REPORT OF the; SUBCOMMITTi;^ 261 



Encouragement of Forestry 



The general lines of this proposal are that the nation should purchase 

 potential forest land and reforest it, with the intention of returning it 

 to its former owner as soon as the new stand is past the difficult stage, 

 this return to be at the actual cost to the nation, plus interest, of the 

 work done. The owner is then supposed to be sufficiently encouraged 

 and interested to carry on the work, with the resulting establishment 

 of a private forest industry. 



There is no assurance of these results. On the contrary the plan 

 would undoubtedly result in a heavy financial loss to the Government 

 without the certainty of the establishment of private forestry as a 

 return. In a large program of reforestation, certain tracts would prove 

 profitable and others failures. In the scheme contemplated, it would 

 be almost certain that all the most profitable areas would be bought 

 back by their owners at cost, leaving the nation to stand the burden of 

 the remainder. Once in the hands of the private owner, it would be 

 difficult to assure the continuance of forestry on private tracts. It 

 would be easier and safer for him to realize on the benefits already 

 accrued, and then to permit the nation once more, if it would, to run 

 the risk of a second rotation. 



This plan has been tried by certain Eastern States but without any 

 phenomenal success. It is not felt that it merits more extensive appli- 

 cation at the present time. 



Holding Virgin Timber 



Many of the evils connected with the lumber industry as now or- 

 ganized have been ascribed to the overload of standing timber on which 

 the carrying charges must be paid and which thus force the cutting of 

 timber more or less regardless of market demand. It has been pro- 

 posed, therefore, that the nation lease large areas of virgin forest land 

 and hold them until they be needed by the consuming public. They 

 would then be returned to their owners for operation in the usual way. 

 The price would of course have to be the cost to the Government of 

 holding the land during the intervening period ; that is, the rental jilus 

 carrying charges plus compound interest. It should be noted that this 

 plan does not result in any increased production. It attacks the 

 economic not the silvicultural side of the problem and it is hard to see 

 that any great benefits to the public would result. As a matter of fact 



