison
facility..."
(Minutes
Page 2)
"Franklin County
Commissioners will pay $1 for 19.3 acres of land at the
County
gets prison land for $1 by
Jim Hook, Public Opinion, March 8, 2005
LIDA has dismal record on land. by Joseph A. Fields Colonel, Ordnance Corps United States Army (Retired) Public Opinion Letter to the Editor, June 11, 2005 (Click)