Ellen Engstedt - December 18, 2006
Montana Wood Products Association
State Surplus
The end of a year is always a good time for reflection and the beginning of the new year is usually a good time for optimism about how life should be going. Montana’s economy during 2006 continued to pick up speed thanks to the natural resource basic industries. A surplus in the state coffers is ranging just under one billion dollars.
The Legislature, Governor and others are salivating over the excess and jockeying for position as to what should happen to those taxpayer-raised dollars. It has been many legislative sessions since the problem has been too much money and not enough to fund even the most necessary services.
It must cause incredible heartburn to those who seemingly despise the basic industries of mining, agriculture, timber, and oil and gas that the reason there could be more money for education and social needs is because of those very entities. As a population we in Montana have allowed the vocal minority to nearly destroy our economy by obstructing the production of value added commodities. And most likely those who are most anxious to spend the excess dollars are in total denial or oblivion as to whom is producing the bounty.
Over the past few weeks five industry trade associations conducted events across Montana. Coal mining, logging, milling, trucking and construction were represented at different locations from Kalispell to Miles City and many points in between. The audience was newly elected legislators who were invited to meet with us and hear our pitches about our particular role in Montana’s economy and why it is so important.
The reason these five entities travel the State together every other year is simple. Each of us depends upon the others for our well-being. Mills cannot operate without logging and the loggers need a place to take the trees. Mills and loggers cannot operate without trucks to haul the products and the construction industry must have what is produced to supply their building needs. All citizens and businesses need energy for heat and lights and the bulk of that energy is produced by coal. These are integrated businesses relying on each other and others in their own industries.
The smallest to the largest mill relies on the residual folks of Smurfit-Stone Container or Roseburg Forest Products to pick up chips and other wood waste where it is then taken to those facilities and value is added by manufacture of paper or particle board. The wood processing facilities throughout Montana are dependent upon each other for acquisition or disposal of a variety of materials. Every time another mill slows down or closes as happened this past week with the cutting of a shift at Stimson Lumber or the closing a few weeks ago of Eagle Stud Mill in Hall a chill moves over the remaining operations. There are no high fives in the timber community when a plant closes because while they are all competitors, they are also partners.
We in the timber community have moved on to adapt to changing conditions in both society and the industry. The use of high tech equipment to utilize smaller diameter trees and being light on the land is common practice on timber sales. There are those who once opposed timber harvesting who now see the benefits of healthy rather than sick forests and who publicly are denouncing the serial litigators who have some kind of agenda albeit not one that benefits the environment or Montana citizens.
As the New Year and the Legislature approach we should all step back, take a deep breath and reassess our positions on what should be done over the coming months for the good of all of our residents. We have more in common than not because of the integrated nature of our businesses and citizens and we can only hope those elected will take the high road and act accordingly.
From the families and friends of the Montana Wood Products Association based in Helena may you have a Merry Christmas and a peaceful New Year. I’m Ellen Engstedt and thanks for listening.
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