[Senate Report 106-176]
[From the U.S. Government Publishing Office]



                                                       Calendar No. 306
106th Congress                                                   Report
                                 SENATE
 1st Session                                                    106-176

======================================================================



 
                    COMMUNITY FOREST RESTORATION ACT

                                _______
                                

                October 6, 1999.--Ordered to be printed

                                _______


  Mr. Murkowski, from the Committee on Energy and Natural Resources, 
                        submitted the following

                              R E P O R T

                         [To accompany S. 1288]

    The Committee on Energy and Natural Resources, to which was 
referred the bill (S. 1288) to provide incentives for 
collaborative forest restoration projects on National Forest 
System and other public lands in New Mexico, and for other 
purposes, having considered the same, reports favorably thereon 
with an amendment and recommends that the bill, as amended, do 
pass.
    The amendment is as follows:
    Strike out all after the enacting clause and insert in lieu 
thereof the following:

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Community Forest Restoration Act''.

SEC. 2. FINDINGS.

    The Congress finds the following:
          (1) A century of fire suppression, logging, and livestock 
        grazing has altered the ecological balance of New Mexico's 
        forests;
          (2) Some forest lands in New Mexico contain an unnaturally 
        high number of small diameter trees that are subject to large, 
        high intensity wildfires that can endanger human lives, 
        livelihoods, and ecological stability;
          (3) Forest lands that contain an unnaturally high number of 
        small diameter trees have reduced biodiversity and provide 
        fewer benefits to human communities, wildlife, and watersheds;
          (4) Healthy and productive watersheds minimize the threat of 
        large, high intensity wildfires, provide abundant and diverse 
        wildlife habitat, and produce a variety of timber and non-
        timber products including better quality water and increased 
        water flows;
          (5) Restoration efforts are more successful when there is 
        involvement from neighboring communities and better stewardship 
        will evolve from more diverse involvement; and
          (6) Designing demonstration restoration projects through a 
        collaborative approach may--
                  (A) Lead to the development of cost effective 
                restoration activities;
                  (B) Empower diverse organizations to implement 
                activities which value local and traditional knowledge;
                  (C) Build ownership and civic pride; and
                  (D) Ensure healthy, diverse, and productive forests 
                and watersheds.

SEC. 3. PURPOSES.

    The purposes of this Act are--
          (1) To promote healthy watersheds and reduce the threat of 
        large, high intensity wildfires, insect infestation, and 
        disease in the forests in New Mexico;
          (2) To improve the functioning of forest ecosystems and 
        enhance plant and wildlife biodiversity by reducing the 
        unnaturally high number and density of small diameter trees on 
        Federal, Tribal, State, County, and Municipal forest lands;
          (3) To improve communication and joint problem solving among 
        individuals and groups who are interested in restoring the 
        diversity and productivity of forested watersheds in New 
        Mexico;
          (4) To improve the use of, or add value to, small diameter 
        trees; and
          (5) To encourage sustainable communities and sustainable 
        forests through collaborative partnerships, whose objectives 
        are forest restoration; and
          (6) To develop, demonstrate, and evaluate ecologically sound 
        forest restoration techniques.

SEC. 4. DEFINITIONS.

    As used in this Act--
          (1) The term ``Secretary'' means the Secretary of Agriculture 
        acting through the Chief of the Forest Service; and
          (2) The term ``stakeholder'' includes: tribal governments, 
        educational institutions, landowners, and other interested 
        public and private entities.

SEC. 5. ESTABLISHMENT OF PROGRAM.

    (a) The Secretary shall establish a cooperative forest restoration 
program in New Mexico in order to provide cost-share grants to 
stakeholders for experimental forest restoration projects that are 
designed through a collaborative process (hereinafter referred to as 
the ``Collaborative Forest Restoration Program''). The projects may be 
entirely on, or on any combination of, Federal, Tribal, State, County, 
or Municipal forest lands. The Federal share of an individual project 
cost shall not exceed eighty percent of the total cost. The twenty 
percent matching may be in the form of cash or in-kind contribution.
    (b) Eligibility Requirements.--To be eligible to receive funding 
under this Act, a project shall--
          (1) Address the following objectives--
                  (A) Reduce the threat of large, high intensity 
                wildfires and the negative effects to excessive 
                competition between trees by restoring ecosystem 
                functions, structures, and species composition, 
                including the reduction of non-native species 
                populations;
                  (B) Re-establish fire regimes approximating those 
                that shaped forest ecosystems prior to fire 
                suppression;
                  (C) Preserve old and large trees;
                  (D) Replant trees in deforested areas if they exist 
                in the proposed project area;
                  (E) Improve the use of, or add value to, small 
                diameter trees;
          (2) Somply with all Federal and State environmental laws;
          (3) Include a diverse and balanced group of stakeholders as 
        well as appropriate Federal, Tribal, State, County, and 
        Municipal government representatives in the design, 
        implementation, and monitoring of the project;
          (4) Incorporate current scientific forest restoration 
        information;
          (5) Include a multi-party assessment to--
                  (A) Identify both the existing ecological condition 
                of the proposed project area and the desired future 
                condition; and
                  (B) Report, upon project completion, on the positive 
                or negative impact and effectiveness of the project 
                including improvements in local management skills and 
                on the ground results;
          (6) Create local employment or training opportunities within 
        the context of accomplishing restoration objectives, that are 
        consistent with the purposes of this Act, including summer 
        youth jobs programs such as the Youth Conservation Corps where 
        appropriate;
          (7) Not exceed four years in length;
          (8) Not exceed a total annual cost of $150,000, with the 
        Federal portion not exceeding $120,000 annually, nor exceed a 
        total cost of $450,000 for the project, with the Federal 
        portion of the total cost not exceeding $360,000;
          (9) Leverage Federal funding through in-kind or matching 
        contributions; and
          (10) Include an agreement by each stakeholder to attend an 
        annual workshop with other stakeholders for the purpose of 
        discussing the cooperatie forest restoration program and 
        projects implemented under this Act. The Secretary shall 
        coordinate and fund the annual workshop. Stakeholders may use 
        funding for projects authorized under this Act to pay for their 
        travel and per diem expenses to attend the workshop.

SEC. 6. SELECTION PROCESS.

    (a) After consulting with the technical advisory panel established 
in subsection (b), the Secretary shall select the proposals that will 
receive funding through the Collaborative Forest Restoration Program.
    (b) The Secretary shall convene a technical advisory panel to 
evaluate the proposals for forest restoration grants and provide 
recommendations regarding which proposals would best meet the 
objectives of the Collaborative Forest Restoration Program. The 
technical advisory panel shall consider eligibility criteria 
established in section 5, the effect on long term management, and seek 
to use a consensus-based decision making process to develop such 
recommendations. The panel shall be composed of 12 to 15 members, to be 
appointed by the Secretary as follows:
          (1) A State Natural Resource official from the State of New 
        Mexico;
          (2) At least two representatives from Federal land management 
        agencies;
          (3) At least one tribal or pueblo representative;
          (4) At least two independent scientists with experience in 
        forest ecosystem restoration; and
          (5) Equal representation from:
                  (A) Conservation interests;
                  (B) Local communities; and
                  (C) Commodity interests.

SEC. 7. MONITORING AND EVALUATION.

    The Secretary shall establish a multi-party monitoring and 
evaluation process in order to assess the cumulative accomplishments or 
adverse impacts of the Collaborative Forest Restoration Program. The 
Secretary shall include any interested individual or organization in 
the monitoring and evaluation process. The Secretary also shall conduct 
a monitoring program to assess the short and long term ecological 
effects of the restoration treatments, if any, for a minimum of 15 
years.

SEC. 8. REPORT.

    No later than five years after the first fiscal year in which 
funding is made available for this program, the Secretary shall submit 
a report to the Committee on Energy and Natural Resources of the United 
States Senate and the Committee on Resources of the United States House 
of Representatives. The report shall include an assessment on whether, 
and to what extent, the projects funded pursuant to this Act are 
meeting the purposes of the Collaborative Forest Restoration Program.

                         purpose of the measure

    The purpose of S. 1288 is to direct the Secretary of 
Agriculture to create a collaborative forest restoration 
program in New Mexico to experiment with new ways to restore 
forests and add value to small diameter trees.
    S. 1288 is designed to improve the functioning of forest 
ecosystems, to enhance plant and wildlife diversity by reducing 
the unnaturally high number of small diameter trees on some of 
the forest lands in New Mexico, to develop, demonstrate, and 
evaluate ecologically sound forest restoration techniques.
    Specifically, S. 1288 will integrate ecological, social, 
and economic values by: defining objectives for forested 
watersheds; creating training and employment opportunities 
based on restoration activity; and promoting value-added 
processing of small diameter trees in local communities. The 
bill is needed to restore the natural fire regime to some 
forest lands and create a resilient forest while meeting the 
needs of communities in New Mexico.

                          background and need

    Human uses over the last century dramatically changed the 
structure of some of the pine forests in New Mexico. Currently, 
when fires are started by lightening in these forest, they burn 
with high intensity over large areas, not only killing most 
trees in the forest but also threatening human communities. In 
the past, the condition was quite different. For thousands of 
years, even as late as 1900, frequent, low-intensity fires were 
common in the pine forests of New Mexico. These fires were non-
threatening surface fires of low intensity.
    As a result of altering the intensity and frequency of 
fire, some forest lands in New Mexico now contain an 
unnaturally high number of small diameter trees and not enough 
large ones. This situation has repercussions for many of the 
values the forests provide including loss of wildlife habitat, 
impoverished watersheds, and fewer forest products and 
recreational opportunities.

                          legislative history

    S. 1288 was introduced by Senator Bingaman on June 28, 
1999. The Subcommittee on Forests and Public Land Management 
held a hearing on S. 1288 on July 27, 1999. At the business 
meeting on September 22, 1999, the Committee on Energy and 
Natural Resources ordered S. 1288 favorably reported, with an 
amendment in the mature of a substitute.

           committee recommendations and tabulation of votes

    The Senate Committee on Energy and Natural Resources, in 
open business session on September 22, 1999, by a voice vote of 
a quorum present, recommends that the Senate pass S. 1288, if 
amended as described herein.

                      section-by-section analysis

    Section 1 entitles the Act the ``Community Forest 
Restoration Act.''
    Section 2 presents the findings.
    Section 3 sets forth the purposes of the Act.
    Section 4 defines the terms used in the Act.
    Section 5(a) requires the Secretary to establish a 
cooperative forest restoration program in New Mexico to provide 
cost-share grants to stakeholders for experimental forest 
restoration projects.
    Subsection (b) sets forth the eligibility requirements for 
projects to receive funding under the Act.
    Subparagraph (1)(A) requires that a project, in order to 
receive funds, address the objectives of reducing the threat of 
large wildfires, and the effects of excessive completion 
between trees by restoring ecosystems, including reducing non-
native species. It is the Committee's understanding that the 
negative effects of excessive competition between trees 
includes the reduction of the abundance and diversity of 
wildlife habitat, reduced variety of timber and non-timber 
products, and reduced water flows and quality.
    Subparagraph (B) states that a project, in order to receive 
funds address the objectives of reestablishing historic fire 
regimes.
    Subparagraph (C) requires that a project, in order to 
receive funds, address the objectives of preserving old and 
large trees. The Committee expects that projects that receive 
funding under this Act shall retain trees that will help to 
achieve the desired future condition, which would generally be 
those trees that were established prior to the turn of the 
century.
    Subparagraph (D) states that a project, in order to receive 
funds, address the objectives of planting trees in deforested 
areas.
    Subparagraph (E) requires that a project, in order to 
receive funds, address the objectives of improving the use of, 
or adding value to, small diameter trees.
    Paragraphs (2) through (4) require that a project: comply 
with environmental laws; include a diverse and balanced group 
of stakeholders and government representatives in the design, 
implementation, and monitoring of a project; and incorporate 
current scientific information.
    Paragraph (5) requires that a project include a multi-party 
assessment that identifies the existing and desired future 
condition, as well as a report on the impact and effectiveness 
of a project on the forest condition and the local community 
when it is completed.
    Paragraph (6) requires that, where appropriate, a project 
create local employment opportunities including summer youth 
jobs such as those provided by the Youth Conservation Corps.
    Paragraphs (7) through (9) state that a project may not 
exceed four years in length, or cost over $150,000 in any one 
year, or $450,000 in total. The Committee intends that the 
amounts identified in this paragraph not include Forest Service 
administrative expenses.
    Paragraph (10) requires that a project include an agreement 
by each stakeholder to attend an annual workshop with other 
stakeholders to discuss the program and projects implemented 
through it.
    Section 6 requires the Secretary to convene and consult 
with a technical advisory panel prior to selecting projects 
that will receive funding.
    Section 7 requires the Secretary to establish a monitoring 
and evaluation process to assess the accomplishments of the 
collaborative forest restoration programs.
    Section 8 requires the Secretary to submit a five-year 
report to the Congress that assesses the projects funded 
through the collaborative forest restoration program.

                   cost and budgetary considerations

    The following estimate of costs of this measure has been 
provided by the Congressional Budget Office:

                                     U.S. Congress,
                               Congressional Budget Office,
                                   Washington, DC, October 4, 1999.
Hon. Frank H. Murkowski,
Chairman, Committee on Energy and Natural Resources, U.S. Senate, 
        Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for S. 1288, the Community 
Forest Restoration Act.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contacts are Victoria 
Heid Hall (for federal costs), and Marjorie Miller (for the 
state and local impact).
            Sincerely,
                                          Barry B. Anderson
                                    (For Dan L. Crippen, Director).
    Enclosure.

S. 1288--Community Forest Restoration Act

    S. 1288 would direct the Forest Service to establish a 
cooperative program for forest restoration in New Mexico to 
provide grants for experimental forest restoration projects. 
The bill provides that the federal share of each project could 
not exceed 80 percent of the total cost of the project, subject 
to an annual limit of $120,000 per project. The bill identifies 
the eligibility requirements for projects to receive funding 
under the program, but places no cap on the number of projects 
to be funded.
    CBO estimates that implementing this bill would result in 
discretionary spending of about $1 million a year, assuming 
appropriation of the necessary amounts. The cost of this 
program is uncertain because the level of activity would depend 
on whether eligible grantees submit proposals and provide 
matching funds. For purposes of this estimate, we assume that 
five to ten projects would be funded each year. Based on 
information from the Forest Service, we estimate that the 
agency would spend about $200,000 per year to monitor, evaluate 
and report on the program. Enacting the bill would not affect 
direct spending or receipts; therefore, pay-as-you-go 
procedures would not apply.
    S. 1288 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act. The 
state of New Mexico, local governments in that state, or tribal 
governments could receive grant funds if they choose to 
participate in the program established by this bill. In order 
to receive such funds, these governments would be required to 
provide matching funds equal to at least 20 percent of the 
total cost of each project and to meet certain eligibility 
requirements. The cost of complying with these conditions would 
be voluntary.
    The CBO staff contacts are Victoria Heid Hall (for federal 
costs), and Marjorie Miller (for the state and local impact). 
This estimate was approved by Peter H. Fontaine, Deputy 
Assistant Director for Budget Analysis.

                      regulatory impact evaluation

    In compliance with paragraph 11(b) of rule XXVI of the 
Standing Rules of the Senate, the Committee makes the following 
evaluation of the regulatory impact which would be incurred in 
carrying out S. 1288.
    The bill is not a regulatory measure in the sense of 
imposing Government-established standards or significant 
economic responsibilities on private individuals and 
businesses.
    No personal information would be collected in administering 
the program. Therefore, there would be no impact on personal 
privacy.
    Little, if any, additional paperwork would result from the 
enactment of S. 1288, as ordered reported.

                        executive communications

    On September 22, 1999, the Committee on Energy and Natural 
Resources requested legislative reports from the Department of 
Agriculture and the Office of Management and Budget setting 
forth Executive agency recommendations on S. 1288. These 
reports had not been received at the time the report on S. 1288 
was filed. When the reports become available, the Chairman will 
request that they be printed in the Congressional Record for 
the advice of the Senate. The testimony provided by the Forest 
Service at the Subcommittee hearing follows:

   Statement of Ron Stewart, Deputy Chief, Programs and Legislation, 
               Forest Service, Department of Agriculture

    Mr. Chairman and members of the subcommittee: Thank you for 
the opportunity to appear before you today to discuss S. 1288, 
the Community Forest Restoration Act.
    I am Ron Stewart, Forest Service Deputy Chief for Programs 
and Legislation. I am accompanied today by Mike Williams, 
Assistant Director of Lands.
    The Administration supports S. 1288, the Community Forest 
Restoration Act if amended to address concerns and incorporate 
suggested changes as described below.
S. 1288
    S. 1288 directs the Secretary of Agriculture to establish a 
collaborative forest restoration program in New Mexico. Under 
the bill, the Secretary could make cost-share grants to 
interested stakeholders, such as tribal governments, 
educational institutions, landowners, and other public and 
private entities for experimental forest restoration projects.
    The objectives of the legislation are: (1) to promote 
healthy watersheds by reducing threats from insects, disease, 
and unnaturally occurring catastrophic wildfire; (2) to enhance 
biodiversity; (3) to improve communication and joint problem 
solving among individuals and groups concerned with the 
management of New Mexico's forests; (4) to promote the use of 
small diameter trees; and (5) to encourage sustainable 
communities and forests.
    The objectives of S. 1288 are goals that the Forest Service 
strongly supports; indeed, they represent ends that the agency 
has been actively pursuing under its existing permanent 
authorities and through pilot projects. In fact, the Camino 
Real Ranger District of the Carson National Forest was recently 
recognized for an innovations in government award by Harvard 
University's Kennedy School of Government for its collaborative 
stewardship project in northern New Mexico.
    New Mexico, and many areas across the West have an 
unnaturally high density of small diameter trees. Our 
relatively arid forests of the inland west and Rocky Mountains, 
of which New Mexico is a part, are perhaps in the most serious 
condition. At present we have a number of important initiatives 
underway to help address these problems and S. 1288 will 
provide an additional option.
     First, the Forest Service has invited nominations 
for large-scale (i.e., 200,000 to 500,000 acre) watershed 
restoration projects which are now being evaluated;
     Second, under Section 347 of the fiscal year 1999 
Interior appropriations bill, the Forest Service has entered 
into 28 stewardship end-results contracting pilot project 
testing a wide array of new administrative tools.
     Third, as part of the President's budget, the 
agency requested $15 million for forest ecosystem restoration 
and improvement to accomplish watershed health objectives, 
although only funded by the Senate Interior Appropriations 
Subcommittee at $5 million.
     Fourth, the Research, State and Private Forestry, 
and National Forest System branches of the Forest Service have 
been working together to develop a comprehensive strategy for 
achieving watershed restoration and fire protection goals 
through improved utilization of small diameter material.
     Fifth, we are placing greater emphasis on our 
watershed, wildlife and fish, and hazardous fuels reduction 
programs and budgets, all of which contribute to programs that 
improve watershed health.
     Finally, the Forest Service is actively pursuing a 
forest health risk mapping effort to help identify those areas 
at greatest risk from unnaturally occurring levels of 
catastrophic wildfire, insects, and disease and to thereby 
provide a more scientific basis for allocating resources in 
response to these needs.
    Some aspects of the legislation either concern us or 
require clarification. Our principal concerns are as follows:
    (1) Section 5(b) Eligibility Requirements: The Forest 
Service recommends that the eligibility requirements be 
modified to require that all projects meet restoration criteria 
in addition to one or more of the other criteria listed. It is 
extremely important to ensure that the stewardship work 
accomplished with these grants, first and foremost, addresses 
the restoration and land health priorities that exist on 
National Forest lands in New Mexico.
    (2) Use of Federal Funds on Non-Federal Lands: Sections 
5(b)(1)(A) and 5(b)(1)(B) indicate that projects that 
accomplish restoration work on federal, state, or tribal forest 
lands may all be eligible to receive funding under the bill. 
The legislation should clearly state whether the Secretary 
would have authority to expend federal funds on projects 
involving only non-federal lands or even a combination of 
federal and non-federal lands.
    (3) Ceiling on Project Funding: Section 5(b)(8) provides 
that to be eligible to receive grant funding under the Act, a 
project must ``not cost more than $150,000 annually nor 
$450,000 in total.'' It is unclear whether these figures apply 
to just the federal funding portion of the total project cost, 
or to the total of the federal funds plus matching funds from 
other sources which under the terms of the bill would be at 
least 20 percent of the total project funding.
    (4) Annual Workshop: Section 5(b)(10) requires that 
stakeholders attend an annual workshop. There is no reference 
as to the purpose of the workshop or who will conduct and pay 
for the workshop. Our understanding is that these workshops 
would be coordinated by the Forest Service for the purpose of 
stakeholders to meet, share, and learn from their common 
experiences. The bill should be clarified to reflect this.
Closing
    In summary Mr. Chairman, we support the objectives and 
intent of S. 1288, and look forward to working with you to make 
the necessary changes and clarifications.
    We thank the subcommittee for the opportunity to comment on 
this bill. I would be pleased to answer any questions you may 
have.

                        changes in existing law

    In compliance with paragraph 12 of rule XXVI of the 
Standing Rules of the Senate, the Committee notes that no 
changes in existing law are made by the bill S. 1288 as ordered 
reported.

                                  
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