OPPORTUNITIES FOR PURCHASING NATIONAL FOREST TIMBER. 



The National Forests contain nearly 590 billion feet of merchantable stumpage. 

 The mature timber, which constitutes a large part of the total stand, is for sale. The 

 more accessible bodies may be purchased in blocks of practically any desired size 

 up to 75 million feet. Less accessible stumpage which requires a large investment 

 for the construction of transportation facilities may be purchased in larger quantities 

 of sufficient size to justify the investment in improvements. Applications up to one 

 billion feet will be approved if the investment required necessitates the purchase 

 of a body of that size under one contract. 



The procedure for purchasing National Forest timber is extremely simple. Appli- 

 cations specifying the amount, species, and general location desired may be sent to 

 the offices of the Forest Service at Washington, D. C; Missoula,[Mont. ; Denver, Colo.; 

 Albuquerque, N. Mex.; Ogden, Utah; San Francisco, Cal.; and Portland, Oreg. 

 Advertisement at a fixed minimum price is required by law for at least 30 days. 

 The timber is then awarded to the highest bidder and the sale completed by exe- 

 cution of the contract stating the amount and location of the stumpage, the 

 stumpage rates, and the conditions under which the timber shall be removed. 



The contract requirements have been prepared by practical lumbermen and per- 

 fected by the experience gained in the administration of several thousand sales. 

 They are adapted to the local conditions as to topography, size of the timber, and 

 logging methods. That they are eminently practical is demonstrated by the fact 

 that some 600 million feet are cut each year under these requirements by lumbermen 

 all over the West. 



Sufficient time is permitted for the removal of the amount purchased under local 

 conditions of logging and manufacture. The time is gauged, however, to require 

 continuous operation at a reasonable rate and does not permit the holding of stumpage 

 for speculative increases in value. Contracts exceeding five years in duration pro- 

 vide for a readjustment of stumpage prices at not less than three-year intervals begin- 

 ning with the commencement of the cutting period and exclusive of any preliminary 

 period allowed for the construction of improvements. These readjustments are 

 based upon average lumber values during the three years preceding the date of read- 

 justment as compared with the average lumber values upon which the initial stump- 

 age prices are based. The timber to be cut is designated by the forest officers. Either 

 clean cutting, or partial cutting taking 70 to 80 per cent of the stumpage, is employed, 

 depending upon the character of the timber and the best methods of securing new 

 forest growth. Simple precautions are required to protect the uncut timber and 

 young growth, and the disposal of slash by burning, either with or without piling, is 

 necessary. These requirements may increase the cost of logging from 50 to 75 cents 

 a thousand feet over the usual cost on private holdings. The difference is always 

 considered in appraising the value of the stumpage. Furthermore, an operator who 

 buys National Forest timber has to make practically no investment at the outset for 

 his stumpage, has no carrying charges for interest or taxes, and incurs practically no 

 fire risk. He is required simply to pay for the timber as it is removed in advance 

 deposits, which represent usually but the value of two months' cut. 



These are obvious advantages, particularly when extended over an operation of 10 

 or 15 years. As private stumpage is cut out in many of the old lumbering centers, 

 operators will find, in the timber on the National Forests, new opportunities for 

 manufacture under advantageous conditions. 



