I'm thinking that with that little volume going through those pumps there is a much greater likelihood that there might be water or worse in fuel from those types of pumps. What are your thoughts and what do you guys run, ethanol free 87 octane or something else?
We have enough engineers so hopefully there is a chemical engineer who will weigh in as well.
The problem with ethanol is it acts like a sponge for water. If E10 comes in contact with enough water (>0.5%) a phase separation can occur where the ethanol will drop out with the water to the bottom of your tank. This is bad for 2 reasons;
1) It will rob octane from the gasoline (ethanol has an octane of ~100 R+M/2). The typical boost 10% ethanol gives your gasoline is 2-4 octane points
2) It creates a layer of water/ethanol mixture in the bottom of your tank that will eventually hit your engine. This is bad because water has a vaporization expansion factor ~10 times that of gasoline and can wreck an engine if there is too much.
As for your pump question; most retailers should have a float level switch on the bottom of their tanks to detect the water level. The suction of the gasoline pump sits above the bottom of the tank for this reason. Non-ethanol fuel will separate from water much easier and can be drawn off without the ill effects. However, if it is not drawn off it can still have the issue #2 described above. I have heard of retailers having these switches broken, or ignoring the alarm, but that is the small minority of stations.
I run ethanol free because for the extra 0.20 per gallon it makes me sleep better at night if I leave 1/2 tank in my boat for extended periods of time. I fill up a 5 gallon can on my way home from work as I also do not enjoy taking my boat to gas stations. If I do need a full fill up for a long day on the water I would do it right before I go out on the water and therefore wouldn't care as much about the E-10. If you are burning pretty much the whole tank within a week or two E-10 should not pose a problem.
If you want to use E-10 exclusively, I would recommend a marine fuel stabilizer as it will provide some protection against the phase separation. I even use a smaller dose of marine grade stabilizer in my non-ethanol fuel. Something about operating an engine on the water makes me extra conservative.
Even more into the minutia; a higher octane gasoline (91/89 vs 87) will run hotter because it has more BTU/gal (we typically use denser material to make the higher octane stuff). Ethanol actually burns a lot cooler in engines because it has much lower BTU/gal. Ethanol is an oxygenate as well so it provides for more complete combustion (less VOC out the tailpipe). Although, most newer engines have sensors that would know if it wasn't getting enough air and would compensate for it. Too bad MTBE gets into the groundwater and causes all types of badness, because otherwise it was a much better oxygenate as it is not hydrophillic and does not require food source material...
B.S. Chemical Engineering Bucknell University
8 years in the Refining business