TBM, while I understand that the BIA has input into what happens on much Federal land in the US, I am surprised that the Forest Service does not have overriding authority. While I appreciate the BIA's concerns about trailing retardant (not really), I do understand that the aircraft has been fitted with a new digital release system to address that issue. Anyway...there were obvious issues, and as you say, the 747 has a niche role in firefighting.
The timely and precise delivery of retardant early in a fire has always been important rather than massive drops. But when a fire really gets going and starts sweeping down on houses you do need something large augmented by more agile follow-up delivery. By the time you need it though, its too late to call...it needs to be orbiting overhead.
Too bad about the loss of the capability.