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Logging trade group urges tax relief and low‑interest loans as mill closures, wet weather strain Vermont contractors

2127002 · January 17, 2025
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Summary

Dana Duran, executive director of the Professional Logging Contractors of the Northeast, told the Vermont House Committee on Agriculture, Food Resiliency, & Forestry that Vermont logging contractors face falling markets and weather‑related work losses and asked the committee to back tax and loan measures to improve competitiveness.

Dana Duran, executive director of the Professional Logging Contractors of the Northeast, told the Vermont House Committee on Agriculture, Food Resiliency, & Forestry on an occasion during the committee meeting that Vermont logging contractors face falling markets and weather‑related work losses and asked the committee to back tax and loan measures to improve competitiveness.

The trade group's top legislative priority this session, Duran said, is a sales‑tax exemption for purchases and parts for heavy‑duty trucks used in logging, a bill sponsored by Representative Lipsky. Duran said New York and New Hampshire offer similar exemptions and that Maine is considering a similar change this year. He also asked for support to approve a state revolving loan program for low‑ground‑pressure equipment and for master logger scholarship funding already included in last year’s appropriations.

Why it matters: Duran said statewide timber markets and contractor capacity have fallen in recent years because of mill closures and weak saw‑log pricing, and that weather has shortened workable field seasons for many contractors. He said the combination of market loss and reduced work days has put Vermont contractors at a competitive disadvantage relative to neighboring states.

Details from testimony and committee context Duran described his organization as a nonprofit trade association representing logging and trucking contractors across the region and noted its work on certification, training and federal grant assistance. He said the group helped Vermont’s Department of Forests, Parks and Recreation apply for U.S. Forest Service funding for crane mats and related contractor support; Duran did not specify the grant dollar amount in the transcript. He also cited a $1,000,000 appropriation passed in last session’s state budget that was directed to the Department of Forests, Parks and Recreation to support contractors with water‑quality and resilience measures; Duran said that agency is preparing to award contracts to distribute those funds over the next 18–24 months.

Duran highlighted the association’s Master Logger certification program, which he described as an independent auditing and verification program for harvesting practices dating to 2000 and now operating in multiple states. He said the association runs safety trainings and created an insurance dividend program with Acadia Insurance to help members manage insurance costs.

On economic figures Duran cited 2017 data showing direct logging economic activity of about $991 million and roughly 1,700 direct logging and trucking jobs in Vermont in 2017; other numeric items mentioned in the transcript (for example, a figure the speaker gave for direct labor income) were garbled in the recording and are reported as not specified in the transcript.

Duran pointed to recent mill closures — including the loss of Putney Paper and two sawmills — and stated that about 40% of regional logging capacity has been lost in the past four years. He also told the committee that wet winters, wetter summers and flood events have shortened field seasons for many operators; he said one contractor, Sam Lincoln of Lincoln Farm Timber Harvesting, worked about 120 days in 2024 compared with a typical 180 days.

Legislative and program requests - Sales‑tax exemption: Duran asked the committee to support Representative Lipsky’s bill to exempt purchases and parts for heavy‑duty logging trucks from Vermont sales tax, to match parity with neighboring states. - Revolving loan program: Duran said the Clean Water Board included funding in its budget recommendation for low‑interest loans to help contractors buy low‑ground‑pressure equipment; that recommendation still requires legislative approval to be enacted. - Master logger scholarships and training: Duran noted scholarship funding in last session’s appropriation and asked for continued support to expand certification and training opportunities, including discussion of a mechanized logging and forest‑trucking program modeled on a Maine community college partnership.

Other items mentioned Duran said the association participated in the timber trespass study following criminalization of timber trespass in the previous session and that the office of the Vermont attorney general will provide a report to the committee. He also said language changes in the miscellaneous bill last session altered Vermont Economic Development Authority programs so contractors can better qualify for assistance. Duran offered to organize on‑site timber harvest tours for committee members to observe equipment and operations.

Quotes "We're firm believers in paper. So when in doubt, print," Duran said when offering committee members paper materials. He also described the sales‑tax exemption request as intended to "bring parity to the industry." (Both quotes as stated in testimony.)

What the committee did not decide The committee did not take a formal vote on any bill during this testimony. Duran outlined policy requests and existing funding but identified no final legislative action taken in the hearing itself.

Ending Duran concluded by offering more information and saying he expects to return to provide additional testimony; committee members thanked him and noted the group may be invited back for further discussion or site visits.