|| Print ||
|Articles - June 2014|
|Thursday, May 29, 2014|
Page 1 of 2
BY LEE VAN DER VOO
Last mill standing. On its face, the resurrection of the Rough & Ready Lumber Company in Cave Junction looks like a single turn of luck in a small town — a win for the last remaining mill.
But what’s happening at the Illinois Valley mill also signals a shift in timber management in Oregon. And it took more than just luck. Interest and funding from the governor’s office is being credited with the resurrection, along with a partnership between mill owners and the money-savvy nonprofit Ecotrust. The secret sauce, however, is the involvement of the Southern Oregon Forest Restoration Collaborative, which helped reshape the face of timber harvesting and overcome a key obstacle to mill production: environmental opposition to timber sales. It’s a recipe state leaders aim to keep mixing.
“We’re hopeful. It’s a different day,” says Tom Tuchmann, the forest conservation and finance advisor for Gov. John Kitzhaber. He describes how a focus on forest restoration and thinning, especially where decades of fire suppression have spurred overgrowth, has set the table for mill rescues of this kind. With input from traditional tough-on-timber opponents, the collaborative crafted a timber-sourcing plan that enabled the mill to maintain capacity by retooling to process smaller logs more efficiently.
Strange bedfellows. The Illinois Valley isn’t the place you might expect such agreement. Famous for its timber wars, it was once home to 35 mills. The community of 10,000 is also dotted with artists and musicians, environmentalists and off-grid dwellers. When the spotted owl was listed as threatened under the Endangered Species Act in 1990, advocacy lawsuits halted federal timber sales and shuttered many mills, redefining the economy. Roughly 80% of timber in this area is federally owned. Private timber sales brought some supply, but production costs soared as logs were sourced farther away.
The Rough & Ready mill cut back one shift in 1990 as a result of those pressures, thinning workers from 225 to 175. Another shift was cut later to combat rising costs as supply remained scarce. After several years of deferring capital improvements and losing a key source of private logs, the mill’s third-generation owners, Jennifer Phillippi and her husband, Link, ruefully told their remaining 88 employees the mill would close last April.
“The day we had to meet with them, and tell them and look at their faces was just devastating,” Phillippi says. “I knew that they had counted on us.”
A collaborative solution. The mill offered severance pay and began working with state and federal officers on employment benefits, and with a local office that hosted classes and meetings for workers. That effort cued the attention of state and congressional leaders, who began calling the Phillippis as they hunted for a mill buyer and talked to auctioneers about worst-case scenarios. Sen. Ron Wyden, Rep. Greg Walden, Rep. Peter DeFazio and the governor’s office all offered help, and have since made efforts to restart federal timber sales.
The governer’s office contracted with the Southern Oregon Forest Restoration Collaborative to find 10 million board feet in thinned timber annually, and within two hours of the mill. That available supply would help leverage financing to update the mill to an
“We have a letter from Fish and Wildlife saying, ‘Hey, we like the strategy. It works for us,’” says George McKinley, executive director of the collaborative. He described how the endangered species listing for the spotted owl and concern about salmon habitat have made it otherwise difficult for federal agencies to say yes to timber sales.
Their blessing is important — 80% of the timber in the Illinois Valley is owned by the federal government through either the Bureau of Land Management or the U.S. Forest Service. Those forests produce 1 billion board feet of timber a year. Yet less than 1% is harvested annually because of habitat concerns and efforts to avoid controversial timber sales. Thus, half of that timber is dying instead.
“That’s a pretty striking number,” says Phillippi. “And what we’re seeing are these massive wildfires that are taking care of that growth naturally.”
Wednesday, July 09, 2014
BY LINDA BAKER | OB EDITOR
Scott Kveton, the CEO of Urban Airship is taking a leave of absence from the company. As the story continues to unfold, here’s our perspective on a few of the key players.
Monday, June 30, 2014
Oregon Business magazine won two silver awards for excellence in writing in the National American Society of Business Publication Editors Western region competition.
Wednesday, July 02, 2014
BY JESSICA RIDGWAY | OB WEB EDITOR
Dress for Success Oregon promotes the economic independence of disadvantaged women by providing professional attire, a network of support and career development tools.
Thursday, July 03, 2014
BY TED AUSTIN & MIKE BAELE | GUEST CONTRIBUTORS
The Office of Economic Analysis announced that Oregon is currently enjoying the strongest job growth since 2006. While this resurgence has been welcome, the lingering effects of the 2008 “Great Recession” continues to affect Oregon businesses, especially with regard to estate planning and business succession.
Monday, June 16, 2014
The Oregon economy could get a boost from a new trade agreement being negotiated between the U.S. and the European Union.
Friday, June 13, 2014
BY CLIFF HOCKLEY | OB GUEST BLOGGER
This article summarizes the key considerations a building owner must keep in mind when thinking about leasing to a medical marijuana dispensary.
Thursday, June 26, 2014
BY ERIC FRUTS | OB BLOGGER
Last year, the housing market in Oregon—and the U.S. as a whole—was blasting off. The Case-Shiller index of home prices ended the year 13% higher than at the beginning of the year. But, was last year a blip, or a trend?
|The Private 150: Bigger But Leaner|
|The Perfect Food|
|Taxis Uber Alles?|
|Powerlist: Staffing Firms|
|Pfizer results beat estimates|
|Study: Running reduces risk of death|
|Zillow to acquire Trulia for $3.5B|
|Dollar Tree to buy Family Dollar|
|Facebook revenue surges 61%|
|Walmart unexpectedly fires CEO|
|GM profit declines 80%|
Vigilant enters a New Year with a new president.
How George Fox has become one of Oregon's largest private universities.
Forest Grove sees growth in the burgeoning food and beverage scene.
Lane Powell Shareholder Susan K. Eggum has been elected as vice chair of programs and projects for the International Association of Defense Counsel’s (IADC’s) Employment Law Committee.
Geffen Mesher is saddened to announce the passing of long-time shareholder, Tom “Mike” Anderson, who died on July 10, 2014, from liver disease diagnosed after recent heart surgery. He was 55 years old.
Fifteen Lane Powell attorneys have been named 2014 “Oregon Super Lawyers,” and another five attorneys have been named as “Oregon Rising Stars” by Super Lawyers magazine.