ER - PALCO called to task by environmental group

PALCO called to task by environmental group
by Mike Morrow, 3/23/2006

The Environmental Protection Information Center is continuing its pressure on MAXXAM Inc. and its Scotia Pacific Co., seeking what it says is full disclosure on potential sales of land in excess of 9,000 acres.

In a letter to Realtors throughout Humboldt County, the Garberville-based group noted the land in question is covered by provisions of the company’s habitat conservation plan and other agreements and that Scotia Pacific should reveal all required information relating to proposed land sales.

“Considering (MAXXAM’s) long history of rule-breaking and statements that the company might not be giving full disclosure about restrictions on the land, we believe we have a right to know,” said Larry Evans of EPIC.

EPIC’s letter of inquiry to Realtors Monday also asked if MAXXAM has made its full disclosure.

A PALCO spokesman said the company would have no comment at this time.

Altogether, 9,264 acres are configured by eight parcels, ranging in size from 152 to 3,795 acres, and are part of a larger real estate offering totaling 14,631 acres.

The proposed real estate sale has been characterized by EPIC as corporate asset liquidation aimed at forestalling a debt-driven bankruptcy of Scotia Pacific.

“In addition to the letter of inquiry highlighting specific sections of the governing agreements, a (compact disc) containing complete copies of the three relevant documents was enclosed in certified mail packages,” Evans said. “The documents include the habitat conservation plan and an accompanying implementation agreement, and the enforcement agreement for Assembly Bill 1986. Each of these arose from negotiations leading to the 1999 Headwaters Forest deal.”

Evans said that while the scattered tracts of ranchlands are being listed by local real estate companies, a larger offering that could total as much as 45,000 acres reportedly is being offered to unnamed timber companies.

“In our view,” Evans said, “the MAXXAM-controlled Scotia Pacific and the Pacific Lumber Co. has a scandalous record when it comes to following the law. The message is ‘buyers beware.’”
EPIC, according to Evans, “supports conservation of species, habitat and a sustainable forest products industry. Both are possible.”

But he said the “dismantling of the once-proud Pacific Lumber Co. threatens to leave the county with an even more depleted resource base, already pillaged by MAXXAM in its 20-year liquidation scheme.”

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