Cellulosic Ethanol Production Financing

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The Kansas Development Finance Authority may issue revenue bonds to cover the costs of construction or expansion of a biomass-to-energy facility. A qualifying biomass-to-energy facility includes any industrial process plant that uses biomass to produce at least 500,000 gallons of cellulosic alcohol fuel, liquid or gaseous fuel, or other source of energy in a quantity with energy content at least equal to that of 500,000 gallons of cellulosic alcohol fuel. Expansion of an existing biomass-to-energy facility is defined as expansion of the facility's production capacity by a minimum of 10%. (Reference Kansas Statutes 74-8949b and 79-32,233)