The Hardwood Federation Newsletter

September 2024


From the Executive Director:   Congress Passes Spending Patch, Leaves the Capitol for Campaign Trail

Members of Congress returned to their home states and the 2024 campaign trail after passing a must-do government spending bill through December 20 (see article below). However, lawmakers left a stack of unfinished business to take care of during the lame-duck session that begins the week after the November 5 election, including extending government funding beyond December 20, passing the National Defense Authorization Act, and hopefully reauthorizing the long-delayed Farm Bill for another five years.  In the event you see your federal elected officials making the rounds during election season, feel free to share key hardwood messages related to business that Congress should pass before the end of the year. 

Also, this extended recess gives you another opportunity to connect with candidates for office at all levels of government. Candidates for higher office are looking for opportunities to interact with constituents and your business operations are ideal locations to touch base with potential voters.  Remember, elected officials work for you and if they don’t get input on their performance from you, they will get it from others who may not necessarily have the same opinion about what will most benefit you, your businesses, your employees, and your local economy. The best political relationships are built over time, with regular communication and education. And it can start with a mill tour and some coffee in the break room.

The Hardwood Federation can help.  Our Guide to Facilities Tours is available on our website.  We can also help connect you to key staff people to schedule a visit and provide talking points to supplement your priorities.   Let us know how we can help!

Hardwood Federation Issues Update

Congress Passes Temporary Spending Bill, Returns to States for Elections

On Wednesday, September 25, with just a handful of days to act before the September 30 deadline, the House of Representatives passed a short-term Continuing Resolution (CR) by a vote of 341-82.  The measure was then sent to the Senate, which, as expected, overwhelmingly approved the measure by a vote of 78-18. The CR funds federal government operations through December 20, allowing Congress time following the election on November 5 to forge a Fiscal Year (FY) 2025 budget deal. The measure is a relatively “clean” CR, meaning policy riders that had accompanied earlier versions were ultimately dropped. It does include $231 million for the Secret Service to bolster its capabilities. The final version omitted supplemental money for FEMA’s disaster relief fund to cover outlays that may be necessary through the hurricane season. With the timing of Helene, this move left many in both parties a bit frustrated. The bottom line is the President will sign the measure before government runs out of funding on Monday, September 30.

Atlantic, Gulf Coasts Brace for Labor Stoppage at Ports

As talks between the International Longshoremen’s Association (ILA), representing dock workers, and the U.S. Maritime Alliance (USMX), which represents ocean carriers and port terminal operators, along the Eastern and Gulf Coasts continue to stall, the threat of a strike that could strangle supply chains, including the import and export of hardwood products, appears to be imminent.  Signaling the strong possibility of a work stoppage, port operators have been urging their customers to retrieve their cargo before COB today, the date on which the current labor contract expires.  Following September 30, port operators cannot guarantee availability of cargo for pick-up at the port or delivery to overseas markets. On the advocacy front, the Federation and its partners in the ocean shipping coalition have prepared a letter to the President, post-dated for later this week, to use available tools to end a work-stoppage. 

Two weeks ago, the Hardwood Federation joined 176 industry groups and partners in the ocean shipping coalition in a letter to urge the Biden Administration to engage dock workers and port terminal operators and avoid a strike following the upcoming expiration of the current labor contract.  Closure of these ports, which handle "more than 68% of all containerized exports and more than 56% of containerized imports,” according to the National Association of Manufacturers, would paralyze the nation’s supply chains.  The letter called upon “the administration to immediately work with both parties to resume contract negotiations and ensure there is no disruption to port operations and cargo fluidity if a new contract is not reached by the expiration date.” The Federation will keep you posted on developments. 

Bipartisan Lawmakers Urge President to Press for EUDR Delay

As the compliance date for the E.U. Deforestation Rule (EUDR) approaches, on September 20, 73 House lawmakers, including 62 Republicans and 11 Democrats, sent a letter to President Biden requesting that he intervene on behalf of the forest products sector.  Specifically, the letter urges the European Commission to delay implementation of the new regulations that threaten the export of hardwood products.  The requested delay, which would run for two years beyond the upcoming compliance date in early 2025, is necessary to avoid trade disruptions and promote sustainable forestry practices, according to the lawmakers.  The messages to the President are similar to those made by the Hardwood Federation and AHEC, who have met with the U.S. Trade Representative twice in the past year expressing concerns about the rule’s adverse impacts on hardwood exports in the event the EUDR moves forward as planned.  The Federation will keep you posted on developments.

House Lawmakers Pass Bipartisan “Fix Our Forests Act,” Address NEPA Reforms

On September 24, House lawmakers passed the industry-supported  “Fix Our Forests Act,” (H.R. 8790) by a vote of 268 to 151, a bipartisan bill intended to reduce the amount of time it takes to process a National Environmental Policy Act (NEPA) permit for forest management projects. Rep. Bruce Westerman (R-AR), Chairman of the House Natural Resources Committee joined Rep. Scott Peters (D-CA) to move the bill, which has 17 Republican and six Democratic cosponsors.  The lawmakers cite the growing threat of wildfires, which Rep. Peters points out as the largest source of air pollution in his home state of California, as a key motivator for pushing the legislation.  Committee staff briefed the Hardwood Federation team prior to dropping the bill, which aligns with industry advocacy, in June to address concerns. 

Earlier in the month, on September 11, Rep. Bruce Westerman (R-AR) released a draft bill to make broader reforms to the cumbersome NEPA permitting process.  The bill would reduce the time necessary to obtain a permit and require courts to conclude legal challenges related to NEPA permits within 180 days.  The Federation will keep you posted on developments related to the bill.

Federal Appeals Court Supports Boiler MACT Flexibility

On September 3, a Federal Appeals Court issued an environmental decision favoring industry, and ruled that current limits on industrial boiler emissions are sufficient to comply with requirements under the Clean Air Act.  The court also found that current standards only apply to boilers manufactured after 2020, as opposed to those built after 2010, which will save mills the expense of moving forward with costly retrofits.  On this issue, the federal court invoked the new Loper doctrine, whereby it found that although there’s ambiguity on industrial boiler rules within the federal statute, there is no requirement to defer to EPA’s interpretation of the law in making a final decision.

Federation Urges USDA to Reject Wholesale Amendment of Forest Management Plans

To address the USDA’s latest proposal on old growth forests, on September 19, the Hardwood Federation filed comments with the USDA, advocating against environmental assessments that would trigger wholesale amendment of forest management plans.  Ultimately, the plan would open the door to adopting a “one-size-fits-all” definition for “old growth forest” and remove even more acreage from sustainable management.  As an alternative approach, industry argues that the USDA should continue to address the old growth issue through the locally led forest planning process, governed by the 2012 Planning Rule.  Such an approach promotes transparency and best forestry practices that account for the high degree of variability in old growth forests.  Furthermore, industry is concerned that undertaking wholesale amendment of existing forest plans will further strain agency resources which are already burdened by work related to wildfire mitigation.  The Federation will keep you posted on developments related to the old-growth issue. 

Hardwood Federation PAC Plays Host to Senator Boozman

On September 12, fifteen representatives from the wood products industry joined the Hardwood Federation PAC, which hosted a fundraiser to support Sen. John Boozman’s (R-AR) campaign.  Sen. Boozman, a long-time hardwood ally, serves as Ranking Member of the Ag Committee and will be slated to become committee chairman in the event the GOP takes control of the closely divided Senate in November.  If the Senate does not change hands, the Senator will continue in his current, influential role.  Either way, the Senator indicated he and Senator Amy Klobuchar (D-MN), who will lead the Democrats on the Committee, have a very good working relationship.  Sen. Boozman talked about challenges facing the passage of the farm bill in 2024 and ways to continue to promote wood products.  Participants included representatives from the American Wood Council, Boone & Crockett PAC, Forest Landowner Association, National Wooden Pallet & Container Association, PotlatchDeltic, Rayonier, Southeastern Lumber Manufacturers Association, Sylvamo and Weyerhaeuser.

USDA Accepting Nominations for Carbon Market Advisory Council

The Hardwood Federation is preparing recommendations to USDA for membership in a soon-to-be established advisory council that will oversee resources available to parties seeking to enter carbon markets.  On August 13, USDA  announced its intent to move forward with the advisory group, which will be charged to support the agency’s Greenhouse Gas Technical Assistance Program.  This gives industry the opportunity to make its voice heard by helping USDA identify “best practices” and tools which landowners may use to enter private carbon markets.  USDA states that the council will include 32 members and represent “farmers, ranchers, private forest landowners, [and] the forestry and forest products industry,” among others.  The notice further stipulates that the council will include “not fewer than four representatives of private forest landowners or the forestry and forest products industry.”

Nomination Packages:

While interested parties can nominate themselves, USDA has informed the Federation that associations may submit “nomination packages” on behalf of wood products industry experts for consideration.  The packages should include the following documents:

  • A cover letter which specifies that the nominee seeks to represent the wood products sector.  The letter should also state they want to join the council and their qualifications for the role.
  • A resume or curriculum vitae (CV).
  • And a completed USDA Advisory Membership Background Information Form AD-755, which can be found here

Next Steps and More Information:

USDA must receive nomination packages no later than October 15, 2024. The Hardwood Federation will work with the Board of Directors to facilitate nominations of interested hardwood industry leaders.  Please note that members of the council will serve on a volunteer basis but may receive compensation for travel related to council business.  Council members will meet within 90 days of appointment to the council and meet at least once annually thereafter. 

If you are interested in applying for this Advisory Council and would like to be submitted under the Hardwood Federation banner, please contact Bryan Brendle at bryan.brendle@hardwoodfederation.org or 202-463-5186. To be considered, you will need to provide the Federation with a resume and complete the security document no later than Thursday, October 10.  To view the notice in the Federal Register, please click here.

 

Amplify Your Voice in Washington, DC! Please consider a corporate contribution to the Hardwood Federation to support services related to the Federation’s activities that promote the U.S. hardwood industry through advocacy efforts on Capitol Hill and the Administration. For more information on supporting the Federation, please click here




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