USDA backs Oregon and Nevada timber projects with $80 million in loan guarantees

The U.S. Department of Agriculture will guarantee $80 million in loans for two timber-processing projects in Oregon and Nevada as part of a broader effort to increase domestic lumber production and strengthen forest management. The financing will be provided through the USDA’s Timber Production Expansion Guaranteed Loan Program and Business and Industry Guaranteed Loan Program.

Tahoe Forest Products will receive $50 million in guaranteed financing to expand its Nevada operations, including the installation of kilns, a planer mill and a new saw line. The project will allow the company to process timber sourced from Nevada and California into finished products for retailers and large construction customers, while adding 60 million board feet of premium lumber production capacity. Clatskanie Scion will receive $30 million to build a new sawmill and install equipment for Myers Woodline in Oregon. The project is expected to create at least 35 jobs and expand production of industrial lumber products.

The timber loan program is jointly administered by USDA Rural Development and the U.S. Forest Service and supports the establishment, reopening and expansion of sawmills and other wood-processing facilities. USDA said the investments can also support forest thinning and the removal of combustible material that increases wildfire risks. The department has invested $165.2 million through the program across 10 states since its launch. Additional information about USDA investments is available through the Rural Data Gateway.