NHLA 124th Annual Report

By DALLIN BROOKS, Executive Director

The National Hardwood Lumber Association has a long and glorious 125-year history. In reviewing the past meeting books, it became clear that members of NHLA are given an Annual Report to keep them up to speed on all things within and impacting the hardwood industry. The 1952 annual report concluded, “Was agreed that the past year had been unusual in the matter of costs.” I think we would all agree to that again.

It is my pleasure to share the 124-year-end report of the NHLA for 2022. I think it fitting to do it in committee format and to share it from my perspective, even though I was only here for six months.

Association Business

The NHLA headquarters and the School buildings had been neglected for several years and needed some revitalization. NHLA was able to secure a favorable loan to update the facilities with new windows, roofs, ceiling vents and tiles, air conditioners, and soonto-be-completed bathrooms.

The board of directors held two meetings, one in Portland, OR in April and the second in Memphis, TN, in November. Jason Smith and Bruce Horner retired from the board of directors this year. We extend a heartfelt “thank you” for their contribution to the Association. The knowledge, opinions, and time given by board members are critical for the welfare of NHLA and the good of the hardwood industry.

Organizational Matters

The year brought some staff changes and adjustments which will allow NHLA to be more flexible and proactive in providing members with the value and customer service they need and expect.

• NHLA hired Dallin Brooks as the new Executive Director in June 2022.

• NHLA Controller Desiree Freeman left the Association in July for a new opportunity, but we are happy to report that she returned to NHLA on January 30, 2023.

• Amber Signaigo joined the accounting team in July.

• Carol Mcelya, Education Services Project Manager, left for a new opportunity in December.

• Geoff Webb has been hired as the Dean of the Inspector Training School. He began work on January 3, 2023.

• Mark Bear returned to NHLA in January as a National Inspector, covering the southern part of the U.S.

• Renee Hornsby has been promoted to Chief Operating Officer as of January 1, 2023.

• John Hester has been promoted to Chief Development Officer as of January 1, 2023.

Strategic Planning Committee

My first responsibility as Executive Director at NHLA was the creation of a strategic planning committee. This has been a good opportunity for the 16 committee members and the staff to work out the core NHLA foundation and the objectives that NHLA needs to focus on to stabilize and grow the hardwood industry. See the graphic below.

Nominating Committee – Chairman: Jeff Wirkkala

NHLA began the year with Jeff Wirkkala serving as Chairman, Jon Syre as Vice Chairman, and Darwin Murry as past Chairman. Jon was advanced to Chairman at the NHLA Annual Convention, and Bucky Pescaglia now serves as Vice Chairman. The other Mission Leaders and Committee Chairs, as well as Board Members, served the Association well and dedicated time, money, and efforts to improve the Association. We appreciate their efforts on behalf of the entire hardwood lumber industry. Service on the board is open to all Active member category companies. If you have the desire to serve, please reach out to Jeff Wirkkala or me.

Finance Committee – Mission Leader: Rich Solano

NHLA ended the 2022 year in the black, the second year in a row after running a deficit budget for many years. Revenue and expenses exceeded budget predictions, and good fiscal management by the Chief Officers allowed NHLA to deal with inflation and still accomplish all they were required to do. See the graphic below for a breakdown of each committee’s revenue and expenses by percentage.

Membership Committee – Mission Leader: Stephanie Van Dystadt, Committee Chair: Burt Craig

NHLA is happy to report that we welcomed 64 new members in 2022 and only lost 15 member companies.

At the April board meeting, which I was able to attend as an observer, the Membership Committee and board voted to change the Active member categories from U1-U4 to V1-V10 to be more equitable and representative of the membership. This action was approved only after a year of investigation and work by the committee. The new Dues categories became effective on January 1, 2023, and the first renewals have been mailed.

Convention Committee - Mission Leader: Stephanie Van Dystadt, Committee Chair: Dennis Mann

The 125th NHLA Annual Convention & Exhibit Showcase in Cleveland, Ohio, was a rocking party, not just because of the Rock & Roll Hall of Fame theme but because so many came out and participated. It was a dour mood as the markets started to contract, yet the members were very generous to ITSEF, NAFF, and RAHC, raising record funds for these charitable organizations. The exhibit hall was busy, the networking was great, and everyone walked away praising the hard work of the staff and committee members.

Promotion & Advocacy Committee – Mission Leader: Joe Pryor, Committee Chair: Rob Cabral

The year’s big news was undoubtedly the coming together of the Real American Hardwood Coalition. RAHC and Canvas United presented the marketing plan for consumer education at the NHLA Annual Convention. In November, RAHC completed its strategic plan with an industry initiative to raise $3 million annually for five years. They are 10% of the way there.

The Hardwood Federation also had a busy year even though Covid-19 continued to keep the capital from returning to normal and prevented a fly-in meeting between the hardwood industry and our elected representatives. We look forward to participating in a Hardwood Federation Fly-In in June 2023.

Marketing Committee – Mission Leader: Joe Pryor, Committee Chair: George Swaner

The marketing and promotion of NHLA services to members and potential members were very successful this year. NHLA engages on nhla.com, through bi-monthly newsletters, and on social media platforms LinkedIn, Facebook, and Instagram. The Hardwood Matters magazine was updated to include more articles from allied associations and market data from industry partners that are critical to understanding what is happening in the markets. Additionally, staff traveled to allied association meetings to participate and speak at them to engage with the industry.

Rules Committee – Mission Leader: Ray White, Committee Chair: Sam Glidden

The NHLA Rules for the Measurement & Inspection of Hardwood Lumber were updated and released at the end of 2022. The new Rules Book is effective January 1, 2023. All Active Category members were mailed copies in December. The Book is available for purchase through the NHLA online store.

Inspection Services Committee - Mission Leader: Ray White, Committee Chair: Tom Oiler

The team of National Inspectors remained busy throughout 2022 with inspections, facility grade certifications, yield analysis, quality control, and onsite inspector training. Additional K.D. certifications for exports continued to grow. Chief Inspector Dana Spessert has begun traveling outside of the U.S. again. In 2022, he traveled to Dubai, India, Japan, Spain, Thailand, the U.K., and Vietnam, where he represented NHLA and presented the NHLA Lumber Grading Rules to importers, architects, and designers.

Inspector Training School Committee / Continuing Ed Committee – Mission Leader: Sam Glidden, Committee Chair: Brant Force

In 2022, NHLA held the 200th Class of the Inspector Training School, quite a milestone. The total number of students educated through the Inspector Training School in 2022 was 52. Hundreds more were taught through the three-day and five-day short courses, online courses, and in-house training seminars. We appreciate all the partners who worked to support our courses in Pennsylvania and Ontario.

I am excited to be part of the NHLA team. You have dedicated Chief Officers that are looking out for your best interests and sacrifice their time and opportunities by putting you first. We are good stewards of your hard-earned money and do a lot for less than you can imagine. Additionally, we appreciate the vendors that sponsor, exhibit, and advertise with NHLA; they help keep the communication going. Finally, a shout-out to the Active members who continue to support NHLA and engage with the staff. Your dues, input, insights, and support keep the Association at the forefront of the industry so that we can help your company grow and prosper.

We look forward to serving you in 2023 and continuing to make improvements, and striving for collaborative excellence.