Timber Talk 8/4/26

Jenna Reese
Aug 4
9 min read

OFA Update

The Paul Bunyan Show is around the corner

We are fast approaching our 2026 Paul Bunyan Show, celebrating our 20th anniversary at the Guernsey Co. Fairgrounds! Over 160 exhibitors will join us to showcase their products to thousands of excited attendees. We would like to thank our members who are participating, and will be sending out complimentary tickets to all members in the coming weeks. We would greatly appreciate if you can share the QR code or ticket link on the right with your friends and family and tell them about the show. We look forward to seeing you in October! For more information visit www.thepaulbunyanshow.com.

Join us at the 2026 Lumberman's Outing

We look forward to seeing some familiar faces at this year's fundraiser benefitting the Lumberman's Benevolent Fund. On September 9, 2026, Fire Ridge Golf Course and Airport Ridge Sporting Clays will host all registrants for a day of golfing and clay shooting in Millersburg, Ohio. It's time to putt, shoot, and eat to support foresters who have suffered industry-related injuries. Follow the link below to register and contact OFA staff to inquire about sponsorship opportunities.

Chainsaw Safety Awareness that Works

OFA's CSAW program provides quality chainsaw safety education for anyone operating a chainsaw, from professional loggers to landowners, city/county workers, emergency response teams, volunteers and anyone else using a chainsaw for work or casual reasons. The CSAW program offers different levels of classes from in-depth tree felling and bucking to general chainsaw maintenance and safety.

MORE INFO

Join us at this year's NHLA convention!

We are gearing up to head to Cleveland this September for the annual NHLA convention! We are proud to be hosting this event here in Ohio this year and will be joining as sponsors to provide a special welcome gift to each attendee.

The NHLA Annual Convention & Exhibit Showcase is the largest and longest-running hardwood industry gathering in North America. Each year, thousands of sawmill owners, lumber buyers, manufacturers, suppliers, and wood product professionals come together to shape the future of the industry. We hope that you will join us to experience great exhibitors from all across the country. Visit the website for more information and to register!

Habitat Management Field Day

The Ohio Woodland Stewards Program and Pheasants Forever bring you a field day focused on habitat management practices within farmed landscapes. Participants will leave this workshop with knowledge about how precision agriculture can reveal high-value conservation potential within farmland and see whole-field and field-border practices that enhance wildlife habitat.

MORE INFO

Market Update

HardwoodReview Forecasting

The dog days of summer are upon us, and so too is the typical slowdown in activity. Whether holiday-related weakness in Europe or pullbacks in Chinese ordering, it is typically a quiet time for business and this year is no exception. However, production levels are also down quite a bit this year due to extended summer breaks and more permanent cutbacks and closures. Therefore, the outlook isn’t much different than what we’ve experienced in recent months—relatively steady pricing for most items. With the average 30-year fixed mortgage rate at around 6.5%, existing home sales still slow, and consumer confidence

weak, there’s nothing to suggest a quick 2nd half turnaround in demand. Most finished goods manufacturers will survive but struggle to thrive.

On the positive side, the consumer price index fell 0.4% in Jun, the biggest monthly inflation drop in six years. Even though prices are still historically high, any improvement will help to restore consumer willingness to spend on big ticket items. And U.S. producers will face a little less pressure from imported wood products for the balance of the year, with moulding and solid wood flooring receipts already down 37% through May, and engineered flooring receipts down 10%.

Legislative Update

The following is brought to us by our national partner, the Forest Resources Association (FRA)

Farm Bill

Senator John Boozman (R-AR), Chairman of the Senate Agriculture, Nutrition and Forestry Committee, announced on Wednesday that his panel would mark up a Farm Bill reauthorization measure-the Agricultural Act of 2026-on August 6, the final day the Senate will be in Washington before the monthlong August recess. For the measure to clear committee, it will likely need to be bipartisan, as Senator Mitch McConnell (R-KY) may not be present, which could result in an 11-11 tie. While the Vice President would break that tie on the Senate floor, the measure would fail in committee.

As we have noted, FRA supports several provisions in Chairman Boozman’s bill.

Among them are:

Jobs in the Woods Act (JWA): Amends the existing Rural Innovation Stronger Economy (RISE) program to specifically include forestry and forest products. This language essentially captures the Jobs in the Woods Act, which would provide grants between $500,000 and $2 million to establish job training and career pathway programs tailored to careers in sawmilling, logging, or other forestry and forest products jobs. RISE is structured similarly to JWA but currently does not include our sector. This language rectifies that situation and will provide needed workforce development assistance for the entire forest products value chain.

Wood Innovation Grants (WIG): Reauthorizes the Wood Innovation and Community Wood Grant programs. On WIG, the bill reduces the non-federal dollar-for-dollar matching requirement to 50 percent. It also updates grant priorities to include the use of or retrofitting of existing sawmill facilities, the enhancement of carbon-reduction strategies, and resilience and economic benefits associated with wood products. On Community Wood, the measure changes the program's name to the Community Wood Facilities Grant Program. It also increases the federal cost-share from 35 percent to 50 percent for projects and the maximum grant per facility to $5 million. Finally, it increases the maximum size for energy systems eligible to 40 megawatts (current limit is 5 megawatts of nameplate capacity) and doubles its total authorization to $50 million.

Biomass Carbon Neutrality: Includes a binding biomass carbon neutrality provision requiring the Department of Agriculture (USDA) to assign a greenhouse gas emissions factor of no more than zero to any policy related to combustion of forest-based biomass for energy. This language differs from the existing carbon neutrality provision, which is reauthorized every year as part of the appropriations process, in that it is legally binding—meaning the Department must comply with the directive. FRA, working with other trade associations in the sector, hopes to expand upon this provision to include an “all of government” approach to this important and legally binding carbon neutrality language so that the Environmental Protection Agency (EPA), Department of Energy (DOE), and other departments and agencies will be bound by this directive.

Biofuel Payments: Reauthorizes the Bioenergy Program for Advanced Biofuels through 2031. This direct payment program incentivizes wood pellet production as “advanced biofuel” is defined in the law to include wood pellets—both those used for the domestic heating market and export pellets. Producers simply report their tonnage to USDA on a quarterly basis and receive fairly lucrative cash payments.

Forest Inventory and Analysis: Updates the Forest Service’s Forest Inventory and Analysis (FIA) program to improve national forest data collection and requires, as a data collection method, a timber products output survey and woodland owner survey. The language requires the USDA to annually report on the inventory and analysis of timber within our national forests. Finally, the bill establishes an expert “Blue Ribbon” panel to review FIA, evaluate its effectiveness, and provide recommendations for improvement.

The legislation does not address the definition of “renewable biomass” in the Renewable Fuel Standard (RFS) program; however, we anticipate that an amendment may be offered during committee markup.

Assuming the legislation clears committee, there will be a strong push to move the measure to Senate floor consideration in September. However, time is limited as the upper chamber is only in session for three weeks before recessing again for October through the November election.

Senate Action on Forestry‑Related Public Lands Bills

The Senate Energy & Natural Resources Committee met on July 29 to advance a large package of public‑lands bills, several of which directly affect Forest Service lands and long‑term forest management. Key measures include new wilderness and recreation designations in Oregon (S.888) and Colorado (S.764, S.1341), expansions of Wild & Scenic Rivers (S.945, S.1737), and mineral‑withdrawal actions in Nevada (S.1349, S.1005). These proposals would reduce future timber‑harvest opportunities, constrain road building, and narrow the Forest Service’s ability to implement active forest‑health treatments. FRA will continue to monitor these bills to ensure members' interests are represented.

Markets Matter Action Plan

The Markets Matter Action Plan—released in July 2026—sets a concise roadmap to strengthen markets for small‑diameter and residual wood by aligning policy, mobilizing capital, and converting forest‑resilience benefits into investable returns. The plan emphasizes retaining existing mills and supply‑chain infrastructure, clarifying federal policy on woody biomass, and building financial models that capture public benefits such as wildfire‑risk reduction and watershed health. The core focus is meeting workforce needs, identifying the capital, equipment, and technical assistance required for foresters, loggers, haulers, and other professionals who keep the wood supply chain functioning.

FRA will host a webinar, Markets Matter: From Convening to Action, on August 13 at 2:00 p.m. ET, featuring Matt Krumenauer, Vice President at the U.S. Endowment for Forestry and Communities.

Key Federal Labor and Safety Rulemakings Moving Toward Final Action

OSHA’s Heat Injury and Illness Prevention in Outdoor and Indoor Work Settings rule continues to advance, though on an extended timeline. After issuing the proposed rule in August 2024 and completing public hearings and post‑hearing comments throughout 2025, the agency now plans to release a Supplemental Notice of Proposed Rulemaking in December 2026. OSHA anticipates finalizing the rule in October 2027, signaling a multi‑year regulatory process that will require employers to monitor evolving compliance expectations as the agency refines its approach to heat‑stress protections.

The Department of Labor (DOL) is moving quickly on its Employee or Independent Contractor Classification under the Fair Labor Standards Act (FLSA) rulemaking. On February 27, 2026, DOL proposed rescinding the 2024 independent contractor rule and replacing it with a revised version of the 2021 framework. The comment period closed April 28, 2026, and the agency now projects issuing a final rule in October 2026, signaling a near‑term shift in how worker classification will be evaluated under the FLSA.

FRA has been closely tracking—and submitting comments on—both regulatory actions and will continue keeping members informed as these rules progress through the federal rulemaking process.

FRA 2026 Joint National & Lake States Region Fall Meeting

Join FRA staff, dynamic speakers, and members from across the country for the FRA 2026 Joint National and Lake States Region Fall Meeting, September 29–October 1, at Hotel Northland in Green Bay, Wisconsin.

Safety Update

Sedgwick Safety Services

Cost containment in Ohio Workers’ Compensation

Workplace injuries can carry both financial and emotional weight for employers and employees alike. While ensuring injured workers receive proper care remains the top priority, managing the associated costs is also essential to maintaining a healthy workers’ compensation program.

In Ohio, employers have three key strategies available to help contain costs: Settlements, Disability Relief, and Subrogation/No-Fault Motor Vehicle Accidents (MVA). Sedgwick continues to lead the industry in leveraging these tools effectively.

Our approach combines advanced analytics and proactive cost containment strategies to help Ohio employers reduce claim expenses and lower premiums. From the moment a claim is filed, our team is equipped to implement solutions that drive meaningful savings.

Sedgwick’s dedicated cost containment team focuses exclusively on delivering impactful results through these three avenues. Our efforts have led to significant savings not only for individual employers but also for those participating in group retrospective rating programs.

Settlement Agreements

A settlement involves a mutual agreement between the employer, the injured worker, and the Ohio Bureau of Workers’ Compensation (BWC) to resolve a claim with a lump sum payment. This can result in full or partial closure of the claim, helping employers manage long-term exposure.

Disability Relief

This program supports employers who hire or retain individuals with pre-existing medical conditions. If a disability contributes to an injury or delays recovery, employers may be eligible for reimbursement on related claims, reducing their financial burden.

Subrogation / No-Fault MVA

When a workplace injury stems from a motor vehicle accident involving a third party, the Ohio BWC may assign the claim’s cost to the surplus fund—relieving the employer of direct financial responsibility.

Sedgwick is proud to collaborate with our clients in optimizing their workers’ compensation programs. Our early, proactive approach to cost containment remains a cornerstone of our commitment to achieving the best possible outcomes for both employers and injured workers.

For questions or support, please contact Marta Yazrombek at Sedgwick via marta.yazrombek@sedgwick.com.