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The Fascicle Welcome Winter, 2005 Welcome to The Fascicle, a new quarterly electronic newsletter devoted to forestry in southeast Mississippi. In forestry, "fascicle" means "a cluster or bundle." Pine needles are fascicled because 2-5 needles, depending on the species, are bundled together by a papery sheath. In a sense, this newsletter is a fascicle; a bundle of news items related to forestry. The intent is to provide nuggets of information that may be useful to private landowners, Extension and agency personnel, professional foresters, and others interested in forestry. Where possible, websites or sources of additional information are provided so you can obtain greater detail. Items covered in this issue of The Fascicle include:
In the listing of Extension Forestry programs scheduled for next spring we have provided as complete details of programs as possible, and will finalize the remaining details early in 2005. These programs consist of short courses and workshops including 1) Profitable Marketing and Harvesting of Timber, 2) Timber Taxation Fundamentals, 3) Forestry for Baby Boomers, and 4) Cogongrass Workshops. In addition, information on Master Wildlifer: Wildlife Conservation on Private Lands, a satellite broadcast coordinated by the Wildlife and Fisheries Department and offered in Harrison County, is included. These programs will be listed in greater detail on the MSUCares website under "Forestry." Additional programs may also be scheduled early in 2005. The Fascicle will be sent out in this email format, but will also be posted in the Newsletter portion of the MSUCares website. The web version, when fully developed, will have more graphics and images, and will be more reader friendly. We're not promising we can do this for the first issue, but we will for subsequent issues. When fully developed, there will be links that will take you to the web version. If you have comments about The Fascicle or suggestions for future items, please email Glenn Hughes at ghughes@ext.msstate.edu, or call (601) 794-0671.
TimTek Mill On Track The recent Legislative Special Session passed a bill containing $10 million for a TimTek mill in Lauderdale County. The overall cost of the project is $140 million, with most of the funding coming from private sources. But what is TimTek, and why is it important? TimTek is a patented process that makes high strength engineered lumber from small diameter trees thinned from pine plantations. Developed in Australia, the TimTek process takes small trees and separates the wood into long strands. The strands are coated with an exterior-type adhesive and dried before being formed to desired shape in a specialized steam injection hot press to form the resin/wood fiber composite. TimTek's product is a unique, long-fiber structural engineered lumber with uniform, stable, and high strength properties of select grade sawn timber. It can be produced in lengths and cross sections greater than can be achieved from the largest logs available. The beams and timbers will compete favorably with the engineered products now used in residential and commercial construction as joists, rafters and headers and for other uses where strength and quality are required. This development is important to landowners, who will see a new market for their pine trees in east central Mississippi. This comes after several years of depressed timber prices, particularly for pulpwood, and the closure of several mills in and around the state. This and similar developments will be welcome news to forest landowners. For more information, visit the TimTek Process website maintained by the MSU Forest Products Department at: http://www.cfr.msstate.edu/timtek/process.html.
Timber Tax Changes Now Law On October 22 President Bush signed HR 4520 - American Jobs Creation Act of 2004 into law. This may contain the most significant timber tax legislation for nonindustrial private forest landowners in our lifetimes. The measure repeals a current export tax break that has been deemed an unfair trade subsidy by the World Trade Organization, as well as modifying a number of timer taxes, including Internal Revenue Code Section 631(b) and allowing landowners to expense of reforestation costs in an accelerated fashion. Efforts have been underway for over 15 years to change federal tax law to allow capital gains tax treatment on lump-sum timber sales. The legislation amends IRC Section 631(b) to eliminate the requirement for timber sale contracts to contain a "retained economic interest" provision, which means that nonindustrial private forest landowners will no longer be forced to sell under pay-as-cut contracts. This tax reform will allow nonindustrial private forest landowners capital gains treatment on income from lump-sum stumpage sales. Other timber tax provisions added to the bill will allow expensing of up to $10,000 for reforestation costs in the year of occurrence with an accelerated amortization rate of 60 months for the remaining costs (a change from the current $10,000 tax credit), allow voluntary election of IRC Section 631(a) by timber industry to help with how they calculate their capital gains on timber, and establishes a modified safe harbor rule for timber Real Estate Investment Trusts. This bill grew out of the need for Congress to respond to a World Trade Organization ruling that a $5 billion annual subsidy for U.S. exporters was illegal. As a result, 1,600 American exports to Europe are being hit by penalty tariffs that now stand at 12 percent and are rising by one percentage point a month. For more information on timber taxation visit The National Timber Tax Website at www.timbertax.org
Changes in Prescribed Burning Short Course Every year a four-day Prescribed Burning Short Course is offered through MSU's Continuing Education, culminating in the exam to become a Certified Burn Manager. There is interest in having this course in south Mississippi, thereby reducing travel and lodging costs for landowners and professionals. Continuing Education has indicated that the April 4-7, 2005 short course may be the last four day program, as they will be filming presentations and placing them on DVDs. In the future, participants will receive copies of the DVDs, review the presentations at their convenience, and then attend a day-and-a-half short course on the remaining components of the short course. This will culminate in the exam for Certified Burn Manager. This change will likely reduce the cost significantly from its current $395 rate to around $200. Because of these changes, we are hoping to have the course offered in south Mississippi soon, perhaps in the fall of 2005. We look forward to these changes and hope they make the course more available and affordable for landowners and professionals in south Mississippi. Although registration information for the April workshop is not currently available, it will be posted on the Continuing Education website at http://www.ce.msstate.edu/ptd/forest.html. If you are interested in attending this short course should it be offered in south Mississippi next fall, please send an email to ghughes@ext.msstate.edu so we can get an idea of the demand. Just type INTERESTED IN 2005 PRESCRIBED BURNING SHORT COURSE in the subject part of your email.
Spring 2005 Forestry Short Courses and Workshops Listed below are some of the Extension Forestry short courses and workshops scheduled this spring for the Southeast District. Details not finalized are denoted as TBA. These will be posted and updated on the MSUCares web site. Harrison
County--Topic: Forestry for Baby Boomers Workshop Jackson
County--Topic: Cogongrass Workshop Marion
County--Topic: Timber Taxation Fundamentals Short Course Jasper
County--Topic: Profitable Marketing and Harvesting of Timber
Short Course Jefferson
Davis County--Topic: Profitable Marketing and Harvesting of
Timber Short Course Lauderdale
County--Topic: Forestry for Baby Boomers Workshop Harrison
County--Topic: Master Wildlife: Wildlife Conservation on
Private Lands H. Glenn Hughes, PhD, Extension Forestry Service, P.O. Box 348, Purvis, MS 39475, (601)794-0671 (ph), (601)794-0676 (fax). |
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