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Oregon Road Conditions & Cams Email Story to a Friend January 26, 2005 House puts forest fire bill on a fast track By DON JEPSEN for the Mail Tribune SALEM — A bill that revamps Oregon’s approach to fighting — and paying for — wildfires on 15.8 million acres protected by the state is on a fast track in the Legislature. House Bill 2162 was expected to win quick approval from the Agriculture and Natural Resources Committee today. It then goes to Ways and Means, where the complex funding formula will be worked out. The proposal, which has the support of the Oregon Department of Forestry, was cobbled together by an interim committee dominated by rural legislators and private forest interests. The committee was chaired by Rep. Susan Morgan, R-Myrtle Creek. Morgan is the sponsor of HB 2162 and also chairs the natural resources subcommittee of Ways and Means, which will act on the proposal. Also serving on the subcommittee is Sen. Alan Bates, D- Ashland. Key elements of the bill include: Advertisement Increasing the deductible on the state’s fire insurance policy from $15 million to $25 million. The Oregon Forest Land Protection Fund, to which land owners must contribute by law, would pay up to $15 million of the deductible and the state general fund $10 million. The general fund would pick up half the cost of the premium, estimated this year at $900,000. Land owners currently pay the entire premium. Savings from the higher deductible, estimated at anywhere from $500,000 to $1.5 million a year, would go into a fund to help reduce the state’s $10 million exposure. That assumes some years with low fire suppression costs. In addition, a separate "severity" fund would be established in the Department of Forestry to cover costs during bad fire years. The bill also calls for stepped-up efforts to reach fires when they are still small and expansion to other counties of pilot programs in place in Jackson and Deschutes counties. In these programs, ODF works with property owners advising them on steps that can be taken to protect land and structures from wildfires. Oregon is the only state that purchases insurance to cover suppression costs, and it has done so for 30 years. During the disastrous 2002 fire season, the consortium headed by Lloyd’s of London paid $19.97 million in claims made by the state. Fire suppression costs for state-protected lands that year totaled about $29.9 million. Morgan said the way the state currently pays for fire suppression "is really pretty sound." But with the shortage of general fund dollars, rising costs and the uncertain insurance market, it makes sense to realize savings through a higher deductible and to dedicate more money to early intervention, she said. The state is currently negotiating with its underwriters for coverage during the 2005 fire season. The current policy expires March 31. Morgan said that exact savings from the higher deductible is still unknown. "We will know more as negotiations progress," she said. Bates said he wasn’t that familiar with the proposed changes in funding because the subcommittee has yet to meet. He said the over-arching question is what kind of risk the state can afford to take with the higher deductible. In Bates’ view, one of the major problems has been the U.S. Forest Service, which up until last year wouldn’t let ODF crews on their lands to keep fires from spreading to private timberlands. Bates believes the differences with the Forest Service were ironed out last year, "but we haven’t seen whether it works because there were very few fires." Don Jepsen is a free-lance writer living in Salem. Mail Tribune Home | Local News | Sports | Business | Obituaries | Life | Opinion AP News | Archives | Site Map | Community | Classified Copyright © 1997-2005 Mail Tribune, Inc. All rights reserved. Privacy Policy | Terms & Conditions | Website Feedback www.bingo.com Home Security Systems Trunks, Footlocker dvd-r Distance Education Computer Security Ztechmedia Website Hosting Student Loans tcg student loan consolidation Online Pharmacy online casino Myspace Home Equity Loans Windermere Van Vleet Rogue Valley Travel Reservationstogo Hotel Reservations Southern Oregon Loans Online Casino News Natto Kinase Nattokinase Casino Gambling Sites Budget Website Templates Advertisement s