Header: Header: Header:

California Lumber Tax Dropped

A proposed 1% additional sales tax on selected lumber products that was part of Governor Jerry Brown’s attempt to close a state budget gap has been dropped, much to the relief of California LBM dealers. The tax pitted retail lumber sellers against lumber producers by shifting fees the timber industry currently pays to its customers.

The 1% tax would have been used to fund the regulatory activities of four state agencies involved in reviewing and monitoring timber harvest plans that are required for all private and public timber cutting. Currently, those costs are paid by the landowners and from state general fund expenditures. The proposal to shift the program costs to the retail lumber dealers was supported by the California Forestry Association.

The Lumber Association of California and Nevada (LACN) lobbied hard against the tax, citing the additional cost and complexity of setting up a new tax collection system. It was also unclear exactly which wood products would be subject to the tax, the LACN pointed out.

LACN disagreed with that proposal and advocated that the fees should remain as they are and not be an additional cost to consumers. The timber industry wanted the fees to be passed on to the end user to lessen the competition they face from timber produced outside California and thus not subject to California regulations.

From HBS Dealer: hbsdealer.com.

Latest News

BID Group Purchasing Smith Sawmill Service

BID Group has entered into an agreement to acquire Smith Sawmill Service. The transaction further expands BID’s product and service offerings to include the essential recurring saw and tooling capabilities required to support modern wood…

JoeScan To Debut New Scan Heads

The sawmill scanning experts at JoeScan will soon bring the proven simplicity of their JS-50 scan head to more parts of the sawmill. “Mills love how our latest JS-50 WX model performs on their edgers and trimmers,” says JoeScan president Joey Nelson. “It’s a robust, reliable platform that is very easy to use. So we’ve been working hard to develop next-gen scanners for more machine centers…

UFP Industries Acquires 50% Stake In Dempsey Wood Products

UFP Industries has announced that its affiliate, PalletOne, Inc., has acquired a 50% equity stake in South Carolina sawmill company, Dempsey Wood Products, LLC. The purchase agreement includes options for PalletOne to purchase…

New SYP Sawmill Stirs Up Dust

Looks like construction of the new Canfor $160 million southern yellow pine sawmill in DeRidder, La. is in motion, according to these photos taken by Senior Editor Jessica Johnson as she was passing through the area in early June on an assignment trip…

Find Us On Social

Newsletter

The monthly Timber Processing Industry Newsletter reaches over 4,000 mill owners and supervisors.

 

Subscribe/Renew

Timber Processing is delivered 10 times per year to subscribers who represent sawmill ownership, management and supervisory personnel and corporate executives. Subscriptions are FREE to qualified individuals.

Advertise

Complete the online form so we can direct you to the appropriate Sales Representative.