202 



interest of the forest, the people or the wfldlife. 



The economic implications of this bill should not be taken lightly. While the federal 

 government is witnessing a significant reduction in budgets, HiL 2153 would increase federal 

 expenditures. Fresno, Tulare, and Kern Counties would annually lose up to Si million in 

 "25% fund" payments. The last annual payment to the three counties was $1.7 million. 

 These payments, from the revenue of timber harvesting, would now be replaced by federal 

 appropriations. 



Fuel management costs are expected to climb by $2 million annually. It is estimated 

 that creation of the preserve's management plan could cost $1 million dollars. The cost of 

 the Scientific Advisory Board Administration, maintaining road closures and operation of 

 the community Assistance Task Force will be on going and expensive. 



Sierra Forest Products, since its beginning in 1986 has been an important component 

 of the economy in S.E. Tulare County. We employ 160 people on a year round basis and 

 provide employment for an additional 125 during the logging season. 



In 1992 our payroll, employee medical insurance, federal taxes withheld from 

 employees and payments to logging contrsictors totalled over $13 million. Forest Service 

 data shows employment related income for the forest products industry from the Sequoia 

 National Forest to be $33 milUon annually. 



The economy of Tulare County is largely based on agriculture and presently is 

 experiencing an unemployment rate of around 17%. Our Company not only provides critical 

 employment, but is one of the few industries that provides the potential for entry level 

 personnel 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. 



Our mill is privately owned and one of the most efGcient in the State of California. 

 The management has taken much effort over the years to strive to improve this efficiency. 

 We utilize 100% of every log and manufacture a variety of products. 



The plant in Terra Bella is our only operation. The site consists of the sawmill, 

 planing mill, cut-stock mill, co-generation plant and bark plant 



The co-generation plant xises sawdust, woodchips and recycled wood fiber from 

 outside sources to produce steam which in turn dries our lumber and produces electricity. 

 This electricity, 9 Megawatts, is sold to Southern California Edison and is the equivalent to 

 the power requirements of about 10,000 homes. 



