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In Liberia, President Charles Taylor is said to be using illegal timber revenue to finance paramilitary squads and a brutal guerrilla movement in neighboring Sierra Leone.
Idaho officials say the damage would be far greater, depriving the state of at least $163 million in timber revenue in the next 30 years that would have been set aside for spending on roads and schools.
The expected undiscounted reward, R, such as the expected tree species diversity, or the expected annual timber revenue, that results in the long run by following a specific policy is: mathbf{R}={mathbf{V}}^{hbox{boldsymbol{Pi}}_c (9 where ( mathbf{V}hbox=left[{r}_i^cright] ) is a row vector of the immediate reward in stand-price state i under policy c.
But since the U.S. government was to be reimbursed from timber revenues, and since timber revenue remained low, very few payments were actually made to the counties, and Congress began to work on new legislation.
In 2000, Congress passed the Secure Rural Schools and Community Self-Determination Act, which authorizes western counties, including the O&C counties, to receive federal payments to compensate for loss of timber revenue until 2006.
Since 1916, the 18 counties where the O&C lands are located have received payments from the United States government as compensation for the loss of timber and tax revenue, beginning as a 50% share of timber revenue on those lands but changing over the years as timber production decreased.
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Records provided by United Nations investigators and Liberian officials show $66.6 million in maritime and timber revenues that should have been deposited in Liberia's Central Bank from 1999 to 2001.
And the record of an earlier Indian scheme, joint forest management, in which locals were promised a small share of timber revenues in return for deterring illegal logging and planting trees, is discouraging.
It was decided not to replant 600 ha after felling the initial crop, with loss of all future timber revenues (and costs of obtaining them).
Continuing the current management indefinitely generated an NPV of $1,339 · ha−1 in timber revenues and an average expected production of 1.9 m3 · ha−1 · y−1 over the entire forest.
This is especially the case for timber revenues, but ecological criteria may also be discounted (Boscolo et al. 1997; Howarth 2009).
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