By Wayne Nisley

Lawmakers in Washington have introduced legislation aimed at strengthening U.S. timber industry financing — a move that could help rural communities and long-term investment in forestry operations.

On November 24, Rep. Dan Newhouse (R-WA) teamed up with Rep. Terri Sewell (D-AL) to unveil the Supporting American Wood and Mill Infrastructure with Loans for Longevity (SAWMILL) Act, which would permanently reauthorize the Timber Production Expansion Guaranteed Loan Program (TPEP). The goal is to expand access to long-term, low-interest loans so timber businesses can invest in facilities and equipment and plan for the future.

“This legislation gives timber mills the ability to grow their operations and support rural communities who stand to benefit even more from a strong, local timber industry,” Newhouse said, pointing out the importance of the sector in his home state and beyond.

The reauthorized program is expected to help companies make critical upgrades, boost local economies, and improve forest management — especially in areas prone to wildfires. TPEP’s focus on supporting operations that handle hazardous fuels also ties into broader efforts to reduce fire risk and improve forest health.

Industry groups have come out in support. Jackson Morrill of the American Wood Council highlighted the act’s potential impact, noting that “our nation’s sawmills and wood processing facilities directly employ nearly half a million Americans,” and suggesting that these operations serve as vital economic engines for rural regions.

Rebecca Turner of American Forests added that the act could play a role in both economic and environmental goals. “For generations, sawmills have been economic engines of rural America,” she said, emphasizing the dual benefit of supporting communities and fostering healthy forests.

The legislation, backed by both Democrats and Republicans, also has companion support in the Senate, reflecting a bipartisan interest in securing rural jobs and strengthening the nation’s forestry base.

For an industry that often faces financing hurdles, this policy effort could help unlock capital and confidence for investment — not an instant fix, but a strategic push that aligns with other growth trends across the timber sector.