By Mark Turner – Turner Logging

Recently, during an Associated Oregon Loggers (AOL) executive committee meeting, I learned there was a timber company executive who was very concerned about the looming shortage of logging contractors. He wanted to know what AOL could do to help set up training programs to help with this problem.

It takes a special kind of person to be a logging contractor. If you haven’t lived it, it’s very difficult to understand what it’s like. I am realizing that there is a lack of understanding, by some in the timber industry, of what makes the people who harvest our nation’s timber tick.

To understand where we are going in the logging industry, we must first have some understanding of where we have been.  I used to think that my experiences as a logger were unique to Oregon; however, after working with the American Loggers Council for a few years, I now realize that it is very much an American experience.

My dad started his logging company in the late 50s. Back then, as he said, “If you had an old wore out cat and a chainsaw, you were a logger”.  Back then, there was lots of work and loggers made better than average wages.  As my brothers and I grew up, we spent as much time as we could up in the woods.  Every Saturday and much of the summer, us kids would ride up to the woods.  There were unlimited hills to climb and creeks to explore.  There still seemed to be lots of time for family vacations and when hunting or fishing was good, there always seemed to be a lot of time for those as well.

Once we got old enough, we started helping out in dad’s operation.  There weren’t many child labor laws back then so, at an early age, we learned how to run a chainsaw, set chokers and operate cats and skidders.  Like many sons of loggers, I assumed that that’s what I would do for a living, I would be a logger.  My mom had other ideas, as moms often do.  I remember her fervently trying to convince me to be “something other than a logger”.  She had seen the stress and strains that being a logging contractor had put on my father.  Worse, she had lived through the experience of my older brother being killed in a logging accident.

After going to college and starting a promising engineering career, the woods started calling me back.  I have often heard that “you can take the logger out of the woods but you can’t take the woods out of the logger”.

After our dad passed away in the mid 90’s, my brother and I took over his operation.  Things had changed a lot from when he started logging.  Profit margins were lower and wages had stagnated.  My brother and I, however, felt that if we just worked hard enough, we could make a go of it.

Our equipment, however, was old and worn out, worth more as scrap metal than anything else. We spent three quarters of a million dollars on equipment upgrades.  The same upgrades would cost millions of dollars these days and would make it very difficult to make ends meet.  Can you even imagine, in today’s world, a bank lending a couple of young brothers with virtually no collateral in equipment and no equity, multi millions of dollars to start a logging company?

We also built a niche for ourselves, cable thinning.  We were eventually recruited by a timber company with large land holdings, to do their cable thinning.  It seemed to be a good arrangement, until the market dropped.  The company representative came out and told us that the “bean counters told him to cut out the expensive logging” as cable thinners, he said, “that’s you”.   When we asked about our signed contract, he informed us that “they always have an out in their contracts”.

It was then that we learned that contracts in the timber industry are for the timber companies and not the loggers.  Many loggers were faced with the same situation, during our latest economic downturn.  As loggers, we all know that we can be told at any time to clean up what we have down and move out.

Nowadays, our profit margins are lower than they have ever been.  This fact was echoed recently by Kevin Thieneman (President of Caterpillar Forest Products), who I met at a recent ALC event.   He confided that “Caterpillar has a finance division and we see lots of profit and loss statements and loggers do not make enough money”.

As for our generation, our fates are sealed.   We are loggers.   We will persevere and do what it takes to make it through.

So what about the future then?   Like many other loggers, my brother and I are not pushing our children to be loggers.   There is so much hard and dangerous work required for so little return, that it feels like we would be doing them a disservice.

Until things fundamentally change in the timber industry, it’s hard to imagine where the next generation of loggers will come from.

So what kinds of changes are needed?   I have some ideas and am quite sure many of you do as well.  Perhaps I’ll explore those in a future article.

Mark Turner owns and operates Turner Logging located in Buxton, Oregon.  Mark serves on the ALC Board of Directors and is the Western Regional Delegate on the American Loggers Council Executive Committee.

The American Loggers Council is a non-profit 501(c) (6) corporation representing professional timber harvesters in 30 states across the US.  For more information, visit their web site at www.americanloggers.org or contact their office at 409-625-0206.

Today, the Professional Logging Contractors of Maine remembers all those who gave

the last full measure of devotion

By Danny Dructor

If you are still in the logging business today, you have probably become very adept about calculating the cost of doing business.  With the rising price of equipment and parts; consumables such as fuel, tires and lubricants; not to mention higher labor costs and costs associated with regulation of the industry, you have to be on top of your game, knowing just what your fixed costs are and also have a good idea of your variable costs.

For years, the leadership of our industry has stressed the importance of knowing what it costs to produce a unit of fiber.  There have been numerous studies completed by Universities and organizations such as the Wood Supply Research Institute that help to determine some of the inefficiencies in the wood supply chain and thoughts on how best to reduce cost in our operating environment.  While models have been developed to calculate what it “should” cost to produce a volume of fiber, they oftentimes leave out the many variables such as topography, quality of timber, regeneration harvest vs. thinning, tract size and other expectations that a consulting forester or landowner expect well after the ink is dry on a contract.  Other variables that influence the cost of production include DOT inspections, turn- around time at the mill, breakdowns, labor shortages and weather, to name a few.

There continue to be meetings across the country that look at the entire wood supply chain and discussions that include the need for a cultural change in the way that business is conducted from the stump to the mill.  Meetings and discussions are only as good as the follow-up and on-the-ground practices that occur as a result.

The old business model that has existed over the past 100+ years between loggers and their customers, the landowners and the consuming mills is no longer working.  What has been missing from this model is the logger knowing when to say NO; NO to the landowner if they expect a higher price for their stumpage that would make you unprofitable or expectations of services that were not included in the contract; NO to the mill if the delivered rate is less than you can afford to pay a reasonable stumpage rate and charge a reasonable rate for the services that you will be providing.  When there is not enough money left to make a reasonable profit for the business that you are depending on to afford a decent living and provide a retirement for you and your family, it is time to say NO.

You have equipped yourself with the tools and knowledge that you need to make these decisions over the past several years as your business has gained efficiencies both on-the-ground and through better management.  Now you must use them.  Perhaps it is time that logger training include negotiation skills for loggers.  Would you attend?

While there are many variables that impact profitability and success in this industry, oftentimes loggers can be their own worst adversaries.  Until we view ourselves in a better light and learn the business ropes better, including negotiation, can we really expect to do any better?

As we have all heard repeatedly, “There are three legs to the supply chain, and all need to be strong.”  Opportunities are coming back for the professional timber harvester as markets improve across the country.  Let’s not blow it by selling ourselves short.  Know when to say NO, and realize an opportunity where one exists.  As upbeat 2013 quarterly reports from some of the major forest products corporations begin to trickle in, a quote from a good colleague simply states, “We don’t mind sharing some of the pain in the down cycles, but it would be great if we could also share some of the gains in the up cycles.”

The American Loggers Council is a non-profit 501(c)(6) corporation representing professional timber harvesters in 30 states across the US.  For more information, visit their web site at www.americanloggers.org or contact their office at 409-625-0206.

On Tuesday, February 26, 2013, ALC Past President Matt Jensen carried the loggers’ message to Washington.  Matt testified before the House Natural Resources Subcommittee on Public Lands and Environmental Regulations, primarily about the differences that exist between Federal and State timber sale programs.

Matt not only represented the American Loggers Council, but also the voices of the nation’s professional timber harvesters throughout the country.

His testimony included the need for timber sale programs in which the forest products industry could rally around and make the needed investments to provide jobs and economic opportunities for rural Americans dependent on the forest industry.

Matt cited lack of management, forest health issues and no real concern for generating revenues as reasons why the federal government should consider placing the management of the federal forests into state trusts which have a much better track record of taking care of the forests and generating real value to the general public.

Matt was able to provide real time, on-the-ground information to the subcommittee on the implementation of a federal timber sale contract and the issues that logging businesses across the country have when working with a federal timber sale contract as compared to a State timber sale contract.

Members and leadership of the American Loggers Council intend on making themselves available for hearings in Washington as well as other parts of the country that are pertinent to the timber harvesting community and are already making plans for their Spring Fly-In and Board of Directors meeting to be held April 11-13 in our nation’s capitol.

To learn more about the positions that the American Loggers Council is taking on the nation’s loggers’ behalf, visit www.americanloggers.org and look on the advocacy page.  You will also find contact information for your state representatives.

About the American Loggers Council:

The American Loggers Council is a non-profit 501(c)(6) corporation representing professional timber harvesters in 30 states across the US.  For more information, visit their web site at www.americanloggers.org or contact their office at 409-625-0206.

Please see the following Trucking Safety Alert for Logging Roads:

Link to English Version: SafetyFirstAlert February 2013 Trucking

Link to French Version: SafetyFirstAlert February 2013 Trucking French

The American Loggers Council is pleased to announce that Frank Stewart has joined us as our “Liaison” in Washington, DC.  Frank has work with the ALC in the past, but now his firm, Washington Resource, has been contracted to help focus ALC in Washington and strengthen the “loggers voice” both on the Hill and with the agencies that develop and implement the regulations that impact professional timber harvesters and log truckers.

Stewart is principal of Washington Resource, an association management and advocacy firm specializing in forest-based initiatives located in Alexandria, Virginia.  He is a Registered Forester, a Registered and Certified Lobbyist and a former logger.

His duties will include efforts to win harvesters the same rights to employ their children as farmers currently enjoy, certain transportation weight issues, monitoring federal renewable energy policies and other Executive and Legislative branch efforts as directed by ALC Executive Vice President Danny Dructor.

“Frank has been an advocate for the forest industry for many years in Washington and we are pleased to retain his services in this more substantial capacity.  This added focus is not intended to duplicate on-going action, but will support a new and greater effort for ALC and our members in our nation’s capital,” said Dructor.

Besides monitoring and doing exploratory work on legislative issues, Stewart will also help organize and facilitate Capitol Hill appointments for ALC members when visiting Washington.

Current and previous experience includes working with the Forest Landowners Tax Council and the Forest Landowners Association.

Stewart said “I grew-up in the sawmill town of Vredenburgh, Alabama and began working in the woods when I was 13 years old.  I believe that I know your issues and understand the industry.  I’m looking forward to working with the American Loggers Council.”

About the American Loggers Council:

The American Loggers Council is a non-profit 501(c)(6) corporation representing professional timber harvesters in 30 states across the US.  For more information, visit their web site at www.americanloggers.org or contact their office at 409-625-0206.

Click the link below to review our

July 2012 SafetyFirst Separation of Operations

By Danny Dructor, Executive Vice-President

By the time that this editorial goes to press in February, a delegation of the American Loggers Council will have already made its way to Washington, DC to measure the mood of the members of the new Congress, or in better words, their willingness to try and accomplish things that will help to return this great nation to sound fiscal policy and to become a nation that leads in job creation and prosperity.

There is a lot of unfinished business, including the U.S. Supreme Court decision on the NPDES permitting requirement for logging roads, and designing a road map that will lead us to energy independence, including the use of woody biomass as a renewable energy resource.

There is still a lot of work needed to improve the offerings from the federal timber sale program that would benefit the logging industry and timber dependent communities.  There is not much reason to offer a biomass component in a timber sale if those markets do not exist, and even less need to tally firewood removals as a part of a viable timber sale program.

Regulatory uncertainty is still a major concern for our industry, and the administration has yet to release any indicators as to how many new regulations might be promulgated during the upcoming year, but you can be assured that we will be working closely with other organizations, federal agencies, legislators and their committees to ensure that the voice of the professional timber harvesters are once again heard and that our unique perspective on our industry is understood by all.

If you have yet to join up with your state and/or regional logging association, there is no better time than now to become active.  There is a lot of concern over the decline in logging capacity as we begin to see an uptick in housing markets, but access to credit and a sustainable workforce need to be addressed, as do the need for long term contracts to help stabilize businesses.

We are beginning to see a swing in the mindset of many of those entities that need the goods and services that we provide, and by being active in your association can help you stay better informed of the changes and opportunities that may be coming your way.

The American Loggers Council will continue to be the voice in 2013 for professional timber harvesters across the country, and your commitment and actions for this industry will help us to attain the level of recognition that you so justly deserve.  Please visit our web site at www.americanloggers.org to find out more about what this organization is doing to serve you and our industry.  You will be glad you did.

The American Loggers Council is a non-profit 501(c)(6) corporation representing professional timber harvesters in 30 states across the US.  For more information, visit their web site at www.americanloggers.org or contact their office at 409-625-0206.

By Travis Taylor, ALC President

As we begin a new year, I would like to recognize all of you who have weathered the storm in 2012 and are still keeping faith and hope that 2013 brings needed changes to this profession that we call logging.

There are many unresolved issues in both the political and practitioner arenas that warrant our attention again this year.  The priority issues that members of the American Loggers Council have identified include the following:

• Passing legislation that would permanently exempt silvicultural operations from the National Pollution Discharge Elimination System permitting process,
• Promote policies and appropriations that would strengthen the Federal Timber Sale program to increase the allowable sale quantity to 3 Billion Board foot, not including volumes of biomass and firewood removed from federal forest land in that target and recognizing sale volume that was awarded, not just offered, in those volumes,
• Supporting legislation that would re-establish timber production as an appropriate use of federal lands,
• Allowing state legal weight tolerances for unrefined agriculture and forest product on the Federal Interstate Highway System, making routes safer and increasing the efficiency of trucking operations,
• Allowing young men and women, ages 16 and 17, the opportunity to work in their family businesses, learning the trade and obtaining skills necessary to carry on these businesses that are generational in nature, and
• Working with other like-minded organizations to help bring new markets to the industry for the goods and services that our members and those we represent provide.

Our industry is still struggling to rebound from the recession, and until we see significant improvement in housing markets, or new markets developed such as energy markets for woody biomass, we will continue to see unemployment rates in timber dependent rural communities hover in the double digit percentile range.  These six issues alone will not lead to economic prosperity for the timber harvesting community alone.  It also needs to be recognized by industry leaders that the current model for wood procurement also needs to be fixed.

If we can have an impact on these issues over the course of the next twelve months, the result will be to help speed up the economic recovery that is so desperately needed by the industry and the communities that support them.  The American Loggers Council intends to continue to support the work needed in all of the above listed areas, and with your continued support and the coordinated support of other organizations, there will be a brighter future for all involved.  We plan on going the distance.

Travis Taylor serves as the President of the American Loggers Council with operations based out of Goldonna, Louisiana.

The American Loggers Council is a non-profit 501(c)(6) corporation representing professional timber harvesters in 30 states across the US.  For more information, visit their web site at www.americanloggers.org or contact their office at 409-625-0206.

After seven years as president of Caterpillar Forest Products, John Carpenter has accepted a new role within Caterpillar as its global Construction Industries Technology & Solutions manager, effective January 1, 2013. Kevin Thieneman, currently Caterpillar’s country manager for China, India and Southeast Asia, will replace Carpenter as president of Caterpillar Forest Products.

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