Bush proposal could cost Peninsula counties millions

A Bush administration proposal to phase out a 6-year-old program that replaces tax revenue lost because of reduced logging on federal lands could cost Clallam and Jefferson counties several millions dollars each in federal funding.

“It’s going to hurt,” said Forks Mayor Nedra Reed.

“It’s going to have a huge impact at the county level.”

“It’s significant,” said Jefferson County Commissioner David Sullivan, D-Cape George.

“This is money that was used to replace the timber money from Forest Service land.

“It allows rural communities to provide basic government services to a lot of our citizens.”

The Secure Rural Schools and County Self-Determination Act of 2000 established a six-year payment formula for counties that receive revenue-sharing payments for having U.S. Forest Service and Bureau of Land Management property within their boundaries.

The law is set to expire Sept. 30 if Congress does not reauthorize it.

The program, which has helped offset sharp declines in timber sales in western states, provided Washington state with $45.9 million during federal fiscal year 2005 and $46.9 million in fiscal 2006.

Jefferson County received $3.26 million in 2005 and $3.33 million in 2006.

Clallam County received $2.42 million in 2005 and $2.47 million in 2006.

The program provides money to counties equal to the average of their three highest years’ payments for forest products logged on federal lands between 1986 and 1999.

The money is earmarked for education, roads and county services in rural areas.

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