Flex-fuel engines have been around for a long time. But ethanol is a total boondoggle (cellulosic ethanol has been "five years away" for almost as long as cold fusion) and you actually get less power/mileage on E85 than on gasoline! Meanwhile, if ethanol REALLY WAS the answer, we could be running E95 in diesels. All you need is even-higher-than-usual compression and a timing change. You'll get my diesel when you pry the keys out of my cold, dead hands.

P.S. Real "flex fuel" is when you can run on diesel fuel, veggie oil, or E95.