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You're not wrong about the whole corn subsidy switch to E85 being terrible. It was purely about getting Midwest votes specifically winning Iowa in the primaries. It is worth noting though that E10/15 is not intended as a replacement for gasoline like E85 is. The ethanol in E10/15 is both a fuel oxidizer and an anti knock agent. So it reduces tailpipe emissions by helping make a more complete burn and increases the octane of gasoline by two or three points meaning the gasoline has to be less refined.
Ethanol replaced MTBE, it is not clear how and at what level MTBE is toxic. But it is extremely water-soluble and has the ability to leak out of sealed underground tanks. This of course led to very easy contamination of groundwater and aquifers with MTBE. Which was probably a bad thing.
For anyone who cares MTBE replaced Tetraethyllead. And if I have to explain why lead is bad to anyone they've had too much lead exposure.
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