SUSTAINING AMERICA’S PRIVATE FOREST LANDOWNERS

2014 Southeastern Regional Landowner & Manager Conference October 28, 2014 Valdosta, GA

2014

Forest Landowners Association

Founded in 1941 to be the leading organization promoting the rights of all private forest landowners.

48 states

45 million acres

FLA believes that security of property rights is paramount. …the only way for society to enjoy …benefits forests provide and protect the environment …smaller, more efficient and less intrusive government.

Our Principles are Challenged in several areas and decision are driven by varying factors.

1) Policy - Congress and Admin.2) Courts – Lawsuits from ENGO’s3) Markets – Domestic and Foreign

FLA Focus Areas

Sustainability

Ensuring Sustainability- Markets- Less Regulation- Certainty in operating environment

Real Threats?- Management- New Markets- Population Growth

Biggest Issues Today

Waters of the US (WOTUS) Tax Reform Endangered Species Act Carbon Neutrality European demand for biomass

Waters of the US

Succeeded in protecting forest roads in the Farm Bill from permitting or citizen suits.

Applications are needed to apply pesticides over wetlands

EPA and Corps proposed regulations to define “waters of the United States” (WOTUS)for CWA jurisdiction

Waters of the US Impact

Expands CWA Jurisdiction Beyond Current Rules “Significant Nexus”

Mills and Landowners are all subjected to challenges Adjacent to navigable waters Uncertainty on isolated water bodies Citizen suits

Tax Reform

Camp proposal eliminates forestry tax expenditures Deduction for timber growing costs. Timber revenue subject to capital gains Deduction and amortization of reforestation costs

President’s Climate Action Plan

Overview of the Endangered Species Act Overview of the Endangered Species Act

• Passed in 1973• To provide a means whereby the ecosystems upon

which endangered species and threatened species depend may be conserved…

• “Threatened Species” is defined as “any species which is likely to become an endangered species within the foreseeable future throughout all or a significant portion of its range.

• “Endangered Species” is defined as “any species which is in danger of extinction throughout all or a significant portion of its range….”

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How The ESA Can Apply to Private How The ESA Can Apply to Private LandownersLandowners

Take provision (section 9)Take provision (section 9)ESA’s Definition of take:ESA’s Definition of take:

““to to harassharass, , harmharm, shoot, , shoot, wound, kill, trap, , kill, trap, capture or collect” an capture or collect” an endangeredendangered species; species; oror

““to attempt to engage in any such conduct” 16 to attempt to engage in any such conduct” 16 U.S.C. § 1532(19). Statute itself provides this U.S.C. § 1532(19). Statute itself provides this definition. definition.

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What is the “take away” from the prohibition What is the “take away” from the prohibition on “taking” species under the ESA:on “taking” species under the ESA:

Applies to “any person” which includes: private Applies to “any person” which includes: private landowners, corporations, and States;landowners, corporations, and States;

Applies to intentional and negligent acts or omissions;Applies to intentional and negligent acts or omissions;

Applies to threatened as well as endangered species; Applies to threatened as well as endangered species;

Regulations suggest that “harming” species, (which is Regulations suggest that “harming” species, (which is a take) may also apply to habitat modification on a take) may also apply to habitat modification on private land that injures wildlife through impairing private land that injures wildlife through impairing essential behavior patterns, including breeding, feeding essential behavior patterns, including breeding, feeding or sheltering;or sheltering;

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Part of the Problem or the Solution for the Bat?

• Restrictions on warm season timber harvesting from April to October

• Seasonal limitations on activities within 5 mile radius of bat hibernacula, 1.5 mile radius roost tree, 3 miles where NLEB has been captured or acoustically detected.

• Overly broad restrictions on forest management, such as direction to “retain and avoid impacting potential roost trees, which includes live or dead trees and snags equal to or greater than 3 inches diameter at breast height that have exfoliating bark, cracks, crevices or cavities.”

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What can we do?

• Forestry Products Industry Coalition of 53 organizations submitted comments on August 29

• Engage USF&W to use science and field data to support listings

• Ask members of Congress to support reform efforts on • economic impact - Transparency of listings - Sue and Settle

Carbon Neutrality

•US EPA does not have draft framework for carbon accounting

•UK draft guidelines

What can we do?

•Forestry Products Industry Coalition of 53 organizations submitted comments on August 29

•Engage USF&W to use science and field data to support listings

•Ask members of Congress to support reform efforts on •economic impact

- Transparency of listings- Sue and Settle

Pellet Markets

UK standards currently allow US Wood to participate

EU crafting standards but have not finalized Netherlands setting standards Could represent 10% of US wood

consumption but the key is how the standards are written.

Key Points on Biomass

Drax has converted 2 of their 6 turbines to biomass 10% of the UK’s electricity, obligations to the government through 2027.

10 million tons residential and 9 million tons industrial 14 million tons came from North America and 5 million

from the rest of the world Trends to watch are Korea and EU residential use Current UK biomass projects will require 9-14 million

tons by 2016. Existing plants in US SE produce 4.5 million tons for

exports. 5-10 plants will have to be built to keep up with demand

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Meet The Caretakers

We represent over 5,000 members who own and operate more than 40 million acres of forestland in 48 states.

FLA can be your trusted resource on private forest landowners.

FLA’s knowledge about the individuals who own the land can be shared with your customers.

2014

Puts a face on forestry

April 2014 • Slide 9

Partnerships are the key

Enjoy the Conference!