Legislative Log

The Hardwood Federation Looks to 2021:

Policy Priorities and The Biden Administration

After the challenges of 2019, primarily related to the negative impacts the U.S. – China trade dispute had on the hardwood industry; we were all ready for a better and brighter 2020. Just a year ago, the Hardwood Federation and our industry members were celebrating the removal of the retaliatory tariffs on our products and looking forward to increased shipments to China.

Of course, new issues and difficulties pop up when you least expect them, but no one anticipated something on the scale of a worldwide pandemic. As an industry, we worked hard, were deemed essential, secured federal financial assistance through the Payroll Protection Program, and all did the best that we could. Now we find ourselves in 2021, still in the midst of the COVID crisis, sifting through the results of a contentious election and figuring out how to work with the new Administration and Congress. The Federation will continue to be at the tip of the spear for our industry in Washington, D.C., and look forward to the challenges and opportunities 2021 is sure to bring.

President Joe Biden was sworn into office on January 20, 2021, at noon. Federal government leadership is now set for the next two years with Democrats in control of the White House and both chambers of Congress (although by razor-thin margins.) Obviously, it is early, and policies will be more fully developed over the coming months. Still, there are some indications of the types of challenges and opportunities Washington, D.C. will present to the hardwood industry in the near future.

The number one priority for the President and his team is clearly addressing the ongoing human and economic impacts of the COVID-19 virus. The good news is that multiple vaccines have been developed and distributed, with more on the horizon. Implementing policies and strategies that increase the rate of inoculation for the entire U.S. population is top of the list. Coming in a close second is providing economic support to individuals and businesses that continue to struggle as significant portions of the economy remain shuttered.

Longer-term, the Administration has made clear that they will make climate change a centerpiece of their agenda throughout their time in office, incorporating climate considerations across government agencies and departments. This is a challenge certainly, but it is also an opportunity for the entire wood products industry, including hardwoods, to present ourselves as part of the solution to climate change concerns, with many tools at our disposal, including sustainable

management and harvest of forest lands, carbon-neutral energy fuels, and carbon sequestering products. There are indications that the new Administration is open to some of the solutions we have promoted over the years, including wood energy, wood product innovation, and green building. We will undoubtedly be looking for opportunities to work closely with our forest products allies to further educate decision-makers in the coming months.

The Hardwood Federation team will be directly engaged and carefully tracking developments on all fronts that impact our businesses. We will not stray from our long-time policy positions that support the hardwood industry, including maintaining and increasing access to timber on federal (and private) lands, tax and regulatory policies that support, not harm, business operations, and fair trade agreements that open to global markets to our products.

The policy positions were confirmed as important by a survey of the hardwood industry in January and presented to the Hardwood Federation and Hardwood Federation PAC Boards of Directors at their annual winter meeting on February 3. This usually would be an in-person meeting in Washington, DC, to set a policy agenda and advocacy plan of action for the year, but, as has become the norm in our new world, these meetings were held over Zoom. This did not stop our intrepid Board Members from having an active discussion and providing significant industry input.

The first order of business was to welcome the members of our 2021 Board of Directors and HFPAC Board of Directors. The Federation Board provides strategic direction for advocacy priorities and outreach efforts, as well as oversight of our budget and other administrative functions. The HFPAC Board is instrumental in raising PAC dollars to support our congressional allies and identifying those we should consider for financial support. This group is vital to our efforts on behalf of the industry, and we rely heavily on their insight and guidance.

Departing from his 2-year commitment as HF Board Chair, Rick Holden of Derr Flooring in Willow Grove, PA, passed the virtual gavel to Matthew Smith of Smith Creek in Borden, IN. Troy Brown of Kretz Lumber in Antigo, WI, was elected as the Hardwood Federation Board Vice-Chair. The NHLA will be represented by a total of eight outstanding hardwood industry leaders on the Hardwood Federation and Hardwood Federation PAC Boards, including Nathan Jeppson of Northwest Hardwoods, Darwin Murray of McClain Forest Products, Ted Rossi of the Rossi Group (also Development Chair), and Jeff Wirkkala of Hardwood Industries Inc.

NHLA representatives on the HFPAC Board are Jesse Joyce of Middle Tennessee Lumber, Scott Cummings of Cummings Lumber Company, and two newcomers in Dan Mathews of SII Dry Kilns and Joe Pryor of Oaks Unlimited. Retiring from the HF Board this year is former Board President Scott Heidler of Heidler Hardwood Lumber Company. Scott was a fantastic leader for the Federation during some challenging times, and we thank him for his dedication and support. Bob Miller of Frank Miller Lumber chairs the HFPAC Board.

The Hardwood Federation Boards are committed to maintaining a vigorous presence on Capitol Hill, even if it is on computer screens. We will look for ways to work with the new Administration and Congressional leaders but will not hesitate to challenge proposals that we believe will be harmful to the industry. Our elected officials will continue to hear from us about the value of our industry to the U.S. economy, and why it is important they make the right decisions on proposals impacting our companies . . . and why the wrong decisions can devastate our industry.

The Hardwood Federation is very grateful for the tremendous support and engagement of the NHLA in the Federation. We very much look forward to working with your delegates to our boards and to our continued cooperative engagements with NHLA CEO Lorna Christie and her terrific team.

. . . IT IS ALSO AN OPPORTUNITY FOR THE ENTIRE WOOD PRODUCTS INDUSTRY, INCLUDING HARDWOODS, TO PRESENT OURSELVES AS PART OF THE SOLUTION TO CLIMATE CHANGE CONCERNS, WITH MANY TOOLS AT OUR DISPOSAL, INCLUDING SUSTAINABLE MANAGEMENT AND HARVEST OF FOREST LANDS, CARBON-NEUTRAL ENERGY FUELS, AND CARBON SEQUESTERING PRODUCTS.