It is quite possible for one man to patrol from 5,000 to 20,000 or even 

 more acres of forest land, depending upon topography and other local con- 

 ditions. The larger the area which can be patrolled by one man, the smaller 

 the acreage cost. If one man has to spend his time protecting 500 acres 

 of forest land it would make the acreage cost very high and would prob- 

 ably make the proposition a bad investment. 



Owing to the problem of patrol it can be readily understood that the 

 state or other corporation could not deal with small, detached areas. This 

 question, of the difficulty of protecting small detached areas, usually makes 

 inadvisable for private persons to undertake forestry as a separate invest- 

 ment, especially where the tract is a long distance from the owner's resi- 

 dence. 



The annual cost of forest administration and protection in Germany 

 varies from twenty-two cents to sixty five cents per acre. Owing to a more 

 scattered population and other factors our acreage cost will be much smaller. 

 Some estimates have placed this at fifteen cents per acre which is probably 

 conservative enough for the present consideration. 



TAXATION. Provincial or "crown lands" in Ontario are exempt, at 

 present, from taxation so that in government management of forest lands 

 it is not entirely necessary to discuss this question. Waste lands, as 

 described in previous pages, are situated in organized communities and 

 certain existing roads will necessarily have to be maintained. These roads 

 will act as splendid fire lines and part of their maintenance should be 

 charged to protection. 



For the present discussion a tax will be charged against the forest 

 crop. I will use the township or municipal rate which is imposed for all 

 purposes, including schools. In 1907 this rate was 17 mills on the dollar. 

 The average rate for the last decade was about 16 mills. It may be claimed 

 that this is a high tax rate to apply to forest land but it will be on the 

 safe side. 



Taking one acre of White Pine as a unit, it will be of interest to sum 

 up what it will have cost at the end of sixty years : 



Cost of land $5, at 3 per cent, for 60 years $39 39 



Cost of plants and planting $10, at 3 per cent, for 60 years 78 78 



Management and protection 15c. per year at 3J per cent, for 60 years. . . 29 48 



Taxation (rate of 17 mills on the dollar would give an acreage charge 

 of 8.5 cents on five dollar land). 9c. per year at 3J per cent, for 60 

 years 17 69 



Total $165 34 



Less original cost of land 5 00 



Total expense $160 34 



From various growth studies made in the Lake States and elsewhere it 

 is quite reasonable to say that an acre of 60 years old White Pine, artifici- 

 ally planted will contain about two hundred trees varying from 12 inches 

 to 24 inches in diameter. Assume that there will be two hundred trees of 

 18 inches diameter which is a conservative estimate. This 18 inch tree 

 will cut at least 300 feet B.M. and the acre would yield 60,000 feet. At 

 a stumpage value of $10.00 per 1,000 the acre would be worth f 600. 00. 



The above estimate does not take into account the thinnings which 

 would come during the period. It is interesting to note that 40 per cent, 

 of the net profits of German forests are derived from thinnings. The f 600.00 

 represents only saw material and there would" without doubt be a market 

 for the smaller dimensions. 



Stumpage value for one acre of White Pine 60 years old $600 00 



Total cost as shown above 160 34 



Net profit $439 66 



This $439.66 is the same as a yearly rental of $2.25 during the 60 years, 

 being capitalized at 3% per cent, in addition to the 3i per cent, compound 

 interest on all money invested. 



