NEIGHBORS TOGETHER and NEVERFAIL COMMUNITY CHURCH
Our primary concern is the restoration of the health and vitality of our community.
One of many issues requiring assistance is an increase in APPROPRIATE employment opportunities for a
subset of our community who, by culture, are not well suited to the confines and restrictions of many
regular commercial and industrial work places. Possessing a love for ‘things outdoors’ and many and
varied skills, there are many who are better suited to short bursts of intensive labor and long for a wide
variety of tasks to do. Therefore it is our long term hope to see appropriate employment opportunities
developed into which such people can ‘plug in.’
‘APPROPRIATE’ employment opportunities would be defined as income generating tasks that would have
very flexible scheduling, require minimum specialized training, would capitalize on the loves and skills
already possessed by this people group, provide reasonable income, would be located in our community
to reduce transportation difficulties, and have a realistic possibility of being self-sustaining over the long
haul rather than a short term project.
The difficulties in providing such a work environment must be approached with creativity and a sense of
challenge. Such projects will have great managerial challenges. They will require a paradigm in which
the community benefits of such appropriate employment are considered as an equally justified profit as
financial gains of investors and efficiency of management. We have no delusions that there will be any
one project which will be the solution or fulfillment of this need. We will need to creatively pursue a
wide variety of small scale enterprises which, when established and operating, will reach this goal.
Create a readily accessible 1 acre site where suitable logs could be delivered and local labor using installed equipment would cut, split and stack firewood for sale.
Such a facility would provide
1) a ready market for hardwood logs for those who are cleaning up tree tops after logging operations in our area.
2) Year round supplemental employment for a foreman, whose income would be a combination of a small 52 week/year salary and a significant production/sales incentive.
3) Flexible, 2 hour shift, work opportunities for local labor.
4) A source of readily available, high quality firewood for purchase by local families.
5) Additional income potential to those who would want to provide delivery service of firewood.
A suitable one acre site with utility frontage is available for lease on Neverfail Rd (paved) only 1/8 mile from US Highway 70 (the major east/west artery through our community) adjacent to the church property.
Suitable metal buildings are available used at reasonable cost for moving and reassembly.
Commercial firewood processing equipment is available that provides increased personal safety over splitting wood in woodland conditions and increased efficiency of labor.
Community Economic Impact: when operating at target goal, $ 48,000/ year to local log suppliers, $ 38,400 to day laborers, $ 20,520 to foreman for a total of $ 106,920 per year.
Wood Yard Foreman, job description
Requirements – a person with an understanding of the project vision (to provide employment with flexible
scheduling, requiring minimum specialized training, providing reasonable income, located in our
community to reduce transportation difficulties) who will oversee general operations including:
- keeping employee records: production, pay and taxes
- keeping log supplier records: supply, yield, pay, taxes
- scheduling labor
- supervising regular equipment maintenance
- supervising equipment repair
- marketing and customer relations with buyers
- care of and proper records of all finances
- keeping any needed records and timely filing of all governmental forms and taxes
Compensation – this position will provide
- a minimum wage salary of $ 210.00 (less withholdings) 52 weeks a year.
- An incentive of $ 2 for every rick (face cord) of firewood sold
- Unrestricted use of company pick up truck (providing own fuel)
At a production goal of 4,800 rick/year this would produce a compensation of $ 20,520 + truck use.
Yard operation goal is 30 hours per week, 40 weeks per year (about 60% of full time year round
equivalent) yielding an equivalent of about a $ 34,000 compensation for full time.
Accountability – the foreman will meet at least monthly with the board of overseers who will determine all
operating policy by which the foreman shall conduct business.
Two hour blocks (shifts) of time will be scheduled for laborers. When fully operational, opportunity
for 4 workers at a time will be offered. Day laborers will have to initially file all required
employment applications, providing government required documentation. Schedules will be filled with the foreman by sign-up in advance for available shifts of time. Sign up preference will be given to a ‘seniority’ list. Seniority will be granted first by hire date. The worker will be required to get their own substitutes from the pool of approved employees if they must miss a shift. No-shows will be dropped to the bottom of the seniority list. Repeated no-shows will be dropped from the employee pool. Compensation will be made by check at the end of each day for shifts worked that day at the rate of $ 8/ rick completed or whatever current rate set by the foreman with approval of the board of overseers. No advances will be made and no payments will be made in cash. Government required taxes will be withheld and forwarded to the government.
Logs will be purchased from any person living in our community who has previously provided
government required documentation. Each supplier will mark every log with a unique suppliers’
mark agreed upon and noted by the foreman. The supplier may receive a check for payment of ½ of the estimated yield at time of delivery if desired. The balance will be paid when logs are cut, split and stacked and actual yield is measured. All payments will be made by check. The supplier has the option for taxes to be withheld and forwarded to the government. If taxes are not withheld, 1099 forms will be provided to the government and the supplier will be obligated to do their own tax reporting and payment.
WOOD YARD PROJECT
START UP REQUIREMENTS: Yearly Operating Budget:
site prep grade work & gravel $ 10,000.00 FIXED COSTS:
40 x 60 metal building, gravel $ 35,000.00 foreman's base salary cost $ 13,000.00
floor, north & east walls only, no (distributed weekly 52 wks/yr)
insulation, high intensity lighting, utilities (fixed portion) $ 2,500.00
w/ insulated 12 x 16 office marketing $ 3,000.00
chain link fence with gates $ 5,000.00 operating, maintanence & repairs $ 2,500.00
fork lift or tractor w/ loader $ 15,000.00 (fixed portion)
cotoff/splitter/conveyer equipment $ 25,000.00 land lease $ 3,000.00
site vault for small tools & equip $ 500.00 insurance $ 5,000.00
2 chain saws $ 1,000.00 toilet rental & service $ 1,200.00
1 portable log splitter $ 2,000.00 reserve & debt service $ 3,400.00
laptop computer, printer/fax/copier $ 2,000.00
office/breakroom firnishings $ 1,500.00 TOTAL FIXED COSTS: $ 33,600.00
foreman's pickup truck (used) $ 10,000.00
& lettering VARIABLE COSTS: (per rick produced)
startup operating funds $ 24,000.00 utilities (variable portion) $ 0.50
(6 months expenses) operating, maintanence & repairs $ 1.50
TOTAL: $ 131,000.00 reserve for equipment replacement $ 1.00
foreman's incentive $ 2.00 per rick SOLD
projected shortfall 1st operating year* $ 24,000.00 yard labor (paid strictly on production) $ 8.00
projected shortfall 2nd operating year** $ 16,000.00 logs delivered to yard $ 10.00 per rick yieded
projected shortfall 3rd operating year*** $ 8,000.00
TOTAL VARIABLE COSTS: $ 23.00
TOTAL STARTUP REQUIREMENTS: $ 179,000.00
Total cost per rick
estimated annual production goal 4,800 rick/year Fixed costs prorated to 4,800 rick/year $7.00 $30.00
*** target production 3rd year 3,600 rick/year Fixed costs prorated to 3,600 rick/year $9.33 $32.33
** target production 2nd year 2,400 rick/year Fixed costs prorated to 2,400 rick/year $14.00 $37.00
* target production 1st year 1,200 rick/year Fixed costs prorated to 1,200 rick/year $28.00 $51.00
4,800 rick/year provides 600-800 families with renewable resources selling price per rick: $30.00
winter heating fuel. Properly using modern wood stoves in rural areas
will not have a significant net impact on air quality.
A suitable one acre site with utility frontage is available for lease on Neverfail Rd (paved) only 1/8 mile from US Highway 70 (the major east/west artery through our community) adjacent to the church property. The site is available for development without rental cost until operations begin.
The site needs to be cleared of trees and brush in preparation for elevation survey work. It is hoped that this will be accomplished by January 31, '06.
Once cleared, elevation survey work will need to be completed in preparation for bulldozer work to establish a good grade adequate and drainage. Feb. '06
Bulldozer grading and laying down a gravel working surface might be accomplished before rainy spring weather. (By March 31. '06)
Once site grade and drainage work is complete, the perimeter fencing can be installed.