[Congressional Record Volume 166, Number 128 (Tuesday, July 21, 2020)]
[Senate]
[Pages S4350-S4351]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Ms. COLLINS (for herself and Ms. Smith):
  S. 4233. A bill to establish a payment program for unexpected loss of 
markets and revenues to timber harvesting and timber hauling businesses 
due to the COVID-19 pandemic, and for other purposes; to the Committee 
on Agriculture, Nutrition, and Forestry.
  Ms. COLLINS. Mr. President, I rise to introduce a bill with my 
colleague, Senator Smith that will help the hardworking loggers across 
this Nation whose operations have suffered serious losses directly due 
to the pandemic. In Maine alone, logging has a roughly $650 million 
annual economic impact, and is the backbone of the forest products 
economy. The industry is made up of countless multi-generational family 
businesses, whose survival is being seriously threatened.
  In Maine and in many places across the Country, the logging industry 
first felt the effects of COVID-19 in January as exports to foreign 
markets were significantly limited if not eliminated entirely. Declines 
in demand for paper products and other wood fiber based products caused 
by the COVID-19 pandemic have prompted shutdowns, slowdowns, and 
closures across the globe. As a result, Maine has seen declining demand 
for wood from mills across the board, and low prices and quotas driven 
by that lack of demand. And while timber prices have remained 
relatively stable, mills have drastically reduced their processing 
capacity--resulting in a ripple effect that has hit loggers and timber 
hauling companies hard.
  The Professional Logging Contractors of Maine projects at least a 20 
percent reduction in the annual harvest, which would threaten more than 
600 jobs and represent the potential loss of $86 million in economic 
activity in my State. The explosion of a pulp digester earlier this 
year at a mill in Jay, coupled with the recent shutdown of a paper 
machine at another mill in Westbrook, have compounded the harm imposed 
by the pandemic.
  Although the industry is certainly not alone in its struggles during 
this time, it faces unique challenges, including high capital costs 
relative to payroll and the fact that payroll costs do not reflect the 
amounts paid to independent contractors. And unlike some of our farmers 
who have been able to access direct payments from USDA and our 
fishermen who were allocated relief funding in the CARES Act, our 
forestry professionals have not been provided targeted assistance.
  The legislation we are introducing today would direct the Secretary 
of Agriculture to provide financial assistance to loggers and timber 
hauling businesses that have experienced at least a 10 percent loss in 
revenues from January 2020 through July 2020 as compared to the same 
timeframe last year. The amount would be equal to 10 percent of 2019 
gross revenues and could only be used for operating expenses, including 
payroll. I am grateful for the American Logging Council's support of 
our legislation, and urge my colleagues

[[Page S4351]]

to join in this effort to support one of our country's core economic 
drivers.
  Loggers and forestry industry professionals were rightfully deemed 
essential workers during this public health crisis, and we must ensure 
that they receive the support necessary to emerge from this downturn.
                                 ______