39 



Mr. DOOLEY. Mr. Chairman, I haven't seen this letter. 



Mr. Rose. I haven't either, but the staff tells me that it is com- 

 ing. 



Mr. DoOLEY. Without any provision for what the financing of this 

 legislation would be? 



Mr. Rose. I haven't seen the letter; I can't say. But if they sup- 

 port this bill, then they support finding a way to pay for it. 



Mr. DoOLEY. Thank you. 



Mr. Rose. I excuse the panel now and thank you very much for 

 your presence. 



The next panel is Ms. Cecelia Lanman, the project director of the 

 Environmental Protection Information Center of Humboldt County, 

 California; Ms. Kathy Bsiiley, chair of the State Forestry Commit- 

 tee, Sierra Club of California, Boonville, California; Dr. William 

 Stewart, senior research associate, Pacific Institute for Studies in 

 Development, Environment, and Security, Oakland, California. 



I would ask that you remember, all three of your statements will 

 be made a part of the record in their entirety. If you would summa- 

 rize, please, for us what is in your statements, we thank you very 

 much — in the interest of time. 



I think you have heard what has gone on here today, and I have 

 just been told we are going to get a letter indicating that the ad- 

 ministration supports this so, please, Ms. Lanman, if you would 

 proceed. 



Ms. Lanman. Is it OK if Ms. Bailey starts first? 



Mr. Rose. That is fine. 



STATEMENT OF KATHY BAILEY, CHAIR, STATE FORESTRY 

 COMMITTEE, SIERRA CLUB, STATE OF CALIFORNIA 



Ms. Bailey. Thank you for the opportunity to testify this morn- 

 ing on behalf of the Headwaters Forest Act. My name is Kathy Bai- 

 ley, and I am the chair for the California State forestry committee 

 of the Sierra Club. 



I wanted to just begin my remarks by going back and responding 

 to one thing I heard in the previous panel that I wanted to clear 

 up for people from out of State. California has a zoning for timber 

 production called the timber production zone, and that changes 

 how tax moneys come to the State on timberland. It is not based 

 on the assessed valuation of thousands of dollars per acre. The tax- 

 ation comes at the time the timber is cut in a yield tax. 



There is a very small $1.35 per-acre-tax on the land itself, but 

 the vast majority of the taxation comes at the time of harvest. 



Sierra Club joins with the Wilderness Society and the National 

 Audubon Society in supporting the Headwaters Forest Act because 

 it provides the only foreseeable chance to maintain this significant 

 portion of the environmental heritage of the redwood region. We 

 specifically support, at a minimum, the 44,000-acre acquisition 

 area and the bill's focus on reestablishing the links between the 

 virgin, uncut blocks of forest which remain in order to enhance the 

 habitat value of the area. 



Aside from its parkland, the redwood ecosystem falls almost en- 

 tirely under the jurisdiction of the California State regulatory sys- 

 tem. In theory, California's forest regulation system should provide 

 reasonable protection for the redwood ecosystem. We have what 



