OPA Announces Price Adiustments lfor Douglas

Fir, Western Hemlock and True Fir Lumber

. Readjustments to be made in mill ceiling prices for Douglas fir, Western Hemlock and true fir lumber have been announced by the Office of Price Administration.

The adjustments, which will increase ceilings on some items and reduce them on others, will result in an average increase of approximately $1.10 per 10@ board feet or 3 percent over present average realizations.

The adjustment, issued on March 1, effective March 6, 1946, will bring the Douglas fir mill ceilings up to an approximate average realization of $40 per 10o0 board feet.

This action, designed primarily to stimulate production of lumber items urgently needed for postwar residential construction, does the following things:

(1) Increase's prices for basic grades of lumber used in residential constguction, other than common boards, from $2 to $10 per 10@ board feet.

(2) Eliminates premiums for special grade and grain specifications which were seldom charged before the war but which have been charged considerably during the war. The premiums eliminated range from $1 to $6 per 1000 board feet and largely offset the price increases granted in the basic construction grades.

(3) Lowers the ceilings on some items not used in construction which are cut from the same part of the log as certain construction items such as flooring.

(4) Makes other changes in prices designed to bring them in proper relationship to peacetime demand.

(5) Scales down the ceilings for ofistandard fractional widths and thicknesses. fn tables 2, 3,4, and 11, the footnotes pricing odd or fractional widths and thicknesses now require that footage shall be computed on the nominal fractional rough size.

In explaining the action, OPA pointed out that ,before the war clear grades of Douglas fir were normally cut into flooring, ceiling and siding which are used extensively in the construction of homes. During the war, however, there was vital need to cut clear grades of Douglas fir into ship decking, ponton lumber, and finish and thick clears. Price ceilings have, accordingly, made the cutting of wartime items more profitable than the less urgently needed home construction items.

The end of the war reversed the demand for Douglas fir items. The announced increase in the ceilings of basic grades of Douglas fir is expected to stimulate production of construction fir items.

The price changes were determined after a series of consultations with representatives of the Douglas fir industry.

The changes are:

Dimension

An increase of $3.50 per 1000 board feet on all grades No. 3 and higher. Eliminates stress and grain premiums of $1 to $6 per 100O board feet.

Plank and Small Timbers

An increase of $2.50 per 1000 board feet on all items. Eliminates stress and grain premiums of $2 to $6 per l00O board feet.

Timbers fn dimension, plank and small timbers and timbers, hemlock is now priced $2 under fir.

An increase of $2 per 1000 board feet on all items. Eliminates stress and grain premiums of $2 to $6 per 1000 board feet.

Flooring

An increase of $5 per 1000 feet surface measure on all /s items. An increase o.f $10 per 1000 feet on other thicknesses. . Drop Siding and Rustic

An increase of $5 per 1000 feet surface measure on all sl items. An increase of $10 per 1000 board feet on one inch items.

Ceiling

An increase of $5 per 1000 feet surface measure on % and thinner items. An increase of $10 per 1000 board feet on one inch items.

Finish and Clears

A decrease of $5 per 1000 boafd feet on all vertical grain four inch width and narrower and flat grain eight inch wide and narrqwer.

Thick Clears.

A decrease of $5 per 1000 board feet on three inch and (Continued on Page 6)

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OPA Announces Price Adjustments Lumber Merchant Association Directors

(Continued from Page 4) four inch thick vertical grain four inch wide and narrower, and three and four inch thick flat grain eight inches wide and narrower.

(Kiln dried)

Car

Lining, Roofing, Siding

An increase of $2.50 per 1000 bodrd feet on all lengths of Ix4". In lx6" widths, the following increases: An increase of $2.50 per 1000 board feet on 5' and.6' lengths ; and increase of $6.50 per 100O board feet on y,lA,l2',l4',16,, 18, and 2O' lengths; an increase of $7.50 per 1000 board feet on 8,, 22', 2(, 6/20' rand,om lengths, 8/2A rand,om lengths, and lO/20' random lengths. Car Siding is now priced at g2.50 over lining.

Ship Decking and Margin Piecris

A decrease of $5 per 1000 board feet on all items.

Ponton Lumber

This item has been deleted from the regulation, as it is no Ionger in demand.

Note-Clears are defined as lumber items graded from the standpoint of appearance and not from the standpoint of strength.

In table 5 of the "N" list (export), the same deductions are made in corresponding sizes as in Finish and Clears (table 11) and thicker Clears (tabte 12) of the domestic list.

(Amendment No. 22 to Revised Maximum Price Regulation No. 26-Douglas Fir and Other West Coast Lumber; effective March 6, 1946.)

Tcrlks To Producers' Council

Arthur A. Hood, director of dealer relations of the JohnsManville Sales Corporation, gave a talk entitled "A Challenge To The Construction Industry" before the Northern California Chapter of the Producers' Council in the palace Hotel, San Francisco, March 4.

Meet in San Francisco

The board of directors of the Lumber Merchants Association of Northern California held a meeting at the Palace Hotel, San Francisco, on Wednesday, February 27.

Bernard B. Barber's resignation, effective March 31, as executive vice president was accepted by the board, and at the urgent request of the directors Mr. Barber, who is entering private business, accepted the office of assistant to the president.

Robert J. Wright was elected to succeed Mr. Barber as executive vice president, and C. D. Hart was elected secretary.

Mr. Wright was with the association for some time before entering the service. He was recently released from the Navy as a Lieutenant Commander after three and a half years' service.

Paul M. P. Merner, Merner Lumber Co., Palo Alto, was made a director-at-large.

Following a round table discussion of the Office of Price Administration, the board adopted a resolution favoring discontinuance of the OPA, but agreeing to a six months' extension of the life of that organization if Congress provides for its complete reorganization.

A copy of the resolution was ordered sent to President tamar Forrest of the National Retail Lumber Dealers' Association, who had asked all the regional associations for their opinions on this subject.

Rebuilding Veneer Plcrnt

The California Veneer Co. is rebuilding its veneer plant which was destroyed by fire last December. It is located about seven miles north of Klamath, Calif. A new office building was erected soon after the fire. The log pond has a capacity of four million feet and is being filled with Douglas fir logs.

They will manufacture green veneer at first, then add an extension to the main building, and install dry kiln facilities. The company hopes to be able to start operating about April 1. E. W. Borcherding is resident partner, which he owns with O. D. Borcherding. Axel Lund, general plant superintendent, has charge of construction of the new plant, assisted by Noble Crain, operating superintendent. When operations start, the company will have about 50 employes.