Costs are spread among all major segments of hardwood lumber and hardwood plywood production.
Manufacturers pay on the amount of value added with reductions for assessments already paid.
A new 28-member, geographically-diverse Checkoff Board drawn from industry owners and employees will determine promotion and research programs to be funded by the checkoff.
Financial oversight, implementation, and enforcement is conducted by Board personnel and private auditors. USDA enforcement is available as requested by the Board.
An independent economic evaluation on the effectiveness of the Checkoff is required within four years. One year later a referendum is conducted to determine whether the Checkoff remains in place.
About the Checkoff
The Hardwood Checkoff is an initiative led by a group of US hardwood industry leaders who have come together to develop a Commodity Checkoff program for the hardwood industry. Checkoff programs are industry-funded research and promotions programs tailored to a specific commodity. More common in traditional agricultural sectors numerous commodities have adopted the checkoffs, typified by “Got Milk” and “Cotton, the Fabric of our Lives” ad campaigns. Hardwood lumber is one of four checkoff programs currently under development by the forest products industry.
The Hardwood Checkoff Steering Committee is currently focused on the following goals:
Identify the segments of the hardwood industry which would be eligible for a Checkoff assessment.
Develop a fair and equitable formula for levying an assessment.
Work with the US Department of Agriculture in promulgating rules for governing the Hardwood Checkoff.
Communicate benefits of a Hardwood Checkoff program to all eligible companies and to the industry as a whole.
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