Par Hawaii Refining, LLC intends to seek financial assistance from USDA,Rural Development (RD) for a proposed project to bring biodiesel blending to an already operational diesel terminal. The Par Hawaii Refinery, LLC Sand Island Terminal consists of two larger vertical tanks and a tank truck loading rack. The proposed project will install a small horizontal tank for biodiesel storage with piping modifications to allow biodiesel blending at the loading rack. Customers wanting biodiesel blends will be able to blend biodiesel with diesel in blends from B6 (6% biodiesel) to B100 (100% biodiesel). The project is located at the Par Hawaii Refining, LLC Sand Island Terminal located at 2 Sand Island Access Road, Honolulu.

RD has assessed the environmental impacts of this proposal and determined that the location of construction and operations will convert or effect a floodplain. In accordance with Executive Order 11988, Floodplain Management and USDA Departmental Regulation 9500-3, Land Use Policy, the Agency is notifying the interested public of this land conversion within an existing diesel bulk storage terminal that will be adding to biodiesel infrastructure. It has been determined that there is no practicable alternative to avoiding this conversion or effect and that there is a significant need for this project to provide a biodiesel alternative, a renewable fuel. The modifications will be aboveground and have minimal effect on the floodplain. When this project is implemented, the proposed project will continue to be in the 100-year floodplain. No comments were made in the initial publication.

The project was also required to obtain a Special Management Area permit through the City and County of Honolulu. For the SMA Permit an Environmental Assessment was prepared, presented for public review and public hearings, for which no comments were received.