NATIONAL FOREST MANUAL TIMBER SALES. 39 



Whether the claim is apparently held in good faith or not, if timber 



is cut and removed payment will be made to the 

 ber cJ??m f S r ataT Government in all cases except where the timber is 



removed in good faith for the purpose of clearing the 

 land for cultivation or for development, or where at the time of 

 cutting the timber is actually needed by the claimant for use in 

 making improvements on the land embraced in his entry or location. 

 If anv such claimant should need timber for the purposes above 

 specified and should be unable to obtain it on his claim, he will be 

 allowed to take timber under free use permit from other lands of the 

 United States for these purposes up to the amount cut from the 

 claim for which the United States has received payment. 



Where the boundaries of a mining location are not specifically 



marked and there are practically no evidences of its 

 io3? ed minins existence, a sale of the timber on the area may be 



consummated notwithstanding subsequent protest of 

 am- party alleging the location of a mineral claim covering such 

 area prior to the sale. 

 The department will not attempt, without the consent of the 



claimant, to sell or cut timber from unperfected, 

 ciatasf e d subsisting claims within a National Forest except in 



emergencies arising from insect infestations. 

 Particular care will be taken not to sell or cut the timber from 



lands which after survey will be school or railroad 

 roa?sections? ' " lands, and from unclassified railroad sections within 



the primary limits of the grant. 



No timber will be sold at prices lower than the minimum or higher 

 stum a e rices than the maximum fixed annually by the Secretary 



for the species, grade, and location, without first 

 obtaining the Secretary's approval. Appraisals higher than the 

 maximum rates or lower than the minimum rates will be submitted 

 to the Secretary for approval in accordance with the following 

 instructions : 



In all sales the stumpage prices will be based not upon local prices 

 but upon the actual value of the timber. Timber on a gentle slope 

 and within a mile of a drivable stream may be worth more than twice 

 as much as equally good but less accessible timber. The Forest 

 Service will not compete in price with timber from claims or land 

 grants. The actual value will be determined by deducting from 

 the value of the product the cost of logging and manufacture and a 

 percentage of profit ranging from 10 to 30 per cent on the investment 

 required in each 1,000 feet b. m. or other unit of quantity which is 

 handled. The exact percentage will depend upon the size of the 

 operation, the stability of market conditions, and the risk of loss 

 involved. 



The data necessary to determine the actual value of the timber 

 will be carefully obtained in each case by the Forest officer making 

 the examination. The value of the manufactured product will be 

 reported, together with the prices of competing timber and the esti- 

 mated profit to the purchaser at the stumpage price recommended. 

 The cost of brush disposal, protection of young growth, close utiliza- 

 tion, and logging only marked timber must be considered before 

 deciding on the value of stumpage. 



