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My name is Jim Matson. I am President of Vermillion Services, which is an economic 

 development and natural resources consulting firm headquartered in Kanab, Utah My 

 clients are the communities of Fredonia, Arizona, Kanab, Utah, and Kane County, Utah. 

 These two communities and Kane County are continually affected by federally 

 administered public lands and the policies of the BLM, Forest Service, and Park Service. 

 I would prefer to report to you that these affects were mostly benign or beneficial, but 

 they are not. 



Leading a list of adverse impacts on our communities are the Department of Agriculture, 

 Forest Service administrative appeals procedures. Apf)eals have provided the opponents 

 of human managed forests the means to breach a forestry system which until recently was 

 of significant value to the American people and public forest lands. People in the 

 commimities that I represent have suffered greatly because of administrative appeals. 

 Kaibab Forest Products Company, formally the areas largest employer of people and their 

 500 families was forced out of business by the constant barrage of administrative 

 appeals, companion lawsuits and the acquiescence of the Forest Service. Administrative 

 appeals continues to be the thin edge of the wedge utilized for purposes of paralyzing 

 public forest lands enhancements and investments. 



