Forest Service

Pursuant to a congressional request, GAO provided information on: (1) timber harvesting and planting; (2) federal timber assistance programs; and (3) federal tax provisions affecting the timber industry. GAO found that: (1) timber harvesting increased 4 percent and timber planting and seeding increased 23 percent from 1986 to 1988; (2) USDA financial assistance program payments increased from $23.6 million in 1986 to about $36.9 million in 1988; (3) two tax code provisions applicable to the timber industry could annually reduce federal revenues by $460 million; and (4) the Forest Service projected that, over the next 50 years, the national timber harvest would increase about 55 percent and timber industry employment would decline about 27 percent.