Counties receive first Secure Rural Schools payments after program is reauthorized

Key Takeaways

On February 20, the U.S. Forest Service (USFS) announced that counties across the country will receive payments through the Secure Rural Schools (SRS) program for the first time in nearly two years. The release of payments will deliver critical relief to timber-dependent counties that rely on these funds to maintain essential services as they transition toward long-term fiscal stability.

The SRS program was reinstated in late 2025 with the enactment of the Secure Rural Schools Reauthorization Act of 2025 (P.L. 119-58), which extended it through the end of fiscal year (FY) 2026 and directed USFS to provide retroactive payments to counties for FYs 2024 and 2025. NACo advocated continuously for the program’s reinstatement and strongly supports the SRS program.

What payments were made to counties?

USFS announced that the agency will distribute $182 million in retroactive payments for FY 2024 under Title I and Title III of the program. Payments are adjusted based on timber receipts already disbursed to counties under a 1908 law that directs 25 percent of revenue to counties. USFS also provided a breakdown of payments to counties under the reauthorized statute.

See County Payments

What is SRS?

The Secure Rural Schools program provides funding that supports critical local government services like education, transportation and public safety to counties with National Forest System land. Federal land is untaxable, but counties still have government services responsibilities on and around federal land, and payments are especially vital for timber counties as they navigate economic transition and work towards long-term stability.

Since 1908, federal law has directed 25 percent of all revenue from timber in national forests to counties, and that funding supported county budgets for decades. After federal land management priorities changed and timber harvests declined, Congress created the SRS program in 2000 to alleviate financial challenges faced by rural counties. Since the program’s establishment, it has received broad support in Congress and has been reauthorized several times.

What comes next?

Counties have yet to receive reconciliation payments for FY 2025. NACo will continue to provide updates on SRS and advocate for permanent reauthorization of the program.