12 



Mr. Lyons. Thank you very much, Mr. Chairman. 



Mr. COOLEY. Can you provide for the committee what is the re- 

 quirement of the contract right now by KPC? 



Mr. Janik. As Under Secretary Lyons stated, that number is ac- 

 tually in dispute. It is in litigation, but our contracting officer, who 

 is Mr. Walk to my far left, has calculated that to be 154 million 

 board feet as the minimum obligation to the Ketchikan Pulp Com- 

 pany. There is a maximum harvest limit identified in the contract 

 for the Ketchikan Pulp Company of 192 million board feet. And the 

 dispute, sir, is between those two numbers. 



Mr. CoOLEY. OK, but under your new marvelous harvest under 

 the alternative program, the Tongass land — plan revision — you're 

 telling me now that you want to get 300 to 357 million board feet? 



Mr. Janik. Even though that is not yet a decision, it is out for 

 public review. The preferred alternative says that we are confident 

 we can economically deliver right at about 300 million board feet 

 a year. And that is the total for the obligation to Ketchikan Pulp 

 Company and for the independent operators. The portion of that 

 highlighted for the independents, and we do have a formal small 

 business association agreement, is 100 million. 



Mr. CoOLEY. But you are presently harvesting between 320 and 

 330 board feet? 



Mr. Janik. We are offering out about that much per year to the 

 timber industry, yes. That is what they've been able to do over 

 about the past three or four years. 



Mr. CoOLEY. OK, any higher than that? 



Mr. Janik. This year with the prices having gone down, there are 

 a couple of sales that have been offered up that have not been bid 

 on, but prior to that, yes, that timber has been purchased or ac- 

 cepted by KPC in case of the contract and the release to them, 



Mr. CoOLEY. That is all the questions I have, Mr. Chairman. 



The Chairman. The gentleman from California. Let me make an 

 interruption here. Did you — Phil, you are not going to make a 

 statement, are you? You are just open for questions? 



Mr. Janik. I have no statement to make, if that 



The Chairman. No, that is fine. 



Mr. Janik. Thank you. 



The Chairman. But you are on the witness panel as one to tes- 

 tify. So go ahead, Mr. Miller. 



Mr. Miller. Following onto Mr. Cooley's question, the 154 and 

 the 192, this legislation would do what to those figures? 



Mr. Janik. As I understand the legislation, it would establish the 

 192 as the required minimum. 



Mr. Miller. And that is a matter that is being currently liti- 

 gated? 



Mr. Janik. That is correct, sir. 



Mr. Miller. As part of the litigation brought by the manufactur- 

 ers of 



Mr. Janik. That is correct. 



Mr. Miller. That is one of the determinations as to what is the 

 requirement, whether it is 154 or 192. 



Mr. Janik. That is correct, sir. 



Mr. Miller. As I have had this problem somewhat described to 

 me, and we go back to what Mr. Cooley said, Secretary Lyons' 



