CAPITOL SUMMIT 2007: Attendee Book

April 2, 2007

Dear Capitol Summit Participant:

Thank you for dedicating this week to ensuring that the voice of the active outdoor industry is strong in Washington DC. This is an exciting Capitol Summit as we will be meeting a new Congress under new leadership. This change presents us with the opportunity to introduce our industry to new members of Congress and to gain new allies as we work to ensure the growth and success of the outdoor industry and promote active outdoor recreation.

We will present “The Active Outdoor Recreation Economy” report to Capitol Hill as we educate members of Congress and their staffs about our industry’s $730 billion annual contribution to the U.S. economy. For the first time, we will also be able to provide state- specific data demonstrating the economic value of outdoor recreation.

We will be hearing from key policymakers in the public lands and trade arenas as well as presenting our supporters with the 2007 Friend of the Outdoor Industry Awards. We also have a full schedule of meetings on Capitol Hill.

We will be asking members of Congress to support us in the following ways:

• Support an increase in funding levels for the National Park Service in advance of its Centennial Celebration. The Administration has proposed a significant increase to the park operation’s budget and has put forth a plan to fund “signature projects” with a mix of private and federal dollars. • Provide significant funding for the Land and Water Conservation Fund State Assistance program and the Bureau of Land Management’s National Landscape Conservation system. These two programs are responsible for supporting a significant portion of the recreation lands in America and adequate funding of both is vital to the future of active outdoor recreation. • Ensure that our innovative and highly-technical products are treated in a fair and predictable manner under U.S. trade law.

Thank you for joining us April 17-19 in Washington DC. If you have any questions, please contact Alex Boian at [email protected] or Amy Roberts at aroberts@ outdoorindustry.org.

Sincerely,

Amy Roberts and Alex Boian OIA Government Affairs Capitol Summit 2007 An Outdoor Industry Association® Event Tuesday - Thursday, April 17th - 19th, 2007 Washington, DC AGENDA

Tuesday, April 17

8am - 5pm OIA Board Meeting National Geographic Society 1145 17th St NW Washington, DC 20036 (202) 223 5074 Afternoon Capitol Summit Attendees Arrive

6:30pm Capitol Summit Welcome Reception (appetizers and cocktails) The Beacon Hotel 1615 Rhode Island Avenue, NW Washington, DC 20036 (202) 296 2100

Wednesday, April 18 7:30am Depart the Beacon Hotel for Capitol Hill by taxi title sponsors 8:00am Breakfast at the Longworth House Office Building (Room 1334): Natural Resources Chairman Nick Rahall (D-WV) will be our guest speaker 9:00am - 10:00am Learning the Issues and How to Lobby 10:30am - 5:30pm Group Lobby Appointments

6:00- 8:00pm Friends of the Outdoor Industry Reception Mike Mansfield Room (S-207) US Capitol Washington, DC silver sponsors

Thursday, April 19

8:00 – 9:00 am Breakfast, Day One review, Q&A The Beacon Hotel The Beacon Overlook Room 1615 Rhode Island Avenue, NW Washington, DC 20036 (202) 296 2100 9:00am - Noon Group Lobby Appointments Noon Capitol Summit Adjourns GENERAL INFORMATION 2. From Baltimore/Washington International Airport (BWI) to The Beacon Hotel (about one Please plan to arrive in Washington, DC by hour and a half hours during rush hour): Tuesday, April 17th at 5:00 pm • Car Service = about $95 + Tip, Private Car/RMA Worldwide Chauffeured HOTEL Transportation (800) 878 7743

The Beacon Hotel • Taxi = about $65 + Tip, BWI Airport Taxi 1615 Rhode Island Avenue, NW (410) 859 1100 Washington, DC 20036 Telephone: (202) 296 2100 • Shuttle Service = about $30, Super Shuttle (202) 296 6662 *The nearest METRO stop is FARRAGUT NORTH METRO STATION 3. From Reagan National Airport (DCA) to 1001 Connecticut Avenue, NW* The Beacon Hotel (about twenty five minutes during rush hour): * A YMCA workout facility is across the street from the hotel – complimentary for guests of the Beacon • Car Service = about $30 + Tip, Atlas Hotel (photo ID)* Limousine Service (703) 644 5009

• Taxi = about $15 + Tip

TRANSPORTATION IN WASHINGTON, DC • Shuttle Service = about $12, Super Shuttle (202) 296 6662 We recommend that you DO NOT rent a car. • METRO = about $1.35; NATIONAL 1. From Dulles International Airport (IAD) to AIRPORT METRO STATION The Beacon Hotel (about one hour during BLUE LINE towards LARGO TOWN rush hour): CENTER METRO STATION, ARRIVE FARRAGUT WEST METRO STATION, Walk • Car Service = about $65 + Tip, NDB Sedan 0.50 mile N to 1615 RHODE ISLAND AVE Services (202) 215 4490 NW

• Taxi = about $50 + Tip, Washington Flyer 4. From the Beacon Hotel to Capitol Hill Taxi (703) 661 6655 • Taxi = about $10 + Tip • Shuttle Service = about $30, Super Shuttle (202) 296 6662

Please wear business attire – a suit is appropriate – and comfortable shoes.

THE CAPITOL SUMMIT ADJOURNS AT NOON ON THURDAY, APRIL 19, 2007

PAGE 

2007 FRIEND OF THE OUTDOOR INDUSTRY Award

2007 FRIEND OF THE OUTDOOR Senators Alexander and Salazar INDUSTRY AWARD Senator Lamar Alexander is receiving a Friend of The Friend of the Outdoor Industry Award the Outdoor Industry award for the second time is presented to members of Congress and in three years and joins Senator Ken Salazar who administration officials in recognition for their is being recognized by the outdoor industry an leadership in support of the active outdoor unprecedented second straight year. Senator recreation industry. This year’s awards will be Alexander, a longtime supporter of the LWCF presented to Secretary of Interior Dirk Kempthorne stateside program, and Senator Salazar, who in for his dedication to the National Park Service; only his second year in the US Senate has been to Senator Lamar Alexander (R-TN) and Senator a tireless champion of the program, introduced Ken Salazar (D-CO) for their legislative efforts and ensured passage of legislation that provides to provide a dedicated and permanent source a dedicated and permanent source of funding for of funding for the Land and Water Conservation stateside grants. Without Alexander’s and Salazar’s Fund (LWCF) stateside program; and to Senator efforts in 2006, the LWCF stateside program faced Tom Carper (D-DE) for securing passage of trade almost certain elimination. legislation eliminating import tariffs on certain Senator Carper kinds of athletic footwear manufactured by our industry. In only its first year of existence, Outdoor Industry Association’s trade program worked with Senator Interior Secretary Kempthorne Tom Carper to achieve a major victory by reducing Weeks after being named the 49th Secretary and eliminating import tariffs on certain kinds of of Interior, Mr. Kempthorne demonstrated his performance footwear. Due to the determined commitment to active outdoor recreation by effort of Senator Carper, his twelve bills ending ensuring that the newly drafted 2006 National Park duties as high as 37.5 percent passed Congress Service Management policies conserve America’s in its final hours last December, saving outdoor magnificent landscapes and historic sites and companies millions of dollars. ensure they are passed on unimpaired to future Past recipients of the Friend of the Outdoor generations. Industry Award include Senator Judd Gregg – (R- Secretary Kempthorne again demonstrated his NH), Senator Ken Salazar (D-CO), Senator Conrad support for America’s national parks by recently Burns (R-MT), Senator Susan Collins (R-ME) – 2006; unveiling the National Park Service Centennial Senator Lamar Alexander (R-TN), Senator Mary Initiative, a commitment of up to $3 billion to Landrieu (D-LA) – 2005; Senator Patty Murray the park service over the next ten years. The (D-WA), Representative Sherwood Boehlert (R- Centennial initiative was announced with a NY) – 2004; Representative David Obey (D-WI), proposal to provide the park service with an Representative Nancy Johnson (R-CT) – 2003; additional $258 million for FY 2008 operations, the Representative Norm Dicks (D-WA) – 2002; largest dollar increase ever proposed for national Representative George Miller (D-CA), Senator Mike park operations. DeWine (R-OH) – 2001.

PAGE  SECRETARY DIRK KEMPTHORNE Secretary Kempthorne has been recognized by his peers as a national leader. As Governor, his Dirk Kempthorne was confirmed as the 49th colleagues elected him as the Chairman of the Secretary of the U.S. Department of the Interior on National Governors Association in August of May 26, 2006, in a voice vote by the U.S. Senate. 2003. He has served as President of the Council of Kempthorne took the oath of office on the same State Governments and Chairman of the Western day. Governors Association. He served on the Executive Committees of the National Governors Association Prior to his confirmation as Secretary, Kempthorne and the Republican Governors Association. served nearly two terms as Governor of Idaho, Secretary of Education Rod Paige appointed elected first in 1998 and reelected in 2002. then-Governor Kempthorne to the National Assessment Governing Board and Secretary of As Governor, Kempthorne worked to develop Homeland Security Tom Ridge appointed him to consensus on management of Idaho’s and the the Homeland Security Task Force. West’s natural resources. He worked with his colleagues in Oregon, Washington and Montana Secretary Kempthorne and his wife Patricia are to develop an historic bipartisan agreement both University of Idaho graduates and have two on a state-based solution for returning salmon grown children, Heather and Jeff. runs in the region. Following the devastating wildfires of 2000, he worked with fellow western governors and federal officials to fundamentally change the approach to forest health and wildfire SENATOR LAMAR ALEXANDER (R-TN) management. Under his leadership, Idaho developed wolf and grizzly bear management Lamar Alexander was born in Maryville, TN, the plans aimed at delisting the endangered species son of a kindergarten teacher and an elementary and giving the State of Idaho management school principal. He is a seventh generation responsibilities. Tennessean.

Before his terms as Governor, Kempthorne He is the only Tennessean ever to be popularly completed a successful six-year term in the United elected both governor and United States Senator. States Senate (1993-1999). As a Senator, he wrote, Sen. Alexander is the third ranking Republican negotiated, and won passage of two major pieces on the Health, Education, Labor and Pensions of legislation: a bill to end unfunded federal (HELP) Committee. He serves on the Senate mandates on state and local governments, and a Appropriations Committee, the Environment and substantial revision of the federal Safe Drinking Public Works (EPW) Committee responsible for Water Act. He also worked to improve the quality overseeing the Tennessee Valley Authority as well of life for American active-duty military personnel, as the Oak Ridge National Laboratory and is a reservists, their families and veterans. member of the Senate Rules committee.

Dirk Kempthorne began his commitment to public Sen. Alexander has been U.S. Education Secretary, service as the highly successful Mayor of the City of president of the University of Tennessee, and Boise (1985-1992). During his seven years in office, the Goodman professor at Harvard’s School he helped direct a renaissance in the state’s capital of Government. He was chairman of President city that resulted in record growth, economic Reagan’s Commission on Americans Outdoors and development and numerous national honors and the National Governor’s Association. In private recognitions for quality of life, business climate and life, he helped found a company that is now the family issues. nation’s largest provider of worksite daycare.

PAGE 10 In his campaign for governor, Lamar Alexander Salazar helped lead the successful bipartisan effort walked 1,000 miles across Tennessee in his now to pass the National Energy Policy Act of 2005, an famous red and black plaid shirt. Once elected, important first step toward energy independence. he helped Tennessee become the third largest He has since helped form a bipartisan coalition of auto producer and the first state to pay teachers ten Senators pressing for greater use of renewable more for teaching well. He started Tennessee’s fuels and improved motor vehicle efficiency. Governor’s Schools for outstanding students. Ken is a member of five Senate Committees: He is a classical and country pianist and the author Finance, Agriculture, Energy & Natural Resources, of seven books, including Six Months Off, the story Ethics, and Aging. of his family’s life in Australia after he was governor. Before his election to the U.S. Senate, Ken Salazar Lamar Alexander met Honey Buhler at a staff served for six years as Colorado’s 36th Attorney softball game when he worked for Sen. Howard H. General from 1999 through 2004, winning Baker of Tennessee and she worked for Sen. John statewide elections to that office in 1998 and G. Tower of Texas. They were married in 1969 and 2002. From 1990 to 1994 Ken Salazar served have four children. He is an elder at Westminster in the Cabinet of Governor Roy Romer as the Presbyterian Church. executive director of the Colorado Department of Natural Resources. Among his accomplishments as executive director, Ken crafted reforms for oil, mining, and gas operations to better protect the SENATOR KEN SALAZAR (D-CO) environment and the public, protected Colorado’s interstate water compacts, and created the Ken Salazar was elected to the United States Youth in Natural Resources program that allowed Senate in November 2004 as Colorado’s thirty-fifth thousands of Colorado’s young people to work United States Senator. on and learn about Colorado’s natural resources. A fifth generation Coloradan, Ken and his family And he co-authored the Colorado constitutional have been farmers and ranchers in the San Luis amendment creating Great Outdoors Colorado Valley since before Colorado became a state. (GOCO), led the successful campaign for its passage, and served as its first chairman. GOCO As Colorado’s Senator, Ken Salazar fights for is the most successful land conservation effort in Colorado’s people. He champions a strong defense modern Colorado history. and homeland security, including military, veterans and law enforcement needs; economic opportunity Ken has been a farmer and rancher in the San and security, including energy independence; Luis Valley, a natural resources lawyer, and small revitalizing rural America and agriculture; business owner much of his life. He and his wife affordable health care; and protecting America’s have owned radio stations in Pueblo and Denver land and water. and have owned and operated a Dairy Queen in Westminster. Ken Salazar has also served as the In his freshman year, Senator Salazar played a chief legal counsel to the Governor, chairman leading role in many bipartisan approaches to of the Rio Grande Compact Commission, and solving problems important to Americans. Ken practiced water, environmental and public lands helped spearhead the “Gang of 14” agreement law for eleven years in the private sector. between seven Republican and seven Democratic Senators, ending the Senate impasse on judicial Ken and his wife, Hope, have two teenage appointments that threatened to destroy the daughters, Melinda and Andrea. Ken’s older Senate’s historic foundations. brother, John Salazar, was elected to the United States Congress in November 2004 from Colorado’s 3rd Congressional District. PAGE 11 SENATOR TOM CARPER (D-DE) effective and non-partisan leader, admired and trusted on both sides of the aisle.” Born in West Virginia and raised in Virginia, Tom Carper attended Ohio State University on a For the 110th Congress, beginning in January Navy R.O.T.C. scholarship, graduating in 1968 of 2007, Senator Carper gained a seat on with a B.A. in economics. He first fell in love with the Commerce, Science and Transportation Delaware when he looked out the window of a Committee. He retained his assignments and military transport aircraft flying into Dover Air Force seniority on the Banking, Housing and Urban Base during his first year in the U.S. Navy. He went Affairs Committee, the Environment & Public on to complete five years of service as a naval Works Committee and the Homeland Security flight officer and continued to serve in the Naval and Governmental Affairs Committee, as well as Reserve until retiring from military service in 1991 the Special Committee on Aging. He also serves with the rank of captain. as chairman of three subcommittees: Homeland Security’s Federal Financial Management, After serving as a naval flight officer in Southeast Government Information, Federal Services, and Asia during the Vietnam War and later as a P-3 International Security Subcommittee, Banking’s aircraft mission commander, Tom Carper returned Economic Policy Subcommittee, and EPW’s Clean to Delaware in 1973 where he earned his M.B.A. at Air and Nuclear Safety Subcommittee. the University of Delaware. In 2004, Senator Carper was named Deputy Whip His career in public service began in 1976 when – the first time since 1881 that a U.S. senator from he was elected to the first of three terms as Delaware has served in a leadership position. Delaware’s state treasurer. In 1982, he was elected Senator Carper will also serve in this capacity to represent Delaware in the U.S. House of during the 110th Congress, continuing his role as Representatives. one of the leading voices of moderation within his party, advising the Senate leadership and helping After serving five terms as a U.S. congressman, to devise, coordinate and implement strategy for Tom Carper became the 78th governor of the Democratic caucus. Delaware in 1993 and served two terms in that role. During his second term as governor, Tom Senator Carper is also vice-chairman of the Carper was selected by his colleagues to serve as Democratic Leadership Council, a leading centrist vice-chairman, then as chairman of the National organization formed in the 1980s to promote Governors’ Association (NGA). “New Democrat” messages of national security, economic growth and personal responsibility. On January 3, 2001, Tom Carper became Delaware’s junior senator. With his re-election to Senator Carper and his wife Martha Ann reside the U.S. Senate on November 7, 2006, he retained in Wilmington with their youngest son, Ben, who his record as the winningest politician in Delaware’s attends a public charter high school in New Castle history, having been elected to state-wide public County. Their oldest son, Chris, attends college in office a record 12 times. Boston.

During his almost 30 years of public service, Tom Carper has worked tirelessly to develop practical solutions to real problems. His ability to work across party lines has earned Senator Carper a reputation for consensus-building that is unique in today’s political climate. The Washington Post’s David Broder calls Senator Tom Carper “a notably

PAGE 12 S- 207 - THE MIKE MANSFIELD ROOM, US an attack on the privatization of communications CAPITOL satellites to address another issue that deeply irritated him—the serving of hard liquor at social In the decade following the end of World War II, functions in the Capitol. Congress added large numbers of professional staff to its workforce. These additional employees Senate Republican Leader Everett Dirksen greeted quickly saturated available Capitol Hill office President Kennedy at the door of S-207 and space. As construction of a second Senate office quietly warned him that Morse was “on the floor building neared completion in 1958, Congress assailing the iniquities of drinking in the Capitol.” agreed to provide more new space by extending Looking relieved at the opportunity to abandon the Capitol’s East Front. The 32-foot addition, built the reception’s choking ambience, the president between 1958 and 1962, added 90 prized rooms headed for the nearly empty chamber. Glimpsing to the severely overcrowded Capitol. the indefatigable Morse at his late-afternoon best, he defused the tense moment by joking, “This is On April 2, 1962, 70 senators gathered in one of the way it was when I left the Senate.” the largest of those new rooms to celebrate the project’s completion. Known as S-207, and later The Friends of the Outdoor Industry named to honor Majority Leader Mike Mansfield, reception will be held in the Mansfield that room promised a convenient setting for many of the Senate’s legislative and social activities. Its Room on Wednesday, April 18, 2007. elegant appointments included walls paneled in American black walnut and a mantel of “Meadow White” Vermont marble. In the years ahead, it would accommodate the weekly party caucus luncheons, serve as a dormitory for senators during overnight filibusters, and host countless festive receptions.

Perhaps the most notable reception ever held in S-207 was the first one. At mid-afternoon on April 2, Senate restaurant workers set up a large bar and—according to the custom of the day—stocked it with the ingredients essential to produce an imaginative variety of mixed drinks. By 5 p.m. the room had more than reached its capacity with the arrival of dozens of senators, cabinet officers, and the guest of honor—President John F. Kennedy.

Noticeably absent from that festive gathering was the maverick Oregon senator, Wayne Morse. At that moment, Morse was conducting one of those late-afternoon Senate floor speeches that had caused those who disliked evening sessions to dub him the “five-o’clock shadow.” As a cloud of cigarette and cigar smoke thickened over the heads of the throng in S-207, Morse suspended

PAGE 13

OIA POLICY AGENDA & THE ACTIVE OUTDOOR RECREATION ECONOMY

2007 POLICY AGENDA

Outdoor Industry Association’s government affairs team works to ensure the health of outdoor industry businesses through our work in the legislative and policy development process.

OIA’s policy work focuses on two main areas: Recreation and Trade policy

Recreation

OIA works to ensure that there are quality recreation experiences on public lands. One-third of all of America’s lands are managed by the federal government, so the continuous voice of recreation at the national level is essential. In tandem, OIA works to increase access to close-to-home recreation opportunities. When there are parks, greenways, playgrounds and trail systems within reach of their homes, people exercise more.

In 2007, OIA’s Recreation program will:

• Protect and Expand Outdoor Recreation Destinations including:

o Pursuing increased investment in close-to-home recreation programs such as the Stateside Land and Water Conservation Program, federal trails funding and funding for recreation lands management by the Department of Interior and Forest Service. OIA will work to secure $125 million in funding for stateside LWCF and $220 million for federal LWCF in the FY 2008 budget.

o Achieve passage of a National Park Service Centennial Challenge budget containing significant increases in funding for park maintenance and recreation resources.

• Educate the new Congress, the media, federal agencies and related groups on the economic contribution of active outdoor recreation to the national economy and individual state economies. Increased investment in public lands and recreation infrastructure is essential to the continued growth of the outdoor recreation economy.

PAGE 17 Trade

The Outdoor Industry produces some of the most innovative products in the world. Our merchandise reaches all corners of the globe and enriches people’s lives by supporting healthy and active lifestyles through outdoor recreation. Open, equitable and predictable trade is essential for our industry’s continued innovation and growth. Predictable trade policy results in lower costs to consumers and ensures continued product innovations.

In 2007, OIA’s Trade program will:

• Ensure fair and proper treatment of the outdoor industry’s innovative products as they are imported into the United States

o Work with the appropriate federal agencies to establish a delineation of specialized, innovative performance apparel and performance footwear from mass consumer goods.

o Work with Congress to achieve custom tariff line breakouts specifically for performance apparel, performance footwear and certain outdoor equipment within the US Harmonized Tariff Schedule.

• Continue work to eliminate duties, quotas and other restrictive trade barriers on the import of specialty outdoor products.

• Protect the specialty outdoor industry against adverse trade actions.

PAGE 18 The Active Outdoor Recreation Economy Report

OIA/OIF released The Active Outdoor Recreation Economy report during the Summer 2006 Outdoor Retailer show. The report highlighted active outdoor recreation’s $730 billion contribution to the U.S. economy. During the month of August, the report received media coverage by almost every major daily newspaper in the country and stories aired on numerous TV stations in local TV markets. Highlights included a major story in Roll Call, a story in The Washington Post, coverage on the front page of USA Today, a story in the front section of Business Week and a positive editorial citing recreation’s importance to public lands in The Denver Post.

The long term purpose of the report is to educate business leaders, policy makers, and the media regarding the scope of the economic benefits, direct and indirect, of active outdoor recreation for regions of the country and the nation as a whole.

OIA staff has already begun that effort with members of Congress, but the Capitol Summit will be the first opportunity for Congress to hear the big news on the active outdoor recreation economy directly from industry executives and business owners.

During our lobbying visits, we will present “The Active Outdoor Recreation Economy” report to Capitol Hill as we educate members of Congress and their staffs about our industry’s $730 billion annual contribution to the U.S. economy. Even more importantly, for the first time, we will also be able to provide state-specific data demonstrating the economic value of outdoor recreation. This state specific data will be welcomed by members of Congress as they advocate for funding for public lands and public land policies that support outdoor recreation.

We have included a sample state-specific sheet in this briefing packet. We will customize the state- specific data to your lobby meetings in April.

PAGE 19 IntroDuCtIon 3

What Is the Active Outdoor Recreation Economy? It’s a $730 BIllIon annual ContrIButIon to the u.s. eConomy

More than three out of every four Americans participate in active outdoor recreation each year. Americans spend money, create jobs, and support local communities when they get outdoors. Simple, healthy outdoor activities such as hiking, biking, camping, or wildlife viewing generate enormous economic power and fuel a far-reaching ripple effect that touches many of the nation’s major economic sectors. the reCreatIon eConomy: • Contributes $730 billion annually to the U.S. economy • Supports nearly 6.5 million jobs across the U.S. • Generates $88 billion in annual state and national tax revenue • Provides sustainable growth in rural communities • Generates $289 billion annually in retail sales and services across the U.S. • Touches over 8 percent of America’s personal consumption expenditures— more than 1 in every 12 dollars circulating in the economy

Many people don’t realize that having fun and staying healthy in the outdoors is essential to the continued growth of our economy. In order to thrive, however, this burgeoning often overlooked industry needs to be recognized, stimulated, and supported. In this report, we explain how we determined the impact of the Active Outdoor Recreation Economy, how it interacts with the national economy, and how it affects all Americans. A technical report, published online at www.outdoorindustryfoundation.org, provides more detailed numbers and information on our methodology and findings.

What Does aCtIve outDoor reCreatIon InCluDe?

BICyClInG hUnTInG TRAIl - Paved-road bicycling - Shotgun - Trail running on an - Off-road bicycling - Rifle unpaved trail - Bow - day hiking on an CAmPInG unpaved trail - RV camping at a PAddlInG - Backpacking campsite - Kayaking - Rock climbing - Tent camping at a (recreational, sea, (natural rock or ice) campsite whitewater) - Rustic lodging - Rafting WIldlIFE VIEWInG - Canoeing - Bird watching FIShInG - Other wildlife - Recreational fly SnOW SPORTS watching - Recreational non-fly - downhill skiing, including telemark - Snowboarding note: The Active Outdoor Recreation Economy - Cross-country or Report does not take into account non-market benefits, the increased value of land associated nordic skiing with recreation opportunities or economic - Snowshoeing benefits from environmental consequences of reserving land for recreation opportunities.

PAGE 20 SAMPLE The Active Outdoor Recreation Economy A $730 BILLION CONTRIBUTION TO THE U.S. ECONOMY utah

Active Outdoor Recreation Creates Economic Growth More than three out of every four Americans participate in active outdoor recreation each year. Americans spend money, generate jobs, and support local communities when they get outdoors. Simple, healthy outdoor activities such as hiking, biking, camping, or wildlife viewing generate enormous economic power.

THE NATIONAL ACTIVE OUTDOOR RECREATION ECONOMY: • Contributes $730 billion annually to the U.S. economy1 • Supports nearly 6.5 million jobs across the U.S. 1 The report used multipliers (“ripple effect”) from the IMPLAN model. The IMPLAN input/ • Generates $49 billion in annual national tax revenue output model is a commonly used economic tool with over 1,500 active users including • Produces $289 billion annually in retail sales and services across the U.S. federal government, state government, 2 academic, and private clients. The ripple effect • $46 billion in active outdoor recreation gear sales and services is a common economic tool that considers the • $243 billion in active outdoor recreation trip-related expenditures3 economic process of bringing final product to market and the circulation of wages and • Provides sustainable growth in rural communities salaries through the economy to determine total economic contribution. The economic contribution is a conservative estimate in that it does not include the bulk of large durable good purchases such as boats and RVs. State Active Outdoor Recreation Fuels Economic Growth economic contribution and job creation should not be compared to the national and regional In Utah figure because of greater economic leakages Utah offers spectacular recreation — Moab to Park City to Zion National Park — and other at the state level. Individual state economic contribution and job creation can be compared treasured spots that bring in tourist dollars from out-of-state outdoor recreation participants. against other individual state economic Utahns also recreate close-to-home in local parks and venues. contribution and job creation. 2 Active outdoor recreation gear retail sales include apparel, footwear, equipment, THE UTAH ACTIVE OUTDOOR RECREATION ECONOMY: accessories, and services. 3 Trip-related expenditures include the IMPLAN • Contributes $5.8 billion annually to Utah’s economy expense categories: food/drink, transportation, entertainment/activities, lodging, souvenirs/ • Supports 65,000 jobs across Utah gifts/miscellaneous. • Generates nearly $300 million in annual state tax revenues * The Outdoor Industry Foundation conducted • Produces nearly $4 billion annually in retail sales and services across Utah — a survey for bicycling, camping, paddling, snow sports, and trail activities in October of accounting for almost 5% of gross state product 2005. 13,907 respondents completed the survey. 5,150 respondents were considered “qualified respondents” - by both participating Active outdoor recreation creates sustainable long-term economic growth and community in one of the activities and making a purchase development throughout Utah. related to the activity within the past year. 368 respondents from Utah completed the survey. 74 of the Utah respondents were “qualified.” The Active Outdoor Recreation Economy: a $730 billion annual contribution to the U.S. Economy Existing data from the “2001 National Survey produced by OUTDOOR INDUSTRY FOUNDATION in fall 2006 is available for free download: of Fishing, Hunting and Wildlife-Associated Recreation” commissioned by the U.S. Fish www.outdoorindustryfoundation.org and Wildlife Service was used to create the economic and participation data for fishing, hunting, and wildlife viewing.

PAGE 21 SAMPLE utah

Utahns Participate in Active Outdoor Recreation

ACTIVITY CATEGORY # OF PARTICIPANTS* % OF POPULATION

BICYCLING • Paved-road bicycling 409,425 17% • Off-road bicycling CAMPING • RV camping at a campsite 761,579 32% • Tent camping at a campsite • Rustic lodging FISHING • Recreational fly 499,947 21% • Recreational non-fly HUNTING • Shotgun 194,903 8% • Rifle • Bow PADDLING • Kayaking (recreational, sea, whitewater) 246,132 10% • Rafting • Canoeing SNOW SPORTS • Downhill skiing, including telemark • Snowboarding 310,393 13% • Cross-country or Nordic skiing

• Snowshoeing The economic analysis was conducted by TRAIL Southwick Associates, Inc. The consumer survey was developed and executed by Harris • Trail running on an unpaved trail Interactive®. • Day hiking on an unpaved trail 714,023 30% SOUTHWICK ASSOCIATES, INC. specializes • Backpacking in quantifying the economics of fish, wildlife, and outdoor-related activities for government • Rock climbing (natural rock or ice) agencies and industry. www.southwickassociates.com WILDLIFE VIEWING OUTDOOR INDUSTRY FOUNDATION (OIF) is a • Bird watching 806,000 34% not-for-profit organization whose mission is to • Other wildlife watching inspire and grow future generations of outdoor enthusiasts. Additional national, regional, and state Recreation Economy reports and technical *Adult population 18 years of age and older living in Utah. Detailed activity definitions are available in the technical report. background are available for free download: www.outdoorindustryfoundation.org Utah not only attracts those from out-of-state to take part in active outdoor recreation but 4909 PEARL EAST CIRCLE, SUITE 200, BOULDER CO 80301 | 303-444-3353 also, with exceptional close-to-home recreation, boasts one of the highest participation rates in the country relative to other states.

PAGE 22 5.73% 2.50% 1.91% 3.95% 5.10% 2.36% 7.42% 7.59% 1.87% 7.80% 4.60% 1.30% 1.98% 3.35% 2.26% 4.95% 3.55% 9.42% 3.84% 12.02% 17.53% A % OF GROSS STATE STATE PRODUCT RETAIL SALES AS SALES TOTAL RETAIL $1,710,981,593 $4,936,075,677 $7,613,037,267 $2,218,820,517 $3,199,469,247 $2,950,220,513 $1,932,956,099 $1,810,237,015 $3,950,906,189 $2,752,275,454 $6,102,563,659 $4,583,244,573 $4,583,626,269 $3,920,119,260 $2,536,496,564 $8,501,382,023 $4,303,440,234 $7,472,722,904 $3,620,386,246 $28,134,455,913 $11,296,216,468 $331,959,054 $873,570,535 $347,329,260 $584,562,173 $368,191,344 $317,923,924 $344,004,145 $325,013,048 $439,230,325 $787,967,666 $793,232,345 $523,599,959 $163,880,644 $298,516,688 $194,522,670 RETAIL SALES: AND SERVICES $4,673,588,521 $1,071,924,162 $2,453,421,666 $1,057,627,874 $1,365,602,257 $1,286,366,722 RECREATION GEAR RETAIL SALES: $1,379,263,196 $4,062,928,821 $6,541,113,105 $1,875,380,166 $2,614,907,074 $2,582,029,169 $1,625,868,815 $1,466,614,328 $3,625,893,141 $2,316,860,274 $8,842,794,803 $5,044,935,785 $3,798,031,439 $3,790,393,924 $3,396,519,302 $2,372,615,919 $7,135,779,766 $4,004,923,546 $6,186,356,182 $3,433,325,128 $23,463,564,637 TRAVEL RELATED $ TAXES $37,744,665 $120,013,598 $275,639,934 $132,716,600 $209,827,247 $213,806,369 $164,465,223 $103,409,152 $279,665,650 $835,599,731 $630,234,167 $388,569,108 $300,789,113 $652,492,485 $178,694,515 $659,795,107 $418,827,647 $443,801,395 $434,371,547 $2,310,313,284 $1,288,820,315 FEDERAL INCOME $66,040,476 REVENUE $342,594,150 $493,875,605 $153,583,953 $225,019,503 $210,388,474 $118,275,652 $116,125,150 $261,857,470 $183,688,497 $792,658,176 $429,673,624 $310,556,175 $297,175,427 $298,890,573 $187,506,061 $652,892,683 $272,239,834 $571,679,041 $249,183,599 SALES TAX $3,088,440,629 JOBS 28,346 65,839 37,442 48,576 47,721 34,534 19,327 53,316 47,313 94,630 73,193 67,301 65,590 35,916 61,038 52,248 408,670 107,031 130,019 115,458 129,057

ECONOMIC CONTRIBUTION $2,484,723,359 $5,332,636,106 $2,475,096,122 $4,681,434,674 $3,106,366,354 $2,558,017,479 $1,827,635,175 $3,861,494,717 $3,799,415,903 $7,509,666,093 $5,789,281,740 $6,252,304,894 $5,789,250,935 $2,453,020,571 $4,899,338,716 $9,704,404,400 $4,442,373,946 $46,020,309,114 $10,172,469,499 $13,160,437,716 $11,719,939,395 STATE SUMMARY STATE ALASKA ARIZONA CALIFORNIA COLORADO IDAHO LOUISIANA MAINE MONTANA NEVADA NEW HAMPSHIRE NEW MEXICO NEW YORK CAROLINA NORTH OREGON TENNESSEE UTAH VERMONT WASHINGTON WEST VIRGINIA WISCONSIN WYOMING Note: The jobs and taxes estimates were based on multiplying the expenditures of related goods and services and trips. For the five non wildlife-based activity categories analyzed by the IMPLAN model, multipliers were provided by the model that estimated tax contributions. The tax multipliers were provided by the model that estimated tax contributions. For the five non wildlife-based activity categories analyzedThe jobs and taxes estimates were based on multiplyingby the IMPLAN model, the expenditures of related goods and services and trips. Note: Taxes related to the direct and induced effects (ripple the size of taxes for each state is dependent on the economic contribution. since the magnitude of the tax multiplier and economic contribution are correlated, multiplier is applied to the retail sales figure; however, with the retail and combined with appropriate deductions and exemptions, tax contributions were estimated by multiplying appropriate federal and state-specific tax rates, Instead, the RIMS model did not provide such multipliers. For the wildlife-based recreations, effect) are included. State and federal income taxes are calculated as are sales taxes and motor fuel tax. income estimates.

PAGE 23 Description of stuDy process Applies to nAtionAl, regionAl, AnD stAte figures

Meet the $730 Billion Active Outdoor Recreation Economy

Active Outdoor Retail Sales Ripple Effect $379 Billion total Economic

Recreation trips $243 Billion SuppliERS, intERMEdiARiES, And EMplOyEES contribution (dAy + OvERnight) ciRculAtE MOnEy thROugh thE EcOnOMy, Multiplying thE Active Outdoor fOOd/dRink, tRAnSpORtAtiOn, $622 Billion initiAl ExpEndituRE in OutdOOR REcREAtiOn tRipS. total national Recreation participants EntERtAinMEnt/ActivitiES,

Bicycling 60 Million, cAMping 45 Million, fiShing 33 Million, Economic hunting 13 Million, pAddling 24 Million, SnOw SpORtS 16 Million, contribution Active Outdoor Retail Sales Ripple Effect $62 Billion total Economic $730 Billion

Recreation gear $46 Billion SuppliERS, intERMEdiARiES, And EMplOyEES contribution ciRculAtE MOnEy thROugh thE EcOnOMy, Multiplying AppAREl, fOOtwEAR, EquipMEnt, thE initiAl ExpEndituRE in gOOdS And SERvicES. $108 Billion AccESSORiES, SERvicES

note: Detailed methodology, including additional definitions of “ripple effect” note: This report used multipliers (“ripple • Indirect effect: sales in one industry and “economic contribution,” is available effect”) from the Minnesota iMPlAn Group, affect the various other industries that provide inc. (MiG) database. MiG maintains over 1,500 supplies and support in the technical report on our website active users, including federal government (www.outdoorindustryfoundation.org). • Induced effect: wages and salaries paid by (Forest Service, Bureau of Economic Analysis, the directly and indirectly impacted industries etc.), state government, numerous academics This report benefited from an academic circulate through the economy review by leaders in resource and recreation and private clients. • Leakages: occur at each component of the economics and tourism management. The “ripple effect” is a common economic ripple effect when a business or individual tool that considers the economic process of Because great information existed for spends money outside of the study region for bringing final product to market to determine wildlife-based recreation—fishing, hunting, products or services that are either imported total economic contribution. The components and wildlife viewing—other respected studies, into the study region or consumed outside of of the ripple effect are: such as the U.S. Fish and Wildlife report, the region. were used to gauge these contributions. • Direct effect: the initial purchase made by the consumer Outdoor Industry Seeks to Raise Its Profile in outdoor sports to become important forces in in D.C. the marketplace.

August 14, 2006 Since the sports they promote rely on well- By Tory Newmyer maintained public lands, the companies are Roll Call Staff pushing Members of Congress to send more money back to the states earmarked for the Hikers, bikers, kayakers and campers are climbing upkeep of those spaces. Capitol Hill to convince lawmakers that their sports aren’t just crunchy; they also crank out serious Specifically, the group wants lawmakers to dollars for the U.S. economy. dedicate more dollars to the Land and Water Conservation Fund, which funds preservation of Seeking to shed the perception that outdoor recreational infrastructure with matching grants recreation is for granola-popping hippies, the from the states. outdoor industry is suiting up for a push to secure more federal funds for recreation on public lands. The OIA already is chalking up a win on that front, after Sens. Lamar Alexander (R-Tenn.) and Ken The recreation industry is touting a new Salazar (D-Colo.) inserted a provision in a Gulf report, which shows it means serious business. Coast drilling bill that directs 12.5 percent of the Participation in outdoor activities contributes $730 royalties from new oil and gas production to the billion to the domestic economy and supports program. 6.5 million jobs annually, according to the study, released Friday. If the bill is reconciled with a much broader House version and the provision survives, the program The report — commissioned by the Outdoor would secure its first-ever dedicated stream of Industry Association, the trade group for makers federal funding in its 40-year existence. and retailers of outdoor gear — aims to help lobbyists for the industry make their pitch to a But for now, that stake of the revenues is expected broad swath of policymakers. to generate only $30 million annually — well short of the $450 million authorized for the initiative in “Everyone likes to meet with us because it’s recent years. The OIA is working with the Senators interesting to talk about outdoor recreation, but to try to secure an additional $100 million this year we’re not viewed as an economic factor,” said in spending bills. Amy Roberts, lead lobbyist for the OIA. “This is an independent study to show that recreation is more Meanwhile, the industry that supports bird- than something fun, or something you do in your watchers, hunters, snowboarders and backpackers time off. We now have the data that shows our is focused on a broader revamp of its image on contribution to tax revenues, and GDP, and jobs.” Capitol Hill. The OIA this summer beefed up its lobbying team by inking a deal with Mike Meece, The industry includes such name-brand labels as a former aide to Karl Rove. And it hired the firm REI, JanSport, Timberland and The North Face Sandler, Travis and Rosenberg to help on trade — mostly domestic brands that started as mom- issues. and-pop outfitters but have ridden surging interest

PAGE 25 Roberts said the group, which is based in Denver, wouldn’t want to be part of a crowd that’s trying to is considering opening a Washington, D.C., office be knee-jerk and divisive.” and also is mulling forming a political action committee. But the OIA also can call on Republican-friendly interests in its own ranks, since hunters and anglers To help it present a more corporate face, the group fall within its fold. Alexander, an early ally of the recently has stepped up fly-ins by top executives of group, grew up hunting and fishing in Maryville, member companies. Sally Jewell, the CEO of REI, Tenn., a spokesman said. said she had a “very receptive” meeting this spring with House Resources Chairman Richard Pombo The group already has found friendly faces in (R-Calif.), who has butted heads with environmental the Bush administration. Jewell said that earlier groups over his efforts to open public lands to this year, before her first meeting with Secretary extractive industries. Dirk Kempthorne, the secretary’s chief of staff introduced himself by offering his name and REI “The way we’re able to articulate the economic membership number. impact we have has been surprising to the people we meet with. They’re expecting more of a granola Kempthorne, a former Idaho governor and himself type,” Jewell said. an outdoorsman, was on hand Friday when the OIA convened its annual Outdoor Retailer trade She added that outdoor executives take pains to show in Salt Lake City. don more formal wear for Capitol Hill meetings. “We dress in the appropriate gear — not what we Addressing the conference, Kempthorne pointed normally wear,” she said. to the numbers from the OIA report. “If we partner up, my goodness,” he said. “These numbers So long as Republicans maintain their grip on are dynamic, but harness these numbers with Congress and the White House, the group carefully our passion and compassion, and the horizon is is treading to not appear opposed to traditional unlimited for what we can accomplish together.” GOP allies in the timber, mining and oil-and-gas businesses. That means framing their interest in preserving public lands as being unrelated to the bottom lines of those old-line industries.

At the same time, the group will try to leverage its report to prove that outdoor activities provide a little-noticed boon to tax coffers from local governments to the Treasury. While generating $289 billion in annual retail sales and services, the industry is responsible for $88 billion a year in state and federal tax revenue, the report states. It also provides sustainable growth in rural communities, while chopping an untold amount off health care costs by keeping Americans active, according to the report.

One GOP source said that as it makes its pitch, the group also would be wise to steer clear of environmental groups that antagonize businesses making their money off of natural resources. “That would be my approach,” this source said. “I

PAGE 26 LAND & WATER CONSERVATION FUND

STATESIDE LAND AND development of more than 6,000 trails across the WATER CONSERVATION FUND U.S.

Since its inception, stateside LWCF has underwritten the development of more than The Issue: 40,000 state and local parks and recreation projects, touching 98% of the counties in the The Land and Water Conservation State Assistance United States. In 2006, state LWCF grants made Program is a vital program for providing recreation a direct impact in 400 local communities spread opportunities for all Americans. The stateside across every state and U.S. territory. LWCF program is the government’s primary investment tool for ensuring that kids and families Despite these successes, there is a need to do have access to close to home parks and recreation much more. In 2006, the National Park Service areas. asked each state to estimate its total unmet needs for LWCF funding. More than four-fifths of the The Stateside Land and Water Conservation Fund states reported an unmet funding need of more (LWCF) provides matching dollars to states and than 80 percent, demonstrating the overwhelming local governments to build parks, nature trails, need for recreation facilities and parks and trails and athletic fields to serve residents in their local funding. communities.

Outdoor Industry Association is working to rejuvenate the program as part of its goal to bring 2006 Victory and Current Legislative Status: quality parks and trails within 15 minutes of every child in the U.S. In 2006, the stateside LWCF program got a major boost as Congress passed legislation designating a small permanent funding stream for the program for the first time in its 40-year history. The Gulf Background: of Mexico Energy Security Act of 2006 expands energy exploration in the Gulf of Mexico. The new The Land and Water Conservation Fund law dedicates 12.5 percent of royalty revenues (LWCF) was established by Congress in 1964 to from this new drilling to the stateside Land and meet America’s needs for outdoor recreation Water Conservation program. While this is a opportunities, wildlife habitat conservation and significant step forward, royalty payments will open space. The LWCF Act directed Congress not begin until 2009 and will range from $10-40 to allocate royalties from offshore oil and gas million per year through 2016. Royalty revenues development for the purchase of land, waterways, dedicated to stateside LWCF are expected to wetlands, and other resource lands and to provide reach $100 million a year after 2016. matching grant assistance for state and community open space and recreation projects. The bottom line is that Congress still has a responsibility to dedicate funding for stateside The LWCF has been a very successful program, LWCF through the annual appropriations process. protecting nearly seven million acres of parkland and open space and providing for the

PAGE 29 The stateside LWCF program is authorized by a deal struck in 2001 to increase dollars for LWCF Congress to receive $450 million annually in programs. Instead of receiving increased funding funding, a level that has been met only once in as promised, stateside LWCF has lost ground. its 30-year-history despite a designated funding source.

In the FY 2003, 2004, 2005 and 2006 appropriations bills, Congress stepped back from

LWCF Funding History

FY 02 FY 03 FY 04 FY 05 FY 06 FY 07

Stateside LWCF Grants $144M $97M $94M $92.5M $30M $30M

Once again, the President’s proposed budget eliminates funding for stateside LWCF for FY 2008.

Capitol Summit Objective

Outdoor Industry Association strongly urges Congress to fund:

• Stateside LWCF at $125 M for FY 2008

**Members of Congress are currently circulating letters asking colleagues to sign on to a funding request for stateside LWCF. (see attached letters)

Reasons to Fund the Land and Water Fuel recreation: a growing contributor to the Conservation Fund U.S. economy. Active outdoor recreation:

Land and Water Conservation dollars: • Contributes $730 billion annually to the U.S economy Generate a high return on investment • Supports 6.5 million jobs across the U.S. • In the case of every LWCF grant, local citizens demonstrated the need and desire for parks • Generates $88 billion in state and federal tax in their communities by matching LWCF grant revenue monies by at least equal dollars and in many cases many times beyond a dollar-to-dollar • Generates $289 billion annually in retail sales match. Because of this, LWCF stateside and services grants have a high return on investment per government dollar.

PAGE 30 Answer the need for close to home recreation Facilities and Parks

• In a study published by the CDC, creation of or enhanced access to places for physical activity led to a 25 percent increase in the percentage of people exercising on three or more days per week. A group of studies reviewed in the American Journal of Preventive Medicine showed that “creation of or enhanced access to places for physical activity combined with informational outreach” produced a 48 percent increase in frequency of physical activity.

• If investment in trails and parks, through programs like stateside LWCF leads to even a 5 percent decrease in the $75B in medical costs associated with obesity, the investment would mean $1.875B in savings for American taxpayers each year.

• Eighty percent of Americans now live in cities, many without easy access to a park or trail.

• Since its inception, LWCF has underwritten the development of more than 40,000 state and local park and recreation projects, touching 98 percent of the counties in the United States.

• LWCF has helped communities create more than 7,000 soccer and football fields, 6,000 baseball fields, and thousands of other recreation facilities

PAGE 31 PARKS AND RECREATION CREATE ACTIVE, HEALTHY COMMUNITIES A Fact Sheet on the Health Benefits of Parks and Recreation

Park and recreation services play a vital role in creating active and healthy communities. These facts are the result of rigorous scientific studies across different age groups, communities, and across a variety of park and recreation services.

Health Benefits for Older Adults ƒ Fifty-percent of older adults who participated in light to moderate aerobic park activity reported being in a better mood after visiting parks. 4

ƒ Two-thirds of older adults who visit parks report moderate or high levels of physical activity during their visit. 1

ƒ Older adults who engaged in a broad repertoire of park and recreation activities were more likely to report higher levels of perceived physical health. 6

ƒ Adults who reported convenient and attractive environmental surroundings were also 40% more likely to walk for exercise than those who did not report such surroundings. 7

ƒ Users of a community-based senior wellness program had significantly higher endurance levels, even after controlling for their level of physical activity. 3

The Physical Health Benefits ƒ Active users of public parks have a lower body mass index (a ratio between weight and height) than did people who use parks passively or not at all. 1

ƒ People who visited parks for longer periods of time (one hour or more) had significantly lower systolic blood pressures than those who only stayed for short periods of time (less than one hour). 2

ƒ People who visited parks with companions (as opposed to visiting alone) reported significantly higher levels of physical health. 2

ƒ Citizens who had better access to parks, visited parks more frequently, and engaged in physically-active park behaviors also made fewer visits to their doctor (for reasons other than a regular check-up). 1

PAGE 32 ƒ A statewide study in West Virginia found that counties with greater recreation opportunities (e.g., existence of parks, number of facilities, acres of recreation lands) also had higher rates of physical activity, lower health care expenditures, and lower obesity rates. 13

The Mental Health Benefits ƒ Stress relief, clearing one’s mind, and exercise were the most common benefits that older adults attributed to their park visits. 1

ƒ Park users who were more physically active and who made frequent contact with friends through their leisure time were less likely to report feeling depressed. 1

ƒ Physically active leisure has been shown to be related to higher levels of positive mood and lower levels of feeling hassled. Moreover, physically active leisure has also been linked to higher levels of healthy eating.11

ƒ Physically active leisure directly contributes to better health. Specifically, the higher the participation in physically active leisure, the better one's overall health and their subjective assessment of physical health. Moreover, when people experienced higher levels of stress, their involvement in physically active leisure appeared to help them maintain their health. 10

ƒ People who visited parks more frequently were more likely to have a positive perception of their general health. 1

x Research subjects who drove through a simulated park environment recovered more quickly from stressful situations than those who drove past a simulated environment dominated by built structures. 5

The Health Benefits that Come From Living Near a Park ƒ People living within one mile of a park were four times as likely to visit that park once a week or more, and had more physically active exercise sessions per week than those living farther away from parks. 8

ƒ People with convenient access to large, attractive public open spaces were 50% more likely than those without convenient access to achieve higher levels of walking. 9

ƒ Neighborhoods with a greater proportion of parks were more likely to contain children who had higher levels of physical activity. 12

QuickFacts compiled by: Andrew J. Mowen, Ching-Hua Ho, Robby Cooper, Laura L. Payne, Elizabeth Orsega-Smith, and Geoffrey C. Godbey

February 2007

PAGE 33 1 Godbey, G., Roy, M., Payne, L. L., & Orsega-Smith, E. (1998). Final Report on the Health and Park Use Study, National Recreation and Park Association.

2 Orsega-Smith, E., Mowen, A., Payne, L., & Godbey, G. (2004). The interaction of stress and park use on psycho-physiological health in older adults. Journal of Leisure Research, 36(2), 232-257.

3Orsega-Smith, E., Payne, L. L., & Godbey, G. (2003). Outcomes associated with participation in a community parks and recreation based wellness program for older adults. Journal of Aging and Physical Activity, 11(4), 516-531.

4 Godbey G., & Blazey, M. (1983). Old people in urban parks: An exploratory investigation. Journal of Leisure Research, 15, 229-244.

5 Parsons, R., Tassinary, L. G., Ulrich, R. S., Hebl, M. R., & Grossman,-Alexander, M. (1998). The view from the road: Implications for stress recovery and immunization. Journal of Environmental Psychology, 18, 113-140.

6 Payne, L. L., Mowen, A. J., & Montoro-Rodriguez, J. (2006). The role of leisure style in maintaining the health of older adults with arthritis. Journal of Leisure Research.

7 Ball, K., Bauman, A., Leslie, E., Owen, N. (2001). Perceived Environmental Aesthetics and Convenience and Company Are Associated with Walking for Exercise among Australian Adults. Journal of Preventive Medicine, 33(5), 434-440.

8 Cohen, D., Sehgal, A., Williamson, S., Sturm, R., McKenzie, T.L., Lara, R., Lurie, N. (2006). Park Use and Physical Activity in a Sample of Public Parks in the City of Los Angeles. RAND HEALTH. 2006.

9 Giles-Corti, B., Broomhall, M., Knuiman, M., Collins, C., Douglas, K., Ng, K., Lange, A., Donovan, R. (2005) Increasing walking: How Important Is Distance To, Attractiveness, and Size of Public Open Space? Journal of Preventive Medicine, 28(2) supp.2,169-176.

10 Iwasaki, Y., Zuzanek, J., Mannell, R. (2001). The Effects of Physically Active Leisure on Stress- Health Relationships. Canadian Journal of Public Health, 92(3), 214-219.

11 Pagano, I., Barkhoff, H., Heiby, E., Schlicht, W. (2006). Dynamic Modeling of the Relations Between Activities and Health Indicators. Journal of Leisure Research, 38(1), 61-78.

12 Roemmich, J.N., Epstein, L.H., Raja, S., Yin, L., Robinson, J., Winiewicz, D. (2006). Association of Access to Parks and Recreation Facilities with the Physical Activity of Young Children. Journal of Preventive Medicine, 43(6), 537-441.

13 Rosenberger, R., Sneh, Y., Phipps, T., Gurvitch, R. (2005). A Spatial Analysis of Linkages between Health Care Expenditures, Physical Inactivity, Obesity, and Recreation Supply. Journal of Leisure Research, 37(2), 216-236.

PAGE 34 PAGE 35 PAGE 36 PAGE 37 PAGE 38 PAGE 39

NATIONAL PARK CENTENNIAL INITIATIVE

NATIONAL PARK SERVICE -- $100 million over each of the next 10 years -- in CENTENNIAL INITIATIVE donations from the public to be matched “dollar for dollar” by federal monies. The money would be used to pay for “signature projects” in the parks. These projects would be identified later. The Issue: The Interior Department and National Park Service President Bush’s FY 2008 budget recommends are currently hosting “listening sessions” in select $2.3 billion in funding for the National Park Service. cities around the country to seek citizen input on Largely due to the efforts of Interior Secretary Dirk what these signatures projects should be. Program Kempthorne, the National Park Service would details are expected to be finalized by May. receive an additional $258 million dollars for its fiscal 2008 operations. This request would be the largest dollar increase ever proposed for national park operations. The increase represents the roll- Current Legislative Status: out of the Administration’s Centennial Initiative The proposed budget increase for park service which is a 10-year plan to invest up to $3 billion operations has been well received by Congress. of new public and private money into the parks in However, the philanthropic matching program advance of the system’s 100th anniversary in 2016. has received criticism because the Administration The bulk of the new operational funds would allow sent the budget to Congress without identifying the hiring of 3000 additional seasonal rangers and a way to pay for the $1 billion federal portion 500 permanent full-time employees broken out as of the match. Other critics simply do not agree follows: with the concept of funding park projects with private sector money. These members feel that • Nearly 500 permanent full-time employees funding the parks is solely a federal government responsibility. Secretary Kempthorne has been • 1,000 new seasonal maintenance employees meeting with members of Congress to address these concerns. • 1,000 new seasonal rangers to provide interpretation and public education

• 1,000 new visitor and resource-protection Capitol Summit Objectives: seasonal rangers to meet law enforcement, medical, search and rescue and backcountry OIA strongly supports the $258 million operational patrols needs. increase for the National Park Service. In concept, we also support the matching program under the Centennial Initiative and have been encouraging members of Congress and the Interior Department Proposed Philanthropic Match: to work together to develop a program that identifies the federal funding required and puts in The Administration’s proposed budget also place a widely supported method of selecting and includes the new concept of a $2 billion matching funding “signature projects.” grant program. The program calls for $1 billion PAGE 43 100 Prominent Americans Ask Congress to Make National Parks a National Priority

Dear Members of Congress,

As the nation prepares for the centennial of our National Park System, we must make our national parks a national priority.

Fifty years ago, President Eisenhower launched a ten-year, one billion dollar program approved by Congress that upgraded park facilities, staffing and resource management capabilities throughout the park system to commemorate its 50th anniversary. We call on Congress to make a proportional investment as we approach the 100th anniversary of the National Park System.

Accordingly, we urge Members of Congress and the President to engage in a sustained effort between now and the centennial of the National Park System in 2016 to provide the resources necessary to protect our national inheritance and to ensure that our society receives the full benefit of our national parks for generations to come. This endeavor should:

� Restore the health of our national parks by taking action to overcome external and internal threats. � Reinvest in our national parks by establishing reliable sources of sustainable public funding and strategic private investments. � Ensure that the National Park System continues to represent the full range and diversity of American history, culture, and landscapes. � Ensure that parks have current research to inform decisions about park protection. � Reinvigorate the professionalism and efficiency within the National Park Service.

For the centennial of the National Park System, we should invest, restore, and reinvigorate our parks and parklands for all citizens. The national parks present an opportunity for our national leaders to work together to forge a long-term bipartisan solution that protects the “best idea” America ever had. We urge you to help restore the full glory of our national parks.

The Honorable Rocky Anderson, Mayor, Salt Lake City � The Honorable Carlos Alvarez, Mayor, Miami-Dade County � The Honorable Cecil Andrus, former Secretary of the Interior and Governor of Idaho � The Honorable Bruce Babbitt, former Secretary of the Interior and Governor of Arizona � The Honorable Howard H. Baker, Jr., former United States Senate Majority Leader and former United States Ambassador to Japan � The Honorable John Baldacci, Governor, Maine � Nevada Barr, Award-winning Author � Michael Berman, The Duberstein Group � The Honorable James Blanchard, Ambassador to Canada, former Governor of Michigan and Congressman � The Honorable Michael Bloomberg, Mayor, New York City � The Honorable Phil Bredesen, Governor of Tennessee � Julian Bond, Chairman, National Association for the Advancement of Colored People � Lester Brown, Founder and President, Earth Policy Institute � Curt Buchholtz, Executive Director, Rocky Mountain Nature Association � The Honorable Dale Bumpers, former Senator, Arkansas and Chair, Senate Subcommittee on National Parks and Public Lands � Ken Burns, Filmmaker � The Honorable Jimmy Carter, former President of the United States � Richard Cizik, Vice-President for Governmental Affairs, National Association of Evangelicals � General Wesley Clark � Walter Cronkite � Frederick Douglass, IV, President and Founder, Frederick Douglass Organization, Inc. � Roger Dow, President and Chief Executive Officer, Travel Industry Association of America � The Honorable Kenneth Duberstein, former Chief of Staff to President Ronald Reagan � Julia Louis-Dreyfus, Actor � The Honorable Jennifer Dunn, former Congresswoman, Washington � Dayton Duncan, Author and Documentary Filmmaker � Gary Everhardt, former Director, National Park Service � Richard D. Fain, Chairman and Chief Executive Officer, Royal Caribbean Cruiselines, Ltd. � Michael V. Finley, President, Turner Foundation, Inc. � The Honorable Shirley Franklin, Mayor of Atlanta � Gerard T. Gabrys, President and Chief Executive Officer, Guest Services Inc. � John Gage, President, American Federation of Government Employees � John Gans, President and Executive Director, National Outdoor Leadership School � Henry Louis Gates, Jr., Alphonse Fletcher University Professor, Harvard University � Bobby Ginn, President and Chief Executive Officer, The Ginn Company � Reverend Joan Gray, Moderator, Presbyterian Church (USA) � Bob Hansen, President, The Yosemite Fund � George B. Hartzog, Jr., former Director, National Park Service � Alan Horn, President and Chief Operating Officer, Warner Brothers � Frank Hugelmeyer, President and Chief Executive Officer, Outdoor Industry Association � Lee Iacocca, Founding Chairman, The Statue of Liberty-Ellis Island Foundation, Inc. � Peter Illyn, Executive Director, Restoring Eden- Christians for Environmental Stewardship � Sally Jewell, President and Chief Executive Officer, Recreational Equipment, Inc. � Lady Bird Johnson, former First Lady of the United States � The Honorable J. Bennett Johnston, former Senator, Louisiana and Former Chair, Senate Committee on Energy and Natural Resources � Paul Tudor Jones II, Chairman and Chief Executive Officer, Tudor Investment Corp. � Roger G. Kennedy, Director Emeritus, National Museum of American History, former Director, National Park Service � The Honorable Nancy Landon Kassebaum, former Senator, Kansas � Gary Kiedaisch, President and Chief Executive Officer, Coleman Company � Stein Kruse, President and Chief Executive Officer, Holland America Line � Alan Lacy, former Vice Chairman and Chief Executive Officer, Sears Holdings Corporation � Norman Lear � Jim Lighthizer, President, Civil War Preservation Trust � Ambassador L.W. “Bill” Lane, Publisher (Ret.) of Sunset Magazine � Barry Lopez, Author � Peter Matthiessen, Author � David McCullough, Author and Historian � James M. McPherson, Author and Historian � Stephen Mather McPherson, former Chair, NPCA’s Board of Trustees � Alice Mathews, President, Garden Club of America � The Honorable Robert H. Michel, former Minority Leader, U.S. House of Representatives � Richard Moe, President, National Trust for Historic Preservation � The Honorable Walter Mondale, former Vice President and Senator from Minnesota � Greg Moore, Executive Director, Golden Gate National Parks Conservancy � David Muench, Photographer � Glenn Padnick, President, Castlerock TV � The Honorable John Edward Porter, former Congressman, Illinois � Roxanne Quimby, Executive Director, Eliotsville Plantation, Inc. � Robert Redford � The Honorable Nathaniel Reed, former Assistant Secretary of the Interior � Robert B. Reich, Professor, University of California at Berkeley, former U.S. Secretary of Labor � The Honorable William K. Reilly, President and Chief Executive Officer, Aqua International Partners, former Administrator, Environmental Protection Agency � The Honorable Bill Richardson, Governor of New Mexico � Marie Ridder, retired Journalist, former Member of the National Parks System Advisory Board � James M. Ridenour, former Director, National Park Service � The Honorable Chuck Robb, former Senator, Virginia and former Governor � The Honorable Paul G. Rogers, former Congressman, Florida � Theodore Roosevelt, IV, NPCA Council Member � Jerry Seinfeld, Actor � Tom Secunda, Founding Partner, Bloomberg LLP � The Honorable Brian Schweitzer, Governor, Montana � Tom Skerritt, Actor, Writer and Member of American Rivers Board � Bob Stanton, former Director, National Park Service � Gene Sykes, Managing Director, Goldman, Sachs and Company and Chairman, NPCA Board of Trustees � The Honorable Lowell Thomas, Jr., former Lieutenant Governor, Alaska, and Mountain Pilot � Andy Todd, President and Chief Executive Officer, Xanterra Parks and Resorts � Ted Turner, Philanthropist � The Honorable Stewart Udall, former Secretary of the Interior � The Honorable Fran Ulmer, former Lieutenant Governor, Alaska � Bill Wade, Chair, Executive Council, Coalition of National Park Service Retirees � The Honorable Olene Walker, former Governor, Utah � The Honorable Mark Warner, former Governor, Virginia, Cofounder of Nextel and former Chairman of the National and Southern Governors Associations � Peter Wege, NPCA Council Member � Anne Wexler, Chairman of the Executive Committee of Wexler and Walker Public Associates � Doug Wheeler, Chair, National Park System Advisory Board � The Honorable Christine Todd Whitman, former Administrator, Environmental Protection Agency � Terry Tempest Williams, Author � James Whitmore, Actor � Edward O. Wilson, University Research Professor Emeritus and Honorary Curator in Entomology, Harvard University � Mrs. William B. (Ann) Ziff, Ziff Brothers Investments

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PAGE 44 USA TODAY managed by the National Park Service and have been a thorn in the Bush administration’s side President pushes boost in funding for during lean years. The National Parks Conservation national parks Association was seeking an increase of $250 million in operating funds for the parks. Updated 2/5/2007 8:17 AM ET By Richard Wolf, USA TODAY “This is a renewed commitment that national parks should be a national priority,” said Tom Kiernan, WASHINGTON — National parks would be a big the group’s president. “It’s a catalyzing initiative at winner under President Bush’s 2008 budget, and a a wonderful time for the national parks.” plan to match up to $100 million annually in private donations could guarantee increases for a decade. The proposals would have to be approved separately by Congress. The $2.4 billion parks Bush’s budget, being unveiled today, would budget, with its record increase in operating funds, give the National Park Service $2.4 billion next would become final if Congress allocates the year, administration officials told USA TODAY. funding. The matching-funds proposal would have That includes a $258 million increase for daily to be approved by committees with jurisdiction operations, up 14.5%. Since 2002, those funds over the Interior Department. have risen 1.5% above inflation. Taken together, they would add thousands of new The president proposes adding at least $100 park workers to guide visitors with programs such million a year for the next 10 years. The funds as interpretive walks and campfire talks. Volunteer would be used to hire 3,000 seasonal park rangers, coordinators would be added in 44 sites. guides and maintenance workers each summer, an increase of more than 50%. In addition, more Seasonal workers have been cut during lean than 1 million children could be enrolled in youth budget years, resulting in a 10-year decline. programs. “We simply have lost contact people who meet On top of that, Bush wants Congress to guarantee the American public,” said Stephen Whitesell, that the federal government would match superintendent of the San Antonio Missions philanthropic donations each year, up to another National Historical Park in Texas. “What they’re not $100 million. Currently, about $20 million is seeing are rangers in flat hats.” contributed each year by supporters of national Since 9/11, most of the money added to the parks, such as family foundations. National Park Service budget has gone for Taken together, the proposals could provide $3 added security in such places as New York City, billion in new parks funding over the coming Washington, D.C., and along the U.S. borders with decade. In 2016, the parks will celebrate their Canada and Mexico. 100th anniversary; Bush wants them to be in better Some of the new funds will be used to attract shape than they are today. young people to the parks through Internet “I think it can be a source of healing for programs and podcasts. Kempthorne and others Americans,” Interior Secretary Dirk Kempthorne see it as mutually beneficial: The parks would avoid said. “This one is not partisan. This one is a loss of visitors in future generations, and children American.” would reap the health benefits of the great outdoors. The proposal is being welcomed by groups that advocate on behalf of the nearly 400 sites “We’re competing with an electronic world,” Kempthorne said.

PAGE 45 THE DENVER POST administration is stuck in the land-sales rut, Congress needs to solve the problem another way.

Bush budget misses mark on public lands The land sales plan fizzled out in the last Congress, and prospects look even worse now. Rep. Norm February 18, 2007 Dicks of Washington state, the new chairman of a key subcommittee, predicted recently, “It’s not going to The White House offers a stay-the-bad-course happen.” proposal for next year when it comes to stewardship of the nation’s park and forest On paper, the administration’s proposal for the Park lands. Service is brighter. The 2007-08 request is for about $2.36 billion in discretionary spending, up from the “Stay the course” has been excised from the White $2.15 billion request this fiscal year. House phrasebook, but the philosophy seems very much alive in the administration’s public lands policy. Given years of budget starvation - and a $5 billion maintenance backlog - some park supporters were Unfortunately, it’s the wrong course. heartened by the new request. “This budget proposal is a victory for all Americans,” said David Nimkin, an President Bush’s budget for 2007-08 includes funding official of the National Parks Conservation Association. for the U.S. Forest Service and the National Park Service. We were disappointed to see that the White Other are not so sure. Bill Wade, a leader of the House simply patched up and resubmitted its widely Coalition of National Park Service Retirees, said the plan disparaged plan for Forest Service land sales. And the is nothing more than “smoke and mirrors,” given that parks budget also includes some all too familiar and all the modest increase must be spread out among 390 too unacceptable elements. units.

The overall budget for the Forest Service is disquieting Wade also is worried about an old administration idea enough; the administration has proposed spending $4.6 being revived in the budget - raising $1 billion in private billion in fiscal year 2007-08, down from about $5 billion funds to help support the parks. West Virginia Rep. during the current year. Nick Rahall, chairman of the House Natural Resources Committee, also find “increasing reliance on the private But what’s really drawn attention is the administration’s sector ... troubling,” adding, “Our national parks are recycled plan to sell up to about 274,000 acres of forest national treasures - and their funding is a national land. This gambit would raise about $800 million over responsibility.” five years. The public lands proposals show that the Bush While some conservationists recoil at the idea of selling administration remains determined to manage Western off any federal green- space, it’s not a significant chunk lands on the cheap, using accounting tricks and of the inventory. Forest Service holdings nationwide are commercialization to juggle financial needs. more than 192 million acres. And in Yellowstone ... Colorado has 14.5 million acres of national forests and grasslands. The proposal lists 214 parcels totalling If one needs any further evidence that some in the 21,699 acres for possible sale. Of those, 65 are 100 government have no new thoughts about managing acres or larger; none are larger than 500 acres. (Parcels our public lands, take a look at the latest snowmobile that size could be attractive to developers for resorts or plan for Yellowstone National Park. It proposes allowing second homes and it’s essential that local communities as many as 720 machines a day into the park, up from review if any proposed land sales.) about 250 now.

Any sales receipts would be used to aid rural counties The administration has been pushing for years to that have lost federal aid because of declining expand the number of snowmobile allowed in the park. government timber sales. The financial problems of The latest plan is preliminary; we hope it doesn’t survive those local governments are real, particularly in the further review. Northwest. But it makes no sense to use one-time asset sales to finance a continuing need. Since the

PAGE 46 THE NEW YORK TIMES Once he became interior secretary, he said, he told the president that the 90th anniversary of the parks The President Shows His Environmentalist system, in 2006, should prompt planning for the Colors centennial.

By SHERYL GAY STOLBERG and FELICITY “Let’s not just light a candle for the one day of BARRINGER the 90th,” Mr. Kempthorne recalled saying. “The centennial needs to be spectacular.” WASHINGTON, Feb. 7 — After six years in the Oval Office, George W. Bush may have found his On Wednesday, the two men and Mrs. Bush inner Teddy Roosevelt. traveled to Shenandoah National Park, 75 miles west of Washington, to talk to private supporters At a time when his policies on global warming are of the parks about the new twist in their initiative: under scrutiny from environmentalists, President a challenge to the private sector to raise an Bush this week cloaked himself in another additional $1 billion for park enhancement, which environmental issue: conservation. He used his the government would match dollar for dollar for a budget, and his bully pulpit, to announce a 10- maximum $3 billion at the end of 10 years. year, $1 billion commitment in taxpayer money to enhance national parks, which have been limping With attendance at national parks declining, along with limited money. recreation companies said the initiative makes business sense. Most environmentalists would not say George W. Bush and Theodore Roosevelt in the same “It’s good business and it’s good policy,” said Gary sentence, unless making an invidious comparison. Kiedaisch, president and chief executive of The Roosevelt, of course, created a collection of Coleman Company, a leading manufacturer of national preserves that helped form the foundation camping equipment. In an interview after appearing of the current park system. Mr. Bush, his detractors with Mr. Bush on Wednesday, Mr. Kiedaisch said his say, has let the national parks slide into decline company had not “put actual hard dollars down” — until now. but would support the initiative.

“This is real,” said Bill Wade, a former park The initiative comes less than a year after Mr. Bush superintendent and a persistent critic of the offered another gift to environmentalists: creating a administration’s parks policies. “There’s a lot more marine reserve in the Northwest Hawaiian Islands. focus in this budget for the operational funding that “We’re quite enthusiastic about it,” Gene Sykes, parks need.” chairman of the board of the National Parks The turnaround came at the urging of Dirk Conservation Association, who participated in Kempthorne, the former Idaho governor who is Wednesday’s event, said. Mr. Bush’s new secretary of the interior. Two years That enthusiasm, however, has yet to infect critics of ago, when Mr. Kempthorne was still governor, he Mr. Bush’s environmental record. Despite the praise and his wife spent two days with the president and for its effort on parks, the administration found Laura Bush, fishing, hiking and cycling in the Idaho itself on the defensive Wednesday — so much so outdoors. that the White House felt compelled to issue an “I saw up close and personal what the outdoors “open letter on the president’s position on climate meant to this couple,” the secretary said in an change.” interview Wednesday. In the letter, Mr. Bush’s top science and environmental advisers challenged news

PAGE 47 media reports that suggested that his concern Wednesday, he invoked a comparison between about climate change was new. “Beginning in the first President Roosevelt and the second June 2001,” they wrote, “President Bush has President Bush. consistently acknowledged climate change is occurring and humans are contributing to the Turning to his boss, he said, “I think Theodore problem.” Roosevelt would be very proud of you.”

The letter cited a June 2001 statement in which Mr. Bush quoted the National Academy of Sciences saying an increase in Earth’s temperatures was “due in large part to human activity.” But it failed to finish the quotation, in which he went on to say it was unclear how much “natural fluctuations in climate” played a role, whether further climate change was inevitable and what, if anything, could be done about it.

The issue came up at the daily press briefing, where Tony Snow, the White House press secretary, insisted there was nothing new about the president’s commitment to parks or his recognition of global warming.

“There’s been a lot of misreporting,” Mr. Snow said. “Perhaps folks have not taken notice of the fact that this is an administration that’s been keenly committed, both to environmentalism and conservationism from the start.”

At the suggestion that Mr. Bush was awakening to the environment, Mr. Snow said it was reporters who were waking up. “The long national slumber,” he said, “may be approaching an end.”

But Philip Clapp, president of the National Environmental Trust, a group that has conducted assiduous and unfriendly analyses of the administration’s environmental record, had a slightly different take.

“When presidents come to the end of their terms, they always look for great places to save,” Mr. Clapp said, adding, “As for the rest of President Bush’s environmental record, I’m still snoring.”

One not snoring is Secretary Kempthorne, who has a statue of Teddy Roosevelt in his office, a constant reminder of that president’s commitment to conservation. At the Shenandoah park on

PAGE 48 HILL COMMITTEES UNEASY ABOUT NPS “When we punched the numbers from the National CENTENNIAL MONEY SOURCE Park Foundation, Friends of the Parks and other private sources, the contributions now amount to (Environment and Energy Daily-March 16, 2007) about $40 million per year,” said the committee staff member. “The $40 million would have to be Congressional overseers of the National Park offset (in legislation.) So we would have to come Service are reacting with great skepticism to a Bush up with $140 million per year in a new program.” administration proposal to provide an extra $3 billion to the parks over the next 10 years. This staff member said the committee did not have enough facts about the source of private money In an annual budget report the House Natural and its use to have a position on the privatization Resources Committee said a proposed fiscal year implications of the administration proposal. 2008 appropriation increase of $250 million was based on deceptive book-keeping and amounted Meanwhile, Secretary of Interior Dirk Kempthorne to only $50 million. And the committee said a and NPS Director Mary Bomar March 13 began a proposal to raise $1 billion of the $3 billion from series of hearings on President Bush’s Centennial private donations “is problematic at best.” Initiative in eastern Tennessee. They held additional hearings in Anchorage, Alaska, on “In sum, the proposed real increase in funding for March 14 and in Saint Louis and Boston on March the National Parks of approximately $50 million 15. More than a dozen other hearings will be held is welcome,” said the resources committee in a later this month. March 1 report to the House Budget Committee referred to as Views and Estimates. “The After the hearings are completed Kempthorne and Administration’s claim that this budget request Bomar will present recommendations to President would provide a $3 billion increase over ten years Bush by May 31 on programs and goals for the is misleading.” Centennial in 2016.

The House and Senate Budget Committees were Based on the administration’s proposal for the working on fiscal 2008 Congressional budget Centennial in the fiscal year 2008 budget, House resolutions at press time. Resources Committee Chairman Nick Joe Rahall (D-W.Va.) is concerned about using private money In a counterpart report to the Senate Budget in the parks, although he is not yet charging Committee the Senate Energy Committee praised privatization. “While many Americans value the administration before noting “we need more the role of private philanthropy in supporting information on how the proposal would work.” our National Park System, the Administration’s The energy committee added, “We note, too, increasing reliance on the private sector in this that all previous legislative proposals to provide capacity is troubling. Our National Parks are mandatory spending for the national parks have national treasures - and their funding is a national been unsuccessful.” responsibility,” said Rahall.

An energy committee staff member said the Agreed Rep. Raúl Grijalva (R-Ariz.), chairman of the panel is concerned at this point because it House subcommittee on National Parks, at a March doesn’t have enough information on how the 1 hearing on the NPS budget, “This new reliance Centennial Initiative, as it is formally called, would on fundraising is troubling - I believe that agencies work. The committee is particularly interested and employees of the federal government should in new legislation the administration intends to provide services to the American public, not hit submit that would pair up to $1 billion of private them up for donations to fund park facilities.” donations with matching federal funds. That portion of the proposal is called the Centennial Challenge. PAGE 49 House and Senate committees’ annual Views and Estimates reports to budget panels amount to more than blowing off steam. The reports establish a financial commitment by the committees and guide the budget committees in establishing spending caps for the year.

In its report the House Natural Resources Committee offered a detailed critique of the administration’s Centennial Initiative, suggesting the House Budget Committee will not be eager to set up a guaranteed fund in the budget outside of the appropriations process.

First, the administration budget proposes an immediate, $250 million increase in spending on Park Service operations in fiscal 2008. But the House committee said when increased expenses and decreased spending for other programs are accounted for the increase amounts to $50 million.

“While any real increase to park budgets is a positive step, $50 million of the proposed increase will be absorbed by the 2007 to 2008 increase in fixed costs, leaving a net increase of $200 million,” said the House committee report. “Another $152 million of the proposed increase comes at the expense of cuts to other NPS program areas including construction, historic preservation, and Federal and state land acquisitions, leaving an overall net real increase to the NPS of just under $50 million.”

Second, the administration budget proposes to obtain as much as $200 million more per year from matching philanthropic contributions - with up to $100 million in donations matched dollar-by- dollar by up to $100 million in guaranteed federal contributions.

Cautioned the House committee, “It should be noted, however, that fund-raising efforts on behalf of parks have never raised anywhere near this level of funding and this increasing reliance on private funding for public parks raises serious concerns.”

The House Resources Committee View and Estimates report is at: http://resourcescommittee. house.gov/reports/.

PAGE 50 BUREAU OF LAND MANAGEMENT — NATIONAL LANDSCAPE CONSERVATION SYSTEM

NATIONAL LANDSCAPE inadequate funding to coordinate volunteers, lack CONSERVATION SYSTEM of funding to mark the trails and a serious shortage of staff on the ground to make sure these national treasures remain safe and enjoyable.

The Issue: With eleven of the fifteen fastest growing states in the country in the West, the Conservation System In June 2000, the National Landscape is the public’s new backyard for recreation and Conservation Systemwas established to encompass should be adequately funded. the crown jewels of the public lands managed by the Bureau of Land Management (BLM). This new conservation system consists of more than 26 million acres: National Monuments, National Capitol Summit Objectives Conservation Areas, Wilderness, Wilderness Study The Administration has proposed funding for the Areas, Wild and Scenic Rivers, and National and National Landscape Conservation System at $49.2 Scenic Trails. million for FY 2008. This is the lowest funding level The BLM’s Conservation System includes 13 since the System’s inception in 2000. National Scenic and Historic Trails – totaling more OIA believes the NLCS should be funded at $69 than 5,000 miles, in addition to thousands of miles million in FY 2008. of undesignated trails. In total, the Bureau of Land Management manages more miles of National OIA believes timely travel management planning Scenic and Historic Trails than any other federal should be a focus of the NLCS as well as land management agency. Trails included in the effective management of trails for enjoyment National Landscape Conservation System include: and conservation. In addition, OIA would like to Continental Divide Scenic Trail, Historic Trail, Lewis see the creation of a specific budget line for the and Clark Historic Trail and the Pacific Crest Scenic National Landscape Conservation System which Trail. would allow consistent and regular reporting on the Conservation System’s annual budget, expenditures, and accomplishments. Funding is not proportionate to use and doesn’t reflect recreational value:

The National Landscape Conservation System represents just 10 percent of BLM lands, yet accounts for one-third BLM’s total recreation use. Lands in the NLCS generate one-half of the BLM’s total recreation fees yet less than four percent of BLM’s funding is invested back into the Conservation System.

National Scenic and Historic Trails in the West are threatened by unplanned development,

PAGE 53 PAGE 54 ARIZONA REPUBLIC But protecting or even identifying all the historically significant areas within the 261 million Lawmakers seek cash, manpower to save acres of desert, forests, mountains and canyons West’s treasures - Archaeological, historic managed by the BLM is an enormous task, the sites at risk, Ariz.’s Grijalva says report points out.

Article by Billy House. Originally published July 14, The effort is made all the more daunting by the 2006 in the Arizona Republic. growing populations of cities and suburbs of the West, increased recreational use within once- A newly formed bipartisan group of lawmakers is remote areas, and greater pressure by the Bush pressing the U.S. Department of the Interior to administration to open up more of the land to oil spend more money and devote more manpower and gas drilling. to protecting Western states’ archaeological and historical sites, including areas held sacred by According to the trust report, only about 17 Native Americans. million, or 6 percent, of those BLM acres across 11 Western states, including Arizona, have been Instances of vandalism, artifact theft and illegal off- surveyed so far to identify cultural and historical road vehicle use have underscored shortages in resources. the federal Bureau of Land Management’s funding and its inability to identify and protect the sites, Because the BLM already has more than 400 sites said Rep. Raúl Grijalva, R-Ariz. listed on the National Register of Historic Places, a complete survey of all its lands could uncover an “The consequences are that (archaeological) sites additional 68,000 sites eligible for listing on the are not being inventoried. . . and there’s significant national register, Destry Jarvis, a former assistant evidence of looting and damage, whether director of the National Park Service and author of purposeful or accidental,” said Grijalva, who is the trust report, told reporters this week. leading the group of about 15 House lawmakers who are working to call more attention to the Of the 86 million acres that fall under BLM problem and push for solutions. oversight in Arizona, 95,757 acres so far have been inventoried, and 20 sites are now listed on the Their efforts may be bolstered by a report in May National Register. by the National Trust for Historic Preservation warning that vandalism, such as the recent spray- “Clearly the BLM has enormous responsibility,” painting of prehistoric rock art panels in Colorado’s Jarvis said. McInnis Canyons National Conservation Area, off- But he said the bureau also has “too little road vehicle use and artifact-hunting, are “robbing resources, too few people and too little money the nation of these cultural resources.” being expended for taking care of cultural Although the BLM spends $15 million a year for resources in its charge.” the surveying and protection of sites, the trust’s The report notes that the BLM has had some highly report calls on that amount to grow over the next publicized enforcement actions taken against five years to $50 million a year. thieves stealing archaeological artifacts from public lands and that officials work well with state and

PAGE 55 local jurisdictions. But law enforcement is spread Grijalva said his group of lawmakers, which thin for such efforts. includes Arizona GOP Reps. Rick Renzi and Jim Kolbe, will write to new Interior Secretary Dirk For instance, there still are only two investigators Kempthorne about their concerns, as well as try to to cover nearly 9 million acres of state trust land convince House colleagues of the importance of in Arizona. On a state-by-state basis, most BLM their mission. enforcement personnel are assigned to cover a minimum of 1 million acres and often much more. “The lack of protection of these lands is a great loss to Americans who use them and love them,” Jarvis said that the Interior Department, to which Grijalva said. the BLM belongs, is one of the few arms of the federal government that actually generates more money from such things as mineral, oil and gas development and royalties, grazing and timber fees, and park and recreation-user fees, than it receives from Congress.

An Interior Department spokesman, Frank Quimby, confirmed the department’s receipts during this current fiscal year are estimated to reach $16.9 billion, while the agency’s budget approved by Congress is set at $16.3 billion.

Receipts for fiscal 2007 also are projected at higher than what the Bush administration has proposed to spend on the agency.

Celia Boddington, a BLM spokeswoman, said bureau officials “absolutely appreciate the congressional interest.”

But she also said that the BLM is making progress in its efforts to protect such areas, with 25 million acres now falling under a special landscape conservation program that was put into place in 2001, known as the National Landscape Conservation System.

Special resource management plans are now in place in 26 specific sites, she said, including the Las Cienegas National Conservation Area, about 50 miles southeast of Tucson.

But the Bush administration is calling for a $5 million cut in the budget of the conservation program, which would bring it to about $37million, the lowest amount since the program’s inception.

PAGE 56 LAS VEGAS SUN the National Trust for Historic Preservation, the Sierra Club and the Wilderness Society. Saving urban wilderness Denise Ryan, a former Las Vegan, is representing Group works to preserve natural the National Wildlife Federation in its effort in landscapes near cities Washington. She said the BLM does not get the funding it needs to oversee important historical, By Launce Rake cultural and environmental resources. Las Vegas Sun. August 25, 2006 Over the long term, she said, the groups want to Historic, cultural and environmental resources see the National Landscape Conservation System are under siege nationally from growing urban be a permanent, recognized entity much like the populations and their desire to get outdoors. National Park System is now. A bipartisan caucus of members of Congress has endorsed the effort. Now, a national coalition is working to pump up funding for law enforcement and ultimately to “We want to better educate the public and strengthen what is called the National Landscape Congress about the system,” she said. “We want Conservation System, a huge archipelago of to see the system better funded. We want to see conservation areas, wilderness, national trails and clarity in the budget system. rivers and other tracts under the jurisdiction of the “We’d also like to see permanence. We’d like to Bureau of Land Management. see some congressional designation for the system Las Vegas Valley residents don’t have to go far to as a whole. Overall, 10 years from now, we would see the issue’s importance. The BLM manages 90 have done a stellar job, along with the BLM, if percent of the county, and the National Landscape people would recognize the National Landscape Conservation System in Clark County includes Conservation System as well as the National Park two national conservation areas, nine federally System.” designated wilderness areas and several wilderness Susan Potts, Southern Nevada conservation study areas. director of the Friends of Nevada Wilderness, The best known of these is the Red Rock Canyon said that she can see the Sloan Canyon area National Conservation Area, almost 200,000 acres from her back window. She has also seen ancient tucked into a stunning valley immediately west of petroglyphs - designs etched by American Indians the urban area. And south of the Las Vegas Valley, onto the desert rocks - damaged and destroyed the new, 48,000-acre Sloan Canyon National within the conservation area. Conservation Area lacks the 1 million annual Increasing funding and raising the profile of the visitors of Red Rock, but the BLM has plans - and a landscape system would help prevent similar $66 million endowment - to develop amenities to destruction, she said. attract visitors in years to come. “Both are important goals ¦ because the BLM More than 50 groups are members of the coalition doesn’t have the funding needed to patrol, to for the National Landscape Conservation System. enforce the rules, to monitor. Both Red Rock and Among them are the National Wildlife Federation, Sloan Canyon have archaeological sites, rare plant

PAGE 57 and animal species,” she said. “The BLM doesn’t Penalties can run to a year in prison and a have what it needs to maintain, protect and $100,000 fine per count for damaging petroglyphs preserve those resources. under the federal Antiquities Act, Taylor said. A vandal who spray paints over five or six symbols “In Clark County, we also have the problem that would face five years in jail and a $500,000 fine. they are so close to the large urban area, and they receive so much use, especially Red Rock, that “It’s hard to place a value on these cultural they are in danger of almost being loved to death. features,” he said. “It’s a people’s history.” We need to be able to do proper management so people can enjoy these places without negatively Taylor said the BLM is committed to preserving the impacting the resources.” National Landscape Conservation System. “Our goal is to encourage people to respectfully use Bob Taylor, the BLM’s assistant field manager for those areas.” the conservation areas, said that while his agency could always use more money, he is working to Ryan, who served as special assistant to the BLM’s protect the public resources with the funding national director in 2000 when the landscape available. He hopes to use interest from the Sloan system was created by presidential proclamation, Canyon endowment to fund activities there. Red said that more needs to be done. Rock is supported by about $1.2 million a year in “We’re not even holding steady in terms visitors’ fees. of inflation,” she said of BLM funding. “It’s “We’re working with the Clark County School unfortunate.” District for a desert learning center” at Red Rock, Among the most important things needed he said, but like many plans for BLM lands, long- nationally, Ryan said, is a full accounting of the term operational and maintenance costs are cultural, historic and environmental resources now difficult to secure. part of the system, a step that the National Trust Taylor said the total budget this year for elements for Historic Preservation has endorsed. of the National Landscape Conservation System “How can you protect what you don’t even know in Clark County is about $5 million, including you have?” Ryan said. $1.1 million for a new management plan for Sloan Canyon. He said a key element in working Noting the damage to petroglyphs in Southern within the funding is partnerships with regional Nevada, she said there are too many acres covered governments and institutions. by too few personnel. The same issue affects the potential safety of visitors, she said, especially to At Sloan Canyon, “Henderson is building right remote sites such as Sloan Canyon: up to our doorstep,” he said. At Red Rock, “more than half of what we do out there is done “What if you just needed help out there?” through partnerships. We’ll probably be looking at something similar to that with Sloan Canyon in the Launce Rake can be reached at 259-4127 or at near future.” [email protected].

Taylor has seen some petroglyphs in Sloan Canyon damaged by vandalism or simple ignorance, but BLM “presence is increasing out there in terms of law enforcement. We’re serious about it.”

Four rangers patrol Sloan Canyon, he said.

PAGE 58 INTERNATIONAL TRADE

BACKGROUND Outdoor Industry Association argues that domestic producers cannot manufacture these highly A little more than a year ago, Outdoor Industry specialized products in commercially viable volumes Association launched its international trade program and that there is therefore no domestic industry to to block threats to the outdoor industry posed by protect through quotas, high import tariffs and other import quotas, embargos and some of the highest trade barriers. Further, when protectionist trade tariff rates on products coming into the United measures are applied to these outdoor products, States. In only its first year, OIA’s trade work has they only create instability for American companies, already saved millions of dollars for manufacturers threaten American jobs and ultimately raise prices for of performance footwear and has stopped attempts American consumers. to keep performance outdoor apparel from reaching retail shelves. It has been our goal in this past year OIA believes that the ITC study, scheduled to be to make trade open, equitable and predictable for completed in July 2007, will provide credible, outdoor businesses. independent confirmation that there is no significant domestic competition for performance outerwear In 2007, the second year of OIA’s trade program, we jackets and pants. After completion of the study, are working to bring the outdoor industry the same OIA, with guidance from member companies, kind of results achieved in year one. At January’s will evaluate and potentially pursue appropriate Outdoor Retailer Winter Market, OIA hosted analysts legislative and policy relief from trade barriers from the U.S. International Trade Commission who that obstruct our industry’s continued innovation have been directed by Congress to study the markets and growth. Initiatives may include pursuit of new for performance outerwear jackets and pants and product classifications for performance apparel the market for travel goods. The ITC analysts left within the Harmonized Tariff Schedule, legislation to OR with an appreciation for the technical innovations eliminate or reduce import tariffs on performance and unique, cutting edge products of the outdoor apparel and requests for exemptions from quotas or industry. Over the next several months, we will retaliatory duties on apparel imports. work to separate these specialty products from the mass consumer products that are targeted for OIA is also working in cooperation with Travel punitive trade actions, quotas and high tariffs and will Goods Association on a concurrent ITC study of continue to keep outdoor products out of the bigger U.S. domestic production of travel goods. It is also trade fights. likely that this study will show little or no domestic manufacturing of these products and OIA will work with TGA to pursue appropriate legislative and policy options. INTERNATIONAL TRADE COMMISSION STUDY

The U.S. International Trade Commission, at Congress’s request, is currently performing a study CHINA to evaluate the level of production, if any, by U.S. domestic apparel manufacturers of performance In 2005, OIA initiated its trade program to respond outerwear jackets and performance outerwear pants. to embargoes that blocked pants made in China of The study will also quantify the volume of domestic synthetic fibers, including performance outerwear production of the fabric inputs that go into these pants, from entering the U.S. in the 3rd and 4th jackets and pants. quarters of the year and resulted in significant losses for outdoor manufacturers and retailers. OIA, with

PAGE 61 SnowSports Industries America, persuaded the investigations. Traditionally, antidumping federal government to exempt all ski and snowboard investigations are launched only after a domestic pants. OIA was also able to block performance group petitions the federal government and outerwear jackets from being added to the demonstrates injury. Now an investigation can be embargos. initiated with a much lower burden of proof.

This year, China is again a target for members Potential investigations and possible retaliatory of Congress with the introduction of several duties would cost millions for outdoor businesses. protectionist and punitive bills that would apply OIA is working to keep outdoor products out of the higher duties on imports of Chinese products, and monitoring program altogether. withdraw China’s status as a preferred trading partner. While many of these bills were introduced last year, most never gained traction. However, with new Congressional leadership, they are receiving more CAPITOL SUMMIT OBJECTIVES attention and there is increased likelihood that some will pass. The Capitol Summit will provide an opportunity to introduce the outdoor industry to the new In addition, a three-year agreement between the Congressional leadership, members of the House U.S. and China governing apparel imports through Ways and Means and Senate Finance Committees a quota system will expire at the end of 2008. It and key administration officials, highlight our $730 is unclear what will replace the expiring quotas, billion annual contribution to the U.S. economy but it is certain that there will be interest groups and request legislation and policy that support our seeking to take advantage of the shift towards more continued success and growth. protectionist trade policies and growing anti-China sentiment to establish harsh trade restrictions on Capitol Summit attendees will be asked to make products made in China. And just as a protectionist members of Congress aware of the International trade message propelled many Congressional Trade Commission’s study into performance candidates into office last year, as the presidential outerwear jackets and pants, stressing that we race develops, it is likely China and increased trade believe there is no domestic competition for these barriers will be an issue. products and that we may seek their support should we work to separate these specialty products from Again, OIA will argue that where products have no mass market goods. competition from domestic producers, such as many specialty outdoor products made in China, higher Lobby visits will also focus on the detrimental effect tariffs, quotas and retaliatory duties should not apply. punitive trade actions against China and Vietnam have on outdoor companies and that certain outdoor products should be exempt from high tariffs, quotas or retaliatory duties. VIETNAM APPAREL MONITORING PROGRAM Finally, we will stress that the Vietnam apparel While the challenge of quotas and embargos will monitoring program has created instability and continue to loom for outdoor products in 2007, one unpredictability for outdoor companies. The program of the most significant threats to emerge this year should not be expanded beyond the current five has been an import monitoring program on apparel product areas; performance outerwear pants should imports from Vietnam. Pants, shirts, sweaters, be exempt from any investigations and subsequent swimwear and underwear are all being targeted with retaliatory duties; and the monitoring program should imports being watched for evidence they are unfairly not be expanded to China upon the expiration of its undercutting U.S. market prices. apparel quota system.

The apparel monitoring program is unprecedented in that the Department of Commerce may self- initiate costly and time consuming antidumping

PAGE 62 UNITED STATES: What happens next in Fortunately for him on this occasion, Mr Hong Kong big- global apparel trade? shot quickly changed his story. But I still meet believers in the bizarre proposition that 7 February 2007| Source: just-style.com someone knows just what’ll happen when anti-China What’s likely to happen when anti-China quotas lapse quotas lapse in the EU at the end of 2007 and in the US in the EU at the end of 2007 and in the US at the at the end of 2008. But the real truth is exactly what it end of 2008? No-one knows for sure explains Mike was two years ago. Flanagan, and points out that trying to forecast how possible, but uncertain, measures will affect the flow Let’s take it bit by bit. of trade is a mug’s game. “America” (or “Europe”) never has concrete plans “In this world”, said Ben Franklin, “nothing is certain Back in 2005, lots of senior managers in textile factories but death and taxes.” Which for a smart man, was an wanted to get greater protection from more efficient astonishingly sloppy insight. foreign competitors: and lots of politicians and public officials agreed with them. Yes, we’ll all meet our maker sooner or later, and no government’s yet been invented that didn’t love fleecing But lots of retailers and apparel importers (and lobbyists us all. But none of us know when or how we’ll come to from other industries) wanted it to get easier to import an end, or how grasping our government’s going to be foreign goods, and many politicians and officials agreed in the next tax year. with them too.

Indeed, the only two real certainties in life are 300 million consumers wanted cheaper clothes – and almost all politicians would support them if it got votes. • Nothing’s certain; and And the US Administration (and the European • Governments will do whatever it takes to guarantee Commission) wanted to stay on good terms with China – the maximum of people the maximum nuisance. backed by many politicians and lobbyists even tougher and better heeled than textile mills. Yet people in the apparel industry persist in believing governments have a ‘Grand Plan’ for future events; that • So what mattered wasn’t the plans in some official’s the Grand Plan will be followed, and that someone, filing cabinet – plans that a few hours’ networking somewhere knows what it is. in any Washington or Brussels bar can easily find out. It was how all these conflicting pressures Shortly before quotas were abolished at the end of were handled – something less predictable than 2004, a client who exports to the US knew just how the tomorrow’s winning lottery number. US was going to react if Chinese imports surged. His Hong Kong based buying agent – “great contacts in • But the principles behind how those pressures were Washington” – had heard America would impose anti- handled in 2005 will apply next time round as well dumping duties on China if clothing and textile imports grew faster than 7.5%. • All the players followed the rules to the letter. The US (and EU) could impose only a limited number This was nonsense (there was no plan); illegal (the tittle- of protectionist measures, there were prescribed tattle he’d picked up contravened WTO rules and the procedures for reviewing and imposing them, and US Court of International Trade would throw it out on they could be imposed only after evidence of a the spot); and complacent (did he seriously think US serious surge in imports. imports from China of his major product would grow by anything like 7.5%? By the end of 2005, they were 34 • And, however heated the debate between times what they’d been in 2004). people who wanted to protect American textile manufacturers and people who wanted to protect No use. Mr Client knew someone who knew someone, something else, once the US system had agreed and that was that. If he’d persisted in his folly and to impose restrictions on China there wasn’t, as worked on the assumption that no official reaction in one senior US trade negotiator put it to me, “a early 2004 meant no anti-China restrictions, he’d have snowball’s chance in hell the US could impose less found several months’ orders stuck in China, unable to severe restrictions on China than the EU just had.” be shipped to the US. Followed very quickly by some very uncomfortable interviews with retailers. PAGE 63 “Mine’s bigger than yours” is always a more the EU demonstrated in 2006, it can be imposed powerful principle in international negotiations than even on products like shoes, where fashion is “this is in my citizens’ interest.” changing the specification all the time.

• Governments never learn. The EU’s imposition of The US introduced two further refinements in October anti-dumping duty on shoes in 2006 was as crassly 2006 – though only for Vietnamese trousers, shirts, designed and implemented as its quotas on clothes underwear, swimwear and sweaters. in 2005. The US Department of Commerce can initiate anti- Those same principles will apply once the current round dumping duty investigations just on the basis of its of quotas is lifted at the end of 2007and 2008. own monitoring data: it no longer needs to wait for a complaint. And the duty can be made retrospective: Americans and Europeans won’t agree among garments can be subject to it even if they arrived three themselves months before a finding that anti-dumping duty was To predict what measures will be taken, you need justified. to start off by knowing which grouping will be most powerful. These two twists in the anti-dumping duty system create immense uncertainty for traders, forcing them At present protectionists are probably getting ahead to price exceedingly conservatively. But there are also of free-traders. But who knows how far ahead, or who’ll considerable uncertainties about whether anti-dumping be giving whom what concessions? Anyone who claims duty will be imposed at all – to which we’ll return in a they can predict the rules in 2009 is just shooting the moment. wind. • Countervailing duty, the third potential weapon, Rules will be followed to the letter can be imposed if an importing country can This means the WTO rules, and procedures for following demonstrate import prices are artificially low them that can be enforced (or challenged) in both the because of subsidies. One possible claim US and EU courts. protectionists might make is that artificially low Yuan exchange rates (and most neutral observers agree New quotas or import duties will be imposed only the Chinese government is spending money to after a period of quota-free trading, time to monitor keep the Yuan cheap) constitute a form of subsidy. and consider, then hearings. After quotas come off, there’ll be a few months of endless complaints from The net effect of all this is to make it likely, if the US textile manufacturers, probably followed by formal, rule- or EU wants to impose restrictions on apparel imports bound, processes. from China, that either anti-dumping or countervailing duties will be imposed – possibly with the nasty little These processes will happen in Europe in mid to late modifications invented last autumn for imports from 2008 (with no elections in any larger state to create Vietnam. strong pressure for tougher measures, except possibly Britain where there’s little appetite for trade restrictions). “Mine’s bigger than yours” wins very time. The EU will In the US in mid to late 2009, when the newly elected be watching its imports from China for the first half of Administration is most able to ignore public pressure. 2008, and implementing any restrictions during the second half. US regulators and negotiators will face Right now, there are three sets of possible sanctions. domestic pressure during the second half of 2009 to be at least as restrictive. • Reimposed quotas can be considered only if there’s evidence widespread damage has actually been So where does all this get us? inflicted on US or EU industries. In many respects On both sides of the Atlantic, anti-dumping or EU and US partners’ industries have suffered most, countervailing duties are the most likely restrictions and most protectionists seem more excited about to be imposed on Chinese imports if that’s what the invoking other restrictions. political system wants.

• Anti-dumping duty can be imposed, against On both sides, the political system is more protectionist allegedly non-market economies like China or than it was two years ago, and will probably (if there Vietnam, just by demonstrating the country is selling were, say, a Democrat US President) get more so. The goods more cheaply than, say, Turkey or Taiwan. As key decisions will be taken in both the EU and US at a

PAGE 64 time that’s about as removed from the peaks of electoral © 2007 All content copyright just-style.com . Published by Aroq Ltd . excitement as it’s possible to imagine. Seneca House , Buntsford Park Road , Bromsgrove , Worcs , B60 3DX , UK . VAT No: GB785642391 . Registered in England No: 4307068 . Tel: Intl +44 (0)1527 573 600 . Toll Free from US: 1-866-545-5878 . It’s likely there’ll be continuing pressure for the Fax: +44 (0)1527 577423 . Email: [email protected] . imposition of anti-dumping duties. With Sarkozy as French President, I’d bet the EU won’t give way to those pressures in 2008; if Royal wins, the EU’s more likely to. America is more likely to err to protectionism in interpreting its rules in 2009 if the EU already has.

How protectionist will US rules be by 2009? Newly elected Democrats tabled a series of trade legislation demands during January 2007. There were calls for greater environmental protection provisions in all trade agreements, for duty hikes on imports from factories not obeying minimum wage legislation, to penalise China for currency manipulation, and to just “stop exporting jobs.”

Some may turn into law through Democrat-introduced Bills. The Bush Administration may concede some to get other measures through Congress – such as extending the Trade Promotion Authority Act (which fast-tracks trade agreements) beyond its summer 2007 expiry date.

US protectionist laws are highly likely in the next 21 months before the 2008 Presidential election. But, with the mass of competing measures the Democrats have to choose from, it’s even more likely some proposals will fall away.

Which particular measures go through – and right now, I’d bet there’s a greater head of steam on environmental issues than on labour rights – affects the detail of any anti-China measures in 2009. As always, the devil’s in the detail.

Trying to forecast how severe protectionist measures might be is a mug’s game. But trying to forecast how possible, but uncertain, measures will affect the flow of trade is even dicier.

Back in 2004, when we knew quotas would come off, who forecast the boom in apparel exports from Bangladesh, Sri Lanka and Cambodia we’re seeing today? And who forecast India’s apparel exports would lag its smaller neighbours as much as they are at present?

Wise traders organise their business on the basis of uncertainty. They don’t try to read crystal balls: they put their emphasis on flexibility, risk-spreading, and contingency planning. Whatever Mr Hong Kong big- shot says he overheard in a US Congress bathroom.

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