08/22/2026
PRESS RELEASE:
Curry County Returns to O&C Timber Receipt Payments at Restored 75/25 Rate
The Curry County Board of Commissioners are pleased to announce that Curry County is moving back to the historic Oregon & California (O&C) timber receipt payment system, rather than continuing under the Secure Rural Schools (SRS) payment option as its long-term funding mechanism.
This transition is a significant victory for Curry County and other O&C counties. Through successful federal action, the historical O&C timber receipt structure has been restored to the original 75/25 distribution, meaning 75 percent of qualifying O&C timber receipts are available for distribution to the O&C counties, with the remaining 25 percent retained by the federal government for administration of the O&C lands.
For Curry County, this was a long, but very welcome return to the fundamental agreement between the federal government and the communities that have lived alongside, supported, and depended upon the O&C lands for generations.
The Historical Federal Commitment to Curry County
The history of the O&C lands dates back to 1866, when Congress granted land to the Oregon and California Railroad Company as an incentive to complete a railroad connecting Oregon and California. After the railroad failed to meet the terms of the land grant, Congress revested approximately 2.9 million acres in federal ownership in 1916.
In 1937, Congress enacted the Oregon and California Revested Lands Sustained Yield Management Act, commonly known as the O&C Act. The law placed the lands under federal management but established an important principle: these lands were to be managed for sustained timber production while also contributing to the economic stability of the local communities and industries surrounding them.
The O&C Act established a revenue-sharing relationship with the 18 western Oregon O&C counties, including Curry County. Importantly, the original O&C payment structure contemplated that, once the federal government was reimbursed for earlier obligations, 75 percent of O&C timber receipts would go to the counties, and 25 percent would remain with the federal government for management of the O&C lands.
Over time, however, Congress changed the way those receipts were handled. The county share was ultimately reduced, and the federal government later established the Secure Rural Schools and Community Self-Determination Act, commonly known as SRS, as an alternative payment mechanism for counties affected by declining federal timber receipts due mainly to the protection of the spotted owl under the Endangered Species Act.
Returning to the Original O&C Model
Through decades of legal battle and lobbying efforts on behalf of the O&C counties, the federal government has now removed the 25 percent charge against the O&C Fund that had prevented the additional 25 percent of receipts from being distributed to the counties.
As a result, O&C counties that elect the O&C timber receipt option can receive:
75% — O&C counties.
25% — Federal government for O&C land administration.
This restoration of the 75/25 structure is a significant change in the long-term financial relationship between the federal government and O&C counties such as Curry County.
Curry County's Transition back to O&C Payments and Why This Matters
Curry County is one of the communities most directly affected by federal ownership of O&C lands. A significant portion of the county's forestland is federally managed, meaning those lands do not generate conventional local property tax revenue.
O&C payments were created in recognition of that relationship. They help compensate counties for the economic and governmental impacts associated with large amounts of federally managed land within their boundaries. These revenues support critical county responsibilities, including public safety, roads, county facilities, emergency services and other essential governmental functions.
Curry County will have a unique opportunity during the transition. For Fiscal Year 2026-27, Curry County will continue to receive its Secure Rural Schools payment while also benefiting from the restoration of the additional 25 percent of O&C timber receipts. Based upon current estimates, Curry County expects to receive approximately $2.6 million during Fiscal Year 2026-27 through the combination of SRS and O&C timber receipt revenues.
Beginning in Fiscal Year 2027-28, the Curry County Board of Commissioners voted to transition to relying solely on O&C timber receipt revenues rather than receiving SRS payments. This is an important distinction; SRS payments are based upon a federal payment formula and congressional authorization, while O&C timber receipt payments are tied directly to the economic activity and timber production occurring on the federally managed O&C lands.
“This is about restoring a federal commitment that has been part of the O&C contract for generations. For decades, Curry County and the other O&C counties have lived with federal ownership of these lands while carrying the responsibility of providing roads, public safety, emergency services and other essential services to our residents. The O&C Act was designed to recognize that relationship. Returning to the original 75/25 timber receipt structure is a major step toward honoring that agreement.” said Curry County Commissioner Jay Trost, who is also Curry County’s representative on the O&C Committee.
As timber harvest activity increases on BLM-managed O&C lands in accordance with the O&C Act, federal management direction and applicable executive orders, Curry County's O&C revenue should increase annually as timber receipts increase. That creates the potential for a much stronger and more sustainable long-term revenue source for Curry County.
Curry County Strengthens State and Federal Forest Partnerships
Curry County is also taking another important step toward expanding local involvement in the management and stewardship of our public forestlands through a newly executed Intergovernmental Agreement (IGA) with the Oregon Department of Forestry (ODF).
After more than two years of conversations, planning and negotiations, Curry County has successfully completed its first executed IGA with ODF. This agreement represents an important new working relationship between the County and the State and creates a framework for future forest management and timber-related projects.
First Project: Forest Service Road Improvements
The first project under the agreement will focus on repairing, maintaining and improving Curry County's forest service roads, with a project value of $250,000.
These roads are an important part of the County's transportation, forest infrastructure and wildfire protection. Maintaining them properly can improve access, protect public safety, support responsible forest management and help provide the infrastructure necessary for future timber and forest-related activities.
Curry County will work closely with ODF and the U.S. Forest Service (USFS) throughout the project to ensure that work is performed according to the agreed scope of work and follows appropriate forestry, engineering, environmental and stewardship best practices.
“This first IGA is an important milestone for Curry County,” said Commissioner Patrick Hollinger. “It took several years of discussions and negotiations to get here, and we believe this agreement establishes a foundation for doing much more together.”
Curry County Leading a New Approach - Building a Stronger State and Federal Partnership
The County's goal is to establish long-term partnerships that benefit Curry County residents, forest health, rural communities, the timber industry and the public lands themselves. The County believes that strengthening relationships between Curry County, ODF and the USFS can create opportunities that have not previously been fully explored. By bringing state, federal and local resources together, Curry County hopes to develop additional timber, forest management, road, restoration and stewardship projects throughout the county.
“Our public forests are an incredible resource,” Commissioner Patrick Hollinger said. “We have some of the most productive timberlands in the country, and we need to find better ways to responsibly manage those lands while creating economic opportunities for our communities.”
At the same time, Curry County is working with other counties to establish resource-sharing agreements that could allow counties to work together and build the capacity necessary to assist the USFS with future timber sale development and negotiations within Curry County.
The objective is not simply to increase timber harvest. It is to develop a more effective model for forest management, forest health, road maintenance, stewardship and sustainable timber production while ensuring that the economic benefits of those activities remain connected to the communities where the resources are located. Curry County believes local governments can play a larger role in developing practical solutions for managing Oregon's public forests.
“This is Curry County thinking differently about how we do business with the state and federal government. For years, we have talked about the challenges surrounding our federal forests. We are now working to build relationships and agreements that allow us to become part of the management solution. We are leading the way forward in re-thinking relationships and negotiations with the state and federal government so that we can responsibly utilize the vast timber resources that grow so well in Curry County.” Commissioner Patrick Hollinger states.
“We love these forests,” Commissioner Patrick Hollinger said. “Our goal is to be good stewards of them while also recognizing that properly managed forests can provide jobs, revenue, infrastructure and economic opportunity for the people of Curry County. This first IGA is a step in that direction, and we hope it will be the first of many.”
This is also about the future. If we responsibly increase timber production, improve forest health and manage these lands for sustained yield, Curry County should participate directly in the economic benefits generated by those federal lands. As timber production increases, so should the revenue coming back to our county.
“We should not have to choose between healthy forests and healthy county finances. The original O&C contract model was intended to provide both.” Commissioner Jay Trost states.
“This is a big deal for Curry County,” Commissioner Patrick Hollinger said. “We are not asking the federal government for a handout. We are asking the federal government to honor the economic relationship established when these lands became federally managed O&C lands. If timber is produced from O&C lands in Curry County, our community should receive the share of those receipts that the O&C system was designed to provide.”
Looking Ahead
Taken together, these efforts represent a new model for Curry County: work with the state and federal government rather than simply waiting on the state and federal government.
The Board of Commissioners objective is to create long-term partnerships that increase responsible timber production, improve forest health, maintain and improve forest roads, create economic opportunities and generate sustainable revenue for Curry County, while protecting and stewarding the public lands that our communities value so deeply.
The opportunity before Curry County is significant. Curry County intends to lead the way, not simply in asking for change, but in building the relationships, agreements and local capacity necessary to make that change possible.
The work is just beginning. The O&C revenue restoration, the new ODF IGA, the partnership with the USFS and the development of regional resource-sharing agreements provide Curry County with a foundation to pursue more timber, better forest management, healthier forests, stronger infrastructure and greater economic opportunity for generations to come.
“This is about putting Curry County back in a position where the economic productivity of the federal lands within our county can help support the people who live here,” Commissioner Lynn Coker said. “We have an opportunity to build a more sustainable financial future for Curry County while supporting responsible forest management, timber production and healthy forests. That is a win for Curry County, and it is a win for the forest lands.”
The Curry County Board of Commissioners will continue working with federal officials, congressional representatives and other federal and state agencies to support responsible forest management, increase timber production, forest health and maintain a sustainable long-term revenue system for Curry County.
