"NEW SECTION.  Sec. 1   (1) The legislature finds that providing for long-term stewardship of nonindustrial forests and woodlands is an important factor in maintaining Washington's special character and quality of life.
     (2) The legislature further finds that in order to encourage and maintain nonindustrial forests and woodlands for their present and future benefit to all citizens, Washington's nonindustrial forest and woodland owners' long-term commitments to stewardship of forest resources must be recognized and supported by the citizens of the state.
     (3) The legislature further finds that the adoption of forest practices rules consistent with the forests and fish report, as defined in RCW 76.09.020, has imposed substantial financial burdens on small forest landowners.
     (4) The legislature further finds that in order to maintain the economic viability of eighty-nine thousand family forest owners, managing five million acres of forest land across the state, small forest landowners must be provided with incentives to keep their land in long-term forestry.

NEW SECTION.  Sec. 2   (1) The joint work group on small forest landowner sustainability is established. Utilizing research conducted by the school of forest resources at the University of Washington and the information and perspectives provided by the department of natural resources, the department of fish and wildlife, and the department of ecology, the joint work group shall report to the legislature consistent with RCW 43.01.036, the commissioner of public lands, and the governor on ways to remove regulatory barriers and disincentives in order to encourage small forest landownership for generations to come without reducing protection to public resources.
     (2) The joint work group on small forest landowner sustainability shall consist of two members of the house of representatives agriculture and natural resources committee appointed by the speaker of the house of representatives and two members of the senate natural resources, ocean, and recreation committee appointed by the president of the senate. The speaker of the house of representatives and the president of the senate shall ensure that there is equal participation between the two largest caucuses in their respective chambers.
     (3) The joint work group shall consult with relevant state agencies, stakeholders, and experts in the fields of forestry, tax policy, transfer of development rights, forested fish habitat, and ecosystem service payments. The joint work group may also request assistance from the department of natural resources, the department of ecology, the department of fish and wildlife, federal experts on the state habitat conservation plan, representatives of native American tribes, and the environmental community.
     (4) The joint work group will utilize the house of representatives office of program research and senate committee services and existing legislative resources. The work group will also utilize teleconferencing and other communications methods, when feasible, to minimize travel and per diem expenditures for legislators and staff.
     (5) In developing recommendations, the joint work group shall review and build upon reports related to small forest landowner economic viability, including reports completed for or by the rural technology initiative, the Northwest environmental forum, and the small landowner office at the department of natural resources. The work group shall also rely on the department of natural resources' and other entities' work to develop proposals for landowner conservation incentives that support forest landowners maintaining their lands in forestry.
     (6) In developing recommendations, the joint work group shall consider:
     (a) The long-term sustainability of the forestry riparian easement program defined in RCW 76.13.120 and ways to reform that program.
     (b) Recommendations on how to address issues unique to small forest lands east of the Cascade mountains, including periodic insect and disease attacks, catastrophic wildfire, and replacement of historic species by shade tolerant species.
     (c) Whether, how, and to what extent the department of natural resources has evaluated the cumulative impact of small forest landowner alternate management plans or alternate harvest restrictions on essential riparian functions as required by RCW 76.13.110.
     (d) Whether, how, and to what extent the department of natural resources and the forest practices board have developed alternate plans or alternate harvest restrictions that meet riparian functions while requiring less costly regulatory prescriptions for small forest landowners, including recognition of or credit for improving the condition of public resources.
     (e) The complexity of administrative rules for small harvests and relatively short stream reaches.
     (f) Recommendations on ways the forest practices board and the legislature could provide more effective incentives to encourage continued management of nonindustrial forests and woodlands for forestry.
     (g) Ways to address conversion pressures, global competition, and the gap between appraised values of forest land and the value for the same land for development.
     (h) The possibility of a pilot program for ecosystem service payments and technical funding assistance for small forest landowners.
     (i) Whether, how, and to what extent the recommendations are consistent with the state's obligations under the forest practices habitat conservation plan and clean water act assurances.
     (7) The joint work group on small forest landowner sustainability shall deliver its report in the form of proposed legislation to the legislature, the commissioner of public lands, and the governor by September 15, 2010.
     (8) This section expires June 31, 2011."