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<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=392594522-01042009>Private Forests News list members:</SPAN></FONT></DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=392594522-01042009></SPAN></FONT> </DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=392594522-01042009>The Oregon Department of Forestry's Executive Team
issued this budget planning update on Wednesday. This message contains details
about the 30 percent General Fund reduction scenario for the 2009-2011
budget requested by the Legislative Fiscal Office.</SPAN></FONT></DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=392594522-01042009></SPAN></FONT> </DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=392594522-01042009>For questions about the Private Forests News
service:</SPAN></FONT></DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=392594522-01042009></SPAN></FONT> </DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=392594522-01042009>Kevin Weeks</SPAN></FONT></DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=392594522-01042009>Public Information Officer / Private Forests
Division </SPAN></FONT></DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=392594522-01042009>Oregon Department of Forestry
</SPAN></FONT></DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=392594522-01042009><A
href="mailto:kweeks@odf.state.or.us">kweeks@odf.state.or.us</A>
</SPAN></FONT></DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=392594522-01042009>(503) 945-7427</SPAN></FONT></DIV><FONT face=Arial
size=2></FONT><BR>
<DIV class=OutlookMessageHeader lang=en-us dir=ltr align=left>
<HR tabIndex=-1>
<FONT face=Tahoma size=2><B>From:</B> SEELY Clark W <BR><B>Sent:</B> Wednesday,
April 01, 2009 3:30 PM<BR><B>To:</B> ALL FORESTRY<BR><B>Subject:</B> FYI -
Department Budget Planning Update<BR></FONT><BR></DIV>
<DIV></DIV>
<DIV>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Hi everyone<SPAN
class=872351522-01042009>...a</SPAN>s we mentioned in our last update, the
Legislature’s fiscal office directed state agencies in mid-March to produce new
budget scenarios for 2009-2011 that would accommodate larger reductions than
those submitted previously.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">The new direction was for a
reduction scenario totaling 30 percent in state General Funds (primarily income
tax dollars). We submitted our plan to the Legislative Fiscal Office last
Friday, and wanted to provide you with some detail. </P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">We also continue to plan for
30-35 percent spending reductions in the State Forests Program for the fiscal
year beginning July 1, necessary because of the severe drop in demand for wood
products and our associated revenues.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal"><U>An overview<o:p></o:p></U></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Uncertainty remains a constant,
particularly in <st1:place w:st="on"><st1:PlaceName
w:st="on">Private</st1:PlaceName> <st1:PlaceType
w:st="on">Forests</st1:PlaceType></st1:place> and Fire, where state General Fund
is a major revenue source. We won’t know our General Fund allocation for the
2009-2011 biennium, beginning July 1, until the legislature approves our budget
at the end of the current legislative session. This typically occurs about
mid-year. Consequently, we currently don’t know what level of reduction we will
ultimately be asked to make.<SPAN style="mso-spacerun: yes"> </SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">If reductions do, in the end,
need to be made at the 30 percent level, the effects will be much greater than
those in past reduction scenarios: In general, this would result in major work
force reductions, and inability to <SPAN
class=872351522-01042009>completely </SPAN>fulfill even our most
basic <SPAN class=872351522-01042009>current </SPAN>responsibilities, such
as administering the Forest Practices Act and protecting forests from fire.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">In the longer term, we believe
reductions in our fire protection, education, landowner support and enforcement
functions, and diminished assistance to local government and other
organizations, would impact forest resources and hasten the fragmentation and
loss of forestland.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">These outcomes would
significantly degrade the environmental, economic and social benefits that
Oregonians derive from our forestlands. As we work with the legislature in the
current budget process, our job is to clearly describe the reductions and their
consequences for <st1:State w:st="on"><st1:place
w:st="on">Oregon</st1:place></st1:State>. This is information the Governor and
legislators can use as they determine how to allocate scarce dollars to meet a
broad range of important public needs. </P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">At the same time we must keep in
mind that these economic times will pass, and do what we can to ensure that
whatever budget is passed at the end of this legislative session, we can
maintain a structure on which we can rebuild in the future.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">In creating our 30 percent
reduction scenario, we held to our principle of looking first to Private
Forests, given the risks associated with further reducing our fire protection
capacity. The first 23 percent of the reduction, building on earlier scenarios
and the Governor’s recommended budget for 2009-2011, comes in Private Forests,
with the remainder in Fire.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal"><U>Private Forests<o:p></o:p></U></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal"><U><o:p><SPAN
style="TEXT-DECORATION: none"></SPAN></o:p></U></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"> </P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Combined with lost matching
funds, primarily Forest Products Harvest Tax, the General Fund reduction in
Private Forests constitutes an overall program reduction of 83 percent.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal">What staff resources would be lost? </B>The
reductions would include: <SPAN style="mso-spacerun: yes"> </SPAN></P>
<UL style="MARGIN-TOP: 0in" type=disc>
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l0 level1 lfo1; tab-stops: list .5in">50
of our 57 stewardship foresters, leaving about one position in each of our
three operating areas funded to administer the Forest Practices Act.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l0 level1 lfo1; tab-stops: list .5in"><st1:City
w:st="on"><st1:place w:st="on">Salem</st1:place></st1:City> staff providing
civil penalty administration, geotechnical and other specialized support,
effectiveness monitoring, Oregon Plan salmon recovery work, and most insect
and disease work.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l0 level1 lfo1; tab-stops: list .5in">Commensurate
reductions in management and support staff both in the field and in <st1:City
w:st="on"><st1:place w:st="on">Salem</st1:place></st1:City>, including in
agency-wide administrative services.</LI></UL>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal">What services would be lost? </B>These
would include: </P>
<UL style="MARGIN-TOP: 0in" type=disc>
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l3 level1 lfo2; tab-stops: list .5in">Most
informational and technical services to landowners, from larger corporations
to small family woodland owners.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l3 level1 lfo2; tab-stops: list .5in">Adequate
monitoring and enforcement of most requirements of the Forest Practices Act,
with minimal monitoring and enforcement of reforestation requirements.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l3 level1 lfo2; tab-stops: list .5in">The
capacity to ensure compliance with the federal Clean Water Act, pesticide
regulations, and state fish passage requirements through a regulatory
approach<SPAN class=872351522-01042009>, particularly on an intergovernmental
basis</SPAN>.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l3 level1 lfo2; tab-stops: list .5in">Closure
of some offices around the state (a result of combined reductions in all three
operating programs).</LI></UL>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal">What would remain? </B>The primary elements
would include:</P>
<UL style="MARGIN-TOP: 0in" type=disc>
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l2 level1 lfo3; tab-stops: list .5in">Minimal
field staff to respond to public complaints specific to resource protection on
private forestlands.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l2 level1 lfo3; tab-stops: list .5in">Federally
funded grant assistance to landowners.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l2 level1 lfo3; tab-stops: list .5in">Minimal
insect and disease staff to administer a federally funded Sudden Oak Death
eradication program, and to conduct forest health and reforestation surveys in
alternating years.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l2 level1 lfo3; tab-stops: list .5in">A
much-reduced administrative capacity to oversee and support the remaining
functions.</LI></UL>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal"><U>Fire Program<SPAN
style="mso-spacerun: yes"> </SPAN><o:p></o:p></U></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal"><U><o:p><SPAN
style="TEXT-DECORATION: none"></SPAN></o:p></U></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"> </P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Combined with lost matching
funds, primarily landowner assessments, a 7 percent General Fund reduction in
Fire creates an overall program reduction of 17 percent. The effect would be
equivalent to eliminating fire protection on about 2.7 million of the 16 million
acres we protect.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Although our scenario sketches
out a $3.4 million General Fund reduction, we believe <SPAN
class=872351522-01042009>that overall fire protection </SPAN>costs would
actually increase, by $5-$7 million per year, as more fires escape initial
attack and grow large, and fewer resources are available to fight them.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal">What capacity would be lost?</B> The
reductions would include: </P>
<UL style="MARGIN-TOP: 0in" type=disc>
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l5 level1 lfo4; tab-stops: list .5in">All
aircraft contracted by districts. Instead, we would seek out these resources
when the need arises, subject to their availability at the time – a major
reduction in initial attack capability.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l5 level1 lfo4; tab-stops: list .5in">71
of our 220 initial attack engines, with their crews.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l5 level1 lfo4; tab-stops: list .5in">Staffing
for about 15 of our 25 fire lookouts, and half the funding for our detection
camera program, which currently maintains 18 cameras.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l5 level1 lfo4; tab-stops: list .5in">Reductions
in headquarters support.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l5 level1 lfo4; tab-stops: list .5in">More
than $500,000 for safety equipment, tools and professional services.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l5 level1 lfo4; tab-stops: list .5in">Reductions
in dispatching, fire prevention, program administration and associated
agency-wide administrative services.</LI></UL>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal">What would remain? </B>Reductions of this
order would leave the program severely compromised in a number of ways,
including:</P>
<P class=MsoNormal
style="MARGIN: 0in 0in 0pt 39.15pt; TEXT-INDENT: -0.25in; mso-list: l4 level1 lfo5; tab-stops: list 39.15pt"><SPAN
style="FONT-FAMILY: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol"><SPAN
style="mso-list: Ignore">·<SPAN
style="FONT: 7pt 'Times New Roman'">
</SPAN></SPAN></SPAN>Lower protection levels that would mean more damage to
resources and property, diminished public and firefighter safety, <SPAN
class=872351522-01042009>potential loss of the Bureau of Land Management Western
Oregon protection contract, </SPAN>and higher premiums for <st1:State
w:st="on"><st1:place w:st="on">Oregon</st1:place></st1:State>’s wildfire
insurance policy, if a policy could <SPAN class=872351522-01042009>even
</SPAN>be obtained.<B style="mso-bidi-font-weight: normal"><o:p></o:p></B></P>
<P class=MsoNormal
style="MARGIN: 0in 0in 0pt 39.15pt; TEXT-INDENT: -0.25in; mso-list: l4 level1 lfo5; tab-stops: list 39.15pt"><SPAN
style="FONT-FAMILY: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol"><SPAN
style="mso-list: Ignore">·<SPAN
style="FONT: 7pt 'Times New Roman'">
</SPAN></SPAN></SPAN>A diminished prevention program, with a resulting increase
in fires from forest activities and the general public, and less cost recovery
from those responsible.<B
style="mso-bidi-font-weight: normal"><o:p></o:p></B></P>
<P class=MsoNormal
style="MARGIN: 0in 0in 0pt 39.15pt; TEXT-INDENT: -0.25in; mso-list: l4 level1 lfo5; tab-stops: list 39.15pt"><SPAN
style="FONT-FAMILY: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol"><SPAN
style="mso-list: Ignore">·<SPAN
style="FONT: 7pt 'Times New Roman'">
</SPAN></SPAN></SPAN>Management and administrative reductions that would
compound our challenges in accounting, cost reimbursement and other functions.<B
style="mso-bidi-font-weight: normal"><o:p></o:p></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal"><U>Next steps, and more
information<o:p></o:p></U></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal"><U><o:p><SPAN
style="TEXT-DECORATION: none"></SPAN></o:p></U></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"> </P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">In <st1:City w:st="on"><st1:place
w:st="on">Salem</st1:place></st1:City> and in the field, we’re continuing to
address the fast-changing economic and budget situation<SPAN
class=872351522-01042009>:</SPAN> <SPAN
style="mso-spacerun: yes"> </SPAN></P>
<UL style="MARGIN-TOP: 0in" type=disc>
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l1 level1 lfo6; tab-stops: list .5in">Leaders
in all programs will continue to provide specific information directly to
employees.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l1 level1 lfo6; tab-stops: list .5in">We’re
developing a pool of services and information about layoff procedures, career
transition and other topics, to complement services offered across state
government by the Department of Administrative Services. You’ll find details
on our Human Resources intranet page, at <A
href="http://www.odf.state.or.us/hr/default.asp">http://www.odf.state.or.us/hr/default.asp</A>,
in the Employee Resources and Management resources sections, and more
information will be coming<SPAN class=872351522-01042009> in the next few
weeks</SPAN>.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l1 level1 lfo6; tab-stops: list .5in">Directors
of the agency’s administrative programs are currently assessing the impacts of
the operating programs’ reductions on internal service needs, and developing
administrative reduction options.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l1 level1 lfo6; tab-stops: list .5in">We’re
working with state and federal agencies to secure federal stimulus dollars.
These funds are intended to put Oregonians to work as quickly as possible, and
will also allow us to fill a few positions necessary to administer the
projects.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l1 level1 lfo6; tab-stops: list .5in">We
have much more to do. The challenges include coordinating the reductions in
State Forests, over which we have more control than General Fund reductions in
<st1:place w:st="on"><st1:PlaceName w:st="on">Private</st1:PlaceName>
<st1:PlaceType w:st="on">Forests</st1:PlaceType></st1:place> and Fire, to make
our agency-wide reduction planning process as orderly as we can.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l1 level1 lfo6; tab-stops: list .5in">We’re
still assessing some major questions, including the overall impact on Fire
from reductions in the other programs, and how state laws may need to be
changed or suspended to reflect our reduced capacity.
<LI class=MsoNormal
style="MARGIN: 0in 0in 0pt; mso-list: l1 level1 lfo6; tab-stops: list .5in">Upcoming
key events include our department’s budget hearings before the Legislature’s
Ways and Means Committee, beginning in late April, and the next state
government revenue forecast, in mid-May. We’ll continue to update you about
these and other developments.</LI></UL>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal"><U>Thank you<o:p></o:p></U></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">We can’t say often enough what a
privilege it is to provide leadership to this department, and to all of you who
continue to provide a high level of work and service to Oregonians during such a
difficult and uncertain period. Please don’t hesitate to contact your supervisor
or any of us if you have questions. In the future we will strive to provide
these agency-wide updates <SPAN class=872351522-01042009>at least
</SPAN>every two weeks, and welcome your input as a means of making them as
useful to you as possible. Thanks once again for your dedication and service to
<st1:State w:st="on"><st1:place w:st="on">Oregon</st1:place></st1:State>’s
citizens and its forests.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Jim Paul<SPAN
style="mso-spacerun: yes"> </SPAN>Paul
<st1:City w:st="on"><st1:place w:st="on">Bell</st1:place></st1:City><SPAN
style="mso-spacerun: yes">
</SPAN></P>
<P class=MsoNormal style="MARGIN: 0in -0.25in 0pt"><SPAN
style="mso-spacerun: yes"> </SPAN>Private Forests
Division Chief<SPAN
style="mso-spacerun: yes">
</SPAN>Fire Protection Division Chief</P>
<P class=MsoNormal style="MARGIN: 0in -0.25in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in -0.25in 0pt 0in"><st1:City
w:st="on">Nancy</st1:City> Hirsch<SPAN
style="mso-tab-count: 5"> </SPAN><SPAN
style="mso-spacerun: yes"> </SPAN><st1:place
w:st="on">Clark</st1:place> Seely</P>
<P class=MsoNormal style="MARGIN: 0in -0.25in 0pt 0in">State Forests Division
Chief<SPAN
style="mso-tab-count: 3"> </SPAN><SPAN
style="mso-spacerun: yes"> </SPAN><st1:place
w:st="on"><st1:PlaceName w:st="on">Associate</st1:PlaceName> <st1:PlaceType
w:st="on">State</st1:PlaceType></st1:place> Forester</P></DIV></BODY></HTML>