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Board approves modified conditional use permit for Marathon butane blending expansion at Kramers Lane
Summary
The Louisville Metro Board of Zoning Adjustment approved a modified conditional use permit to expand an existing butane blending system at Marathon’s Kramers Lane terminal, subject to two conditions requiring strict compliance with the approved development plan and a two‑year exercise period.
The Louisville Metro Board of Zoning Adjustment on an administrative vote approved a modified conditional use permit to allow an expanded butane‑blending system at Marathon Petroleum’s Kramers Lane terminal.
The Board’s action authorizes new on‑site blending equipment and two small structures inside the terminal fence line; the developer must meet two conditions in the staff report, including strict compliance with the approved development plan and commencement of the permitted activity within two years or return to the Board for further action.
Why it matters: Butane blending is classified as a potentially hazardous or nuisance use under local rules. The facility operator told the Board the project will replace an older, manual truck‑to‑tank blending method with automated tanks, analyzers and monitoring systems and argued the installation will increase operational safety and efficiency. Staff found the application adequately justified based on the standard of review in the Land Development Code.
Office of Planning staff presented the site plan showing the blending equipment, two small buildings (compressor and analyzer), and associated piping. Staff noted the expansion stays inside the existing fenced terminal and that residential parcels lie roughly 400 feet east of the site. The applicant team said all work will meet applicable codes and include alarms, monitoring, and emergency shutoffs.
During the public hearing, the project engineer and Marathon subject‑matter experts described the safety equipment and the automated control approach. The applicant said they held a neighborhood meeting as requested; two residents attended and raised no concerns. Board members asked for clarification on the history of prior permits; staff explained a prior CUP from 1980 had expired and this modified CUP re‑establishes approval for the updated equipment layout.
The Board voted to approve the modified CUP with the two staff conditions: (1) strict compliance with the approved development plan and (2) the permit must be exercised within two years or the butane blending system may not be used until further Board action.
The decision closes a multi‑decade compliance loop for a long‑standing industrial use and allows Marathon to modernize blending operations at the terminal; the permit carries the two conditions set by staff to ensure oversight and timely implementation.
