Daily News for December 10, 2024

Today’s Takeaway

US tariffs will devastate Canada’s 450,000 private forest owners

The Tree Frog Forestry News
December 10, 2024
Category: Today's Takeaway

Canada’s 450,000 private forest operators say Trump’s tariffs would be devastating. In related news: BC’s Forests minister says US duties are his top priority; San Group secures a short extension for creditor protection; and CN Rail reaches a tentative deal with Unifor. On the Market front: US consumer sentiment is up; lumber prices are down; Southern Pine exports are running ahead of 2023; and demand for tall oil surges as a biofuel feedstock.

In other news: Canada provides disaster funding for BC’s wildfires and floods; Derek Nighbor highlights the economic upside of managing for fire risk; the USDA invests in forest resilience through Tribal Nations; a new report on the future of Wisconsin’s forests; a TEDx talk on BC’s old-growth; and staying safe on Ontario’s forest roads.

Finally, a surprising result of the devastating Jasper wildfire—explosive cheetah trees.

Kelly McCloskey, Tree Frog Editor

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Special Feature

Trump tariffs would devastate Canadian private forest operators, says industry group

By Nelson Bennett
Business in Vancouver
December 9, 2024
Category: Special Feature
Region: Canada, United States

Donald Trump’s threat of a 25% across the board tariff would have a devastating impact on private timberland and sawmill owners in Canada, say the Canadian Forest Owners, which is appealing to federal and provincial governments for some shielding. “They would be extremely harmful to many of our members,” said Andrew de Vries, CEO of the Canadian Forest Owners. “We’re already on the ropes as the mills struggle with regulatory compliance in different areas and access to harvest.” …There 450,000 private forest landowners across Canada, including 22,500 small woodlots owners in B.C., de Vries said. Many own and operate small sawmills, and a big chunk of their market is the U.S. Overall, private ownership accounts for only 10% of Canada’s working forest land base, but provides 20% of Canada’s timber supply. …“We’re a small percentage of the land base, but we’re a critical part of the wood supply.”

In B.C., most of the privately owned timberlands are on Vancouver Island. Mosaic Forest Management is the largest owner-operator of private forests. Manulife also owns private forest land in B.C., de Vries said. Some First Nations in B.C. could also be considered private timberland owners, including treaty forest lands. Private forest landowners are subject to current softwood lumbers duties, despite the fact those duties are premised on the argument that Canada’s Crown ownership constitutes an unfair government subsidy of sorts. “Our view is that private forestland managers in Canada operate under the same conditions as private forest land managers in the United States,” de Vries said. But ownership may be irrelevant for Trump’s tariffs. If it’s made in Canada, it would be hit with tariffs, regardless of whether it comes from private or Crown lands.

Press release from Canadian Forest Owners: US Tariffs will harm Canada’s 450,000 forest owners

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Business & Politics

CN Rail, Unifor reach tentative deal ahead of potential strike

By Ryan White
CTV News
December 9, 2024
Category: Business & Politics
Region: Canada

Canadian National Railway confirms it reached a tentative agreement with the union representing nearly 3,300 employees working in “mechanical, clerical, and intermodal functions,” likely preventing potential job action. CN says a tentative four-year collective agreement had been made with Unifor, pending ratification by union members. Terms have not been publicly released ahead of the ratification vote. The current contract expires on Dec. 31. In a letter issued Monday to its members, Unifor Council 4000 officials said it was “pleased to announce that a tentative agreement had been reached” following “extensive bargaining focused on securing meaningful gains for members.” …The ratification vote is expected to be held in the coming weeks.

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Creditor protection extended for forestry company San Group

By Kendall Hanson
Chek News
December 9, 2024
Category: Business & Politics
Region: Canada, Canada West

A BC Supreme Court Justice has approved a short extension of creditor protection as a court monitor works with San Group to reorganize its business operations. The court-appointed monitor from Deloitte asked for the extension as he tries to clarify the value of the company’s assets. …In April, San Group’s Acorn mill in Delta was damaged by a significant fire. One claim for $12.1 million has recently been denied by the insurance company. The company is filing two more claims, jointly worth nearly $30 million. Also, the bomb cyclone was bad for San Group. Log booms in Alberni Inlet got loose, and management has reported losing $6 million in log inventory. The company has third parties trying to recover the logs. …All involved say they believe the company is working in good faith. …The monitor plans to have another report for the next court hearing about San Group’s future on Dec. 19.

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Softwood lumber duties a top priority, new Forests minister says

By Nelson Bennett
Business in Vancouver
December 9, 2024
Category: Business & Politics
Region: Canada, Canada West

As the new minister of Forests, Ravi Parmar may have one of the toughest cabinet posts in BC. He will be under pressure to do something about the regulatory burden in B.C. that has been killing B.C. forest sector jobs at a time when B.C.’s forest sector faces crippling tariffs and duties. …A big part of the problem is a shrinking annual allowable cut (AAC). But forest industry leaders point out that… there is an adequate amount of AAC to keep the existing mills running, except that it has been made inaccessible due to cost and red tape. …“Regulations are only one part of the fibre story that we have here in BC,” Parmar said. He blames the big forestry companies for essentially cutting and running – i.e. harvesting the most valuable timber first, when prices were high, and not making the investments needed to access some of the less economic timber.

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Finance & Economics

Lumber Drops Amid Rising U.S. Supply and Weak Demand

Trading Economics
December 9, 2024
Category: Finance & Economics
Region: Canada, United States

Lumber prices dropped below $570 per thousand board feet in December, marking a near one-month low, driven by strong supply and subdued demand. Rising production in the U.S., which is becoming more self-sufficient, has boosted supply, particularly in the U.S. South. While sawmill closures in Canada have had some impact, they have not significantly curtailed overall supply. Additionally, U.S. building permits continued their decline in October, dropping 0.6% following a 3.1% decrease the previous month, while housing starts fell 3.1%, missing expectations. Broader trends suggest ongoing challenges, including a rise in new home inventory, adding to over supply. Still, the potential impact of President-elect Trump’s proposed tariffs on Canadian lumber exports remains uncertain.

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US Consumer Housing Sentiment Up Significantly Year over Year

Fannie Mae
December 9, 2024
Category: Finance & Economics
Region: United States

WASHINGTON, DC – The Fannie Mae Home Purchase Sentiment Index® (HPSI) increased 0.4 points in November to 75.0, continuing its sharp upward trend over the past year as consumers appear to be acclimating to the higher mortgage rate and home price environment. This month, a new record-high share of consumers indicated that they expect mortgage rates to decline over the next 12 months, while fewer respondents said they expect home prices to rise. While only 23% believe it’s a “good time to buy a home,” on net that component continued its upward trend, and is now notably higher than last November’s share of 14%. The share of respondents saying it’s a “good time to sell” remained flat month over month but is also up from last year. Year over year, the HPSI is up 10.7 points.

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2024 Exports of Southern Yellow Pine are running 17% ahead of 2023

By Eric Gee, Executive Director
The Southern Forest Products Association
December 9, 2024
Category: Finance & Economics
Region: United States, US East

Exports of Southern Pine lumber (treated and untreated) are running 17% ahead of 2023 through the first three quarters of 2024, according to September data from the USDA’s Foreign Agriculture Services’ Global Agricultural Trade System. Southern Pine lumber exports were down 10% in the third quarter of 2024 over the prior quarter but up 11% over the same period in 2023. Exports were up 3% over August and up 20.9% over September 2023. …When looking at the report by dollar value, Southern Pine exports between January and September 2024 are running 9% ahead of the same period in 2023 at $168.7 million, with Mexico leading the way at $46.6 million, followed by the Dominican Republic at $41.3 million, and India at $13.1 million. Treated lumber exports, meanwhile, are flat over the year at $103.1 million led by Jamaica with $17.6 million, the Leeward-Windward Islands at $16.1 million, and the Dominican Republic at $8.4 million.

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Global forest products facts and figures 2023 shows fall in global trade in wood and paper products

By FAO staff
Food and Agriculture Organization of the United Nations
December 10, 2024
Category: Finance & Economics
Region: International

Global trade in wood and paper products dropped steeply from record levels in 2021 and 2022, with the paper trade continuing to decline under pressure from digital media, according to the latest data released by the Food and Agriculture Organization of the United Nations (FAO). The Global forest products facts and figures 2023 report says the worldwide wood and paper products trade saw a significant drop of 12 percent: exports decreased by $64 billion to $482 billion in 2023. This level was still above the highest international trade value ever seen before 2021. But significantly, the fact that trade value declined faster than traded quantities for most of the products indicates a drop in forest product prices in 2023 amid a general slowdown in economic growth. Global production of paper and paperboard contracted by 3 percent, owing to a continuous replacement of printed media with digital products.

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Wood, Paper & Green Building

Timberlab Named Innovator of the Year by the Portland Business Journal

By LMC staff
LBM Journal
December 9, 2024
Category: Wood, Paper & Green Building
Region: United States, US West

Each year the Portland Business Journal honors the region’s top manufacturing companies who drive the economy with innovation, excellence and productivity at the Makers & Manufacturers Awards 2024. The companies nominated shape the future and build what is needed for the next generation. At the event, Timberlab was named Innovator of the Year… “The mass timber terminal at PDX would not have been possible without the thousands of hands that helped bring this monumental structure to life. Our team is grateful to be part of a team of regional leaders and innovators committed to seeing this project achieve what was previously considered unachievable. Mass timber is here to stay, and this project will serve as a testament to the many benefits of building with local and sustainable building materials.”

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Forestry

Government of Canada provides disaster recovery funding to British Columbia for wildfires and floods

By Public Safety Canada
Government of Canada
December 9, 2024
Category: Forestry
Region: Canada

In 2023, British Columbia experienced its most destructive wildfire season on record, leading to widespread evacuations, loss of personal property, and damage to critical infrastructure. This follows severe wildfires experienced in 2022 that threatened communities throughout every region of the province. Additionally, in the spring of 2023, communities across British Columbia also experienced flooding and landslides. Today, the Honourable Harjit S. Sajjan, President of the King’s Privy Council for Canada and Minister of Emergency Preparedness and Minister responsible for the Pacific Economic Development Agency of Canada,  announced payments of over $148 million to the Province through the Disaster Financial Assistance Arrangements (DFAA) program, to assist with response and recovery costs associated with the wildfires in 2022 and 2023, and the floods in 2023.

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Young Professional Foresters’ Exchange Programme: Meet the 2025 Candidates

By Rachel Brown
Canadian Institute of Forestry
December 10, 2024
Category: Forestry
Region: Canada

Mattawa, ON – We are thrilled to introduce the talented individuals selected for the Young Professional Foresters’ Exchange Programme (2024-2025). This exciting initiative, administered by the Canadian Institute of Forestry, the Institute of Chartered Foresters (United Kingdom), the New Zealand Institute of Forestry, and Forestry Australia, offers a unique opportunity for rising leaders in forestry to participate in a 3-month paid international work placement, to share knowledge and gain hands on experience in international practices. A special thank you goes to the host employer organisations in each of the four participating countries who have stepped forward to support this programme. By opening their doors to these young professionals, they are not only providing life-changing opportunities but also showcasing the exceptional forestry expertise and innovation within their organisations.

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Notes from the field: Researchers map impact of beaver dams and logging on Kananaskis ecosystem

By Briana Van Den Bussche
University of Calgary
December 9, 2024
Category: Forestry
Region: Canada, Canada West

The beaver is a well-known symbol associated with Canada. But in Alberta, beavers are not always looked upon favourably. Historically, tensions between beavers, farmers and ranchers have been high, as beavers can fell many trees and their dam-building can cause fields to flood, damaging crops and grazing areas… The researchers are exploring the impacts of beavers and their structures on hydrology and ecosystem health within the Sibbald Valley in Kananaskis Country… The researcher is also interested in how clear-cut logging on the slopes above the pond complex might alter the volume and speed of water entering the ponds. This work includes monitoring soil moisture levels on nearby slopes that remain treed and those that have been clear-cut.

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Terrace Community Forest Contributes $200K

By Jaylene Matthews
CFTK-TV BC North
December 9, 2024
Category: Forestry
Region: Canada, Canada West

The Terrace Community Forest is a private company owned by the City of Terrace and managed by an appointed board. The City isn’t involved in the day to day of the company, and the company generates its own cashflow through its resources. The Community Forest’s land base covers three areas, with portions in the Kitimat Valley, Amesbury/Shames, and Deep Creek/Spring Creek. Revenue is generated from their commercial thinning and retention harvesting program, and revenue stays within the community. This year’s annual contribution by the Community Forest to the City of Terrace is $200,000… To date, the Terrace Community Forest has allocated $5 million dollars to community projects.  They also aim to create local employment opportunities, and have created direct local employment valued at an estimated $30 million dollars.

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Okanagan Similkameen Stewardship marks 3,800 reasons to celebrate 2024

By Brennan Phillips
Vernon Morning Star
December 9, 2024
Category: Forestry
Region: Canada, Canada West

From Ginty’s Pond in Cawston to Vernon’s Okanagan Landing Elementary, the Okanagan Simlkameen Stewardship Society is celebrating this year’s efforts to replant native species across the region. More than 3,800 native trees, shrubs, grasses and wildflowers were used to restore natural habitats across the Okanagan and Similkameen Valleys. “While the Okanagan’s mountain forests are abundant, our valley bottoms — where wildlife like American Badgers, Tiger Salamanders, and Burrowing Owls thrive—are under pressure from human activity,” said Lia McKinnon, OSS stewardship biologist. “We’re focusing on grasslands, wetlands, and riparian habitats because they provide essential resources, without them, wildlife cannot survive, no matter how much forest remains.”

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Explosive ‘cheetah trees’ have appeared in Jasper after the wildfire

The Weather Network
December 10, 2024
Category: Forestry
Region: Canada, Canada West

A unique phenomenon has appeared in Jasper National Park after the 2024 wildfire. The locals call them “cheetah” or “leopard” trees after their spotted black and yellow appearance, and they’re the result of an explosive release of heat and pressure courtesy of the moisture that hides behind the thin outer bark of lodgepole pine trees. “The first time I saw them I thought maybe it was a woodpecker flaking the bark off burned trees, but that’s not actually what’s happening,” says Jasper National Park Resource Conservation Manager David Argument. “In an intense fire situation, the moisture in the sapwood beneath the bark, which can have quite high moisture content, is heated to steam so quickly that it turns into steam explosively and flakes off those patches of bark.” 

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Environmental advocate gives TEDx Talk in Victoria about old-growth protections

By Curtis Blandy
Victoria Buzz
December 6, 2024
Category: Forestry
Region: Canada, Canada West

TEDxVictoria returned to the region in May 2024, and saw several experts speak about issues facing not only BC, but the international community. One speaker was TJ Watt, an environmental advocate, Ancient Forest Alliance (AFA) photographer, self-proclaimed big-tree hunter and National Geographic explorer. His TEDx Talk was titled ‘One Last Shot to Protect Old-Growth Forests in British Columbia.’ In his time on stage, Watt issued an urgent and passionate call for the permanent protection of these old-growth ecosystems. “I’m honoured to have been a TEDxVictoria speaker and to have the opportunity to share my life’s mission to protect endangered old-growth forests in BC with the world,” said Watt. …Watt was born and raised in Metchosin and his photography work, as well as his environmental advocacy, have established him as a leading voice in the movement to protect old-growth forests in BC.

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At White House Tribal Nations Summit, United States Department of Agriculture Delivers on Actions to Empower Indian Country

By USDA staff
USDA Department of Agriculture
December 9, 2024
Category: Forestry
Region: United States

The USDA Forest Service will invest $20 million to help federally recognized Tribes and Alaska Native Corporations and Villages access financial resources through emerging private markets for forest resilience, climate mitigation, water quality, carbon sequestration and more. The funding was made possible by President Biden’s Inflation Reduction Act and recipients were selected through a competitive process administered by the USDA Forest Service. Of the total funding, the agency is awarding $16.4 million to 10 Tribal recipients. Additionally, $3.6 million will be awarded to First Nations Development Institute, serving as a pass-through partner to advance efforts in connecting Tribes with emerging private climate markets. These investments fund work on Tribal lands and complement USDA’s commitment to advance co-stewardship of national forests and grasslands.

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All forests are important. Old forests are priceless.

By Jim Furnish
New Hampshire Bulletin
December 9, 2024
Category: Forestry
Region: United States, US East

During 35 years with the U.S. Forest Service, I had the privilege of working on behalf of our nation’s federally managed forests from coast to coast. But there is a special place in my heart for New England’s North Woods, where I started my career in 1968. I sent many trees to the mill. I also changed. As a close observer of the Forest Service for a half century, I am deeply troubled by the agency’s persistent, mistaken focus on timber production when there are larger issues at stake for our communities, the climate, and biodiversity. Against science and common sense, logging projects in New Hampshire, Maine, and Vermont, target invaluable mature and old-growth forests and roadless areas. It’s time for a fundamental reconsideration of the value of our nation’s public forestlands.

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Wisconsin’s Green Fire: Publishes new paper on the future of Wisconsin’s forests

By Wisconsin’s Green Fire
WISPolitics
December 9, 2024
Category: Forestry
Region: United States, US East

Rhinelander, WI – Forests in Wisconsin today, covering over 17.5 million acres of land and supporting a $37 billion forest products sector, face serious environmental and economic threats. Calling for renewed statewide action to address these threats to forests and the forest-based economy, Wisconsin’s Green Fire (WGF) has published a new report: Wisconsin Forests at Risk: Engaging Wisconsinites in Another Century of Forest Conservation. WGF Executive Director Meleesa Johnson says, “If we want to continue enjoying the benefits provided by our forests, from sawlogs and pulp to clean air and clean water, Wisconsin needs to take new steps as leaders in forest conservation. We want everyone at the table to plan for the future of our forests.” One opportunity to join the conversation will be at the WGF webinar on Wisconsin Forests at Risk on January 15, 2025…

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Biodiversity at risk in most rainforests

By UQ Faculty of Science staff
UQ Faculty of Science Media
December 10, 2024
Category: Forestry
Region: International

New research has revealed less than a quarter of the remaining tropical rainforests around the globe can safeguard thousands of threatened species from extinction. The research evaluated the global availability of structurally intact, minimally disturbed tropical rainforests for more than 16,000 species of mammals, birds, reptiles, and amphibians… University of Northern British Columbia’s Dr Rajeev Pillay, who led the research, said the results point to the urgent need for conservation strategies that go beyond preserving forest cover to maintaining forest quality. “Simply having forest cover isn’t enough if the structural complexity and low human disturbance necessary for biodiversity are gone,” Dr Pillay said. “As international conservation targets emphasise ecosystem integrity, this study provides a critical baseline.”

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Carbon, Climate & Bioenergy

Creating economic opportunity managing forest fire risk

By Andrew Snook
Canadian Biomass
December 9, 2024
Category: Carbon, Climate & Bioenergy
Region: Canada, Canada East

Forest Products Association of Canada (FPAC) president and CEO Derek Nighbor discussed the economic opportunities related to managing Canada’s forests during the Scaling Up Bio 2024 Conference in Ottawa. His presentation, “Canada’s forest bioeconomy: Pushing forward,” focused on building opportunities through forest fire management. “We’ve got a huge fire problem in Canada, and the bioeconomy, and finding markets for low-grade wood and using every part of that tree, using some of the stuff that’s dying to get in the bush for higher value, is absolutely critical,” Nighbor said. He said managing forest fires is key to improving air quality while addressing Canada’s biggest carbon emissions generator, which is forest fires. …To improve forest fire management, Nighbor recommended sustainable funding for the municipalities most at risk. These funds could go towards educating those communities while protecting them through proactive forest management. 

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Report highlights surging value of US tall oil exports

By Erin Voegele
Biomass Magazine
December 9, 2024
Category: Carbon, Climate & Bioenergy
Region: United States, International

The value of U.S. tall oil exports to Finland and Sweden increased significantly last year, according to a report filed with the USDA Foreign Agricultural Service’s Global Agricultural Information Network. The increase is primarily attributed to increased demand for tall oil as an advanced biofuel feedstock. Both countries are expected to further expand their advanced biofuel production capacity over the next five years, and import demand for tall oil is forecast to grow accordingly. Tall oil is produced from back liquor generated by the pulping of wood.

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Isn’t It Time We Started To Take Carbon Removal Seriously?

By Jamie Hailstone
Forbes
December 10, 2024
Category: Carbon, Climate & Bioenergy
Region: International

Much has been written over the years about carbon capture and the role it can play in tackling climate change, what about carbon removal? Carbon removal is the process of removing carbon dioxide from the atmosphere and locking it away for decades, centuries, or even longer… Marta Krupinska, the co-founder and chief executive of carbon removal market maker, CUR8, said carbon removals are the “space race of the 21st century” in an interview. And while carbon removals were not high on the agenda at the recent COP29 talks in Baku, there was an agreement on Article 6.4 – also known as the Paris Agreement Crediting Mechanism – which she said will “lay the groundwork” for more success around carbon removal at future COPs.

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Health & Safety

Wild weather and wildlife: Surviving Ontario’s forest roads

Workplace Safety North
December 10, 2024
Category: Health & Safety
Region: Canada, Canada East

Driving on forest roads is not like driving on the highway. Ontario’s forest roads are rugged unpredictable. These roads are rough, with sharp turns, wildlife, and large trucks. They often don’t have emergency services or cell phone coverage and have different challenges to regular highways. “Every year there are severe and fatal accidents on Ontario’s forest roads,” says Chris Serratore, Health and Safety Services Director at Workplace Safety North (WSN), “and due to remote northern Ontario bush locations, it can take hours for help to arrive.” In 2020, Ontario reported 15 snowmobile-related deaths and 168 injuries both on and off highway. …To stay safe, drivers and recreational users need to slow down, stay alert, and be ready for unexpected hazards. “WSN has been asked by northern forest companies to help raise awareness with the public who often use these roads for recreation. Whether you’re working or exploring, being prepared and driving cautiously can save lives.”

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Forest Fires

Two wildfires burn over a thousand acres in North Carolina

By Daniel Gray
Spectrum News 1
December 9, 2024
Category: Forest Fires
Region: United States, US East

A 730-acre wildfire, dubbed the “Coyote Fire,” is now mostly contained at Crowders Mountain State Park, according to the North Carolina Forest Service’s website. As of Monday afternoon, Gaston County officials said the fire was 95% contained. The N.C. Forest Service said they used a burnout operation to burn fuel in the firest and help contain the fire. Rain Sunday night and Monday helped bring the Crowders Mountain fire and another fire in McDowell County under control. Gaston County officials said the fire was first discovered by Crowders Mountain State Park officials around 7 a.m. At that point, about 70 acres were already gone. No structures were impacted, as the fire was in a remote area, allowing for firefighters to slowly restrict the fire as time passed.

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