The estimate of $3,565,000 is an increase of $384,000 consisting of(1) An increase of $7,000 to bring increased pay costs to a full year basis; (2) An increase of $310,000 to expand activities in forest management, primarily in support of the sale of less accessible timber, reduce timber trespass cases and increase set-aside timber sale efforts in cooperation with the Small Business Administration.

(3) An increase of $17,000 in the Government's contribution to the reforestation of O. & C. lands; and,

(4) An increase of $50,000 for contractual fire protection service as a result of increased costs.

Need for increase. Increasingly remote locations of timber, the cumulative effects of previous and current activities, expansion of forest management functions, and growing demands for services require a substantial increase in funds for fiscal year 1962. Among the specific activities which require additional funds or effort for fiscal year 1962 are those necessary to: (a) administer an additional 45,000 acres planted or seeded during fiscal years 1960-61; (b) finance additional fire contract costs ($50,000) resulting from rising costs of services and materials; (c) administer additional timber sales contracts, grant additional rights-of-way permits, and secure additional easements or rights-of-way for timber sales; (d) expand the sale of thinnings; (e) process up to 100 additional trespass cases; and (f) substantially expand the emphasis on advance planning for access roads, timber sales, and related activities.

Plan of work. Forestry activities conducted on the Oregon and California grant lands include the three major functions of forest management, forest development, and forest protection as described below:

(1) Forest management: The estimates include $2,864,000 for this function which is an increase of $317,000 (including $7,000 related to pay costs) over the amount available for fiscal year 1961. Activities in this function include those directly related to production and sale of O. & C. timber on a sustained yield basis and compatible use of the O. & C. lands and their resources for maximum longterm local and national benefits. Forest products and many of the related resources which are harvested annually from the O. & C. lands are renewable resources. With appropriate protection and mangement successive crops can be harvested each year in perpetuity. Under such management this practice can be maintained on a substantial revenue producing basis for the foreseeable future. Continuous forest management planning is conducted as an essential prerequisite of efficient forestry programs. The size and complexity of the total resource management program for the O. & C. lands requires comprehensive planning to coordinate the program and to integrate it with those of other public agencies and intermingled private land and timber owners. Such planning contributes materially to the stability of local industries and local economies while also serving as a sound basis for resource management by the Bureau.

A central feature in the forest management of the O. & C. lands is the establishment, by timber inventory, of the declared annual sustained yield allowable cut for these lands, which presently is 874.2 million board-feet. A perpetual inventory is required to maintain accurate, reliable basic timber volume, growth, depletion and mortality data and to keep a realistic relationship between such data and relevant technological and economic changes. Other Federal, State, county and private timber landowners in the Pacific Northwest are making a joint effort to establish and maintain a long-term and uniform inventory technique throughout the area. As a major land agency in the area, the Bureau participates in this effort which has been initiated, and should be fully established in fiscal year 1962.

The O. & C. Act (50 Stat. 874) states in part * not less than the annual sustained yield capacity when the same has been determined and declared, shall be sold annually" It is anticipated that timber sale offerings in 1962 will approximate 1 billion board-feet including approximately 120 million boardfeet of salvage and thinnings not chargeable to the allowable cut. Offering of this volume of timber is considered to reflect a balanced forestry program which requires an adequate sales program integrated with related management functions, including access, trespass control, land pattern adjustment, and administrative and technical operations.

The average selling price per thousand board-feet was $34.19 in fiscal year 1960 as compared to $32.63 in fiscal year 1959. The average selling price is indicative of the current strong demand for O. & C. timber which is expected to continue. Rapid cutting of privately owned timber in this area also is expected to continue. The volume, sale price, and receipts for O. & C. and CBWR timber sold during fiscal year 1958-60 and estimated receipts for fiscal year 1961 and 1962 are as follows:

Includes receipts from sale of Coos Bay Wagon Road Grant Lands timber.
* Includes $800,000 transferred by the Forest Service from prior year collections.

The average cost and average effort required to offer a given unit of O. & C. timber for sale in fiscal year 1962 is expected to be somewhat greater than in fiscal years 1960 and 1961, for the following reasons: (1) previously appraised timber will not be available; (2) remaining uncut timber is more remotely located, generally less concentrated, and situated on more rugged terrain; (3) more intensive forestry practices will be followed, including more check cruising and closer supervision of sales areas; (4) the rapidly expanded sales program has resulted in a greater number of sales areas which require increased administrative supervision, especially of sales made in previous years; (5) “set-aside" sales practices pursuant to Public Law 85-536 will require additional effort; and (6) approximately 17 million board feet of thinnings will be offered in fiscal year 1962. Much of the volume in young stands is lost by natural mortality. With appropriate techniques, it will be possible to salvage most of such material and thereby ultimately provide a greater supply of urgently needed timber for local industries. The checkerboard pattern of the O. & C. lands created many unavoidable access problems. The more than 2 million acres of O. & C. lands include over 7,000 separate tracts; they are intermingled with more than 10 million acres of lands in other ownership. To assure equal opportunity for competitive bidding for 0. & C. timber, access to the timber is guaranteed prior to its offering. An estimated 274 right-of-way permits or easements involving 186 miles of route are needed by the Bureau for its 1961 sales program; 391 permits are needed for the 1962 sale program. Owners of lands intermingled with the O. & C. lands in turn require right-of-way permits to transport non-Federal timber across O. & C. lands or on O. & C. roads; an estimated 286 and 300 permits are needed by such parties in fiscal years 1961 and 1962, respectively. Additional efforts to secure satisfactory access to O. & C. timber will be needed in 1961-62 due to the more remote locations of much of the timber being offered for sale.

The scattered nature of the O. & C. lands results in an ownership perimeter of approximately 13,220 miles. Much of this perimeter is not readily identifiable, and consequently, trespass is not uncommon. In many instances, trespass is unintentional. An estimated 500 cases involving 150 million board feet currently valued at $3,500,000 are known or suspected. During fiscal year 1960, 115 trespass cases involving 3.4 million board feet and $79,000 were closed. Planned expansion of this activity should permit the disposal of approximately 200 cases in 1962, including many of the more complex cases of long standing. Greater emphasis also will be given to prevention of further trespass and to detection of existing cases.

(2) Forest development: The estimates include $100,000 for this function which is $17,000 over the amount available for fiscal year 1961. This amount represents the Government's contribution to the reforestation of the O. & C. lands. Reforestation is being financed primarily with funds contributed by the O. & C. counties on a ratio of about $7 by the counties to $1 by the Government. The increase for 1962 reflects a parallel increase by the counties. Details of this program are discussed under the appropriation, "Oregon and California grant lands."

(3) Forest protection: The estimates include $601,000 for this function which is $50,000 over the amount available for fiscal year 1961. The increase is due to rising contract and service costs.

The State of Oregon and the Forest Service have competent and well-equipped fire control organizations in the O. & C. area. The Bureau of Land Management makes use of these facilities through contractual arrangements in lieu of duplicating similar organizations for its own use. These contracts are negotiated on a rate per acre based on the cost experiences of the contractors.

Additional elements of cost are the felling of snags, disposal of slash, development of fire trails, and extra protection for areas of high fire hazard which are usually covered by other contracts.

Standing dead trees promote rapid spread of forest fires, and increase the problem of controlling going fires. Owners of adjacent or intermingled lands are felling snags, constructing fire truck trails, and clearing corridors across their own lands. It is mutually advantageous to the Bureau and intermingled landowners to coordinate their efforts in reducing these hazards.

Approximately 2,145,700 acres of O. & C. lands are protected under contracts with the State of Oregon and the Forest Service. The Bureau contributes to presuppression and control measures by removal of snags, slash disposal, and development of fire trails. The program for fiscal year 1962 is as follows:

The estimate of $3,673,000 is an increase of $819,000 consisting of: (1) An increase of $50,000 to bring increased pay costs to a full year basis. (2) An increase of $436,000 to expand activities in forest management in support of a larger timber sales program.

(3) An increase of $170,000 to provide for the reforestation of an additional 3,300 acres.

(4) An increase of $49,000 to cover a special assessment for contract costs and for studies of fire contract costs.

(5) An increase of $114,000 to continue the expansion of the Alaskan fire protection system.

Need for increase.-A steadily growing demand for timber from public domaia lands, increasingly remote locations of such timber involving complex access problems, an expanded timber sales program with modest expansion of certain related program functions, and the cumulative effects of previous and current activities, require a substantial increase in funds for fiscal year 1962. Among the specific activities which require additional funds and effort in 1962 are those necessary to: (a) increase the volume of timber to be offered for sale to 233 million board feet as compared to the 188 million board feet offered in 1961; (b) increase the reforestation program from 500 acres scheduled for 1961 to 3,800 acres in 1962; (c) administer additional timber sales contracts, grant additional rights-of-way permits, and secure additional easements or rights-of-way for timber sales; (d) substantially expand the emphasis on advance planning for access roads, timber sales and related activities, and on the initial inventory of commercial forest lands; and (e) participate in the development of recreation facilities on forested public lands in several western States.

Plan of work.-Forestry activities conducted on the public domain include the three major functions of forest management, forest development, and forest protection, as described below:

(1) Forest management: The estimates include $1,783,000 for this function which is an increase of $474,000 (including $38,000 related to pay costs) over the amount available for fiscal year 1961. Activities in this function include those directly related to production and sale of timber from the public domain forest lands on a sustained yield basis and compatible use of other resources for maxi

mum long-term local and national benefits. Forest products and many of the related resources which are harvested annually from the public domain forest lands are renewable resources. With appropriate protection and management successive crops can be harvested each year in perpetuity. Under such management this program can be maintained on a revenue producing basis for the foreseeable future.

Diminishing supplies of available timber from non-Federal sources and expansion of timber processing facilities due to enlarged markets, as well as a steadily increasing demand for use of public domain forest lands for other purposes, now make it so essential to develop comprehensive plans for managing the timber and related resources. Planning effort will be expanded materially in fiscal year 1962.

Proper forest management depends upon an adequate knowledge of the forest resources involved. Inventory data for the public domain forest lands are based upon empirical information or estimates. An extensive type of inventory program has been initiated to provide basic information essential to a sound public domain forestry program. This inventory program will be expanded in fiscal year 1962. The initial inventory is programed for completion by 1965.

Demands for forest products from the public domain lands are increasing steadily in Alaska, Idaho, Oregon, California, Montana, Colorado, and other Western States. This timber and the expanding timber industries in these States are becoming increasingly significant to the economy of many local communities. During fiscal year 1962, 233 million board feet with receipts estimated at $3,760,000 can be offered for sale with the funds expected to be available for public domain forest management. The volume and receipts for public domain timber sold for fiscal years 1958-60 and estimated volumes and receipts for fiscal years 1961 and 1962 are as follows:

Except in Alaska, the 157.7 million acres of public domain forest lands are scattered and intermingled with privately owned lands. To assure equal opportunity for competitive bidding for this timber, access is required prior to its offering. An estimated 475 easements or right-of-way permits must be secured for the 1962 timber sale schedule. The scattered nature of the public domain forest lands and the extensive ownership perimeter, much of which is not readily identified, have created conditions which make trespass prevention and control a particularly difficult problem. Inventory activities are revealing many heretofore unknown trespasses. More than 500 timber trespass cases are now pending; suspected but as yet unconfirmed trespasses are expected to increase this figure substantially. In fiscal year 1960, 127 timber trespass cases involving 10,771 M board feet valued at $162,288 were closed. A program at almost twice this level is planned for fiscal year 1962.

(2) Forest development: The estimates include $200,000 for this function which is an increase of $170,000 over the amount available for fiscal year 1961.

This program, limited to the very productive timber lands in Oregon and northern California, was initiated in fiscal year 1958. Due to the large scale timber sales program in these areas, and the generally long delay in natural reforestation, the backlog of nonstocked lands is increasing rapidly. Encroaching brush and other vegetation on these lands will raise the reforestation costs substantially. Continued limited reforestation efforts could eventually reduce the annual sustained yield allowable cut and in turn the timber sales program. Prompt reforestation of cutover or burned over Coos Bay Wagon Road grant lands and public domain timber lands in western Oregon, northern California, Idaho, Montana, and Colorado is essential to sustained yield forest management of these lands and continuation of a high level of timber sales in these areas. An estimated 25 million board feet of potential timber growth valued at approximately $750,000 per year is lost each year the 60,000 acres which need to be reforested are left unstocked. Additional losses accrue due to site preparation needs prior to reforesting when reforestation is delayed. Of the 18,000 acres cutover each year, an estimated 9,000 acres will probably require reforestation.

The estimated reforestation needs for the Coos Bay Wagon Road grant lands and public domain forest lands in western Oregon, northern California, Idaho, Montana, and Colorado, and the program for fiscal year 1962 are summarized as follows:

Remaining to be reforested at end of fiscal year 1962......

9,000

3, 800

80, 860

Funds requested in fiscal year 1962 for forest development will provide for the following:

(3) Forest protection, Western States: The estimates include $699,000 for this function which is an increase of $49,000 over the amount available for fiscal year 1961. The increase is necessary for a special assessment of $32,000 for contract costs in Montana due to high costs of fire suppression during the past summer and $17,000 for studies of fire contract costs and snag felling. This function provides for fire protection on more than 3 million acres of public domain forest lands by means of contracts with public agencies having established fire control organizations and facilities. Some contracts are based on experience during only the past year, while others are based on an average of several prior years. In view of the unusually severe fire season just past, the negotiation of these contracts may involve amounts considerably in excess of those used in preparing this estimate. The program for fiscal year 1962, by State, acreage protected, and estimated cost, follows:

(4) Forest protection, Alaska: The estimates include $991,000 for this function which is an increase of $126,000 (including $12,000 related to pay costs) over fiscal year 1961.

Alaska's development during postwar years has been rapid. Its population has trebled. Its highway system has been extended several hundred miles, opening to settlement and travel heretofore remote country; its new, 10-year Federal highway program will greatly increase this development. Tourist and recreation travel has increased considerably (30 percent in 1956-57 alone) and steady increase is expected. Industrial and mineral development is beginning. Military activity is found throughout Alaska. All of these developments in Alaska increase fire risks over a widening area of the forested land, because man-caused fires comprise 75 percent of fire occurrences in Alaska.

As Alaska develops, greater economic value accrues to her forests as sources of wood fiber for the expanding needs of the United States. Such use is expected within the next 10 to 50 years-too soon to grow new forests; the present ones