A controversial bill creating a new tax on wood products was signed into law this week.  AB 1492 (Budget Committee) imposes a 1 percent tax on lumber products starting in January 2013.  However, the bill also restricts liability that some landowners pay for causing wildfires and allows harvest plans to remain effective for longer periods.


“California’s laws have saddled our timber industry with costly burdens while giving out-of-state competitors a free ride–but that stops today,” Brown said in a statement. “This legislation enacts serious bipartisan reform to even the playing field to protect California’s timber-industry jobs.”

The California Forestry Association argued that small timber companies were at risk of going under because they faced high regulatory costs and could not get sufficient insurance in light of record-high wildfire lawsuit awards.


Click here to read the bill.

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