Federal Funding Aims to Revive Two Grant County, OR, Sawmills

On Monday, Oregon US Senators Ron Wyden and Jeff Merkley announced $6.15 million in federal funding to support sawmill and biomass projects in Prairie City and John Day, Oregon, Elkhorn Media Group reported (8-18-26).

Prairie Wood Products LLC will receive $2 million to restart and upgrade its existing Prairie City sawmill to process low-value logs in eastern Oregon. Co-Gen CO. LLC will receive another $2 million to reopen and upgrade a combined heat and power biomass energy system co-located with the sawmill.

Jodi Westbrooks, president of DR Johnson Lumber and Prairie Wood Products, said:

“This investment will help move our Prairie City projects forward, beginning with restarting the cogeneration facility and continuing to evaluate opportunities for the sawmill. Together, these efforts have the potential to create and sustain family-wage jobs, improve forest health, reduce wildfire risk, and strengthen Oregon’s forest products industry.”

In John Day, Malheur Forest Products LLC will receive $2 million to retrofit, modernize, and reopen its idle sawmill to handle small-diameter and low-value logs. The company will receive an additional $150,000 to complete permitting and other requirements needed to reopen the facility.

Malheur Forest Products owner Russ Young said:

“We’ve fought through some difficult years to keep people working and keep the forest products industry alive in Grant County. When times were tough, we stayed, we kept investing, and we kept believing in this community. This $2+ million investment will help us build on that commitment by putting Malheur Forest Products back to work, creating family-wage jobs and strengthening the infrastructure needed to actively manage our forests. We’re grateful to USDA and Senators Wyden and Merkley for investing with us in the future of Grant County.”

According to Wyden and Merkley, the US Forest Service is investing a total of $15 million across 20 wood innovation projects in Oregon.