Rule-Making Notices
Notice of Hearing
Natural Resources
Fish, Game, etc., Chs. NR 1—
Hearing Information
The hearing will be held on:
May 13, 2009
Wednesday
at 10:00 AM
|
Video conference participation will be available at:
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Room 139, State Office Building,
718 W. Clairemont Avenue, Eau Claire
Room 618, State Office Building,
200 N. Jefferson Street, Green Bay
Room G11, Natural Resources State Office Building, 101 S. Wilson Street, Madison
Communications Art Center, UW- Stevens Point, 1101 Reserve Street, Stevens Point
Pursuant to the Americans with Disabilities Act, reasonable accommodations, including the provision of information material in an alternative format, will be provided for qualified individuals with disabilities upon request. Please call Kathy Nelson at (608) 266-3545 with specific information on your request at least 10 days before the date of the scheduled hearing.
Copies of Proposed Rule, Submission of Written Comments, and Agency Contact Person
The proposed rule and fiscal estimate may be reviewed and comments electronically submitted at the following Internet site:
http://adminrules.wisconsin.gov
. Written comments on the proposed rule may be submitted via U.S. mail to Ms. Kathy Nelson, Forest Tax Section, Bureau of Forest Management, P.O. Box 7921, Madison, WI 53707. Comments may be submitted until May 29, 2009. Written comments whether submitted electronically or by U.S. mail will have the same weight and effect as oral statements presented at the public hearings. A personal copy of the proposed rule and fiscal estimate may be obtained from Ms. Nelson.
Analysis Prepared by Department of Natural Resources
Statutes interpreted
Statutory authority
Summary of proposed rule
The proposed rule:
1.
Revises the annual stumpage rates for the period between November 1, 2009 and October 31, 2010 as required in ss.
77.06(2)
and
77.91(1)
, Stats. While the statewide averages increased slightly, there are fluctuations between market zones and individual prices. Of all total 624 prices calculated, 173 (28%) increased, 188 (30%) decreased and 263 (42%) stayed the same.
2.
Amends the petition requirements in NR 46.16 (5). Petition requirements are being changed to streamline the administration and processing of new MFL entries. The rule would be modified to allow entries of land per municipality except in cases where lands must cross municipality lines to meet eligibility requirements.
3.
Amends management plan requirements in NR 46.18 (5): Deadlines to submit management plans for DNR approval are being changed to make the two application deadlines similar to each other. Landowners with management plans prepared by DNR foresters must return their signed plans by August 1. A change in this deadline to August 15 is proposed to make the certified plan writer and DNR deadline the same for landowners to turn in completed management plans.
Small Business Impact
The proposed rule may have an impact on small businesses. The initial regulatory flexibility analysis is as follows:
Initial regulatory flexibility analysis
Types of small businesses affected:
Any business with land enrolled in either the Managed Forest Law or the Forest Crop Law or wishing to enroll land under the Managed Forest Law.
Description of reporting or bookkeeping procedures required:
No procedures not already required.
Description of professional skills required:
No new skills are required.
Small business regulatory coordinator
The Department's Small Business Regulatory Coordinator for this rule may be contacted at
quinn.williams@ wisconsin.gov
or by calling (608) 266-1318.
Environmental Impact
The Department has made a preliminary determination that this action does not involve significant adverse environmental effects and does not need an environmental analysis under ch.
NR 150
, Wis. Adm. Code. However, based on the comments received, the Department may prepare an environmental analysis before proceeding with the proposal. This environmental review document would summarize the Department's consideration of the impacts of the proposal and reasonable alternatives.
Fiscal Estimate
Assumptions used in arriving at fiscal estimate
This proposed rule change addresses the annual stumpage rate changes used in the calculation of severance and yield tax collections under Forest Cop Law (FCL) and Managed Forest Law (MFL) when timber is harvested from the private lands enrolled in the programs.
There is an undetermined impact in revenues to local municipalities. Timber prices have been variable from 2007 through 2008. The average statewide prices for sawlogs have increased 3%, with a range of a 21% increase to a 15% decrease. The average statewide prices for cords have increased 1%, with a range of a 10% increase to a 7% decrease. Prices for mixed products (mixture of sawlogs and cords for red pine, white pine and spruce) have dropped 12%, with a range of a 14% increase and a 31% decrease. Piece products (posts and poles) had a 12% increase in prices, with some market zones having an increase in prices of 96%. The increase in piece prices appears to be due to the additional reporting of piece products more than fluctuations in the markets. Only 12 of the available 143 piece product values were reported in the past year. This reporting is more than past years' reporting, so it is possible that piece products may be undervalued in some market zones.
While the statewide averages increased slightly, there are fluctuations between market zones and individual prices. Of all total 624 prices calculated, 173 (28%) increased, 188 (30%) decreased and 263 (42%) stayed the same.
The severance and yield tax collected in CY 2008 was $1,734,479. This value is 17% lower than it was in CY 2006. Timber harvest volumes are down since CY 2007 by the following amounts:
Cordwood
|
Down 11%
|
Fuelwood
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Down 5%
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Sawlogs
|
Down 11%
|
Mixed Product
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Up 510%
|
Piece Products
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Down 43%
|
Christmas Trees
|
Down 16%
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Reporting of mixed products increased most likely due to the awareness that private landonwers may sell red pine, white pine and white spruce in this fashion. Based on the very small statewide increase in timber prices an estimated $3,090.00 will be collected for municipalities.
Estimates are based on the average change in rates for private land timber sales across species and zone for each product type (cordwood, sawtimber and mixed), the volumes reported and paid for in CY 2008, and the assumption that the volume and the ratio of the cordwood and sawtimber will remain the same. Actual impact for a county and municipality will vary by the number of harvests completed and the actual species and products cut.
Other requested changes in NR 46 will streamline the implementation of the MFL program. Requests to enter lands based on municipal lines except for when lands must be combined with other lands in adjacent municipalities will have no impact on local or state finances.
Requests to change the plan completion dates will have no financial impact on local or state finances.
State fiscal effect
None.
Types of local governmental units affected
Towns, villages, cities, counties.
Fund sources affected
SEG.
Affected Chapter
20
appropriations
Long-range fiscal implications
None.