85 



Many agreements were made in regards to resource allocation 

 and land management policy. Some of these included and include: 

 Protection for the giant sequoia groves, protection for riparian 

 areas, a reduction in the land base for timber production, a reduced 

 harvest level, and a 75 percent reduction in the practice of 

 clearcutting. 



Realizing that there will always be conflicting views and view- 

 points in regards to managing the natural resources of Federal 

 lands, I feel that through the efforts of the mediation group, a true 

 balance has been found. This agreement should be allowed to pro- 

 ceed, and not to be destroyed by this bill. 



The outcome of the mediation has inspired other groups in Cali- 

 fornia and Oregon to try to reach a consensus in their local areas. 

 This is also the concept of consensus building that President Clin- 

 ton urged at the Timber Summit last year in Portland. 



Sierra Forest Products, since its beginning in 1968, has been an 

 important component of the economy in southeast Tulare County. 

 We presently employ about 160 people on a year-round basis, and 

 provide employment for an additional 125 people during the log- 

 ging season. Our mill is privately owned, our only operation, and 

 one of the most efficient in California. 



In 1992, our payroll, employee medical insurance. Federal taxes 

 withheld from employees, and payments to logging contractors to- 

 taled over $13 million. Forest Service data shows employment-re- 

 lated income for the forest products industry from the Sequoia Na- 

 tional Forest to be at least $33 million annually in Tulare County. 



As some of you know, the economy of Tulare County is largely 

 based on agriculture. Presently, it has an experience in unemploy- 

 ment rate of around 17 percent. 



Our company not only provides critical employment, but it is one 

 of the few industries that provides the potential for entry-level per- 

 sonnel to advance to higher positions. Most of our skilled personnel 

 and many of our management level employees have progressed 

 from entry-level to their present positions. 



In addition, the majority of our employees are minorities. We 

 provide a unique opportunity for employment for many of these 

 people that is not often found in the San Joaquin Valley. 



Sierra Forest Products, like all mills on the west coast, has expe- 

 rienced the consequences of the artificial shortage of timber being 

 removed from the national forests. Historically, we have been de- 

 pendent on the national forests for about 95 percent of our timber 

 supply. When our mill was built, there were three other mills in 

 the area. We are now the sole survivor. 



The Sequoia National Forest annually grows around 135 million 

 board feet of timber. We have seen the harvest levels reduced over 

 the years from about 100 million board feet to a predicted harvest 

 of 26 million feet this year. 



Last year, we were forced to reduce our production from a two 

 shift operation to a one shift operation, which resulted in a lay-off 

 of 60 people. This may sound fairly insignificant in Washington, 

 DC, but believe me, it was traumatic to the families involved. I be- 

 lieve that one of the most difficult times in my career has been ex- 

 periencing the loss to these people and their families. 



