Project Summary Form
Id Number 2006-163
NATIONAL FIRE PLAN COMMUNITY ASSISTANCE AND WILDLAND URBAN-INTERFACE PROJECTS
Application for Fuels Utilization and Marketing Projects
Applicant
Applicant/Organization:
Okanogan Communities Development Council
Phone: (111 111-1111 x 1111)
Type of Applicant: (enter appropriate letter in box)
L
509-997-2245
FAX: (111 111-1111 x 1111)
A. State
B. County
C. Municipal
D. Township
E. Interstate
509-997-2245
Please Call Ahead For FAX
H. Independent School District
I. State-Controlled Institution of Higher Learning
J. Private University
K. Indian Tribe
L. Nonprofit Organization
Address (Street or P. O. Box, City, State, Zip):
PO Box 404 Twisp, WA 98856
Project Coordinator
Project Coordinator (Name and Title):
Mr. E. Michael Ferris Executive Director
Organization/Jurisdiction:
Okanogan Communities Development Council
Phone: (111 111-1111 x 1111)
509-997-2245
FAX: (111 111-1111 x 1111)
509-997-2273
Call Ahead For FAX
Email:
ocdc@okanogancdc.com
Project Information
Project Title:
Small Wood Merchandizing Center
Proposed Project Start Date:
03/01/2006
Federal Funding Request:
$
100,000
Proposed Project End Date:
02/28/2007
Total Project Funding:
$
125,000
Are you submitting multiple projects? If so, please explain and prioritize:
OCDC is submitting 2 grants-this one plus an education/prevention grant. They are complementary; equally important.
Brief Project Summary: Who, What, Where, Desired Outcomes in relation to NFP Goals and Community Risk Assessment and
Mitigation Plans (This should summarize page 2).
Okanogan County has a critical need for increased supplies of small diameter wood to sustain local products manufacturers. Prior
demonstration projects undertaken by OCDC to produce flooring and paneling products [NFP02] and roundwood products [NFP03]
have verified this. A Title II award is providing support to plan a centralized merchandising and processing facility where such
material can be sorted and processed into sawn cants, posts and rails, firewood and other residuals, and sold to users. This
proposal will allow the demonstration of a small wood merchandising center, providing a location for businesses interested in
processing material, and a market place for customers seeking wood products. It would serve local thinning and fuels reduction
contractors by providing a market for some of the non-merchantable materials and provide existing producers with a reliable source
of small logs allowing them to add jobs. Findings from this demonstration could lead to a permanent facility.
Project Location:
Latitude: 48.36323
Longitude: 120.135
County:
Okanogan
Name of Federal, State or Tribal contact with whom you coordinated this proposal:
Leahe Swayze
Federal Congressional District:
4
Telephone number of Contact:
509-996-4063
Project Narrative Description
Applications for funding must include a narrative response that describes the proposal. Please do not submit responses longer than one page,
single space, 12-pitch font.
Describe project including, but not limited to:
x Geographic scope of project
Address these
x Is the project linked to a plan?
items as
x Project time frames and partners
applicable:
x Specify types of activities and equipment used
x
x
x
Anticipated outcomes and measures of success
How will the project results be reported?
Special skills or expertise needed to complete the work
For this project, explain the level of cooperation, coordination or strategic planning, through a “Local Coordination
Group.” If you haven’t worked with a local coordination group, why not?
Response:
GEOGRAPHIC SCOPE- The project would serve all of Okanogan County, with focus upon the Methow Valley which currently
lacks a centralized merchandising and processing site to serve fuels reduction and thinning projects. The proposal will evaluate
local supply sources and quantities, markets and suitable sites for such a facility, develop an operations plan, and demonstrate
the operations over an 18 month period
PLAN LINKAGE- The project has been coordinated with the Methow Community Fire Plan Coordinating Group [which includes
all major agencies and organizations involved in community forestry] and Okanogan County staff, fire districts, and local
agencies working on a Countywide Fire Plan. The proposal flows directly from previous demo projects for creating and
marketing value-added products from small diameter wood [NFP 02 Flooring/Paneling and NFP 03 Roundwood], which
identified the critical need for consistent, reliable supplies of small logs to support business investment in manufacturing
equipment and facilities. This project will test the viability of a centralized merchandising and processing center to address that
supply issue and further test the markets for processed materials.
TIME FRAMES/PARTNERS- The demo project is planned to run concurrent with Spring- Fall 2006 timber harvest activities,
providing a merchandising and processing site primarily for logs under 9 inches dbh. Processing will occur mainly during this
period, with sales of processed materials continuing through the remainder of the year. Partners include the Healthy Forest
Healthy Communities Partnership [HFHC] who will assist with product branding and marketing, prospective timber contractors
for planned fuels reduction work funded by NFP, State of Washington Dept. of Natural Resources and private landowners
including the Methow Forest Owners Co-op.
ACTIVITIES & EQUIPMENT- A 7-10 acre site will be leased near Twisp to provide a location for log loading/unloading, sorting
by type, species, size, and other characteristics. Several private processing businesses are interested in locating on the site,
including sawmilling, log peeling/debarking and firewood processing. Equipment and labor needed for log loading and sorting
will be provided by these businesses through negotiated contracts. Logs will be sold to these processing businesses based
upon preset prices and revenues generated from log sales and ground subleases will be allocated toward costs. Grant money
will be used for planning and initial set up of operations, for monitoring and write up of results, and for covering any short falls
of revenue over expenses. It will also fund additional marketing for local markets and research of regional markets for
processed logs and other value-added products produced from this material.
ANTICIPATED OUTCOMES & MEASURES OF SUCCESS- The goals of the project are: 1] to test the effectiveness of a
community based log merchandising center 2] to stimulate local processing businesses in utilizing locally harvested small logs
and in expanding their businesses and employment for the community 3] to provide a market outlet for marginal to zero value
materials for thinning contractors who must otherwise pile and burn it 4] to provide contractors with higher returns on sawable
material through reducing haul distances and costs.5 ] To accomplish the ground work for private investment in a continuing
self-supporting facility. Outcomes will be measured by the quantities of raw logs handled and associated costs and revenues,
evaluation of effectivness of methods and equipment used, volumes of processed material and associated revenues and costs,
jobs and payrolls created for local businesses and workers, and market information obtained. Results will be written up in a
form that could be used as a model for other communities.
REPORTING: Activities will be monitored, data collected and results will be reported in a final report. An ongoing community
outreach and public information program will be maintained.
SPECIAL SKILLS -The project will utilize local contractors with the necessary expertise to carry out all activities. OCDC'S
professional staff/consultants will manage the project with the same level of care and completeness of previous projects.
Project Evaluation Criteria
Applications for funding must include narrative responses that address the following four criteria. Within each criterion, subcriteria are listed in descending order of importance. Limit your responses to the areas provided.
1. Increasing Economic Utilization of Woody Material Removed in Fuels Management and Forest Restoration
Activities (50 Points)
A. Will biomass or forest fuels be utilized? If so, in what manner and how much?
B. Will the project improve the local economy in terms of jobs and sustainable economic activity?
C. How many jobs are expected to be created or retained, and for how long?
D. Are any private businesses involved in this project? If so, what are their roles?
E. Can this project be offered to serve as a model to other communities or businesses? If so, why and how will the model be
conveyed or made available?
F. If the project involves new product development, what evidence is there for appropriate markets and end-users?
G. How will the project be sustained or carried forward beyond the project timelines? Will it depend on public funding sources?
Response:
A. BIOMASS/FUELS; The focus will be upon utilizing small Doug fir and ponderosa pine trees [av. 6-9 inch butts down to 3
inch tops] sorted for primary processing into value-added uses such as poles/rails, saw-timber, and firewood to be sold to local
markets. Lumber produced would be further manufactured into flooring, paneling, log furniture and structures and other valueadded products by local businesses. Chips and sawdust would also be residual products to be marketed. Ultimately, if
successful, a bio-energy plant could become part of the facility.
B. LOCAL ECONOMIC IMPACTS: A major purpose of the project is to create the capacity of the local business sector to utilize
resources from fuels reduction and thinning projects and thereby create jobs and income streams within the local community.
C. JOB CREATION- Long term job creation is a major goal of this project. It is estimated that 6-8 temporary jobs would be
created by the proposed facility, plus 4-6 jobs in the woods removing material and another 8-10 jobs indirectly created or
sustained through expansion of wood products businesses.
D PRIVATE BUSINESS INVOLVEMENT- It is anticipated that three existing or new businesses would be involved directly in
the proposed facility: a log peeler operator, a portable sawmill operator, and a firewood processor. One of these businesses
would also be responsible for sorting of material.
E. MODEL POTENTIAL- Discussion with USDA Forest Service Region 6 staff indicate that while other communities have
expressed interest, that this particular model has not been tested through previous NFP funding programs. We believe it would
be useful to test this model for applicability to other communities interested in increasing the supply and utilization of small
diameter materials thinned form fuels reduction and other thinning efforts.
F. MARKETS-Product markets for paneling, flooring and roundwood products such as furniture, fencing and railings have been
identified and documented from previous projects [NFP-02 and NFP-03] but plans for full production and sales have been
hampered by lack of reliable supplies. HFHC Partnership with assist with product branding and opening up distribution
channels for regional market opportunities for value added products created in this project.
G. LONG TERM SUSTAINABILITY- It is hoped that if this demonstration is successful in stimulating demand and creating a
marketplace, then the proposed facility would be able to sustain itself through sales revenues, rentals, etc. If the project
appears to be feasible, but requires some limited subsidy for an additional period, we would pursue additional short-term
support from grants or donations.
Project Evaluation Criteria
A.
B.
C.
D.
E.
1. Expanding community participation and collaboration. (30 points)
Identify the partners and community members involved in planning and implementing the project.
Describe the extent of local support for this project.
How much cost-sharing is there for the project? Who are these partners and what are the arrangements?
What are the direct community benefits that will result from this project?
How will you use multi-party monitoring to improve this and future projects?
Response:
A. COMMUNITY PARTNERS- This proposal has been developed in collaboration with the Methow Community Fire
Plan Coordination Group, a consortium of various community organizations and government agencies involved in
community forestry and fuels reduction efforts. Logging contractors involved in current and future thinning projects
have been contacted to assess interest, determine potential volumes, timing, etc. and we have received almost
unanimous interest.
B. LOCAL SUPPORT - OCDC is working with a variety of woodworking businesses that have expressed desire for
more reliable supply of small logs for and certified or otherwise green label lumber from restoration projects for
manufacturing value-added products. And our market research has indicated potentially significant demand within local
markets for these products.
C. COST SHARING - This project will be run on a business model, with revenues from product sales allocated to
offset costs. Grant funds will provide the basis for planning and implementation of the demonstration project and for
compiling and analyzing costs and preparing a final report.
D. COMMUNITY BENEFITS - The primary benefits are the creation of jobs and income, particularly for unemployed,
underemployed and low income workers.
E. MULTI-PARTY MONITORING -The project will involve multiple partners and numerous contractors so there will be
ample opportunity for feedback and evaluation of results.
2. Taking Advantage of Existing Networks, previously-funded projects and knowledge. (20 Points)
A. Describe how the proposed project takes advantage of relevant, existing networks and previously-funded projects.
B. Describe who and what (reports, studies, internet sites, etc.) were consulted to ensure the best information available was used
in designing this project proposal.
Response:
A.•The proposal builds directly upon current work undertaken with Title II funding to plan a pilot log sorting facility and
previous work completed by OCDC: [NFP 01 -Feasibility and Planning Study for Small Diameter Wood Processing:
NFP02 -Value-Added Products Demo Project- which focused upon wood flooring and paneling products; and NFP 03
Roundwood Products Demo project.] All of these projects have documented the need for more consistent and reliable
supplies of small diameter wood in order for successful businesses to be created and sustained in the long term. The
proposed Work Program includes a Research task to investigate other existing facilities and learn from the experience
of others as input to developing an Operations Plan. Our consultant team includes an industry expert in log
procurement, sorting and sales. OCDC is a Member of Healthy Forests Healthy Communities Partnership [HFHCP],
which includes various community organizations working with small diameter wood. We plan to network with HFHCP
members on this project.
B.•In developing this proposal, OCDC contacted numerous local timber company representatives as well as various
government agencies and other non-profit organizations involved in forest work. Input was received from several
industry personnel and consultants knowledgeable about log sort yards and merchandising as well as from OCDC
Board Members and Advisors with Wood Products industry experience.
Project Work Form
Tasks
Project Organization
-Detailed Work Program
-Budget & Schedule
-Communications Plan
-Staffing/Contractor Req'ts
S
Community Outreach
-Public Notification
-Contractor Solicitation
-Supplier Solicitation
-Advisory Group Meetings
Operations & Market Plans
-site plan
-facility & equipment needs
-log volumes
-product pricing and markets
f
Site & Facility Set Up
-Site leasing
-Facility preparation
-Equipment Leasing
-Log Sourcing Agreements
C
Log Sorting & Processing Operations
-log procurement & sorting
-log processing
-products manufacturing
-inventory control
Merchandising Products
-Contact Customers, compile orders
-product sales & delivery
-Continue to market products
and seek new outlets
Management and Monitoring
-Directing, Supervising Operations
-Troubleshooting problems
-Monitoring Results
-accounting 7 financial analysis
Project Reporting
-Prepare interim report
-Prepare News Releases
-Compile data
-analyze results
Time Frame
Responsible Party
OCDC staff
July 2006
OCDC Staff, Consultants, Advisors
Aug.-Sept. 2006
OCDC, Consultants
Oct- Dec. 2006
OCDC, Advisors, Consultants
Jan-Feb. 2007
OCDC Staff, Consultants,
Contractors
Mar- August 2007
OCDC, Consultants
Mar - September 2007
OCDC, Consultants, Contractors
Mar- September 2007
OCDC Staff, Consultants, Advisors,
Board of Directors
Oct-December 2007
Project Budget
HFHC Partnership
Cost Category
Description
Federal
Agency
Applicant
Partner 1
Partner 2
Total
Partner 3
Personnel
Project Director
$18,000
$8,000
$0
$0
$0
$26,000
$12,000
$6,000
$0
$0
$0
$18,000
$30,000
$14,000
$0
$0
$0
$44,000
$3,600
$1,700
$0
$0
$0
$5,300
$0
$0
$1,700
$0
$0
$0
$0
$3,600
$0
$0
$0
$5,300
Auto mileage
$3,000
$1,000
$0
$0
$0
$4,000
Transport
$6,000
$0
$0
$6,000
$9,000
$0
$1,000
$0
$0
$0
$0
$10,000
$10,000
$0
$0
$0
$0
$10,000
$0
$0
$0
$0
$0
$0
$10,000
$0
$0
$0
$0
$10,000
$10,000
$0
$0
$0
$0
$10,000
$3,000
$0
$0
$0
$0
$3,000
$13,000
$0
$0
$0
$0
$13,000
$10,000
$0
$5,000
$0
$0
$15,000
Contractors & Operators
$18,000
$0
$0
$18,000
$28,000
$0
$0
$0
Subtotal
$5,000
$0
$0
$33,000
$6,400
$3,300
$0
$0
$0
$9,700
$0
$0
$0
$0
$0
$6,400
$0
$3,300
$0
$0
$0
$9,700
$100,000
$20,000
$5,000
$0
$0
$125,000
$0
$0
$0
$0
$0
$0
Project Staff
Subtotal
Fringe Benefits
Payroll Taxes, etc, @ .12
Subtotal
Travel
Subtotal
Equipment
lease Costs
Subtotal
Supplies
log procurement
yard supplies
Subtotal
Contractual
Consultants
Other
Administrative
Subtotal
Total Costs
Project (Program)
Income1
___________________________________
1
Program income is the gross revenue generated by a grant or cooperative agreement supported activity during the life of the grant. Program
income can be made by recipients from fees charged for conference or workshop attendance, from rental fees earned from renting out real
property or equipment acquired with grant or cooperative agreement funds, or from the sale of commodities or items developed under the grant
or cooperative agreement. The use of Program Income during the project period may require prior approval by the granting agency.