Following is the logging industries addendum to the Memorandum of Understanding signed by the Islands Community Stability Initiative and the British Columbia Ministry of Forests.


ADDENDUM

Statement of General Principles

The general principles outlined in the addendum will guide the forest industry in their efforts to further enhance local community stability. Industry is committed to the process of working with the MoF and the communities to created practical, reasonable solutions that will achieve the objectives set forth in this Memorandum of Understanding.

MacMillan Bloedel Commitments

- Negotiate fibre supply agreements with local sawmills with five-year renewable terms totaling 20-30,000 m3 annually made available for sale on-Island at Vancouver Log Market prices less barging and distribution costs.

- Local log sales for local consumption.

- Explore development of a joint-venture re-manufacturing plant in lower Graham Island area; MacMillan Bloedel would market output.

- MacMillan Bloedel (MB) has recently stated its general intention to reorganize camp operations in the Dinan, McClinton, Louise Island Camps to a northern and southern contractor. The general impact of these changes will be the opportunity for MB contract crews to be tied more directly to the communities. Dependent upon the progress of the negotiations (since there are legislative requirements to uphold for contracts), this transition could be complete in the next 1-2 years.

TimberWest Commitments

- TimberWest is willing to make 5-8% of the Sandspit Division harvest available for local sale. The wood would be sold to interested parties at Vancouver Log Market prices less barging and distribution costs, and will reflect the profile of end use sorts produced.

- TimberWest will work with the Ministry of Forests to expedite an exchange of the Timber Licenses behind the Skidegate and Queen Charlotte City to provide opportunities for future community tenures.

- TimberWest will continue to explore opportunities to work with other licensees to enhance local employment in Sandspit.

Husby Forest Products Commitments

- To facilitate local manufacturing initiatives, Husby Forest Products (HFP) is willing to make log supply available at the Naden Harbour dryland sort. The logs will be sold at Vancouver Log Market prices less barging and distribution costs.

- HFP will work with community licensees to assist them if required in buying, selling, or trading logs for their manufacturing facilities and to assist in training personnel if required.

- Thirty percent of the AAC is now being harvested by helicopters. HFP has experimented with selective harvest by helicopter since 1986 and is willing to provide the expertise acquired to community licenses if requested.

- HFP is willing to assist in arranging barging space, providing sort and boom expertise and helping to train community personnel in log marketing.

Western Forest Products Commitments

- Assist any communities obtaining timber in TFL 24. This would include use of facilities, sale of fuel, et cetera and will be determined on a sale by sale basis.

- Exchange logs with the community that may acquire timber in its area on a dollar for dollar basis, so that the community could have the type of timber that was required by its local mill.

- Western Forest Products (WFP) will consider the possibility of moving the Small Business take back volume currently harvested in Sewell Inlet to the Moresby area to make the volume available closer to Sandspit.

- WFP is looking into joint operation with other licensees on Moresby Island that would use a local contractor to carry out second growth logging and thinning in its Moresby Supply Block. WFP has also offered to trade pulp grade logs of equivalent value.

 

Local Employment

In February, all of the major forest companies and the International Woodworker's Association (IWS) signed in agreement to advertise all logging and forestry jobs locally first. If qualified personnel cannot be hired locally, then the posting will be advertised more broadly.


Signed by

Stan Holmes for John Mahon, Division Manger
Queen Charlotte Islands Division
MacMillan Bloedel


David Husby, President
Husby Forest Products Ltd.

Bruce Storry, Division Manager
Sandspit Division
TimberWest Ltd.

Corby Lamb, Division Manager
Sewell Inlet Division
Western Forest Products Ltd.