Pearson Fuels will not be receiving funding that they were awarded late last year. As first reported in the L.A. Times, the Southern California Association of Governments turned down the funding in which they applied, because they believe that corn-based ethanol causes more harm than good for the environment after being transported from the midwest. Also, the grant process was reportedly not followed correctly.

“We’re saying no to money from Washington,” said Thomas Buckley, a Lake Elsinore representative. “It probably doesn’t happen too often.”

Paul Wuebben, a clean fuels officer for the South Coast Air Quality Management District, urged the council to accept the dollars. Ethanol is not perfect, he said, but its wider use would reduce dependence on gasoline and remove pollutants from the air. He also called the panel’s decision a “major lost opportunity for the region.”

Wuebben attempted to sway the panel to reconsider along with Mike Lewis with Pearson Fuels, “It would have created 221 jobs. Dependence on foreign oil is the result of 1,000 little decisions and a few big decisions. This was a big decision.”

“We agree to reduce dependence on foreign oil,” said Keith Millhouse, a Moorpark representative and chairman of the Metrolink governing board. “This methodology, while well intended, is a bad way to go.”