Timber Sales 101 Accomplishing Multiple Objectives through

Timber Harvesting February 21, 2013

Don Hamann Logging Contractor Don Hamann, Inc. Butte Falls, Oregon

Marty Main Consulting Forester

Small Woodland Services Inc. Medford, Oregon

WHY LOG?

Harvesting is the one opportunity to most strongly influence the 3 important objectives in the life of the stand/forest: 1. Economic 2. Ecological 3. Social

Harvesting is the one opportunity to most strongly influence the 3 important objectives in the life of the stand/forest: 1. Economic 2. Ecological 3.Social

People have been manipulating vegetation to achieve their objectives since the beginning of civilization

Why do you own forestland?

Harvesting is the one opportunity to most strongly influence the 3 important objectives in the life of the stand/forest:

1.Economic 2. Ecological 3. Social

Timber price 1986-2009 (adjusted for inflation) compared to Jackson Josephine NIPF timber harvest

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Quarterly Delivered Log Prices Oregon Departmtment of Forestry Survey

PP 8-14

DF2S

DF3S

WF2S

PP 8-14" Ponderosa pine 4M/5M, Klamath Co survey DF2S Douglas-fir 2S (12" +), Jackson/Josephine Co survey DF3S Douglas-fir 3S (<12"), Jackson/Josephine Co survey WF2S White fir/Hemlock 2S (12"+), Douglas, Coos Co survey

Financial Gain Short vs. long term considerations

•Business, investment, hobby- long term capital gains, cost basis •Taxes- distribution of income over multiple tax years •Growth in timber volume and value •Stand management

• More vigorous stand. Reduce competition for a finite amount of nutrients, light, space, and principally water, resulting in a more vigorous stand of trees. • Reduce insect and disease related mortality, or decline in growth. • Reduce wildfire potential. By thinning and removing a portion of the above-ground fuel, both the likelihood of ignition, as well as the intensity and the rate of spread of wildfire can be significantly reduced, provided resulting slash is also utilized and/or otherwise treated. • Volume growth is redistributed onto fewer, healthier, more valuable trees. Larger trees can be developed sooner subsequently increasing values (larger logs are often of higher, more valuable grades); decreasing logging costs (fewer trees to make the same volume), while also more rapidly developing important structural values (larger trees) of older forests. • Remove and market less desirable trees. Thinning can shift the overall condition or quality of the merchantable timber in a stand by selectively removing trees that are deformed, diseased, defective, infected with insects, and/or heavily suppressed- trees that might otherwise remain unutilized. • Shift species compositions. Thinning can shift stands to more desirable species compositions. (e.g. promote ponderosa pine and creation o fmore open forests through selective thinning of other species). • Create more desirable stand structures. Thinning can create stand structural conditions that more closely emulate values desired by the owner. Examples of stand structures include those that are more resistant to wildfire, multi-structured stands more desirable for certain species of wildlife, etc.

Stand management benefits of thinning

Harvesting is the one opportunity to most strongly influence the 3 important objectives in the life of the stand/forest: 1. Economic

2.Ecological 3. Social

Harvesting  is  a  “planned”  disturbance that can, if carefully implemented, be utilized to emulate the type, intensity, scale and duration of the historical disturbance regime.

Harvesting affects 3 primary attributes of stands: 1.Stand density 2.Stand structure 3.Species composition

CHANGES IN DENSITY, STRUCTURE AND COMPOSITION: 100 year old Ponderosa Pine overstory over 40 year old Douglas-fir

Fuel reduction on ridgeline- both commercial and non-commercial, Ashland watershed, US Forest Service

Non-commercial thin, pile and burn (1997) Commercial thin by helicopter, p+b (2004) Prescribed underburned (2007) Prescribed underburn planned (2013)

City of Ashland- Unit H

Rich and Rocky Stewardship Project Grants Pass Resource Area Medford BLM Contractor: Don Hamann Inc.

Flatheaded fir borer mortality in Douglas-fir, 2002-2003, Ashland area

Radial thin around old ponderosa pine City of Ashland ownership

Hardwood release (or lack thereof!) Main Property Trail, Oregon

Post-treatment stand conditions Epstein Property, 2007 Logger: Don Hamann, Inc

Harvesting is the one opportunity to most strongly influence the 3 important objectives in the life of the stand/forest: 1. Economic 2. Ecological

3.Social

Timber Harvesting Impacts

• a significant change in stand development trajectories associated with changes in the age, size, and species composition of vegetation;

• damage to residual trees retained after logging;

• potential loss of older age classes and/or larger size classes that have become increasingly uncommon throughout the western United States;

• destruction, decline and/or alteration of a portion of understory vegetation, possible invasion of non-native species;

• compaction, displacement, and/or other disturbance to soils;

• an increased potential for wildfire associated with increases in logging slash and subsequent development of more wildfire prone early successional vegetation following many harvests;

• possible increases in ideal deleterious insect habitat (e.g., green slash) and/or disease substrates (e.g., stumps);

• potential for increased overland flow of water and subsequent potential for increased erosion, stream sedimentation, and watershed deterioration;

• changes in seral stages of vegetation with subsequent impacts on wildlife populations;

• rapid changes in nutrient cycling and availability;

• and numerous other impacts.

High-grading

Timber Sale Protocols 1. Design the timber sale to meet pre-designated silvicultural or stand management

objectives. 2. Pre-plan slash management, reforestation, and other necessary post-harvest activities. 3. Planning the harvest operation including designation of appropriate harvest systems to

achieve management objective. 4. Timber sale layout. Pre-designate yarding and falling. Locate property lines, corners, and

timber sale boundaries. Locate, and/or plan for and design necessary roads, landings, and other important harvest related features.

5. Pre-mark timber for removal. 6. Estimate the volume of timber to be removed. 7. Advertise the timber to be sold and contact potential log purchasers. 8. Show the sale to several well-qualified, conscientious logging contractors and obtain a

favorable price for accomplishing the job. 9. Prepare a clear and comprehensive logging contract. 10. Acquire all necessary permits, most notably from the Oregon Department of Forestry, and

coordinate with neighbors where necessary. 11. Administer and supervise the actual sale implementation 12. Accounting and payment to all parties for all logs removed.

(1) Design the timber sale to meet pre-designated silvicultural or stand management objectives on a site-by-site or stand basis, outlining the desired stand densities, structures and species compositions that should result upon completion. Determine if there is enough volume to justify harvesting at this time.

(2) Pre-plan slash management, reforestation, and other necessary post-harvest activities, often conducted by the landowner or a separate contractor. Designate timing of operations to reduce the possibility of damage from deleterious insects, damage to soil and watershed resources, and other possible resource values. Whenever possible, it is highly desirable to conduct harvest operations in the drier portion of the year, although one has to remain concerned and prepared for fire during the extended fire season.

Bill and Sarah Epstein Property, Ashland, Oregon

Max Bennett, OSU Extension Forester Rich and Rocky Stewardship Project Grants Pass BLM

(3)Plan the harvest operation including designation of appropriate harvest systems to achieve management objectives (e.g. ground-based using crawlers, skidders, feller-bunchers, horses; cable systems, using various types of yarders and associated systems; aerial systems using helicopters; etc.).

Jerry Black horse logging, ~1984

(4) Timber sale layout. Pre-designate yarding and falling patterns to limit soil compaction and disturbance, stand damage, and to maximize production. Locate property lines, corners, and timber sale boundaries. Locate, and/or plan for and design necessary roads, landings, and other important harvest related features.

Don Hamann skidding into landing on Bill and Sarah Epstein Property, Ashland, Oregon

(5) Pre-mark timber for removal to insure that the desired trees are removed - a particularly important procedure to be accomplished professionally if stand improvement is desired.

Willow-Witt Ranch Shale City Road area

OPPORTUNITIES FOR STAND IMPROVEMENT

Jud Parsons Property Siskiyou Pass area

OPPORTUNITIES FOR STAND IMPROVEMENT

(6) Estimate the volume of timber to be removed so that all parties (landowner, prospective logging contractors, and log purchasers) can plan appropriately.

(7) Advertise the timber to be sold and contact potential log purchasers. This is an art in its own right, as each mill prefers logs of different species, sizes, grades, and lengths. Purchasers can also buy logs in a number of different ways: stumpage, lump sum, timber deeds- with or without land, and by a unit of measure, most typically by thousand board feet or weight. Travel distance to an interested mill can affect the outcome of the bidding process, as well.

(8) Show the sale to several well-qualified, conscientious logging contractors and obtain a favorable price for accomplishing the job. Logging price can be vary considerably depending on the type of logging and associated activities required, the availability of loggers in general, and the degree of professionalism in obtaining a fair price from prospective logging contractors.

(9) Prepare a clear and comprehensive logging contract, so that all parties have clearly identified expectations. Logging contractors should be covered with appropriate property damage insurance, workers compensation, and be clearly abiding to all necessary laws and regulations.

(10) Acquire all necessary permits, most notably a Notification of Operations from the Oregon Department of Forestry, and coordinate with neighbors where necessary. Secure easements for access if necessary.

(11) Administer and supervise the actual sale implementation to insure that the job is being accomplished as agreed, with minimal damage to residual stands, advanced reproduction, soils, streams, aesthetic values, recreation sites, or other important resource values. Insure that all marked trees are being felled and bucked to meet specifications of purchasing mill and to maximize value return.

(12) Accounting for all logs removed. Logs should be branded. Load tickets should be filled out for all loads leaving the property. Logs scaled at purchasing mill by independent third party scaling bureau. Purchasing mill and scaling bureau develop scale tickets and summaries, from which proper payment to all participating parties is determined.

Alternatives

Tractor with Farmi winch Bill and Marion Collins Property Gold Hill, Oregon

John Sherck at work with multiple products for marketing

Alternatives: Portable Mill

Barn built by Christoph Buchler with Lumber from logs on Willow-Witt property, Ashland, Oregon

Portable mill produces lumber for barn on Main Property

Alternatives