The odd thing in Minnesota is that corn growers and ethanol producers have jumped into the fray against the proposals. There doesn't actually appear to be anything in the proposed legislation that would specifically harm the E85 market. However, the ethanol lobby is teaming up with the automakers who are obviously opposed to the California rules. It appears that the only way that this actually affects Team Ethanol is if the CO2 limits hurt sales of larger cars and full-size trucks which comprise the bulk of currently available flex-fuel vehicles. If truck sales are limited by de facto fuel economy requirements, than at least in the short term, E85-capable vehicle sales will suffer. Perhaps the ethanol side should be pushing the auto industry to make more of their vehicles E85 ready instead of fighting clean air rules.
[Source: MinnPost, via The Truth About Cars]