Southern Stumpin’

By David Abbott • Managing Editor • Ph. 334-834-1170 • Fax: 334-834-4525 • E-mail: david@hattonbrown.com

Highs And Lows

You might have heard that lumber prices have been high. That’s bad news for people buying lumber and good news for those making and selling it. In its June 2021 issue, Timber Processing (another Hatton-Brown publication, like Southern Loggin’ Times) presents the results of its annual survey of sawmill owners. In his column, our editor-in-chief Rich Donnell writes, “Never…have softwood lumbermen and hardwood lumbermen in the U.S. expressed at the same time as much optimism for the immediate future. That’s not a surprise, given the tsunami of record lumber prices.”

What’s causing these high prices? It can’t be attributed to any one thing; it “has been driven by several factors,” Rich says, pointing to supply chain logistics and supply-demand imbalance, “specifically a supply that has yet to catch up with demand dating back a year ago to the pandemic, as home repair surprisingly boomed...”

When many found themselves stuck at home in quarantine, they decided to busy themselves with home improvement projects. Now that most are out of quarantine, many are buying or building homes.

In his presentation of the survey itself, Donnell adds, “In April 2020…U.S. softwood lumbermen were feeling down in the dumps.” Now, just over a year later, some sawmill owners and managers call this the best market they’ve ever seen. “This upbeat expectation stands in stark contrast to how they felt when this survey was conducted a year ago, right after the pandemic hit and the building products industry was temporarily put on hold,” Rich writes. At that time, most respondents to the survey predicted poor markets for the foreseeable future. What a difference a year makes!

It’s not just building supplies. In a June 9 article on the Woodworking Network web site, author Robert Dalheim indicates that lumber prices have been a factor (along with trucking problems and high demand) in a looming worldwide shortage of wood pallets, which will make them cost more, too. This, like supply chain issues plaguing other industries, appears to stem from economic resurgence as the pandemic seems to be dying down. Consumers are more active and retailers are struggling to catch up with increased demand for all products.

The question is how long it will last. As Rich puts it, “The market and prices eventually have to slow down, right?” And, when that does happen—if it hasn’t happened already—what will the new normal be?

Not So Fast?

Some think we’re already there. In a June 11 post on Bloomberg.com, Marcy Nicholson reported, “Lumber futures posted their biggest–ever weekly drop, extending a tumble from alltime highs reached last month as sawmills ramp up output.” According to Nicholson, “Lumber has now dropped almost 40% from the record high reached on May 10. Sawmills appear to be catching up with the rampant homebuilding demand in North America that fueled a monthslong rally, bringing some relief to a market beset by supply shortages and price surges.”

Similarly, in his June 16 Forest2Market blog post (under the headline “Lumber Prices Plummet; Is the Roller Coaster Ride Over?”), Mike Powell reported that southern yellow pine lumber prices were continuing a weeks-long sharp decline, reaching their lowest level since midApril. “Forest2Market’s composite SYP lumber price for the week ending June 11…was $979/MBF, a 7.8% decrease from the previous week’s price of $1,062/MBF,” Powell wrote. “Other price trends observed over the last several quarters in what has become the most chaotic lumber market in recent history include: l 3Q2020 Average Price: $728/MBF l 4Q2020 Average Price: $595/MBF l 1Q2021 Average Price: $946/MBF l 2QTD Average Price: $1,041/MBF

“As some of the air is now being bled out of the inflated lumber market, the obvious question is: Going forward, where will prices settle… if at all? No one knows where the ‘new normal’ price of finished lumber will settle, but the futures market may provide some anecdotal guidance.”

If Powell is correct that lumber futures do offer insight, then a Business Insider article by Emily Graffeo from June 27 may be of interest. Graffeo reports that traders believe lumber prices have hit bottom, going as low as they’ll go for now, and will likely hold steady at a level double the historical average for a long time to come. “After an intense run-up in the beginning of the year, lumber has fallen nearly 50% from May’s record high of over $1,700 per thousand board feet,” Graffeo writes. “It means that supply and demand are normalizing, and an equilibrium is being found.”

Forest2Market’s Powell continues, “The combination of strong (and surprising) lumber demand and pinched supplies from manufacturers resulted in a tremendous gap in the market, and the supply chain is just now beginning to rebalance.”

Nicholson quotes Scott Reaves, forest operations director at Domain Timber Advisors, as saying that “We’re at a new normal” in terms of sustained housing demand and the consequent lumber price floor. Reaves expects prices above $500 per thousand board feet. Meanwhile, according to Stinson Dean, CEO and founder of Deacon Trading, “The new normal is going to be significantly higher than the old normal,” and he “expects lumber to trade above $1,000 for potentially the next three to five years,” Graffeo reports, adding that the historical average is around $400.

Bloomberg’s Nicholson cites Domain Timber Advisors LLC, a subsidiary of Atlanta’s Domain Capital Group, in reporting that the lumber industry has responded to all this by ramping up output to the tune of 5% in the last year, with another 5% increase, roughly a billion board feet, expected on the horizon. Multiple companies— including Resolute, West Fraser and Canfor— have announced multimillion-dollar investments aimed at expanding production capacity.

Bottom line appears to be this: as supply gets in balance with a demand that does not appear likely to be diminish for a while, prices won’t remain sky high, but will be higher than normal.

What About Logs?

The general public knows lumber is high, but if you’re reading this magazine, you might have noticed that log prices haven’t necessarily kept pace. A lot of people have asked me why that would be. Always eager to defer to those who know more than I do, I refer them to an analysis from Brooks Mendell on the Forisk blog, posted on April 7, entitled “Why Are Timber Prices Low.” Mendell writes:

“Consider the disparity between sky-scraping softwood lumber prices and the pedestrian prices received by forestland owners in the U.S. South for their logs. I hear from folks in forestry who are convinced that the failure of timber prices to rise during this frenzied lumber market is evidence that ‘something is going on,’ that Canadian firms ‘infiltrated’ the South, that the lumber industry is ‘over consolidated.’ While multiple reasons may help explain the dynamics of timber prices by local market, the bottom line remains that, in the U.S. South, we are swimming in wood.”

So, as is often the case in the free market, however complex it may sometimes be, it still comes back to the basics: supply and demand. While there has been an undersupply of lumber relative to increased demand, it appears that logs are generally oversupplied. Mendell cites years of studies, going back as far as a decade ago, indicating that timber supply has long exceeded demand.

He continues, “Twenty years ago, the South averaged 14 years of pine grade on the stump on private timberlands. Now, the region averages 26 years, even as billions of board feet of new, cutting-edge sawmill capacity has come online. Demand is still chasing supply…it takes time for forests to cycle and for mills to get built to bring back balance.” SLT

Brotherhood

■ Chris Daniels and his brothers keep their family tradition going.

By Patrick Dunning

BEVERLY, W.Va.

The Daniels brothers were raised in the woods watch ing their father Robert log patches of timber in the Appalachian Mountains until they were old enough to follow in his footsteps. It’s no small feat that all the brothers—Nick, Scott, Todd and oldest brother Chris Daniels, 60, the owner of Circle D Timber, Inc.—have continued working closely together through the years, allowing them to circumvent the woes often associated with finding reliable help. Circle D’s brotherhood has stood the test of time (34 years and counting), tackling steep topography through conventional chain saw felling when necessary and mechanized means when possible.

“Sometimes it’s good, other times it’s hook and duck,” Chris laughs, describing a typical work day with his brothers. “Overall we get along pretty well.”

Chris enlisted in the West Virginia National Guard as a (MOS) 13B, cannoneer, before graduating Elkins high school in 1979. He shipped to the home of field artillery, Fort Sill, Okla., the following summer for four months of basic training. When he returned from boot camp his father was approaching retirement, so Chris and Scott went to work for George and Donnie Hunt, brothers and partners in Hunt Brothers Logging, St. George.

After years of absorbing their family’s work dynamic, Chris ➤ 12

Operating a 437E, Scott markets in-demand poplar sawlogs before they head to the mill.

Single grouser pads offer stable ground engagement and less slipping when operating on inclines.

From left: Nick Delauder, Donald Miller, Scott Daniels, Chris Daniels, Jason Peyot

Circle D Timber averages 25 logs a week with the majority hauled to Dingess Lumber Co.

decided to go out on his own with one truck, skidder and dozer, incorporating his business in 1987. He was then still attached to Battery A, 201st Field Artillery Unit in Elkins, devoting one weekend a month and two weeks each summer to training while managing Circle D full time until he waived reenlistment after 10 years to commit more

8 ➤ time to the woods. He compares the sound of a fired cannon to a mature hardwood tree tearing down a hill after a directional fell, cracking like thunder upon impact.

Operations

When Southern Loggin’ Times visited Circle D Timber in May, the solo crew was conducting a select cut in Marion County, targeting 16 in. logs on an 80-acre private tract owned by R&M Natural Resources, LLC, a natural gas and quarrying company. Timber rights were leased to Dingess Lumber Co., with which Chris contracts. He prefers the mills handle property boundaries and procurement while he focuses on logging. “We like to stay within an hour of Beverly,” Chris says. “The mill was able to buy a good bit of timber reasonably priced up here and gave me a decent price-perthousand rate to cut it.”

The landing is situated at the base of a bowl with skidder trails scaling both sides of the mountain reaching 1,200 ft. in elevation. The left ridge

is heavy to poplar and the right to white and red oak. “It’ll raise up about 100 ft. and have a bench 40 ft. wide then get steep and then have another bench the higher you go,” Chris describes. “Water comes off the hills and likes to hang out on these benches. It can stay wet in this country.”

Equipment

Among Circle D’s John Deere lineup is a ’14 640H cable skidder, ’16 648H grapple skidder and ’21 748L-II grapple skidder operated by half-brother Nicolas, 40. Front tires are dressed with Bear Paw chains for additional traction in the woods. Scott, 59, runs the ’14 John Deere 437E loader fitted with a 42 in. grapple. Two John Deere dozers, a 700J and 700K, are used for constructing culverts and maintaining BMPs.

The crew’s ’14 TimberPro TL735B track cutter is fitted with single grouser pads and its TBS32 bar saw can cut up to a 32 in. diameter tree. “I should have bought one of these machines 20 years ago,” Chris says. When the ground is too steep for the Timber-

Pro (which is about a third of the time in this region), Jason Peyot and Donald Miller fell with Husqvarna 372 chain saws. Husqvarna saws offer more balance than some competing brands, Chris believes, and he’s able to work on them himself or take them to a local dealership near his house if he needs to.

Chris purchased the TimberPro track cutter through CJ Logging

Equipment in Boonville, NY. He looks to Leslie Equipment Co. in

Norton for everything John Deere, dealing with general manager

Mark Harless. Leslie Equipment’s proximity to Circle D’s headquarters in Beverly comes in handy when parts are needed. Warranties are provided on all new equipment he purchases. Chris prefers putting money down when he acquires machinery and rolling over any equity into newer equipment for lower monthly payments and tax purposes. “There’s a new L skidder here and I have the H model at the house and there’s nothing wrong with it,” he explains. “It’s paid for and making money but you pay out in taxes. I’ll purchase a new piece of machinery and roll over the equity into another piece for my taxes.”

Routine maintenance is scheduled every 250 hours for woods equipment and 10,000 miles on trucks at the company’s 40x60 shop. Trucks are greased every other day. Joe Hendrick, full-time mechanic, uses Delo 400 15W-40 across the board. They source all fuel from Woodford Oil Co. in

Elkins.

Donald Miller prepares a red oak log for a drag with cable chokers.

Trucking

Chris owns four International trucks purchased from Newlons International Sales, LLC in Elkins. He deals with Chad Newlon, thirdgeneration owner of the family business on a regular basis. The fleet includes a 2018 quad-axle, ’99 9900 model and two ’07 5900s, one dump truck and a

loader truck. “I like our loader truck because there’s no DEF, which neutralizes the exhaust and hurts the horsepower of the truck and can be a lot of headaches,” Chris says.

Circle D runs exclusively Pitts trailers behind all their trucks. One of Chris’s favorite modification was getting the folks at Newlons to attach a hitch onto his dump truck’s trailer three months ago and adding a pup trailer behind it for backhauling. “I couldn’t get enough volume and weight on that truck so I took it to them and asked what they could do. It’s dual purpose now and makes the dump truck worthwhile,” he says. “A lot of times they haul stone into the job and haul logs out. This makes it to where I get paid both ways.”

Chris’s trailer stakes are 13 ft. 4 in. tall, 2 in. shy of the state’s height limit of 13 ft. 6 in. He started getting them taller after a log rolled over the top of a trailer and hit him in the head, injuring his back and resulting in a weeklong stay in the hospital. He also likes his stakes a bit heavier than the average trailer specs, so Newlons’ full-time welders customized his existing 4 in. diameter bolsters to 5 in. to diminish any bending or breaking. “The standard is 4 in. but I had them breaking a lot so I told them I needed heavier bunks and also a little taller; that way nothing falls off,” he says. “They build your trailer to your specs and put your bunks, headboard, even your axles where you want them. They really work with you.”

Chris says, “It can be difficult finding drivers that insurance companies will cover. I’ve had guys I knew were decent drivers unable to get insured because of a couple speeding tickets.” Circle D

Timber employs two full-time truckers, Ray Carper and Greg

Decker. Todd, 56, contract hauls stone for the business on occasion.

The company hauls an average of 25 loads weekly. Hardwoods, including birch, beech, gum and poplar, are hauled 80 miles south to Weyerhaeuser in Flatwoods.

Oak and hickory are ground into smoker pellets at Metzler Forest

Products, a 60-mile haul to their woodyard in Buckhannon. Dingess

Lumber Co., Belington, receives the bulk of Circle D’s volume.

“Since I’ve been contracting for

Dingess Lumber I haven’t been on quotas in years,” Chris says.

“They’re hurting for logs right now, which is good for me.” Their poplar markets have seen an uptick in demand this past year and white and red oak have started coming back the past three months as well.

Farm Family Insurance, based in Marlinton, has provided onestop coverage on Circle D Timber’s workers’ comp, trucking and equipment for 25 years. Cathy

Mosesso, insurance broker, comes by Chris’s house once a year to discuss rates and future needs.

Chris is a member of the West

Virginia Forestry Assn. His daughter, Samantha Robinson, handles all paperwork for the company. SLT

Daniels dresses all his skidders with Bear Paw tire chains for additional grip.

Lone Wolf

■ One of a kind Donnie Reaves does things his own way.

Reaves takes a Gator from his house uphill to his cutter; from the ridge on his property in Coleman Falls, he has a view of the Bedford/Amherst county line near Lynchburg, separated by the James River.

By David Abbott

COLEMAN FALLS, Va.

Those in the Virginia forest products ★ community, and those outside Virginia who have been active in the American Loggers Council or attended its meetings for the last 20 years, should have no trouble recognizing the one and only Donnie Reaves. As unique as he is well known, Reaves, 67, has been working in the woods since he graduated high school in 1972. And for about the last 10 years, his company, Donald E. Reaves, LLC, has been a oneman operation. He cuts, skids, loads and hauls every piece of wood he turns out, all by himself.

When Southern Loggin’ Times paid him a visit in late May, Reaves was set up with an enviable commute. He could simply walk out his front door, hop in his John Deere Gator utility vehicle and make a short trek from his house up the trail to the steep ridges where he was cutting on his own property. Over the decades, the Reaves family has accumulated about 2,500 acres, mostly of mature hardwood, 1,000 of it in different places and about 1,500 in the land on which he and much of his family calls home.

“I pick a spot that I feel like needs to be cut and I manage that section and then move on to another.” He works on his own land pretty often, but not exclusively.

“If I could do it the way I’d like,

I think I would work at least half the year on someone else’s land,” he says. “I’ll finish this piece and then work somewhere else the rest of the summer and maybe the fall.”

There is some ash here, and more poplar than oak; it’s all natural growth. “Some is low-grade timber that’s no count, and there’s some good timber. Some of those old oaks are more than 100 years old.”

Sometimes he clear cuts a section and replants it, when he thinks it is ready for it, calling on the state’s Department of Forestry for the service. “We might see if we can plant some pine on some of the ridges,” he predicts. “Some of this on the ridges was planted before 1972. I cut it last year and it was just poor quality pulpwood. In 50 years it hadn’t grown anything. So we might see if it might not do better in pine. We planted a little pine in some fields over the years, but not in the mountains.”

The Gator takes him up a pretty steep incline to a Tigercat tracked cutter. He also keeps a John Deere track hoe up there to help with roads. After he has enough cut down, he skids each drag back downhill to the landing, set up on a patch of flat ground closer to the house. Reaves may be a one-man show but he didn’t get there all buy himself, he is quick to emphasize. “I appreciate all the people who have helped me to get where I am, from my parents right on down.” Speaking of his parents, Donnie’s father, Edwin Reaves, was a native Virginia mountain man; his mother, Lorraine, was from Montana. They met in Washington, DC after World War II. Lorraine, who will be 99 soon, is still alive and living with her son. The Reaves family home was built in 1912; Mrs. Reaves has lived here since April 15, 1948. “They put $5,000 down on that place in 1948, which was a lot of money then,” Donnie says. The house is still in

“Nanny Nancy” Calloway helps take care of “Grannie” Lorraine Reaves, who lives with her son, Donnie.

excellent condition, having been well maintained for more than a century. And the land on which the house sits has provided for the family all this time. “If we want something, we cut another tree,” Mrs. Reaves says. “And we haul them to wherever gives the most for them.” Good Deals Reaves hauls his pulpwood to WestRock in Covington. “It’s 80 miles to Covington, so I get up at 2 in the morning, leave about 3, and I get back home around 7 a few times a week.” WestRock operates 24/7, so he can haul a load or two of pulpwood on weekends. Fuel chips

also go to WestRock or to Dominion Power in Altavista (WestRock handles procurement for Dominion, he says). Dominion takes loads five or sometimes six days a week, but not at night.

It used to be Reaves had to go only 30 miles to deliver logs, but now they go 70 miles, to Rock Wood Products of Dillwyn, Va. “Paul Evans up at Rock called me to see if I would bring them my logs. I said it won’t take but one thing to move me and that’s money. His money was good,” Reaves reports, so they made a deal.

The art of the deal is a big deal to Reaves. “I don’t mean this in a smart aleck way, but I’m not going to work if I can’t make any money. If people see me going there, they know there is money there. All I am in interested in is dollar bills with ‘In God We Trust’ on it.” The bottom line for him is negotiating a price that will allow him to make a profit; if he can’t then he won’t make the deal, and he’s not afraid to walk away from it.

“I know in my mind what the timber is worth; there is no such thing as a level playing field. So I will bargain for Donnie and make a deal with the mill or with the landowner and negotiate an advantage for myself. You can work yourself to death for nothing or you can pace yourself and make every lick count.”

Equipment Inventory

Near his house, Reaves has a couple of shops into which he can pull a truck or machine for repairs and maintenance when needed. He also uses the buildings to store a considerable quantity of assorted tools and spare parts, various odds and ends, and an impressive assemblage of classic chain saws of all makes and models, some of which he’s traveled far and wide to obtain. Outside, he has an equally impressive inventory of machines and trucks. “I got a collection of old junk,” he grins. “When I die it will be a good junk sale.” One of his prized possessions: “My daddy bought his first skidder, a 440A John Deere, in 1968.” While he doesn’t have that skidder, he does have a similar one in his collection. “That skidder weighs 12,000 lbs.; he bought a brand new one for $12,000, a dollar a pound.”

Other than John Deere road building equipment and a Morbark chipper, every machine Reaves uses in the woods is Tigercat. He’s bought it all from Tapscott brothers Guke and Binky (Reaves calls him “Uncle Binky”) at Tigercat dealer Forest Pro. “Binky knows what he’s doing. He’s sharp and he’s good to me. I wouldn’t buy from anybody else.” They’ve been doing business for 20 years or more, Reaves figures, first getting to know one another at a Virginia Loggers Assn. meeting held at a Forest Pro branch. “If you treat Binky half right, he’ll do anything in the world for you. He’s done well because he treats people right, and that’s just it. You have to treat people right to be treated right.”

He made his most recent acquisition at the end of last year: a 2013 Tigercat 724E wheel cutter with 5702 feller head and Primex 30.5 tires. “I told Binky I was looking for a wheel cutter, and he found me one.” He bought the machine in December 2020, getting it in before the end of the year for tax purposes. He paid for it all at once in this case, though he normally does have to finance purchases. “I try to pay it off early when I can.” The only thing he owes for currently is his Morbark chipper.

While he expects to get plenty of use from the rubber-tired machine, his main cutter is a 2015 Tigercat LS855D tracked feller-buncher, which he’s had for three years. When he works on such steep inclines, it’s a necessity.

The Reaves family has been in the woods since before Donnie was born. A one-man crew, Reaves does it all, all on his own.

He's a confirmed Tigercat man.

"Uncle" Binky Tapscott of Forest Pro takes care of him.

Reaves has good markets for hardwood logs, pulpwood and chips.

When I met Donnie Reaves a few days before the Richmond Expo, he graciously insisted on taking me to lunch at a local place where he claimed I would find the best barbecue I had ever eaten.

The name of the place is County Smoak in Lynchburg, Va. Owners Ken and Jess Hess wear t-shirts that read “Qu-Tang.” It’s what they call their tangy North Carolina vinegar sauce, but the name and logo is also an homage to hip hop group Wu-Tang Clan. “I grew up in Brooklyn, she grew up in New York, we grew up listening to Wu-Tang,” Ken says. “It’s not Donnie’s music, but everyone has their own thing.”

Donnie got to know them August last year when he was cutting on the property right behind their building. “Every morning he came in and got a hot dog,” Ken recalls. “We come from different walks of life but we got to be friends.”

The Hess family got to Virginia from New York a long way around. First they moved to my sweet home state Alabama. A few years ago their oldest daughter, upon finishing 8th grade, skipped high school and went straight to college. She had an opportunity to study at Mary Baldwin University in Staunton, Va., but she was only 13, and could hardly move out of state and live on her own. So her family relocated with her. Though they had found jobs, Jess and Ken decided to make their dream a reality by starting their own barbecue restaurant. But they might could have picked a better time; they opened on May 12, 2020, two months into the global pandemic that put a lot of restaurants out of business and cost them their jobs. They remained undaunted. “I was out of work, she was out of work, so we gave it a shot,” Ken says.

Not only has this restaurant survived, it has thrived. Besides the big business they do, Jess and Ken have made a lot of friends with their own generosity. For example, they have what they call a “Thankful Thursday” program to feed the needy, specifically those who lost jobs in the service industry due to Covid-19. “People go to a barbecue place, they always go for ribs, brisket and pork, so there is always a lot of turkey left over,” Jess explains. She had the idea of donating turkey meals. It’s actually every day, but the name came from the association of turkey with Thanksgiving, which is always on Thursday. “People started donating $150, $250 for Thankful Thursday,” Jess says. The couple also donates food to a place called the Lighthouse that feeds the needy, and to police and fire departments, hospitals, nursing stations and NICU units. They give free drinks to service members, EMTs and first responders, even when they’re off duty. “We want to help support our community and not just make a living off of it,” Ken says. No wonder Donnie Reaves is so fond of them.

Not to mention: the food is really good. Best barbecue I’ve ever tried? It just might be. SLT

The track machine weighs 95,800 lbs. and burns less fuel than the wheel cutter, Reaves says. He keeps track of fuel consumption in each machine, writing down every gallon of fuel he puts in with the dates so he knows how long it lasts and how many loads he gets per gallon.

From the top of the hill, a 620E skidder pulls down to a 250D loader that is paired with a CSI reversible slasher and CSI pull through delimber.

Reaves uses only Tigercat filters, changing every 250 hours. Along with the big workshops near home, he also has a shop trailer he keeps at the landing with spare fittings, hoses, and other various parts and tools.

A fuel truck at the job site holds 2,300 gallons of off-road diesel. He buys it from Southern States in Bedford. Reaves is also a member of the Southern Loggers Co-op, which has a station in Covington overlooking the WestRock mill. Reaves fills his truck there. “At first I didn’t think it was the right thing because I think you ought to support your local businesses, but I talked to Bill Jones, and the savings was too good to pass up.”

Forestry Mutual provides Reaves with workers’ comp. He calls Keith Biggs, President of Forestry Mutual, a good man. “I have been with him for years.” Gaines & Critzer Ltd. insures his trucks and equipment.

Crystal Adkins, an accounting firm in Bedford, has handled Reaves’ taxes for years. “They take care of everything,” Reaves says. “At the end of the year I can ask them if I should buy anything. I pay them every month but it is more than worth it. It doesn’t cost as much at the end of the year to get the taxes done because they know what is going on with it all year.”

Wise Man

“If you listen to these old people, they can teach you a whole, whole lot,” Reaves counsels. He has a few nuggets from his own experience to share with his peers.

“I think you either have to be pretty small or pretty large,” he’s convinced. “The middle man has a whole lot of the same expenses as the big man but doesn’t have the income.”

The landowner is more important than the timber, he believes, explaining, “If I don’t take care of the landowner then I don’t get to come back.”

Everybody needs a piece of the pie, he says, but it’s important to leave a big enough slice for yourself. “If I pay too much for the timber then I’ll be out of business. If you price yourself so close you can’t make any money, whose fault is that?”

Speaking of price, he says, “We don’t need twice as much money as we are making, but the industry needs to pay us 10-20% more. But as long as somebody will work for nothing, they’re not going to do it. So we are kind of our own enemy.”

Competition to him is friendly: “There is plenty of work out there for all of us. I wish for anybody working hard and trying to treat people right to do well.”

Reaves has been to Washington, DC with the American Loggers Council several times, meeting with legislators to represent the interests of the logging industry on key issues. He serves on the organization’s Board of Directors, and hasn’t missed an ALC meeting since 2002. He also attends Virginia Loggers Assn. meetings as often as possible.

Along with going all over the country to attend ALC meetings, he has also traveled to attend logging expos in Maine and Vermont, the Mid-South show in Mississippi, the Paul Bunyan show in Ohio, and to Tigercat headquarters a few times. “I enjoy stuff like that and I have seen a lot that I never would have seen. I have met a whole lot of good people. We may operate different but everybody basically wants the same things.” SLT

Spotlight On: Felling, Processing, etc.

SLT invited manufacturers of feller-bunchers and harvesters, saw heads, processors and related components, to submit material regarding what they have to offer. Here are all submissions we received, edited only for style consistency and space constraints.

John Deere

Including the 270HP 843L-II and recently increased 219HP 643L-II machines, the LSeries II lineup offers customers a reliable and powerful solution. Boasting the productivityenhancing features of the original L-Series, the L-II machines have been reworked under the hood to offer decreased downtime and increased serviceability.

A recent update on the 643L-II, the increased horsepower provides additional hydraulic multifunctioning capability, giving operators more fluid hydraulic responses during operations. Additionally, the horsepower increase also improves the recovery response with engine pull down, allowing the operator to re-engage in harvesting more quickly.

The simplified L-Series II models have been revamped due to a number of part changes to reduce complexity. Changes to the electrical and hydraulic systems and improvements to component placements enhance the logger experience when servicing the machines. “The two-piece wiring harness makes it easier to work on the machines,” said Wayne Sugg of Sugg Logging. “Wiring is rerouted, so it is not bunched up in the machine, which reduces rubbing wear. The cylinder guards protect the hoses from falling limbs. These changes help make the machine more reliable, which saves time and money on maintenance.”

In addition to the new changes, the L-Series II Wheeled Feller Bunchers retain the favorite features from the original models. Features such as a comfortable operator station and durable axles offer loggers what they need to tackle tough jobs and endure long workdays. The workstation was designed by loggers, for loggers. It is equipped with large windows for excellent visibility, an efficient HVAC system, ergonomic controls, and optimal storage space for increased comfortability. The onebutton Quick Dump feature improves efficiency with the simple push of a button to release trees in a single, smooth motion. The head-tilt and arm functions are combined to help minimize fatigue while increasing productivity. The new models also retain notable weight distribution, tire options, and increased hydraulic speed that current machine owners commend.

Ponsse

In Ponsse’s harvester heads, durability and reliability come first. Harvester grapples must withstand extreme stress, while being as accurate and gentle as possible, without damaging the stem surface unnecessarily. This is why Ponsse’s harvester heads have been developed together with their users. Innovative design, continuous R&D and decades of experience have made Ponsse harvester heads the quality leaders in the markets.

Ponsse harvester heads offer a superior performance. Their solid structure, effective functions and precise control guarantee excellent productivity, a high level of quality and, of course, a long service life. Ponsse models range from the best general harvester heads in the markets to optimized harvester grapples—of course, all being easily adjustable and serviceable.

Ponsse harvester heads are designed with an eye on the harvesting efficiency ratio. Their ease of maintenance and excellent efficiency meet all the needs of forest machine entrepreneurs. Solutions designed specifically for different size classes ensure that you always have the most efficient harvester head at your disposal, regardless of the harvesting site.

Ponsse’s harvester heads are unbeatable at all sites, ranging from heavyduty logging to every day wood harvesting!

Ponsse H8 HD is a tough-built harvester head with high power and excellent geometry for the most demanding logging operations. It is designed for the hard use in tracked base machines, featuring a heavy-duty frame structure and efficient hydraulic system to ensure high reliability and performance.

Ponsse H8 HD is a heavy-duty harvester head for felling and processing of hardwood and softwood in hard conditions. Strong grip, powerful feeding and fast sawing are packed in a robust and reliable package that can be fitted into various tracked carriers. Reinforced frame and tilt arm give robustness needed in tough operations. Wide feed roller geometry supports even the large stems with feed rollers instead of delimbing blades. This allows using lower pressure on knives, improving fuel economy and feeding speed as well as measuring accuracy. Optimal tilt pivot geometry minimizes the upwards torque of the head, giving smoother feeding and better grip of the tree. Visit ponsse.com for more.

Tigercat

Tigercat builds drive-to-tree fellerbunchers for the full range of thinning and final felling duties. The 720G and 724G are designed for thinning and clear fell applications and the large capacity 726G fells large diameter timber in tough terrain.

The G-series machines cabs are designed for productivity and operator comfort. Visibility is enhanced with a larger front window and larger rear quarter windows. The view over the back tires is the best in the industry— an asset in thinning applications.

Only Tigercat offers WideRange, the infinitely variable transmission for drive-to-tree feller-bunchers. WideRange allows the operator to travel more quickly than conventional two-speed transmission equipped feller-bunchers. Quicker travel boosts productivity and reduces cost per ton in high pro-

duction thinning and final fell applications. Tigercat’s unique WideRange drive system is standard on all G-series feller-bunchers. A two-speed transmission is optional on the 720G and 724G.

Tigercat has recently added the 822E to its track buncher line-up. Based on the popular 822D, the 822E is designed for challenging thinning and final felling applications.

The powerful lift capacity, tight-tuck ER boom geometry, and compact tail-swing make the 822E the perfect choice for selective felling where minimum site impact is important.

A redesigned engine enclosure provides improved roof access for cleaning debris. A boom slider also reduces debris build-up in hard to reach areas. The clamshell style enclosure and drop-down side platform allow easy access to all sides of the engine.

The updated cab on the 822E includes a durable, roomy, air ride seat with heating and cooling. The full-length front window and narrow side posts give the operator an excellent view of the tracks and surrounding area.

Tigercat drive-to-tree feller-bunchers are often equipped with bunching saws and shears for plantation applications with smaller diameter timber. In high cycle, multi-stem bunching applications, Tigercat bunching saws and shears contribute to significant productivity gains by increasing the number of stems per cycle.

The 5702-26 felling head is now available on 726G feller-bunchers. The 5702-26 is designed to fell large diameter timber with a single cut capacity of 585 mm (26 in). In larger sized timber, the wider housing reduces the requirement for double cuts, improving overall feller-buncher efficiency.

Waratah

Waratah’s HTH622B Series-III combines improved operational performance, proven durability, and new serviceability features for next-level productivity and uptime.

The HTH622B Series-III includes several features that make its performance even smoother and faster than previous versions of the HTH622B. These features include a new valve with better flow-through characteristics for reducing heat while improving feed speed and sawing performance. When coupled with the TimberRite H-16 control system, this translates to improved feeding performance, log handling and speed when single stem processing, and pronounced ¾” pitch saw performance.

In addition to enhanced performance, the HTH622B Series-III features several upgrades that make the machine even more durable for working in tough woods. A twin retainer front knife and strengthened upper delimb castings each contribute to improved delimbing durability in the harshest applications. For increased strength and productivity, the head has a tilt frame and optional integrated color marking system. A stronger valve cover, hinges and reinforced drive arm covers keep key components covered.

The new HTH622B Series-III also improves uptime with several features that make servicing quicker and easier. Supplementing the new valve performance and reliability is faster access to the valve with integrated handles and tool-less entry—followed by an improved and simplified hose layout that provides optimum access and serviceability.

“When I saw the new 622B Series-III, I was really amazed,” said Luc Jalbert, owner of Luc Jalbert Foresterie Inc. “I was anxious to take it to the woods to try it. And I think they really succeeded; they made a good thing. In the new series, the operators like the tilt; there is more torque on the rollers; the top saw is faster. And the oil cap— it’s really big.”

The Waratah HTH622B Series-III is available to customers in the United States, Canada, Latin America, Brazil, Australia, New Zealand and Russia. For more information, visit waratah.com.

Passing The Torch

by David Abbott and Dan Shell

With Danny Dructor preparing to step down as Executive Director of the American Loggers Council, his successor, Scott Dane, prepares to step into the

role. SLT staff got the

scoop from both, Danny Dructor looking back at ALC’s past and ahead to its future.

DANNY DRUCTOR

SLT: When did you take the position at ALC?

DRUCTOR: First payroll activity was July 1, 2001. I had interviewed at the summer board meeting and got the position, but Cheryl (Russell, his predecessor at ALC) didn’t officially relinquish the position until September 30; that is when I came on board as, they called it Executive Vice President then.

SLT: What was your background prior to that?

DRUCTOR: Logging. I was in the logging business with a gentleman named James Nutt. We split our job up. He went into timber services and I kept BMP Logging, Inc.—BMP like Best Management Practices, except in our world it meant Better Makes Profits. This was in Texas.

SLT: Did you grow up in logging?

DRUCTOR: No, I grew up in Houston. I went to forestry school, really for lack of anything better to do. Stephen F. Austin University was within an hour drive of a reservoir so I thought I could go fishing every weekend if I went to school there. This is true: that’s really what got me up there. I was just walking around looking at the different colleges, and the school of forestry was something really different and unique and I knew I wanted to be in an outdoors type occupation.

SLT: What brought you into a logging job as opposed to being a procurement forester?

DRUCTOR: Well I did all those things. I decided you couldn’t make any money as long as you were working for the man so I decided to become self-employed, that’s the bottom line. When I fell into logging I found that, personally, I believe that is the best sector of this entire industry because you are working with the most honest, hard working people out there. It became a passion of mine. I was a member of the Texas Logging Council; I am the oldest surviving past president of the Texas Logging Council.

SLT: How did you go from logging to the ALC job?

DRUCTOR: I decided to shut my job down in the spring of 2001 simply because, with all the acquisitions and mergers that were taking place, the margins were getting too thin for the amount of risk we were having to take and I decided to hell with it. It was a business decision. The hardest part was laying my crew off, but they all got good jobs within a week. I already sat on the ALC Board representing Texas. Cheryl knew I shut my job down and wanted to know if I would be interested (in this position). My response was that if I can’t be logging, the next best thing would be to represent loggers. I interviewed with three other people in July 2001 and ended up with the position.

SLT: ALC was formed in 1994. Were you involved right from the beginning?

DRUCTOR: No, my first meeting was in 1997. Cheryl Russell from Maine was the first Executive Director of the American Loggers Council. Before then, it was being housed at the Montana Logging Assn. and Keith Olson was taking care of things. What brought the American Loggers Council together in the first place was the rollout of the SFI program. Loggers were being asked to do things that they had no choice in; they weren’t asked if it was possible or how much it would cost them. Our first President, Earl St. John, made a comment that he wished he’d see the day that loggers would have a national voice of their own, and Keith Olson, who was sitting next to him, said be careful what you ask for. Nine months later they formed the ALC at a meeting in St. Louis, Mo.

SLT: What was ALC facing in 2001 and what was your focus at the time? What has changed in 20 years?

DRUCTOR: Our two biggest issues then were the SFI program and dues: how were we going to fund this organization. I’d say the biggest change that has happened is, we are no longer worried about SFI; it has become a nonissue with most loggers. With dues, over the years we have been very fortunate with sponsors working with us; we have enough reserves now where we feel comfortable, but still frugal. Now we have become more of an advocacy organization. We started the trips to Washington, DC 20 years ago and have never let up. That fly-in has done nothing but grow from

probably originally 20-25 folks to the last time we were there we had close to 80 people from all over the country walking the halls with us. SLT: How did you get that organized? Did you have any previous experience with lobbying? DRUCTOR: Nope. It’s a team effort. You organize the meeting places and bring speakers in but you work with all the state associations to make things happen and set up appointments. Our job was to determine what issues we were gonna carry to the hill in any particular year and come up with position statements on those issues. Leave it up to the states to form those relationships and go back year after year after year. SLT: What have been the biggest challenges ALC has faced in your tenure? DRUCTOR: Between regulations and acquisitions and mergers, it’s trying to figure out a way to change the culture of the industry to where loggers are considered a peer in the rest of the supply chain, the consuming mills and landowners, putting that professional image out there, getting that word spread that we are truly professionals and great businessmen and need to be paid the same attention as the rest of the sectors of the industry. We can’t do it without mills and they can’t do it without us, and the landowners can’t do it certainly without either one of us either. Being seen as equals in the industry to the other legs of the supply chain stool, as people say: that continues to be a challenge. We have seen examples of that in the past couple of years. Even though we are considered an agricultural activity, a lot of regulations out there don’t look at us that way. Going after this logger relief The ALC was formed for loggers fund, where ag walked in there and was offered money, we have had to fight every step of the way to try to get a pro-to represent loggers. Loggers gram going. So there is still a lot of work to be done. In my opinion probably one are unique, they have their own of the greatest things we could do for loggers right now is to figure out a way businesses to run, they’re their to become more comparable to other agricultural producers. own CEOs, and they know what SLT: How welcoming or resistant have people representing landowners they’re doing. and mills been to accepting loggers as allies when it comes to meeting Congress and looking out for the health of the industry? DRUCTOR: It was difficult at first, but I think we have managed to now overcome a lot of that because basically, in the 27 years we have been in existence, that’s what we have continued to steadily work on to create relationships. I think loggers have gained a lot of respect from those other entities. There is still work to be done but at the same time—Scott and I were sitting here yesterday and the phone rang and it was somebody from the Ag Committee wanting to know if someone from the American Loggers Council would come testify at a hearing. That says a whole lot right there as to where we have come, where we’re not calling them asking, they’re calling us asking. The bottom line is, when we leave someone’s office up there, the last thing we let them know is if you want to know something about logging, don’t call the Ameri- ➤ 46

SLT: Do you have any specific action items or initiatives you plan to pursue right off the bat?

DANE: The American Loggers Council is in a very strong position due to the leadership that Danny Dructor has provided over the past 20 years and the support of the Board of Directors and state associations. I am very fortunate to come into a successful and recognized organization and look forward to building upon the foundation that has been established. As I assume the position of Executive Director, the American Loggers Council is poised to see the first-ever federal assistance to the American logging and trucking industry in the form of $200 million COVID assistance to timber harvesters and timber haulers. This funding was secured by the American Loggers Council, through collaboration between the state associations and their Congressional representatives, particularly Maine and their Congressional delegation.

With the ALC Board of Directors approval and support, my priorities will be: l Increasing membership. Currently, the majority of states are members of the American Loggers Council. However, there are still some that have yet to join. Besides loggers and truckers, the ALC has an Associate Membership category for other timber industry stakeholders. The Membership Committee has developed this program and will be promoting it soon. The success of the timber industry depends on the success of all sectors of the timber industry. I look forward to broadening the partnerships, collaboration and membership across the entire industry with other interests that share the ALC’s mission of sustainable forest management that is accomplished by a strong, stable and profitable logging and trucking industry. l Expanding the visibility of the American Loggers Council. Working with the ALC communications and media consultant Kevin Smith, we will promote the image of the American logging and trucking industry through its economic and environmental contribution to healthy forests. l The mission of any organization is to work for its members. The members do not work for the association, but the association works with and for its members. The ALC is prepared to support the state associations with their local (state) agenda, network successful programs within other member states, and provide a return on investment to those state association members. l I will be in every state that is a member of the ALC in the next 12 months to hear from them what they need and what they want the ALC to focus on. l Successfully securing some of our legislative national priorities.

SLT: After ALC worked to get pandemic relief legislation passed, any thoughts on future efforts to help loggers gain access to more USDA programs as commodity producers?

DANE: Yes, it was the ALC’s efforts, leadership and Congressional relationships that secured the $200 million pandemic relief legislation. The ALC has continued to lead that effort with the program recommendations, development and implementation. This has allowed the American logging and trucking industry to establish parity within the USDA “agriculture” sector. This issue has been a federal legislative priority of the ALC and this recent success will allow us to build upon that precedent. SLT: How will your experience with the Trump administration affect or influence how you work with the current administration? DANE: The American logging and trucking industry did establish a strong working relationship with the Trump administration, which allowed the timber industry to begin working on many longstanding issues. As an example, the Pandemic Relief legislation referenced earlier was passed under the Trump Administration, but the Biden Administration has been fully supportive of prioritizing the development and implementation of the program. In fact this program has been one of the highest priorities of the current administration, developed in, by government standards, record time. The American timber industry is not a partisan issue; the health of forests, reducing wildfire threats and hazards, creating rural jobs, sequestering carbon, developing renewable fuel, and producing forest based products benefits all Americans. The ALC recognizes and is prepared to work with elected officials and government agencies to accomplish these common objectives.

SLT: What are some of the top issues facing loggers and what are your thoughts on addressing them?

DANE: I was recently in Arizona, California and Oregon, as well as the Midwest, and loggers across the country face the same challenges: l Workforce shortages and development: States across the country are developing a myriad of training programs. The Sierra Cascade Logging Conference Shasta College, Heavy Equipment Logging Operations (HELO) program incorporates modern logging equipment for their classroom and in the woods program. The days of taking someone off of the street, giving them 30 minutes of instruction, and then a week of on the job training, are not an effective means of developing a professional workforce. With all of the forestry practices, regulations, OSHA standards and equipment technology / cost, a trained workforce is necessary to meet the current needs while addressing the aging workforce. In conjunction with workforce development programs, the ALC continues to push for the Future Logging Careers Act, which allows family logging companies to integrate their 16 and 17 year old children into the mechanized operations of the family business, identical to farmers operating farming equipment. l Insurance affordability and availability: Insurance is a necessity of the logging and trucking industry, but the trend has been for insurance companies and underwriters to shy away from the industry. Where insurance is available, premiums have steadily increased,

cutting into bottom lines that didn’t have much bottom left. The TEAM Safe Trucking program has identified irrefutable evidence and informational statistics that are common red flags for potential accidents. Additionally, other documented practices have proven to reduce the potential for accidents and/or protect the owner when such incidents arise. Implementing these processes, policies and programs can reduce Scott Dane is the new companies’ loss ratio and therefore cost of insurExecutive Director of the ance. Loggers and truckers can do their part to American Loggers Council. be part of the solution and the ALC will continue to work with organizations that can help loggers and truckers address these problems. l Markets: Minnesota has lost over half of its mills over the past 14 years. Other states have experienced similar losses. Fortunately some Southern states have experienced new mill development due to the timber ownership structure, foreign biomass/pellet markets and timber growing cycle. But for those states that have experienced a net loss of mill capacity, it is imperative that new mills be developed. The resource availability has not declined, but the As is said, “If you are not at the table, you are probably on the menu.” The timber industry needs to be at the table. sustainable forest management has been negatively impacted. For the environmental good of the forests and the economic good of rural communities, timber management must match forest product consumption. New technology presents the opportunity for the forest products industry to transition into renewable fuels from forest based feedstock, CTL mass timber construction, expanding and modernizing traditional forest products mills, and biochar markets. New markets are key to improving the timber industry. l Profit Margins: A past study revealed that 51% of logging companies were operating at a breakeven or loss. The largest percentage of profitable logging companies (21%) were operating at a 1%-3% profit margin. In an industry that is extremely capital intensive the return on investment is prohibitive. Many companies have not seen a substantive, if any, increase in timber prices for years, while expenses (insurance, equipment, fuel, etc.) have all increased. Even during these recent astronomical price increases for lumber, it is not trickling down for most logging companies. This is not sustainable. The entire supply chain needs to be healthy and strong, but it is only as strong as the weakest link, and right now that is the logging companies. ➤ 53