Alabama Governor Kay Ivey has allocated $10 million for a grant program to help relieve the financial pain suffered by the state’s timber owners during the coronavirus pandemic.
The money comes from the $1.9 billion Alabama received as part of the federal government’s CARES Act passed in March with the goal of alleviating the economic impact of the virus and the precautions it made necessary.
The $10 million will be dispersed by the Alabama Forestry Commission under the leadership of State Forester Rick Oates. The grants given will be no more than $10,000 and will be handed out on a first come first served basis.
The funds will only be available to those who harvested timber in Alabama from March to July, and the Commission is still finalizing details on how to apply.
A joint release from the Alabama Farmers Federation and the Alabama TREASURE Forest Association (ATFA) says the “payment rate will be $1 per ton of timber sold. Initial payments will be limited to not more than $10,000 per applicant, pending evaluation of program participation and available funding.”
“CARES Act funds are intended to stabilize our economic losses and help our state recover from COVID-19. This program is designed to reduce the burden of Alabama’s 23 million acres of timberland and the subsequent jobs that depend on a healthy timber industry,” commented Ivey in a statement accompanying the announcement.
The move by the governor was applauded by forestry-related groups in the state.
“Like many segments of the economy, forest landowners have been particularly hard hit and we appreciate the opportunity to work with the Governor to provide this much needed relief,” said Chris Isaacson, executive vice president of the Alabama Forestry Association.
William Green of the AFTA remarked, “Unlike seasonal crops, forest products are a long-term investment. It is challenging to recover from depressed prices at harvest because the investment in a mature tree often spans decades.”
“This program will offset some of the losses timber owners experienced this spring and will help them continue managing their land for multiple uses, including wildlife habitat,” Green added.
In explaining how timber owners have negatively impacted by COVID-19, ALFA president Jimmy Parnell stated that “prices have decreased for timber used for lumber as well as pulpwood used to make paper.”
State Forester Rick Oates commented, “The Alabama Forestry Commission understands that forest landowners in the state have been negatively impacted by the coronavirus. These assistance payments will not make landowners whole, but they will help.”
Henry Thornton is a staff writer for Yellowhammer News. You can contact him by email: [email protected] or on Twitter @HenryThornton95
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