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<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=265234214-29062009>Private Forests News service list
members:</SPAN></FONT></DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=265234214-29062009></SPAN></FONT> </DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=265234214-29062009>The Oregon Department of Forestry Executive Team sent
this update message on Thursday to ODF staff about the 2009-2011 Budget and work
force reductions.</SPAN></FONT></DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=265234214-29062009></SPAN></FONT> </DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=265234214-29062009>Kevin Weeks</SPAN></FONT></DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=265234214-29062009>Oregon Department of Forestry</SPAN></FONT></DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=265234214-29062009>(503) 945-7427</SPAN></FONT></DIV>
<DIV dir=ltr align=left><FONT face=Arial color=#0000ff size=2><SPAN
class=265234214-29062009><A
href="mailto:kweeks@odf.state.or.us">kweeks@odf.state.or.us</A></SPAN></FONT></DIV><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> Thursday,
June 25, 2009 8:27 AM<BR><B>To:</B> ALL FORESTRY<BR><B>Subject:</B> Agency
Budget Update and Planning for the Future<BR></FONT><BR></DIV>
<DIV></DIV>
<DIV>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">H<SPAN
class=334261615-25062009>i</SPAN> everyone…the Department’s 2009-2011 budget was
approved Monday by the Legislature’s Ways and Means Committee. It is ready now
for votes in the full House and Senate, where we expect that it will also meet
with approval.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">As this process nears completion,
we have more certainty than we have had for many months, although some question
marks remain about the longer-term budget outlook for all of state
government.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">During the process, some
resources have been added back to our budget. The reduction in General Fund for
the agency is about 12.5 percent, somewhat better than the 15 percent scenario
we have been discussing.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">We’ll use the additional
resources, as well as expected federal stimulus money, wherever possible to
provide opportunities for employees who would otherwise be laid off. However,
further layoffs and displacements through bumping will be necessary, and we
wanted to update you on the timing of those processes.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt; mso-outline-level: 1"><B
style="mso-bidi-font-weight: normal">A new time frame for work force
reductions<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">Several things are happening at
once with regard to layoffs. First, as you know, because of revenue decreases in
State Forests – the result of falling timber prices – we felt we needed to go
ahead with layoffs there. Those layoff notices have been issued, and will become
effective on Wednesday, July 1, as will the related changes resulting from the
bumping process.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Still ahead are the reductions
needed in Private Forests – again with the added effects of bumping. The
Executive Team has tentatively decided not to initiate the layoff process until
mid-July, with an effective date in mid-September at the earliest. This will
mean that affected employees and their families won’t be facing displacements
during the heart of the fire season.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">We expect to decide soon on a
specific date for issuing layoff notices, and we’ll keep you updated on that
decision. We’re continuing with our approach of issuing layoff notices to
employees with less seniority wherever that’s possible, in order to minimize the
subsequent bumping activity.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">It’s important to remember, too,
that depending on how the affected employees choose to exercise their seniority
rights, notices issued to Private Forests employees in the operating areas or in
<st1:place w:st="on"><st1:City w:st="on">Salem</st1:City></st1:place> may
ultimately result in displacements elsewhere within those areas.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Assuming that our new budget
becomes effective on July 1, the beginning of the 2009-2011 biennium,
implementing the <st1:place w:st="on"><st1:PlaceName
w:st="on">Private</st1:PlaceName> <st1:PlaceType
w:st="on">Forest</st1:PlaceType></st1:place> reductions a few months later will
bring some costs. However, we believe the rest of the two-year budget period
will provide time to mitigate these, with vacancy savings and other
measures.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt; mso-outline-level: 1"><B
style="mso-bidi-font-weight: normal">The 2009-2011 budget: a closer look
<o:p></o:p></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal"><o:p> </o:p></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Landowners have committed to
keeping the Forest Products Harvest Tax rate for administration of the Forest
Practices Act unchanged for the 2009-2011 biennium. (Because this tax rate is
based on a match with General Funds, the rate ordinarily would drop as General
Funds are reduced).</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Although we are still analyzing
the details, we believe this will allow us to retain about 10 positions that
otherwise would have been lost at the 15% General Fund reduction level.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Beyond this, effects of the
budget are along the lines that we have discussed before – layoff of about 27 of
our 57 stewardship foresters, elimination in <st1:City
w:st="on">Salem</st1:City> of much field and technical support for forest
practices, and discontinuation of direct support for the Oregon Plan, eastern
<st1:place w:st="on"><st1:State w:st="on">Oregon</st1:State></st1:place>
effectiveness monitoring, and much of our insect and disease work. </P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Information about the specific
stewardship forester and <st1:City w:st="on"><st1:place
w:st="on">Salem</st1:place></st1:City> positions affected by layoff will be
provided to supervisors this week.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">In total, the effect of these
reductions will roll<SPAN style="FONT-SIZE: 10pt"> </SPAN>back our capacity to
administer the Forest Practices Act to roughly mid-1980s levels, which will
undoubtedly require some significant changes in both the structure and
administration of the Private Forests program. As mentioned earlier in this
note, we’re still considering the timeframe for implementing this layoff.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Other features of the budget
include restoration of the 50-50 split between the state and landowners for
basic fire protection (earlier versions had proposed a smaller state share), and
a cap of $10 million, rather than the $15 million of the past several years, in
landowner costs for large fires, with the General Fund picking up the additional
exposure.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Reaching resolution on the
fire-finance aspects of the budget involved considerable negotiation among
landowner groups and key legislators. Although there were differing opinions on
how the costs should be shared, none of the parties questioned the efficiency,
effectiveness, cost or need for these services. This is an excellent reflection
on our agency and the value we provide.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt; mso-outline-level: 1"><B
style="mso-bidi-font-weight: normal">Planning for stimulus dollars
<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">Just as we face these serious
reductions in our work force and our services, we will likely be receiving
substantial federal stimulus payments to pay for specific new activities,
largely involving fuels reduction. As we’ve mentioned, this will substantially
reshape our work for the next couple of years, while providing opportunities for
some employees who have been laid off.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">The funds are intended to provide
jobs in the private sector. However, a portion will be available for agency
administration of the various projects around the state. The division chiefs and
area directors are working on a process for identifying and filling a limited
number of positions needed for this administration.</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 are looking
long-term at a more efficient way to solicit and use grant dollars that we
receive through normal federal channels. Clark Seely will be sending a message
soon with more detail about our approach to managing grants and stimulus
dollars.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt; mso-outline-level: 1"><B
style="mso-bidi-font-weight: normal">Closing notes<o:p></o:p></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal"><o:p> </o:p></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Although we now have more detail
about our 2009-2011 budget, uncertainty remains. As you may have heard in news
reports, interest groups may work to refer tax increases, approved by the
Legislature as part of its budget-balancing plan, to the voters.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">If that occurs, the voters’
decision will determine whether additional budget reductions may be necessary –
issues the Legislature could address in a session perhaps early next year.
Unknowns also remain about the future direction of our economy, which directly
affects tax revenue available to state government.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">We have been discussing
uncertainty in our budget picture since last fall, and we must keep in mind that
more change is possible. We appreciate your continued focus on our work during
these times, and, as always, invite you to contact any of us, or your
supervisor, if you have questions.<SPAN style="mso-spacerun: yes">
</SPAN>And again, thank you for all the work that you do.</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><st1:place
w:st="on">Clark</st1:place> Seely<SPAN
style="mso-tab-count: 7">
</SPAN>Paul Bell, Chief</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><st1:place
w:st="on"><st1:PlaceName w:st="on">Associate</st1:PlaceName> <st1:PlaceType
w:st="on">State</st1:PlaceType></st1:place> Forester<SPAN
style="mso-tab-count: 5">
</SPAN>Protection Division</P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p> </o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt">Jim Paul, Chief<SPAN
style="mso-tab-count: 6"> </SPAN>Doug
Decker, Acting Chief </P><SPAN
style="FONT-SIZE: 12pt; FONT-FAMILY: 'Times New Roman'; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-US; mso-fareast-language: EN-US; mso-bidi-language: AR-SA">Private
Forests Division<SPAN
style="mso-tab-count: 5">
</SPAN>State Forests Division<SPAN
style="mso-tab-count: 2">
</SPAN></SPAN></DIV></BODY></HTML>