Clean Energy Pathways, Inc. (CPWY)

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Is that the same Freedom Fuels as....this? tia
Tuesday, May 19, 2009 12:11 AM CDT
M.C. Council to consider suspending deal with Freedom Fuels
By JOHN SKIPPER, [e-mail]

MASON CITY — Freedom Fuels LLC, the biodiesel plant that opened a little more than two years ago, is struggling today.

The work force which totaled 30 last November has dwindled to four and the plant is not operating.

The company filed for Chapter 11 bankruptcy in November to reorganize in order to get more working capital.

Tonight, the Mason City Council will consider suspending the city’s development agreement with the company. The council meets at 7 p.m. in the Muse Norris Conference Center at North Iowa Area Community College.

City Administrator Brent Trout said, “By suspending the agreement, rather than terminating it, the city can send a message to the company that it supports Freedom Fuel’s efforts to become economically viable and to again be an employment generator for the community.”

Pam Myhre, growth development and planning director, said the development agreement provided for a 10-year 100 percent tax rebate to the company and the installation of some public utilities and street improvements to be repaid by the company.

The agreement also required the company to create and maintain at least 30 full-time jobs by the end of the second year of operation and to continue with a work force of that size or greater for the remainder of the 10 years at an average wage of $17.37 an hour.

Myhre said the City Council approved an initial rebate payment of $38,094 in November 2008 because the company had fulfilled its employment requirement and had paid its property taxes.

The payment was approved but has not been delivered, she said. Approval of the payment came at about the same time the company filed for bankruptcy.

Ed Dannen, Freedom Fuels president, could not be reached for comment Monday.

In November, he said the company’s problems resulted from a large customer defaulting on a contract.

He said reorganizing would give the company time to work out a plan to pay its obligations.

http://www.globegazette.com/articles/2009/05/19/news/local/doc4a123a0d37365708190935.txt