Congress Looks at Moving Forest Service
Under Interior Department

A Bush administration interagency group, meeting earlier this month to discuss a proposal by U.S. Customs and Border Protection (CBP) to eliminate the "first sale" rule of valuation for imported products, declined to withdraw the controversial plan and urged all interested parties to file public comments by an April 23rd deadline. Representatives from the departments of Homeland Security, Treasury, Commerce and State, and the National Security Council questioned Customs officials who acknowledged the plan is controversial, would potentially add significant costs to imported products, and, although the proposal had been in the works for several years, that Congress was never consulted.

Outdoor Industry Association (OIA) and a coalition of importers and trade associations had requested that the administration withdraw the proposal at the interagency meeting, but are now focusing efforts on filing public comments in opposition and supporting Congressional efforts to block the plan.

Those efforts are already underway. Representative Kendrick Meek (D-17th, FL) and Senators Gordon Smith (R-OR) and Ron Wyden (D-OR) are circulating a Dear Colleague letter to CBP Commissioner Ralph Basham in each respective chamber. The letters request that CBP withdraw its plan as it would cause substantial damage to importers and ultimately the American consumer.

Representative Meek's letter can be accessed by clicking here. Senators Smith's and Wyden's letter can be accessed by clicking here. Please forward these letters on to your congressional delegation, and request that they sign on.

Also, earlier this month the Senate Finance Committee held a hearing during which Chairman Baucus expressed "deep concern with CBP's failure to consult with the Finance Committee before proposing such a sweeping change to longstanding U.S. practice" and was joined by Ranking Member Grassley in stating unease as to the impact the plan would have on small and medium size businesses.

A number of outdoor companies utilize the first sale method of valuation and would be substantially harmed by its elimination. OIA urges members of Congress to join Congressman Meek and Senators Smith and Wyden in their request that Commissioner Basham revoke the first sale elimination proposal.

Eco Working Group Meeting
Scheduled for May 13-15 in Boulder, Colorado

The next OIA Eco Working Group Meeting will be held May 13-15, 2008, in Boulder, Colorado, at the Millennium Harvest House.

Participation in the meeting is free and open to all interested parties, but space is limited and online pre-registration by April 25th is required.

For the meeting agenda, please click here.

Outdoor industry sales started strong in 2008, with Outdoor Specialty, Outdoor Chain and Outdoor Internet increasing 3%, 17% and 26% respectively. With consumer confidence sinking to a five year low in March, continuing double-digit gains for overall outdoor industry sales may prove more difficult.

However, outdoor equipment sales, which have trailed apparel and footwear over the last several years, may keep the momentum in this challenging economic climate. In January, outdoor equipment gained 7% in Outdoor Specialty, 14% in Outdoor Chain and 17% in Outdoor Internet channels in dollars respectively. Sales of winter equipment were especially strong, aided by good snow conditions in much of the country.

Outdoor equipment sales increased 15.8% during the recession period of 2001 and 2002 (technically, the recession occurred in 2001 with tepid growth in 2002). Why? Outdoor vacations and close-to-home outdoor outings may have been a substitute for more expensive vacations and pricier close-to-home entertainment or activities. Additionally, outdoor equipment is less costly in comparison to other durable good items. History may repeat itself. What are you going to do with your $600 tax rebate? You can't buy a new car, but you could buy a great new backpack and tent!

At 13, Kyle and his younger sister fled Chicago's south side and an intolerable home situation.  With only the clothes on their backs, the young pair hitchhiked to Minnesota to find a better life. Thanks to great local mentors, Kyle was introduced to the Teens Outside program. Program leaders quickly recognized Kyle as a promising young adult with excellent leadership potential and encouraged him to become a trail guide. Today, Kyle is one of the program's top-rated trail staff leaders.

The Outdoor Foundation is focusing on growing the Teens Outside program, which introduces youth to close-to-home recreation and sustained outdoor activity experiences. The program utilizes community-based programs across the country, partners teens with mentors, and exposes youth to outdoor recreation activities like hiking, camping, climbing, biking, paddling and other activities. Teens Outside is ramping up 20 programs across the country for the 2008 summer season and will be in at least 100 programs in 2009.

Today, Kyle is branching out. He has started his own diversity training organization and is confident in his future. 

Teens Outside has big plans to reach many more teens like Kyle, who will become leaders, challenge themselves and grow beyond their expectations. By investing in Teens Outside, we have the opportunity to contribute to a massive increase in active outdoor recreation. Reaching youth with highly positive experiences like these will make a difference in their lives and will build life-long outdoor enthusiasts.

For more information about the program or to find out how you and your company can be a part of this growing movement, please contact Bryan Mahler at The Outdoor Foundation.

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