Author: Richard W. Haynes
Publisher:
ISBN:
Category : Timber
Languages : en
Pages : 43
Book Description
The USDA Forest Service is required to appraise timber prior to it being offered for sale. Currently the Forest Service uses a transaction evidence based approach, but concerns have been raised about availability -- both in number and applicability -- of timber sales used as the basis of this approach. In addition to the problem of few sales, in certain situations a notable fraction of the sales may be made at the minimum rate. This transaction evidence system and the application of a rollback factor in setting a minimum bid rate can result in appraised prices declining over time in areas with low competition, even though primary product prices are increasing. This study evaluates several changes that may be needed to address these concerns. The changes should be able to provide a base period price (BPP) that does not rely on local transactions. The estimated BPP could rapidly respond to change in timber and product market conditions and after local cost adjustments would provide an estimated fair market value for sales with mixes of sawtimber and nonsawtimber products. We propose use of price mark-up rules to estimate BPPs for various timber product classes. These price mark-up rules could be estimated for various geographic zones and would predict quarterly average stumpage prices for recent sales based on primary product price indexes. The mark-up equation estimates of average base period stumpage price are compared to actual high bid values for 810 recent Forest Service timber sales. The comparisons highlight a number of issues that need to be addressed and require decisions by forest management decision makers as part of implementation. These issues include selection of geographic zones where mark-up equations may be needed to estimate BPP, appropriate size of timber appraisal zones when mark-up equations are used, assignment of sawtimber and nonsawtimber volumes to appraisal groups, structure and extent of uniformity of cost adjustments, treatment of high- and low-value hardwoods, adjustments for bid premiums, and selection of rollback factors.
A Process to Establish and Use Base Period Prices for National Forest System Transaction Evidence Timber Appraisal
Author: Richard W. Haynes
Publisher:
ISBN:
Category : Timber
Languages : en
Pages : 43
Book Description
The USDA Forest Service is required to appraise timber prior to it being offered for sale. Currently the Forest Service uses a transaction evidence based approach, but concerns have been raised about availability -- both in number and applicability -- of timber sales used as the basis of this approach. In addition to the problem of few sales, in certain situations a notable fraction of the sales may be made at the minimum rate. This transaction evidence system and the application of a rollback factor in setting a minimum bid rate can result in appraised prices declining over time in areas with low competition, even though primary product prices are increasing. This study evaluates several changes that may be needed to address these concerns. The changes should be able to provide a base period price (BPP) that does not rely on local transactions. The estimated BPP could rapidly respond to change in timber and product market conditions and after local cost adjustments would provide an estimated fair market value for sales with mixes of sawtimber and nonsawtimber products. We propose use of price mark-up rules to estimate BPPs for various timber product classes. These price mark-up rules could be estimated for various geographic zones and would predict quarterly average stumpage prices for recent sales based on primary product price indexes. The mark-up equation estimates of average base period stumpage price are compared to actual high bid values for 810 recent Forest Service timber sales. The comparisons highlight a number of issues that need to be addressed and require decisions by forest management decision makers as part of implementation. These issues include selection of geographic zones where mark-up equations may be needed to estimate BPP, appropriate size of timber appraisal zones when mark-up equations are used, assignment of sawtimber and nonsawtimber volumes to appraisal groups, structure and extent of uniformity of cost adjustments, treatment of high- and low-value hardwoods, adjustments for bid premiums, and selection of rollback factors.
Publisher:
ISBN:
Category : Timber
Languages : en
Pages : 43
Book Description
The USDA Forest Service is required to appraise timber prior to it being offered for sale. Currently the Forest Service uses a transaction evidence based approach, but concerns have been raised about availability -- both in number and applicability -- of timber sales used as the basis of this approach. In addition to the problem of few sales, in certain situations a notable fraction of the sales may be made at the minimum rate. This transaction evidence system and the application of a rollback factor in setting a minimum bid rate can result in appraised prices declining over time in areas with low competition, even though primary product prices are increasing. This study evaluates several changes that may be needed to address these concerns. The changes should be able to provide a base period price (BPP) that does not rely on local transactions. The estimated BPP could rapidly respond to change in timber and product market conditions and after local cost adjustments would provide an estimated fair market value for sales with mixes of sawtimber and nonsawtimber products. We propose use of price mark-up rules to estimate BPPs for various timber product classes. These price mark-up rules could be estimated for various geographic zones and would predict quarterly average stumpage prices for recent sales based on primary product price indexes. The mark-up equation estimates of average base period stumpage price are compared to actual high bid values for 810 recent Forest Service timber sales. The comparisons highlight a number of issues that need to be addressed and require decisions by forest management decision makers as part of implementation. These issues include selection of geographic zones where mark-up equations may be needed to estimate BPP, appropriate size of timber appraisal zones when mark-up equations are used, assignment of sawtimber and nonsawtimber volumes to appraisal groups, structure and extent of uniformity of cost adjustments, treatment of high- and low-value hardwoods, adjustments for bid premiums, and selection of rollback factors.
Timber appraisal handbook
Author: United States. Forest Service
Publisher:
ISBN:
Category :
Languages : en
Pages : 190
Book Description
Publisher:
ISBN:
Category :
Languages : en
Pages : 190
Book Description
Review the Appraisal of Stumpage Value for Timber Sold from the Tongass National Forest
Author: United States. Congress. House. Committee on Agriculture. Subcommittee on Forests, Family Farms, and Energy
Publisher:
ISBN:
Category : Timber
Languages : en
Pages : 120
Book Description
Publisher:
ISBN:
Category : Timber
Languages : en
Pages : 120
Book Description
Federal Timber Sales
Author: United States. General Accounting Office
Publisher:
ISBN:
Category : Forest policy
Languages : en
Pages : 56
Book Description
Publisher:
ISBN:
Category : Forest policy
Languages : en
Pages : 56
Book Description
Ashley National Forest (N.F.), Trout Slope Timber Project
Author:
Publisher:
ISBN:
Category :
Languages : en
Pages : 194
Book Description
Publisher:
ISBN:
Category :
Languages : en
Pages : 194
Book Description
A Valuation Model of National Forest Stumpage
Author: Timothy Mark Young
Publisher:
ISBN:
Category : Wood
Languages : en
Pages : 168
Book Description
Publisher:
ISBN:
Category : Wood
Languages : en
Pages : 168
Book Description
Timber Program Issues
Author:
Publisher:
ISBN:
Category : Timber
Languages : en
Pages : 324
Book Description
Publisher:
ISBN:
Category : Timber
Languages : en
Pages : 324
Book Description
Timber Sale Planning and Analysis System
Author:
Publisher:
ISBN:
Category : Forest management
Languages : en
Pages : 80
Book Description
Publisher:
ISBN:
Category : Forest management
Languages : en
Pages : 80
Book Description
Marking and Pricing of Timber in National Forests
Author: United States. Congress. House. Committee on Interior and Insular Affairs. Subcommittee on Public Lands
Publisher:
ISBN:
Category : Forest management
Languages : en
Pages : 164
Book Description
Committee Serial No. 16. Examines Federal timber pricing and marketing policies impact on lumber industry in western states.
Publisher:
ISBN:
Category : Forest management
Languages : en
Pages : 164
Book Description
Committee Serial No. 16. Examines Federal timber pricing and marketing policies impact on lumber industry in western states.
Wallowa-Whitman National Forest (N.F), Beaver Creek Fuels Reduction and Associated Restoration Projects
Author:
Publisher:
ISBN:
Category :
Languages : en
Pages : 254
Book Description
Publisher:
ISBN:
Category :
Languages : en
Pages : 254
Book Description