Good afternoon!

On Monday of this week, the Council testified in support of LD 1131, "An Act to Reform the Process by Which a Person May Petition an Agency to Adopt or Modify Rules Under the Maine Administrative Procedure Act." If enacted, this bill change the number of voter signatures required to petition an agency to require an agency to adopt or modify agency rule. Currently, only 150 signatures are needed to initiate this process, which is undoubtedly too low of a bar to indicate broad support for a new rule or modification. Our testimony in support can be found here.

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On Tuesday, we submitted testimony to the Labor Committee in opposition to LD 598, "An Act to Require Minimum Payment for Reporting to Work."

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We also testified before the Agriculture, Conservation and Forestry Committee on LD 1252, "An Act to Amend the Laws Governing the Maine Agriculture, Food System and Forest Products Infrastructure Investment Advisory Board." Our testimony highlights concerns that we have with one section of the bill that would require producers to obtain, "to the extent practicable" forest products from a forest in the state. We offered a few suggestions to remedy the language, including an amendment that would say "to the extent logistically and financially practicable."

We appreciate the sponsor's intent and the desire to support investment in Maine's heritage forest industry. We will continue to monitor this legislation as it progresses.

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On Wednesday, the Environment and Natural Resources Committee voted 7-1 in support of LD 987, "An Act Clarifying Exemptions from the Notification Requirements for Products Containing PFAS." The Council worked closely with partners and the Department to arrive at a compromise to include off-road motor vehicles used for construction and forestry in an exemption from notification requirements for PFAS.

This change will be important to our industry, and we would like to thank the Committee for supporting this measure.

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Also on Wednesday, the Council provided testimony 'Neither for nor Against' LD 1308, "Resolve, Directing the Department of Inland fisheries and Wildlife to Establish a Working Group to Explore Opportunities to Maintain Public Access of Land."

This is one of two bills focused on public use of private land this session, and we are working with all parties to define the objectives for this type of review. Our testimony on LD 1308 can be found here.

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WE URGE OUR MEMBERS TO JOIN US IN TESTIFYING IN STRONG SUPPORT OF LD 1313

WHO: Taxation Committee

WHAT: Submit testimony online or join us in testifying in strong support of LD 1313, "An Act To Promote Equity In The Forest Products Industry By Allowing Commercial Wood Haulers To Be Eligible For Certain Sales Tax Exemptions And Refunds."

WHEN: Wednesday, April 9 at 1:00 PM

WHERE: Room 127 of the State House or sign up to testify online

This bill, submitted by Senator Brad Farrin at the request of MFPC, enjoys a broad bipartisan list of co-sponsors and is also a top priority for PLC.

Since 2011, depreciable machinery and equipment purchased for "commercial wood harvesting" has qualified for a sales tax exemption/refund. This same exemption also applies to "commercial agricultural production", "commercial aquaculture" and "commercial fishing." Our bill, LD 1313, amends to the definition of "commercial wood harvesting" by expanding the definition to include equipment and machinery used for "hauling" forest products.

This simple amendment will help our loggers make the necessary capital investments to remain efficient and profitable by including logging trucks and trailers in this important tax credit/exemption program designed spur investment in our heritage industry businesses.

If you're unable to attend the hearing, we still encourage members from all sectors to provide written comments in support of the bill. If you need assistance with signing up to testify online or with submitting testimony, please don't hesitate to contact Krysta at kwest@maineforest.org.

LD 1313 is a perfect opportunity for the entire industry to rally behind our loggers and truckers. We hope that you will join us!

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That's all for this week! As always, if you have any questions about any upcoming bills or our policy positions, please don't hesitate to reach out.

Pat Strauch and Krysta West

Maine Forest Products Council

Bills scheduled for a public hearing

Public hearings are livestreamed and archived here on the Legislature's Website. Testimony will be accepted in-person, via Zoom or in writing. Committee meeting guidance for public/interested parties can be found here.

To sign up to testify via Zoom or submit written testimony, click here.

LD 1210 - "An Act To Regarding Renewable Electricity Generation By Hydropower Projects"

Public Hearing in ENR on Monday April 7, 2025 @ 10:00 AM in Cross Building, Room 216

MFPC Position: Support

This bill amends the laws regulating the Department of Environmental Protection's process for approving or disapproving a permit for a hydropower project and for issuing or denying a water quality certification for a hydropower project as required under the Federal Water Pollution Control Act. It requires the department, in determining whether to approve or deny a permit, or issue or deny a water quality certification, to consider the effect of that approval, disapproval, issuance or denial on the State's renewable energy, decarbonization and economic development policies and goals; the environmental and economic benefits to the State of the hydroelectric generation provided by the project; and, taking those factors into consideration, whether approval of the permit or issuance of the certification for the project is permissible notwithstanding the project's effect on wildlife habitat and aquatic life within the waters affected by the project, including affected waters downstream of the project. _______________________________________________________________________

LD 1212 - "Resolve, To Study Opportunities For The Efficiency Maine Trust To Support The Promotion And Use Of Modern Wood Heating"

Public Hearing in EUT on Wednesday April 9, 2025 @ 10:00 AM in Cross Building, Room 211

MFPC Position: Support

This resolve requires the Efficiency Maine Trust, in collaboration with the Department of Economic and Community Development, to work with representatives of the modern wood heating system industry to study and make recommendations relating to programs and incentives encouraging the promotion and use of modern wood heating systems in the State. The Efficiency Maine Trust must submit a report related to the study to the Joint Standing Committee on Energy, Utilities and Technology and the joint standing committee may report out a bill related to the report to the Second Regular Session of the 132nd Legislature. ______________________________________________________________ LD 1275 - "An Act To Promote The Production Of Natural Resources Bioproducts By Amending The Renewable Chemicals Tax Credit"

Public Hearing in TAX on Wednesday April 9, 2025 @ 10:00 AM in State House, Room 127

MFPC Position: Support

This bill amends the law governing the renewable chemicals tax credit to remove the requirement that the taxpayer must demonstrate to the Department of Economic and Community Development that at least 75% of the employees of the contractors hired or retained to harvest renewable biomass used in the production of renewable chemicals meet the eligibility conditions specified in the Employment Security Law.

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LD 1251 - "Resolve, To Reduce The Cost Of Energy In Maine And Further Reduce Greenhouse Gas Emissions Through Energy Contracts"

Public Hearing in EUT on Wednesday April 9, 2025 @ 1:00 PM in Cross Building, Room 211

MFPC Position: Support

This resolve requires the Public Utilities Commission to:

1. Issue a request for information after consultation with the Office of the Public Advocate, the Governor's Energy Office and the Efficiency Maine Trust regarding reasonable opportunities for the commission to explore and consider engaging in the execution of an energy cost reduction contract or a physical energy storage contract. The commission's request for information must also seek identification of existing and near‑term replacement energy sources for natural gas in commercial and industrial uses, including when the replacement energy sources are expected to be available, the cost of those replacement energy sources and the steps needed to develop a cost-effective and reliable supply of such replacement energy sources; and

2. Contact every gas utility and natural gas pipeline utility in the State and every state or province adjacent to this State to negotiate favorable terms for one or more energy cost reduction contracts, physical energy storage contracts or such other arrangements as the commission may find necessary or appropriate to reduce the costs of energy in the State and to further reduce greenhouse gas emissions.

The commission must submit a report to the Joint Standing Committee on Energy, Utilities and Technology by December 3, 2025 that includes a summary of the responses the commission received from its request for information, any actions taken by the commission as a result of the information received and a summary of actions taken by the commission to negotiate favorable terms for one or more energy cost reduction contracts, physical energy storage contracts or other arrangements.

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LD 1313 - "An Act To Promote Equity In The Forest Products Industry By Allowing Commercial Wood Haulers To Be Eligible For Certain Sales Tax Exemptions And Refunds"

Public Hearing in TAX on Wednesday April 9, 2025 @ 1:00 PM in State House, Room 127

MFPC Position: Support

This bill provides that commercial wood haulers are eligible for the refund of sales tax or exemption from sales tax on the purchase or lease of depreciable machinery and equipment for use in commercial wood harvesting.

Bills scheduled for a work session

Work sessions are livestreamed and archived here on the Legislature's Website.

NONE SCHEDULED AT THIS TIME

About MFPC

Since 1961, the Maine Forest Products Council has been the voice of Maine's forest economy. MFPC's members are landowners, loggers, truckers, paper mills, tree farmers, foresters, lumber processors and the owners of more than 8 million acres of commercial forestland, but they are also bankers, lawyers and insurance executives. The Council represents members at the Maine Legislature throughout the state, in Washington D.C. and the U.S.

Patrick Strauch, Executive Director

Kryst a West, Deputy Director

Annabelle Kidson, Office Manager

207-622-9288

www.maineforest.org

535 Civic Center Drive, Augusta, Maine 04330

Thanks to MFPC's sponsors!

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