California board may rule April 5-6 whether to void new Pacific Lumber cutting rights

By Ted A. Knutson

Washington, March 28 - California State Water Resources Control Board member Richard Katz is likely to rule April 5 or 6 whether to put a temporary hold on new timber cutting rights granted to The Pacific Lumber Co. (Palco), an agency spokesperson told Prospect News.

The Humboldt Watershed Council, the Sierra Club and the Environmental Protection Information Center have filed an appeal with the agency, seeking a stay of a March 16 order by the California North Coast Regional Water Quality Control Board permitting Palco to increase logging in the Freshwater and Elk River watersheds to 75% of the company's acreage from 50%. In the appeal, the groups contend the plan for expanded cutting should be voided because it does not contain enough measures to prevent flooding.

Palco said before the increase was granted that it needs to be able to log on at least 80% of the land to make July interest payments on $750 million of timber collateralized notes and avoid bankruptcy.

However, Watershed Council president Mark Lovelace said that even raising the cutting rights to 100% "isn't going to do a thing to save this company."

He estimated that Water Resources Control Board's increase in Palco's logging rights will only add $200,000 to the company's operating income in a couple of months.

Lovelace, who appealed the North Coast board's order on behalf of the three groups, noted that flooding of the two watersheds can cause property damage for 600 area residents and curtail their access to the outside by making roads impassable.

When asked about the appeal, a Palco spokesman said the company thought the North Coast Regional Water Quality Control Board "made a good ruling."

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