Loggers Economic Assistance and Relief Act
- Sponsor
- Rep. Golden, Jared F. [D-ME-2]
- Committees
- Agriculture Committee (primary)
- Last action
- Jul 23, 2025
Bottom line
The Loggers Economic Assistance and Relief Act creates a disaster relief payment program for the timber industry, authorizing $200 million over four years to support businesses facing revenue losses from major disasters.
What it actually does
This bill establishes a new federal payment program, administered by the Farm Service Agency, to provide financial assistance to timber harvesting and timber hauling businesses that experience significant revenue losses due to major disasters, including insect infestations. Eligible businesses can receive a payment equal to 10 percent of their gross revenue during a qualifying 30-day period or quarter where revenue dropped by at least 10 percent compared to the previous year, with funds restricted to operating expenses.
Proponents argue
Proponents argue that the timber industry, particularly small and medium-sized harvesting and hauling businesses, is vulnerable to unexpected market disruptions and natural disasters, including widespread insect infestations, which can devastate local economies. This bill provides a crucial safety net, ensuring these essential rural businesses can cover operating expenses and remain viable during challenging times, thereby protecting jobs and the supply chain for forest products.
Opponents contend
Opponents might contend that this bill creates a new, narrowly targeted federal subsidy program for a specific industry, potentially setting a precedent for other sectors to seek similar direct payments. Concerns could be raised about the payment structure, which is based on a percentage of gross revenue during the loss period rather than directly compensating for the actual revenue loss, and about the expedited regulatory process that bypasses public notice and comment.
The bill is very short and clearly written, making it accessible for a quick read and easy to understand its core provisions.
Section 2(a)
Definitions of Eligible Entities and Major Disaster
This section defines key terms for the payment program. An 'eligible entity' is any timber harvesting or timber hauling business that operated in the previous calendar year. A 'major disaster' is defined by the Stafford Act, but explicitly includes insect infestations, expanding the scope of events that qualify for relief.
Supporters argue
Supporters argue that explicitly including insect infestations in the definition of 'major disaster' is crucial because these events can cause significant, widespread, and unexpected market and revenue losses for the timber industry, just as other natural disasters do. This ensures comprehensive protection for a vulnerable sector.
Critics contend
Critics might argue that expanding the definition of 'major disaster' beyond traditional natural events could broaden the scope of federal intervention and potentially strain disaster relief resources, blurring the lines between market fluctuations and true catastrophic events.
Tradeoffs
The tension lies between providing comprehensive support for an industry facing diverse threats and maintaining a clear, limited scope for federal disaster relief programs. Expanding the definition ensures more events qualify, but also potentially increases the program's cost and administrative complexity.
Section 2(b) and (c)
Establishment and Amount of Payments for Revenue Loss
This provision directs the Secretary of Agriculture to make payments to eligible timber businesses that experience a loss of at least 10 percent in gross revenue during a 30-day period or quarter due to a major disaster, compared to the same period in the previous year. The payment amount is set at 10 percent of the gross revenue generated by the eligible entity during the specific period of loss.
Section 2(d)
Allowable Use of Payments
This section specifies that payments made under the program can only be used for operating expenses. Eligible entities must certify to the Secretary of Agriculture that the funds will be used exclusively for this purpose.
Section 2(f)
Expedited Rulemaking Authority
This provision grants the Secretary of Agriculture the authority to prescribe regulations necessary to carry out the payment program within 30 days of the bill's enactment. Crucially, it waives the standard notice and comment provisions of the Administrative Procedure Act and the requirements of the Paperwork Reduction Act, allowing for rapid implementation.
Section 2(g)
Authorization of Appropriations
This section authorizes the appropriation of $50,000,000 for each of fiscal years 2026 through 2029 to carry out the payment program. This means Congress can choose to appropriate up to $50 million annually for four years, totaling $200 million, to fund the Loggers Economic Assistance and Relief Act.
The payment amount for eligible entities is calculated as 10 percent of the gross revenue generated by the business during the applicable 30-day period or quarter where the revenue loss occurred.
Section 2(c)
Why it matters:This is likely standard legislative practice for defining payment formulas, aiming for clarity and administrative simplicity rather than being intentionally evasive.
Case for: Supporters would argue this formula provides a simple, predictable, and quickly calculable payment, allowing for rapid disbursement of funds to businesses in distress without requiring complex loss assessments.
Case against: Critics might argue that this formula is not directly tied to the *actual amount of revenue lost* but rather to the *remaining revenue* during the affected period. This could lead to payments that are either insufficient to cover the true impact of the disaster or, in some cases, disproportionate to the actual loss, raising questions of fairness and efficiency.
Estimated impact: This calculation method will determine the exact dollar amount of relief received by each eligible business, influencing the overall effectiveness and cost of the program.
The promulgation of regulations and administration of this section shall be made without regard to the notice and comment provisions of section 553 of title 5, United States Code, and chapter 35 of title 44, United States Code (commonly known as the 'Paperwork Reduction Act').
Section 2(f)(2)
Why it matters:This is a common legislative technique used to expedite the implementation of emergency or time-sensitive programs, rather than an attempt to hide a controversial policy. It prioritizes speed over public input.
Case for: Proponents would argue that waiving these procedural requirements is critical for rapid program implementation, ensuring that financial relief reaches struggling timber businesses as quickly as possible after a disaster without being bogged down by lengthy administrative processes.
Case against: Critics might argue that bypassing standard notice and comment procedures reduces transparency and public accountability, potentially leading to regulations that are less robust, less informed by stakeholder input, or that could have unforeseen negative consequences due to a lack of public review.
Estimated impact: This procedural waiver will significantly shorten the timeline for the Farm Service Agency to establish and implement the payment program, but it also limits the opportunity for public and industry stakeholders to shape the final rules.