USDA Announces Assistance For Timber Businesses Impacted By Pandemic

On Tuesday, the USDA announced it is providing up to $200 million to provide relief to timber businesses impacted by the coronavirus pandemic. According to the Department, harvesting and timber hauling businesses that have experienced losses due to COVID-19 are eligible for the Pandemic Assistance for Producers Initiative. Loggers and truckers can apply for assistance through FSA July 22nd through October 15th, 2021.

The Pandemic Assistance for Timber Harvesters and Haulers program (PATHH) is administered by FSA in partnership with the U.S. Forest Service. The Consolidated Appropriations Act, 2021, authorized this critical assistance for the timber industry.

Timber harvesting and hauling businesses that have experienced a gross revenue loss of at least 10% during the period of January 1 and December 1, 2020, compared to the same time period in 2019, are encouraged to apply.

“USDA’s Pandemic Assistance for Producers initiative promised to get financial assistance to a broader set of producers and today’s announcement delivers on that promise,” said Ag Secretary Tom Vilsack. “On top of the existing challenges associated with natural disasters and trade, the pandemic caused a major disruption for loggers and timber haulers including lack of access to wood processing mills. This industry plays a critical role in our nation’s economy and we are proud to support these hard-working loggers and truckers as they get back on track.”

“Like many facets of the agriculture industry, the logging industry has experienced its share of financial hardships throughout the pandemic,” said FSA Administrator Zach Ducheneaux. “We’re happy to work with the U.S. Forest Service to develop this new program to provide critically needed support.”

“We’ve heard from loggers and truckers whose livelihoods were significantly impacted this past year by the COVID-19 pandemic, and we are pleased that USDA can help alleviate some of the financial burden,” said Forest Service Chief Vicki Christiansen. “I encourage those logging and log-hauling businesses hardest hit by the pandemic to learn more about the assistance offered through this new program.”

Program Details:

To be eligible for payments, individuals or legal entities must be a timber harvesting or timber hauling business where 50% or more of its gross revenue is derived from one or more of the following:

  • Cutting timber.
  • Transporting timber.
  • Processing of wood on-site on the forest land (chipping, grinding, converting to biochar, cutting to smaller lengths, etc.).

Payments will be based on the applicant’s gross revenue received from January 1, 2019, through December 1, 2019, minus gross revenue received from January 1, 2020, through December 1, 2020, multiplied by 80%. FSA will issue an initial payment equal to the lesser of the calculated payment amount or $2,000 as applications are approved. A second payment will be made after the signup period has ended based upon remaining PATHH funds.

The maximum amount that a person or legal entity may receive directly is $125,000.

Applying for Assistance:

Loggers and truckers can apply for PATHH beginning on July 22 by completing form FSA-1118, Pandemic Assistance for Timber Harvesters and Haulers Program application, and certifying to their gross revenue for 2019 and 2020 on the application. Additional documentation may be required. Visit the USDA’s Website for more information on how to apply.

Applications can be submitted to the FSA office at any USDA Service Center nationwide by mail, fax, hand delivery, or via electronic means. Click Here to find a local FSA office, or you can (877) 508-8364 to speak directly with a USDA employee ready to offer assistance.

FSA will host a stakeholder webinar on Wednesday, July 21 at noon PT to discuss details. Register for the Webinar by Clicking Here.

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