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Haven't seen that, but I don't drive past the E85 station in town. I guess the spread between E85 and straight gasoline is going to depend on the state. Here in Wisconsin, for example, E85 producers get a $.20 per gallon credit that presumably gets passed on to the consumer.
If you look through http://e85prices.com/ you will see several gas stations listed in Illinois that are selling E85 for more than straight gasoline. And for other states (i.e. Indiana) it appears that selling E85 at the same price as regular is pretty much the norm, assuming the prices listed are correct.
Guys, producing ethanol costs more in total than gas from crude oil. Without the government help to the tune of around a buck a gallon, we would have no ethanol industry. We aren't close to cellulosic biomass to ethanol on a market scale. Long-term, ethanol isn't the answer. And I speak as someone who has worked in Ag research since 1979.
The hardest thing about responding to this guy’s underlying assumptions and economic ‘analysis’ is deciding where to begin breaking it down. So, in order (and just hitting his most egregious errors): The U.S.