Legislation Addresses Regulations on the Timber Industry

The House Resources and Conservation Committee focused its attention this week on the timber industry, moving several pieces of draft legislation forward to print, including a revision to the Timber Supply Stabilization Act.

Idaho was the first state to mandate in-state processing for logs harvested from state forests, a decision that was ruled unconstitutional by the US Supreme Court in 1984, in that it interfered with interstate commerce. In 1989 this act reestablished Idaho’s in-state processing requirements for almost all state timber, offering almost all state timber each year to qualified bidders (whom it defined as Idaho processors almost exclusively). This legislation would repeal the qualified bidder status.

But, Representative Eskridge asked, what of Idaho mills that have been shut down due to lack of timber supply? Do we really have the excess lumber to open the bidding process to processors outside of Idaho? And, asked Representative Barrett, what does the timber industry think of this legislation?

Ultimately, the bill was sent to print, which will give other interested parties an opportunity to comment on these issues.

Under the heading of “opportunity for increased revenue” came an RS concerning fees for permits for navigational encroachments (such as single and multi-family docs). Current Idaho code caps fees at $250, while the estimated cost to process such permits is more. The permit program takes in more than $600,000 per year, at a net loss of more than $160,000 per year. The bill, which would double current fee, was sent to print.