OFA Update
Paul Bunyan Show Ticket Emails
Many of you received multiple emails on 8/21/2024 with show tickets. These were sent out in error and are duplicates of the order you received on 8/8/2024. Please delete these duplicate emails and make sure you do not give the same ticket number to multiple people as they will only scan once at the gates. If you have questions or need to confirm your ticket numbers, please contact Gayla Fleming at Gayla@ohioforest.org or 888-388-7337.
OFA Foundation Update
Lumberman’s Outing registration is live
Join us for the Foundation’s annual Lumberman’s Outing on 9/11/2024! The clay shoot registration and practice time will begin at 8:30 am at Airport Ridge Sporting Clays in Millersburg with the event itself beginning at 10:00 am. Registration for the golf outing will begin at 9:00 am with a shotgun start at 10:00 am at Fire Ridge Golf Club in Millersburg. The event will conclude with dinner and awards ceremony at 3:30 pm at Airport Ridge Sporting Clays.
Sponsorship opportunities are available!
The Lumberman’s Benevolent Fund was created by the original founders of the Lumberman’s Outing to help those in the forest industry whose family has suffered a tragedy. The proceeds from this event benefit the Lumberman’s Benevolent Fund. This fund has raised more than $200,000 to help those in the forest products industry who have suffered a tragedy.
Market Update
HardwoodReview Forecasting
Hardwood markets have largely “stagnated,” and more of the same is expected over the next few months, with additional sawmill closures and cutbacks offset by seasonally slower domestic home construction and worsening election/inflation paralysis. Existing home sales peaked lower and a month earlier than last year, and housing starts typically fall steadily through Dec. Consumer confidence has hovered near three-year lows since Apr, and consumer prices remain 11% higher than they would have been had inflation growth continued at the 2017-2019 pace of 2.1%. That said, Aug reports suggest supplies are low enough that some of the more in-demand upper-grade items could see modest additional firming. Second-half exports should be a little better, especially if European buyers begin to stockpile ahead of EUDR restrictions and/or some of the expanding Asian markets begin to feel the supply crunch. The downside for domestic sawmills is that first-half White Oak log exports jumped to an all-time high, and first-half Walnut log export volumes set the third record in as many years.
Hardwood moulding sales were flat to lower in the first half, and manufacturers are reporting shrinking production backlogs, smaller order files, and an inability to raise prices due to the 55% jump in imported moulding volumes through Jun.
Legislative Update
From our national partner, the Hardwood Federation
The Fall Legislative Season – D.C. Style
We’re only just wrapping up summer, but the dynamic of a Presidential election has made it feel like the end of the year is just around the corner as far as 118th Congress goes. The House decamped Washington a week early this year for its August recess, axing the final week of July in favor of heading home to campaign. The Senate left a few days later. Although Congress is slated to be in session after Labor Day and through the end of September, it is expected that the printed schedule will not stand, and September will be cut short as well. This means that for most of the fall—some of September, all of October and half of November--, Members of Congress will be back in their states/districts and not here in D.C. working on legislation.
In terms of “must pass” items, there really are only a few that Congress has to act on before the curtain closes on this Congress. One is funding operations of the federal government. We fully expect that a Continuing Resolution to keep the lights on past the close of the fiscal year September 30 will be taken up and passed next month. The duration of this “CR” as it is known will likely extend through mid to late November and will afford time for Congress to take up a larger Fiscal Year 2025 appropriations deal in the Lame Duck session. The other action that Congress must take is reauthorizing the National Defense Authorization Act or NDAA. This statute underpins our country’s national defense programs, as well as the nuclear weapons programs at the Department of Energy, and must be approved by Congress every fiscal year. As part of this year’s process, we are pleased to report that Senator Jeanne Shaheen (D-NH) has secured report language as part of the Senate NDAA bill to press the Department of Defense and General Services Administration on switching to red oak and away from apitong for its truck trailer beds. We remain hopeful that Congress will come together in the Lame Duck on reauthorizating the Farm Bill, but sides remain far apart and it is looking increasingly like an extension of current law into 2025 is the likely scenario.
With limited substantive action on many Federation policy priorities likely for the remainder of 2024, we have begun to look ahead strategically at 2025 to identify areas where policy action is likely and where we can have an influence. Tax is one space that will be incredibly active. Recall that the House passed a very good, bipartisan bill (H.R. 7024) earlier this year that retroactively restores key “Main Street” business tax incentives and pairs those extensions with a more robust Child Tax Credit. The legislation unfortunately stalled in the Senate, but the fact remains that there is strong support for restoring these benefits and that sentiment will only get stronger as the bonus depreciation phase out, for example, progresses. The benefit (100 percent bonus depreciation allowing business to write off the full cost of machinery and equipment in the same year that it is purchased) took a 20 percent hair cut in 2023 and another 20 percent reduction this year. It is slated to reduce again by 20 percent January 1, 2025. In addition to this benefit and extending the research and development tax credit, a number of key tax benefits from the Tax Cuts and Jobs Act of 2017 expire at the end of 2025. At a recent fundraising breakfast that the Hardwood Federation team attended, House Ways & Means Committee Chairman Jason Smith (R-MO) emphasized that $4.6 trillion in tax benefits go away at the end of next year if Congress fails to act. Among these is the Sec. 199A deduction (20 percent) for S-Corporations and other pass-through entities.
Outside of the tax lane, a Farm Bill has to be reauthorized at some point. The Federation team has continued to meet with Members of Congress on and off the Agriculture Committees to advocate support for doubling funding for export promotion programs, forest and forest products workforce provisions, biomass carbon neutrality and our Hardwood Access Program. Regarding the latter, our bill that was introduced in January—the Hardwood Access and Program Development Act (H.R. 6880)—will have to be reintroduced next year as all legislation currently pending automatically dies at the conclusion of a two-year session of Congress. In advance of the 119th Congress gaveling in early January, we will be recruiting a Democrat lead for this bill as our current champion, Rep. Annie Kuster (D-NH) is retiring. In addition, we will be working to line up Senate leads to introduce a companion bill in the upper chamber next year.
As with any year following a major election, there will be a number of new faces in the House and Senate with whom we will need to connect and introduce our sector and our policy priorities. This process will begin with open houses on swearing in day in January and continue throughout the first quarter 2025. There will also be movement and shuffling of membership on committees that handle our issues. Identifying and meeting with new members on panels that we care about will be a top priority for the Federation in the early going next year. Also notable is the fact that there will be changes in leadership on some of the committees important to us. Take for example the House Energy and Commerce Committee which handles most of the environment and energy related legislation in the lower chamber. Current Chair Cathy McMorris-Rodgers is retiring at the end of this Congress. If Republicans remain in control of the House, Rep. Brett Guthrie (R-KY)—a long time Federation supporter—is poised to take this important gavel. This would mean a complete turnover in committee staff and getting to know these new faces would also be a top priority.
The bottom line is that, although we continue to explore opportunities to move our policy agenda this year, persistent headwinds in the form of Presidential election politics and a shortened Congressional calendar have prompted us to begin looking ahead strategically at 2025. As we begin our preparations for next year and the 119th Congress, we will be looking at all our hardwood association and industry member to help inform our preparatory efforts and guide our decision making in advance of what is shaping up to be an active, consequential year.
Partner Update
ODNR Division of Forestry Looking for Public Input at Open House Events
The Ohio Department of Natural Resources (ODNR) Division of Forestry invites the public to attend in-person open houses to learn more about the Annual Work Plan for State Forests. All three open house events will take place September 10 – 12.
“Sharing information and receiving public input are key for the Division of Forestry’s annual open houses,” said ODNR Division of Forestry Chief Dan Balser. “They are great settings for members of the public to interact with division staff, learn about our plans to sustainably manage Ohio’s state forests, and provide us with valuable comments.”
The Division of Forestry’s managers and foresters develop an annual work plan to guide specific management activities for 24 state forests in Ohio. This work plan encompasses more than 200,000 acres combined. The open house events provide opportunities for the public to ask questions and comment on Ohio’s plans for sustainable forestry, which include recreation, aesthetic value, treating invasive species, prescribed burning, and timber cruising and harvesting.
The Division of Forestry’s 2024 Open House events are as follows:
Southeastern District, Athens Headquarters:
Tuesday, September 10, 2024, 4:30 p.m. - 6:30 p.m.
360 E. State St., Athens, OH 45701
For more information, call 740-272-8519
Southern District, Chillicothe Headquarters:
Wednesday, September 11, 2024, 4:30 p.m. - 6:30 p.m.
345 Allen Ave., Chillicothe, OH 45601
For more information, call 740-774-1596
Northern District, Findlay Headquarters:
Thursday, September 12, 2024, 4:30 p.m. - 6:30 p.m.
952 Lima Ave., Findlay, OH 45840
For more information, call 419-424-5004
Open house information and the 2024-2025 draft Annual Work Plan for State Forests are posted on the Division of Forestry’s State Forest Plans webpage.
If you would like to submit written comments, please send an email with your name to: DNR-stateforestworkplancomments@dnr.ohio.gov.
Comments will be accepted through October 7, 2024, at which time they will be considered as the plans are finalized.
Additional Links
ECOFA Newsletter
2024 Tree Farmer of the Year Tour
Upcoming Events
Tree Farm of the Year Tour
9/7/2024
Location: Cadiz, Ohio Time: 10:00 AM
2024 Lumberman's Outing
9/11/2024
Location: Millersburg, Ohio Time: 9:00 AM
Master Logger Chapter Meetings
Paint Valley Loggers Chapter Meeting
9/9/2024
Location: Bainbridge, Ohio Time: 7:00 PM
Southern Ohio Loggers Chapter Meeting
9/10/2024
Location: Lucasville, Ohio Time: 7:00 pm
Northeastern Ohio Loggers Chapter Meeting
9/11/2024
Location: Middlefield, Ohio
Muskingum Valley Loggers Chapter
9/11/2024
Location: F.O.E., McConnelsville, Ohio Time: 7:00 PM
East Central Ohio Loggers Chapter
9/16/2024
Location: Fresno, Ohio Time: 6:00 PM
Northwest Ohio Loggers Chapter Meeting
9/18/2024
Location: Findlay, Ohio
Scioto River Valley Loggers Chapter Meeting
9/19/2024
Location: Scioto Township Fire Hall, Wakefield, Ohio Time: 7:00 PM
2024 Paul Bunyan Show
10/4/2024 » 10/6/2024
Location: Lore City, Ohio
2025 Annual Meeting
2/5/2025 » 2/6/2025
Location: Hyatt Regency, Columbus, Ohio
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