In the aftermath of Hurricane Helene, which struck western North Carolina in late September 2024, the Federal Emergency Management Agency (FEMA) has been pivotal in orchestrating debris removal and facilitating recovery efforts. The hurricane inflicted catastrophic damage, with over 100 fatalities and nearly $60 billion in damages, leaving communities grappling with debris and destruction. The extensive need for storm clean up creates a significant draw for logging equipment and personnel from regions far removed from the storm’s impact.
FEMA contracts independent logging and debris removal companies to help with post-storm cleanup through a structured bidding and reimbursement process. These contracts typically go to companies that can mobilize quickly and have access to specialized machinery such as logging trucks, grapple trucks, logging processors, and skid loaders equipped with grapples. This equipment is essential for efficiently clearing, collecting and transporting large volumes of vegetative debris, including fallen trees and large branches. The equipment enables crews to clear roadways, restore public services, and facilitate the overall recovery process.
The financial incentive for contractors is substantial, as FEMA offers premium rates to ensure a swift response. Additionally, subcontracting opportunities emerge for Midwest-based loggers who are willing to relocate their equipment to the storm-affected areas. In the case of Hurricane Helene, FEMA has obligated more than $292 million for 47 grants to support the recovery in North Carolina.
The Impact on the Midwest Logging Industry
While lucrative FEMA contracts provide a financial boost to contractors, they also create unintended consequences for the Midwest timber industry. The sudden exodus of logging equipment from states like Wisconsin and Michigan can lead to a temporary shortage of machinery and manpower for local operations. This affects timber supply chains in ways such as:
Reduced Equipment Availability
Logging companies that commit their equipment to FEMA cleanup efforts leave behind fewer machines to harvest timber for local mills. This can slow down operations, causing supply bottlenecks that impact paper mills, sawmills, and other wood-processing facilities.
Workforce Disruptions
Independent loggers and trucking companies often send workers south to take advantage of FEMA contracts. This temporary migration can lead to labor shortages in the Midwest, forcing mills to delay production or reduce shifts due to limited raw material availability.
Disruptions in Mill Production
With logging machinery and trucks redirected to hurricane recovery efforts, the Midwest’s sawmills and paper mills may experience delays in raw material delivery. This can lead to extended downtime, reduced production runs, and, in some cases, temporary closures. Mills that rely on a steady influx of logs may struggle to maintain inventory levels, leading to long-term supply challenges.
The Loggers’ Dilemma: No Choice but to Leave
For many Midwest loggers, leaving home for storm cleanup isn’t just about chasing higher pay—it’s about survival. The logging industry in the Midwest relies heavily on the pulp markets, which have become increasingly unpredictable. The Billerud papermills in Michigan, now provide only month-to-month quotas, making it impossible for loggers to plan long-term operations.
One Michigan logger, Mark Pomeroy, who relocated his equipment to Virginia for storm cleanup, explained his difficult decision: “We don’t have the luxury of waiting around for the mills to decide how much wood they want next month. If we don’t move, we don’t make money, and if we don’t make money, we shut down.” Pomeroy spent over $14,000 to move two harvesters to Virginia. This is the first time they had to move their equipment out of the area, a direct impact of the paper mill procurement process. Pomeroy mentioned he knew of 30 other harvesters, and 60 log trucks that were working in North Carolina, Virginia, and Georgia, all from Wisconsin and Michigan.
With such uncertainty, many loggers feel they have no choice but to seek work wherever it’s available. Disaster relief provides a financial lifeline in an industry that offers little stability. However, this movement of loggers and equipment exacerbates existing challenges for Midwest mills, further straining the region’s timber supply chain.
As natural disasters become more frequent and pulp markets remain volatile, Midwest loggers and mills must find ways to navigate these disruptions. While storm cleanup contracts offer temporary relief for struggling loggers, they also highlight the broader economic instability facing the region’s timber industry—one that will require long-term solutions to ensure its survival.
This article was written by Kretz Lumber Company forester Cory Howes. If you have questions of your own for him or any of our foresters, email our team.
