HB 2398-S2 - DIGEST

(DIGEST OF PROPOSED 2ND SUBSTITUTE)

     Finds that it is in the best interest of the trust beneficiaries to capture additional revenues while providing for additional environmental protection on timber sales.

     Finds that contract harvesting is one method to achieve these desired outcomes.

     Authorizes the department to establish a contract harvesting program by directly contracting for the removal of timber and other valuable materials from state lands.

     States that the contract requirements must be compatible with the office of financial management's guide to public service contracts.

     Authorizes contract harvesting to be used anywhere in the state except for the area east of the Okanogan river, north of the Columbia river and main fork of the Spokane river as these rivers flow east of the crest of the Cascade mountains.

     Provides that the department may not use contract harvesting for more than ten percent of the total annual volume of timber offered for sale.

     Requires the board of natural resources to determine whether any special appraisal practices are necessary for logs sold by the contract harvesting processes, and if so, adopt the special appraisal practices or procedures.  In its consideration of special appraisal practices, the board of natural resources must consider and adopt procedures to rapidly market and sell any log sorts that failed to receive the required minimum bid at the original auction, which may include allowing the department to set a new appraised value for the unsold sort.

     Requires the board of natural resources to establish and adopt policy and procedures by which the department evaluates and selects contract harvesters.

     Requires the department of natural resources to provide a report to the appropriate committees of the legislature concerning the costs and effectiveness of the contract harvesting program.  The report must be submitted by December 31, 2005.