There is a lot of money in the porkulus bill and i expect that some of it will go to alternative energy, including ethanol.
The previous ethanol model is broken. Corn is expensive as a source now, and the price of a barrel of oil is down. Thus, there is no profit, or you are upside down. I've read of several ethanol plants going bankrupt.
I do believe that this gives the other ethanol technologies a chance - ethanol produced from switchgrass, garbage, etc. The source material is almost free. If they can figure out a way to ramp up the production of ethanol using these source materials then we will have a very useful technology producing a product that offsets some oil usage.