Senator Cassidy Presses Treasury Secretary on Timber Tax Fix, Advancing Disaster Reforestation Act
At a recent Senate Finance Committee hearing, U.S. Senator Bill Cassidy (R-LA) once again championed the needs of private forest landowners by highlighting a longstanding issue: landowners impacted by natural disasters are often unable to deduct the true value of their destroyed timber. This tax inequity places a heavy burden on family forestry businesses working to recover and reforest after hurricanes, wildfires, and other catastrophic events.
As the lead sponsor of the bipartisan Disaster Reforestation Act (S.1141), Senator Cassidy directly addressed Treasury Secretary Scott Bessent during the hearing, urging him to support a legislative solution to this issue. In response, Secretary Bessent called the proposal a “commonsense solution” and committed to working with Senator Cassidy’s office to find a path forward.
“This is about fairness,” Cassidy said during the hearing. “If you’re a family that’s owned land for generations and a storm wipes out your timber, you shouldn’t be penalized in the tax code.”
The Forest Landowners Association (FLA) applauds Senator Cassidy’s continued leadership on behalf of forest landowners and his ability to elevate this critical issue in high-level policy discussions.
“Senator Cassidy continues to move the Disaster Reforestation Act forward in creative and impactful ways,”said Craig Anderson, FLA’s Vice President of Government Affairs. “We’re grateful for his commitment to securing certainty for forest landowners, and we appreciate Secretary Bessent recognizing the urgent need for a solution.”
The Disaster Reforestation Act would fix a technical issue in the tax code by allowing forest landowners to claim a casualty loss deduction that would fairly capture the true value of timber lost during a disaster—just as other industries can deduct the value of their lost inventory. This fix is essential to helping landowners recover and replant, ensuring the long-term sustainability of America’s working forests and the men and women who steward them.
Watch the exchange between Senator Cassidy and Secretary Bessent:
Click here to view the video
Full hearing available here:
Senate Finance Committee – Hearing on FY2026 Treasury Budget and Tax Reform