Area legislators say they would support a bill introduced in mid-January offering tax breaks to Iowans who buy vehicles compatible with E-85 fuel.

Lawmakers say they hope the bill will stimulate economic and agricultural growth in the state, and encourage consumers to depend less on gasoline.

The bill, sponsored by Rep. Steven Olson, R-DeWitt, and currently assigned to the House Committee on Agriculture, would grant Iowans who buy vehicles propelled by E-85 fuel a $2,000 income tax deduction.

Rep. Beth Wessel-Kroeschell, D-Ames, said she would support such a measure, but she would like to see more work done to encourage energy efficiency.

“I think it’s one step in the right direction, and I would support it,” Wessel-Kroeschell said, “but I think we need to be more broad when it comes to this area of policy.”

She said she would like to see more encouragement of research done at Iowa’s universities to develop new energy sources.

“Ethanol is a bridge, but it’s not the final solution,” she said. “I’m very interested in the research that gets done at the Regents institutions, and I’d like to see more implementation of what gets done there.”

She said the state should utilize more research done in the areas of biodiesel, wind energy and hybrid vehicles that utilize two sources of fuel such as electricity and gasoline.

“We need to be more broad when it comes to energy, not just focus on one aspect like E-85,” she said.

“I’d like a similar bill that would grant tax reductions for the purchase of hybrid vehicles as well.”

Rep. Jim Kurtenbach, R-Ames, said he would vote in favor of the bill, but would also prefer the measure to encompass more than just E-85.

“As it’s written now, I believe I would support it,” Kurtenbach said. “I would probably have to amend it to include biodiesel products, though.”

He said he thinks the bill would promote Iowa’s economy from several angles.

“Those items do benefit agriculture by promoting ethanol, but the byproducts of benefiting agriculture are widespread,” he said.

“This could benefit the auto industry by encouraging buying. It also encourages gas stations to convert to selling E-85, which is a costly process. So this is really more encompassing than simply agriculture.”

Kurtenbach said he expects the bill to pass in the House, but he said the bill may not become a law for some time.

“This is the first year it’s been pushed in Iowa,” he said. “We anticipate two to three years to gain acceptance for a new bill unless everyone agrees on the concept, which could happen.”

ISU researcher Larry Johnson told The Associated Press that approximately 100,000 cars in Iowa already are equipped to run on E-85, but “70 percent of the owners . don’t know they have that kind of a vehicle.”