Forest Management Policy in the Northern Forest

Ecological Economics Approach to Assessing Policy Implications

Northern Forest Region

www.northernforestalliance.org

• 26 Million Acre Expanse of Forestland Covering Four States• Transition Zone Between Temperate and Boreal Forests• Major Ecosystem Service Provider • Crucial Biodiversity and Habitat Region

Socio-Economic Characteristics

• 1 Million People Live Within the Region

• 70 Million Within 8 Hour Drive

• 83% of Land Owned Privately, 17% Public (3% of Which is Federal)

• Forest is a Cultural and Economic Mainstay for the Region – Forest Industry Contribution to the Four States’ Economies Estimated to be $14.7 Billion(1990)

Recent History of the NF Economic Issues

• Stagnant Timber Prices• Timber Industry Buyouts • Massive Land Sales • Economic Boom in New England• Land Value Increases - Speculation• More Forest Industry Buyouts Focus on Quick

Returns (high grading, clear cutting, dev’ment sales) • Industry Weakened by Globalization Effects and

Recession in Late 1980’s – Early 1990’s

Recent History of the NF Political Issues

• NE Socio-Political Characteristics Allowed For Attention to Be Given to the Region

• 1989-90: NF Lands Study (NFLS) Conducted by the Forest Service and Assisted by “Governors’ Task Force”

• 1990-1994: The NF Lands Council (NFLC) Was Formed to Advise on Public Policy and “Identify Ways to Reinforce the Region’s Traditional Patterns of Land Ownership and Use”

Northern Forest Lands Council

• Provided 37 Policy Recommendations to State and Federal Government Focused on:– Improving Quality of Life by Creating Economic

Stability– Encouraging the Production of a Sustainable Yield

of Forest Products– Protecting Recreational, Scenic, and Wildlife

Resources

Key Policy Recommendations/Outcomes of NFLC

1) Fostering Stewardship of Private Lands

2) Protecting Exceptional Resources

3) Strengthening Economies in Rural Communities

4) Promoting Informed Decisions

Review of Implemented Policies

• 16 Govt. Policies Recommended• 50% Not Implemented At All• Only 3 Implemented With Progress Made –

All of Which Were Economic Policy Recommendations

• The Four Federal Recommendations on Env. Protection Not Implemented

• States – Implemented most policies, but many were either partially done or not done at all

Scale Issues

• Has the Scale Question Been Answered by the NFLS/NFLC? Not Really a Question That They Even Addressed

• Anthropocentric Policy (Influenced Heavily By the Maine Forest Industry)

• Scale of NF “Green Line” or Scale of the Actual Ecosystem?

Just Distribution Issues

• Property Rights Advocates

• Property Rights Argument: Local Owner vs. Absentee Landlord

• “Exceptional Land” Protections

• Green Line equity

• Tax Dollars: Timber Subsidies vs. Conservation

Implementation of Property Policies

Efficient Allocation Issues

• “Preserve Existing Patterns….”

• What to fix? Price vs. Quantity

• Public Good Bundle of Problems