Oct24NL : simplebooklet.com

2Q uote for the Month“The biggest risk is not taking any risk. In a world that's changing quickly, the only strategy that is guaranteed to fail is not taking risks."– Mark ZuckerbergOutlookAccording to sources on the West Coast, present factors could drive the market up or down by the end of 2024. This is creang some insecurity although right now business has been steady.. One Oregon lumber distributor shared that it's prey good, they're trending down the middle, so not great and not bad. South of Oregon, a California lumber company owner noted a similar opinion and that his business was order-to-order. Customers don't commit unl they have an order to ll. In this issue:* Upcoming Events* Quote for the Month* Outlook* Manager Update* Hardwood Federaon Update* News* MovaonNo. 667October 2024WHA Board of Directors - OcersTeana Larson PresidentLouie Guyee Vice PresidentAaron Blumenkron Immediate Past PresidentWHA Board of Directors - Board MembersSco ClarkAdam DupliseaMarlin LangworthySco LeavengoodMike LipkeBrad MichaelRyan PetersonDennis SandersDavid SweitzerSecretary/ManagerPO Box 1894Bale Ground, WA 98604Ph: (360) 835-1600Web: www.westernhardwood.orgEmail: wha@westernhardwood.orgUpcoming Events October 2-4, 2024NHLA Annual Conventionhttps://nhla.com/convention/schedule/October 9-10, 2024WPMA Annual Meetinghttps://www.wpma.org/events/November 13-15, 2024NAWLA Traders Markethttps://www.nawla.org

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3In Washington, a lumber spokesperson reports that while he isn't saying normal, it is decent. He also shared that in the last two years, the mix of species in demand has changed completely.Manager's MomentsDave SweitzerSecretary/Manager, WHALooking Forward As we wrapped up the 2024 annual convenon last week in Ridgeeld, WA, I was opmisc for what the future has to oer. Aendees of the convenon were looking forward to 2025 to match a prey good 2021. The past three years have seen product movement, following the Just In Time philosophy. Stocking inventory was not dominant. A manufacturer needs the material immediately, placing the mill and/or distributor in a somewhat tough spot. Many aendees expressed opmism following the November elecon. “It seems like everything is on hold unl aer the elecon”. But not to be indicted by the business climate, there were smiles, laughter, and handshakes galore. A great me for networking. And this extended over to the Timber Processing & Energy Exposion in Portland. WHA was represented at a complimentary booth arranged by Brad Michael of JoeScan. In my 49 years as Manager of the WHA, I have seen the business swings, the entrepreneurs and developers of new products, improved products, and innovave markeng. I have seen companies shut down, but there seems to be another pop up with a new approach or product. I have seen the ups and downs of the log supply and the uctuaons in the domesc and export markets. I have seen the development of engineered wood products and various substutes for solid wood products. The tea leaves seem to indicate that the cycle is shiing upward as we tell the wood story with greater fervor. We, the forest products industry, are not the problem for the environment, sh and criers, we are the soluon with greater capacity for carbon storage from forests to manufactured products. Patrick Lumber CompanyOver 100 Years in Business---- Est 1915 ----Products:Doug FirWestern Red Cedar Southern Yellow Pine Western Hemlock Alaskan Yellow Cedar West Coast Softwoods West Coast HardwoodsServices:Remanufacturing Packaging & Transport Consultation Procurement33415 Noon Rd. Philomath, OR 97370503-222-9671sales@patlbr.comFollow us on Instagram @Patricklumberpatlbr.comPatrick Lumber Company is a secondary manufacturer and exporter of niche high-grade woodproducts sold to a network of worldwide distribution.

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5WHA Annual Convenon RecapSpeakers presented much needed informaon for the mes we are in. Power Points will be available on the WHA website, westernhardwood.org Mike Snow from the American Hardwood Export Council focused on the implementaon of the European Union Deforestaon Regulaon (EUDR) and the resulng implicaons for global US hardwood exports. EUDR demands are unwarranted and AHEC is negoang for sensible regulaons. Dana Spessert, Naonal Hardwood Lumber Associaon, discussed the much ancipated report of the Hardwood Summit featuring USFS, NHLA, associaons, and academicians. There is a great need for answers to declining harvest levels and increased catastrophic wildres. He menoned the promoon of solid American hardwood by the Real American Hardwood Coalion, and concluded with various changes in the grading of hardwood lumber. Dana Cole, Hardwood Federaon, the hardwood lobbyist in DC, talked about the many facets of the Farm Bill that has a forest and wood component. Probably won’t be passed unl next year. Not much will happen unl next year from Congress. All are waing for the outcome of the elecon, which is very close in the House and Senate, as well as the presidenal race. Next up, Ryan Temple, Sustainable Northwest, discussed his experience with the passenger terminal renovaon at the Portland airport. A magnicent wood structure featuring sowood CLT exposed beams overhead with hardwood walls and accent structures. The Port of Portland wanted to feature wood from the Northwest, traceable back to the forests and mills that provided them. Ben Deumling, Zena Forest Products, related his experience with the Oregon Department of Forestry in developing two Habitat Conservaon Plans – private forestland and state forests. Both provide regulatory certainty as well as an increase in regulaon that will have a negave eect on the supply of hardwood logs available for harvest in Oregon. Brad Michael, JoeScan, served as moderator for a panel discussion of AI in the wood products industry. Panel members included Joey Nelson, JoeScan, and Norvin Laudon, MiCROTEC, with special guest ChatGPT. All concluded that manufacturing operaons could benet from AI when used for specic applicaons. ChatGPT joined Joey and Norvin cauoning control of the applicaons. Brad Michael, JoeScanNorvin Laudon, MiCROTECJoey Nelson, JoeScanDana SpessertDana ColeMike SnowRyan TempleBen DeumlingTHANK YOU 2024 SPONSORSWOOD PROTECTION PRODUCTS

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6Brad Michael, JoeScan holds the bucket while Mike Lipke, Trillium Pacific Millwork, draws the lucky winner of the game table!Aaron Blumenkron, Goby Walnut, thanked the aendees for their support of his two years as WHA president. He said we need more involvement from the members to work on commiees that include Member Engagement/Networking, Government Aairs, Revenue Streams, Educaon/Internships, and Markeng/Promoon. Cercates of appreciaon for service were cited for Jamie Price, Immediate Past President; Aaron Blumenkron, President; Teana Larson, Vice President; Louie Guyee, Treasurer; Nils Dickmann and Steve Zambo, board members.AND THE WINNER IS........Darren Gellerson of Northwest Hardwoods! Here is what he won. A magnicently hand craed gaming table that can be converted to an elegant dining table. Mike Lipke's talented team at Trillium Pacic Millwork in Hubbard, OR took on the challenge of designing and craing this unique piece of furniture. Made completely of Oregon White Oak donated by Dave Barmon, Epilogue, LLC, in Portland. The felt lining is highlighted by back-lit sides. Trays for chips/cards include metal drink holders that can be removed when matching solid Oregon White Oak leaves are put in place to make a dining table. Complete with USB charging ports. Enjoy your prize, Darren. And thanks to everyone for purchasing rae ckets. The aucon and rae raised over $7,800 beneng the WHA Scholarship Fund for college students studying forestry.

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9Update from Hardwood FederaonDana Cole, Execuve DirectorAugust 2024Federaon Works with Biparsan Senators to Promote Red Oak in Federal Procurement On July 12, Sen. Jeanne Shaheen (D-NH) led a biparsan group of eight other senators in a leer to the Department of Defense (DOD) and General Services Administraon (GSA) to use red oak in federal government procurement of ooring for military truck beds. Senator Shaheen responded to outreach from and worked closely with the Hardwood Federaon team to dra and send this communicaon urging acon to grow domesc markets for hardwood lumber. Senator Shaheen, Hardwood Federaon sta and members of the industry reached out to key members of the Senate Appropriaons Commiee’s Defense Subcommiee and the Senate Armed Services Commiee to garner support and leer signatures. Fortunately, many of the Commiee members come from hardwood states and immediately understood the importance of this eort. Senators Marsha Blackburn (R-TN), Sherrod Brown (D-OH), Shelley Moore Capito (R-WV), who co-led the eort, Bob Casey (D-PA), Susan Collins (R-ME), Tom Coon (R-AR), Angus King (I-ME) and JD Vance (R-OH) joined Sen. Shaheen in the leer. The Senate leer echoes Hardwood Federaon talking points that using Red Oak will replace “crically endangered Apitong hardwood from tropical forests with a readily available, sustainable domesc source of lumber,” scoring a win/win for the U.S. economy and environment. Specically, the leer calls upon the agencies “to expedite transion to domesc Red Oak lumber for hardwood oorboards in U.S. military and other government vehicles, trailers and plaorms.” In late November 2023, the GSA approved the use of red oak for military applicaons within the context of an agency direcve. The Senate leer is intended to build momentum for agency acon and make the GSA direcve a high priority. The GSA’s Commercial Item Descripon, which is a formal government procurement document referenced in the Senate communicaon, notes that truck beds made of “foreign Apitong were unsustainable and counter to numerous U.S. Government regulatory and ethical commitments for responsible environmental stewardship in procurement.” GSA further found that the material was also “not compliant with the Buy American Act of 1933 or Trade Agreements Act of 1979.” In addion to the leer to the relevant agencies, as

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10part of this year’s reauthorizaon of the Naonal Defense Authorizaon Act (NDAA), Sen. Shaheen also secured report language as part of the Senate Fiscal Year 2025 NDAA bill to press the Department of Defense and GSA on switching to red oak and away from apitong for its truck trailer beds. The NDAA is one of the few bills that is guaranteed to move forward in the Lame Duck session of Congress following the elecon. As the NDAA funds and authorizes crical military operaons and iniaves, it is a top priority every December for Congressional acon. The Hardwood Federaon team is working with Senator Shaheen’s sta and our other champions on the Hill to ensure this report language remains in the nal product that will be signed by President Biden. This is only the rst strike at a long list of government purchases that use materials other than U.S. hardwoods. Senator Shaheen and other signatories to the leer have oered to support addional eorts to move the DOD and other large government purchasers towards domesc materials. The Federaon will connue to build on this biparsan eort to support the U.S. hardwood industry.Industry Opposes Old Growth Amendments to Forest Management Plans - The Hardwood Federaon has led comments with the USDA, urging federal regulators to reject environmental assessments that will open the door to amendment of forest management plans. This would open the door to adopng a “one-size-ts-all” denion for “old growth forest” that will remove even more acreage from sustainable management. As an alternave approach, industry argues that the USDA should connue to address the old growth issue through the locally led forest planning process, governed by the 2012 Planning Rule. Such an approach promotes transparency and best forestry pracces that account for the high degree of variability in old growth forests. Furthermore, industry is concerned that undertaking wholesale amendment of exisng forest plans will further strain agency resources which are already burdened by work related to wildre migaon. The Federaon will keep you posted on developments related to the old-growth issue.House Lawmakers Pass Biparsan “Fix Our Forests Act,” Address NEPA Reforms - On September 24, House lawmakers passed the industry-supported “Fix Our Forests Act,” (H.R. 8790) by a vote of 268 to 151, a biparsan bill intended to reduce the amount of me it takes to process a Naonal Environmental Policy Act (NEPA) permit for forest management projects. Rep. Bruce Westerman (R-AR), Chairman of the House Natural Resources Commiee joined Rep. Sco Peters (D-CA) to move the bill, which has 17 Republican and six Democrac cosponsors. The lawmakers cite the growing threat of wildres, which Rep. Peters points out as the largest source of air polluon in his home state of California, as a key movator for pushing the legislaon. Commiee sta briefed the Hardwood Federaon team prior to dropping the bill, which aligns with industry advocacy, in June to address concerns. Earlier in the month, on September 11, Rep. Bruce Westerman (R-AR) released a dra bill to make broader reforms to the cumbersome NEPA perming process. The bill would reduce the me necessary to obtain a permit and require courts to conclude legal challenges related to NEPA permits within 180 days. The Federaon will keep you posted on developments related to the bill.Biparsan Lawmakers Urge President to Press for EUDR Delay - On September 20, 73 House lawmakers, including 62 Republicans and 11 Democrats, sent a leer to President Biden requesng that he intervene on behalf of the forest products sector and urge the European Commission to delay implementaon of the new European Union Deforestaon Rule (EUDR). The delay, which would run for two years beyond the upcoming compliance date in early 2025, is necessary to avoid trade disrupons and promote sustainable forestry pracces, according to the lawmakers. The messages to the President are similar to those made by the Hardwood Federaon and AHEC, who have met with the U.S. Trade Representave twice in the past year expressing concerns about the rule’s adverse impacts on hardwood exports in the event the EUDR moves forward as planned. The Federaon will keep you posted on developments. Wood treatment plant manufacturing, worldwide since 1983.The most environmentally friendly wood treatment ever known!Hydro-Thermo Modication 1-877-785-0274 www.americanwoodtechnology.comAmerican Wood Technology AWT Options: design, fabrication, layouts & accessories• Smallest footprint & simplest installation• Most gentle process available• Most eective heat transfer• Fastest process time & better product quality• Lowest processing cost per board footOur thermo plant designs provide:

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12Member NewsTrillium Pacic Millwork was established in 2009 in Wilsonville, OR, but quickly outgrew the facility and expanded to a company owned manufacturing facility in Hubbard, OR. Mike Lipke owns the company and employs 36 talented individuals on two shis and has worldwide sales representaon. Mike explained that aer many years in the lumber industry, he decided to strike out on his own and purchased the millwork business. He said they design and manufacture a wide range of products to meet customer's needs. The only product that is somewhat mass produced is a wide array of cung boards. Mike has been in the forest products industry for 40 years, rst starng as an accountant, then he moved out into the sawmill where he supervised the shipping department and installed scanners and opmizers. He moved on to another sawmill company and managed a mber cung mill as well as a facility producing green, nger-joint products. In 2009, he purchased the current millwork business that makes products from the lumber industry he worked in for many years. Trillium Pacic Millwork is divided into three basic segments: Contract manufacturing where they make products using the customers wood; private label manufacturing for customers, such as cung boards producing 20,000 to 30,000 per year; and commercial casework. Customers include architects, designers, cabinet shops, distributors, contractors, and specialty wood products companies including small landowners. Check out Trillium at www.trilliumpacic.com. NewsPrice increases connue to slow: Both the Consumer Price Index and the Producer Price Index rose 0.2% over the month in August. Consumer prices increased 2.5% over the year in August, while wholesale prices rose a mere 1.7%.Why it maers: As the increase in the cost of goods slows for producers, this will connue to put downward pressure on prices for retailers. The Federal Reserve will be encouraged that price pressures connue to abate as the Federal Open Market Commiee meets this week to assess its monetary policy. - excerpted from DuBravac, Shawn, Dr.. “NAM-Weekly Economic Report - September 16, 2024”| NAM. Naonal Associaon of Manufacturers.: n. pag.New orders for manufactured durable goods were virtually unchanged: Aer a 9.9% increase in July, new durable goods orders rose just $0.1 billion to $289.7 billion in August, led by defense-related goods. Why it maers: While goods orders remained weak, the August data deed the expectaon of a sharp drop. - excerpted from DuBravac, Shawn, Dr.. “NAM-Weekly Economic Report - September 30, 2024”| NAM. Naonal Associaon of Manufacturers.: n. pag.

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MovateFOCUSED by Larry DennisA few weeks ago, I was in Athens doing some business I needed to aend to. Before I came home, I decided to stop by Costco. Donna Lee wanted me to pick up some things. I walked in the door, and I hadn't walked three or four feet when, on the right-hand side, I saw this huge box of popcorn. I thought, "Hm, we're out of popcorn." We used to eat it quite oen, but we haven't been eang it much lately. We both said maybe we should replenish the popcorn supply. I didn't think much at all, really; I just grabbed it and went on.I hadn't gone too far—I was heading toward the back to get these garbage bags for Donna Lee—when I heard a voice just o to my le say, "You're going to love that popcorn; that's a good choice." I said, "Oh, well thank you." She went on to say, "We got some a few weeks ago, and we're really parcular about our popcorn, and we've loved that." So on I went and out the door. I was feeling a lile more sure of myself because I wasn't sure what Donal was going to say when she saw that huge box of popcorn. We're kind of parcular about our popcorn too.It's amazing to me, as I thought about that for a second, how that oand comment of encouragement was helpful to me. It was encouraging to me. Now, I've talked to managers over the years—many, many of them—who have said to me, "I wish my people would take the iniave. I wish they would try a lile harder." What they're talking about is taking iniave—doing something without being told what to do all the me.The queson is: What kind of encouragement are they geng when they do take the iniave? The answer is that, at least in their minds, they think, "All I'm geng is crical feedback." Their managers think they're giving them encouragement, but I'm suggesng you rethink—look again—at how encouraging you are to that person who's taking the iniave, which is always a risk. Are you in the habit of saying to them, "Hey, thanks for taking the iniave"?Here's what I'm urging you to do: The next me someone starts something, the next me someone steps over the narrow denes of their job to do a lile more and contributes to the success of the team, make it a point quickly to encourage them. Say, "Thank you. Love the way you took that iniave." You don't have to use that exact word, but it wouldn't hurt to use it. Do it in front of some of the rest of the team, so they begin to hear that when they take the iniave, they'll be recognized—they'll be encouraged. You do that, and your team will soar.Dennis, L. (Issue 939, 2024, September 27). Focused. YouTube. hps://www.youtube.com/watch?v=MVI1RI9L5r4.

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