The URL can be used to link to this page

Home My WebLink AboutUPDATE re DNR 1st Quarter Report 10:00 a.m. Regular Agenda JEFFERSON COUNTY BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST TO: Board of County Commissioners FROM: Adiel McKnight, Deputy Clerk of the Board DATE: June 15, 2026 SUBJECT: UPDATE re: Washington State Department of Natural Resources (DNR) 2026 1st Quarter County Income Report STATEMENT OF ISSUE: Bill Wells, Olympic Region Manager, and Drew Rosanbalm, Assistant Region Manager-State Lands, will provide the Commissioners with an update regarding DNR's Quarterly County Income Report. Junior taxing districts that have an interest in DNR county income—such as fire districts and school districts—will be notified of this agenda item. Other parties of interest in this session include the Jefferson County Treasurer and Assessor. FISCAL IMPACT: DNR staff will discuss timber sales and revenue reports. Jefferson County, as well as junior taxing districts within the county, have an interest in DNR proceeds from timber sales on State Trust Lands. RECOMMENDATION: Listen to the DNR update and ask questions, as needed. Should there be representatives of junior taxing districts present, consider accepting comments or otherwise enabling participation from those representatives. REVIEWED BY: J s D. Peters, County Administrator Dat rs .........44:.?..4HING Jefferson County e; ...• ,11\ 2026 Quarterly Income Report — Quarter 1 'y u oc The Washington State Department of Natural Resources manages more than 600,000 acres oftl state forestlands in Washington. State forestlands generate revenue that helps support , 4) counties and local services. The lands are located in 21 counties, though the amount of q. acreage of trust land varies considerably by county. This report provides county-specific Q►N• information regarding quarterly revenue from state forestlands. irH i iJ� ALL REVENUE' distributed to Jefferson County in Calendar Quarter 1 (January 1 — March 31, 2026). Due to the specific date monies are received by the Department and the cutoff dates used by the State Treasurer for wire transfers, the revenue for the current period may be different than actual remittances received by the county. $24,789.89 ALL REVENUE' accrued for Jefferson County this calendar year, 2026, as of March 31, 2026. For reporting purposes, DNR follows the modified accrual basis of accounting per Generally Accepted Accounting Principles(GAAP). Under this measurement focus, revenues are recognized and recorded when they become both measurable and available,i.e.,when invoiced. $24,800.00 NET VALUE' of State Forestland timber in Jefferson County under contract as of March 31, 2026. $ 3,002, 159. 10 Click here for 10-Year Revenue History. Click here for details about timber sales under contract. ' Net value of timber includes the estimated value of timber currently under contract and does not include the estimated value from non-timber sources. 1 All revenue refers to distributions from timber and non-timber sources. S14iNGT There are two types of state forestlands: State Forest Transfer lands, and State Forest Purchase lands. w 1. State Forest Transfer Lands.These are lands acquired by counties through tax V foreclosures that were subsequently turned over to the state. The Department o OC Natural Resources currently manages more than 538,000 acres of these forestlands in j 0 trust for 20 counties. Revenue from State Forestlands is distributed in accordance with 4,y RCW 79.64.110. Based on population, Skamania and Wahkiakum Counties have„,„ ;1. different distribution requirements compared with other counties. 1VATt7Rp` 2. State Forest Purchase Lands.State-issued bonds were used to acquire certain parcels of forestland from private owners.Typically, these forestlands had been logged and were in need of active management. Allocation of revenue from these lands was determined when purchase was authorized, as follows: 26.5 percent to the county in which the property is located; 50 percent to DNR for management expenses; and the remaining 23.5 percent to the State General Fund. State Forestlands Current as of 4/16/2025 Total State Forest Transfer State Forest Purchase Acres Clallam 93,109 242 93,351 Clark 26,306 3,850 30,156 Cowlitz 11,044 275 11,320 Grays Harbor 2,315 29,033 31,348 Jefferson 15,600 16 15,616 King 22,862 0 22,862 Kitsap 7,561 79 7,640 Kittitas 0 3 3 Klickitat 20,391 41 20,432 Lewis 40,005 3,069 43,073 Mason 28,334 565 28,899 Okanogan 42 0 42 Pacific 15,052 8,163 23,215 Pierce 8,878 3,339 12,217 Skagit 86,521 2 86,523 Skamania 37,885 4,472 42,357 Snohomish 62,498 1,681 64,179 Stevens 155 41 196 Thurston 20,025 23,530 43,555 Wahkiakum 12,636 0 12,636 Whatcom 29,289 996 30,285 Total Acres 540,509 79,397 619,905 JEFFERSON COUNTY Table 2:STATE FORESTLANDS-TIMBER SALES UNDER CONTRACT (NOTE:30 month timeline-updated every quarter) ems 2047 ]Ns LUMP SUM SALES omrattx �- utalSale Dlstrmu6un,to esters.. st rs..hemainintValueto the County through ..r'.. re`. l" wtuumv I onlract tnd Date 3/31/2026 Maladjusted 106773 1,045,059.13 1,045,059.13 10/31/2026 AC Alder 107548 92,247.00 5,088.03 87,158.97 10/31/2026 Teed L167a666.1/ 1,132,214,10 SCALESALES vuntresta r,aure reurtee rear total Sale uistobu6onsto E,tun,tedten.. the County through 6e outn6ul,.,:.. .., 3/31/2026 No Scale Sales - USW Contract 'drarren,.o.,nil„a rear,„ire total Sale tistribution,w tsunuted her...,. • SORT SALES me nultyu,ruugn uetnbelesn,butedt,,,n, 3/31/2026 County Data Last Crocker Resale Sort 1 107958 594,234.00 202,500.00 391,734.00 6/30/2026 Last Crocker Resale Sort 2 107959 244,541.00 82,500.00 162,041.00 6/30/2026 Last Crocker Resale Sort 3 107960 273,987.00 37,500.00 236,487.00 6/30/2026 last(rot ker Resale Sort 4 107961 667,802.00 52,500.00 615,302.00 6/30/2026 Last Crocker Resale Sort 5 107962 150,258.00 150,258.00 6/30/2026 Last Cro(ker Resale Sort 6 10/963 13,505.00 13,505.00 6/30/2026 Last Crocker Resale Sort 7 107964 12,197.00 12,197.00 6/30/2026 Last Crocker Resale Sort 8 107965 95,436.00 95,436.00 6/30/2026 Last Crocker Resale Sort 9 107966 - 6/30/2026 Last Crocker Resale Sort 10 107967 905.00 905.00 6/30/2026 Last Crocker Resale Sort 11 107968 192,076.00 192,076.00 6/30/2026 TMtg 2,244,941.00 1,469,941M Net Estimated Remaining Value of State Forestland Timber Under 3,002,159.10 Contract 1-LUMP SUM SA I1 Purchaser bids a fixed total sale value. Distributions occur throughout the contract as timber is harvested and invoiced.Contract can be 2.SCALE SALES Purchaser bids a fixed price per thousand board feet for the biddable species;prices for all other species are set by DNR prior to auction.The total value for scale sales are estimates only,actual value will depend upon the amount of timber volume harvested by species. Distributions occur throughout the contract as timber is harvested and invoiced.Contract can be extended. 3.50k I sAt 35 1)Contractor hired by DNR harvests timber,delivers togs to individual purchasers of log sorts,and the harvester is paid for those services from the gross proceeds.Purchaser bids a delivered log value,per thousand board feet.The net value(after payment of harvesting costs)are estimates only until the project is completed.Actual net value will depend upon the amount of timber volume harvested by sort.2)Distribution occurs once all operations are completed and the sale revenues and expenditures have been audited.Partial distributions may occasionally occur to provide revenue for the beneficiaries, or to meet the statutory requirement to maintain less than 55 million in the Contract Harvest Revolving Fund at the end of each calendar year under RCW Estimated Distribution Window SORTS Contract End Date it you are Interested In more Information related to state trust land distribution,please contact wililam.wells€Ddnr.wa.gov 360-374-2100 NOTE:This table shows revenue from timber only,it does not include non-timber revenue. •This revenue is distributed by the county in accordance with RCW 79.64.110 IN Olympic Region FY 2026 _ Planned and Sold Harvest • 4111 t• . Ai 1 '14.J _ SOOEV 'ROCKY RORD 1E % \ are 'stills RABBLE. 117.011,116.4". ' / I • NICK IN THE • • PANTSV ICEi1E BEACH ' it.. re. r OW I ii wallIL 1 , . UL_/ Hioutotra V S.' Mason a ❑ May 266e,2026 Legend -Planned Harvest-FY 2026 i -Sold Harvest-FY 2026 OJunior Taxing Districts Surface Trust and Major Public Lands pis .. _i r Forest Board RMCA and other a IL,1 Tribal Lands and Reservations ill US Forest Service r L -National Park Service • Miles r 0 2.5 5 10 -----,I T dam used he daed to create dus map is statewide, corporate data from DNB's Geographic Information System. Extreme rare was used during compilation of dna �J map to Insure accuracy However.due to changes ownership and the need to rely on outside sources of information,the Department of Natural .J - - Resources cannot accept responsibility for Mors j-- or omissions and_therefore,Mae are no warranties which accompany thus material ‘..1...'""'°. WASHINGTON STATE DEPARTMENT OF 1,0 OATURRL RESOURCES 04VE UPTHEGROVE COMMISSIONER Of Punic LANDS rt<- Olympic Region FY 2027 Planned and Sold Harvest EAST FAL1S. 4. HERMANIN D N, BIROS EVE BIROS E1•L7\ ` iitrcc wr, �yIEW NEW v 4 o • SLOW DRY 111 a . FVRE .1�.- -.: 7 SANMa DOZEN p. .. „, ‘14: BLUE CABOOSES 0Mu w •. a Pot.a;DON c _ - 140104 SORTS, aarSLc .a LEvwra ELK MI AI •� RIG wa cy MCC.L E GODDMAN THIRD GE11r � � t, ...0t• CITY SUCKER tRaTERS lineid' N1 +'RDED W1REf V I KUNAMANST OVAL " >O AGAIN f ul EAST MEETS L WEST __ _ _ -1 -_2:-. ..• ... • r SLAM '. Mason- i, i -, May nth,2ozg CROOKED M —oSEo i , L_:_., Legend ^---f - _Planned Harvest-FY 2027 • � g: I --- -Sold Harvest-FY 2027 nJunior Taxing Distncts 11 1111. Surface Trust and Major Public Lands #'* - Grays Hart— -1 Forest Board RMCA and other a 1.l Tnbal Lands and Reservations dl 1• 1 3 US Forest Service EL.T =National Park Service Miles • II 0 2.5 5 10 The data used to create dus map is statewide. corporate data from ONR's Geographic ii Information System. Extreme care was used during compilation of this map to insure accuracy however,due to changes in ownership and the need to rely on outside sources of information,the Department of Natural .. Resources cannot accept responsibility for errors or onussions,and therefore,there are no warranties which accompany this material. „swears • . WASHINGTON STATE DEPARTMENT OF 71 a x 11ATURAL RESOURCES 4 DAVE URTNEGROVE COMMISSIONER OF PUBLIC LANDS Na• Projected Wired to County Projected Wired to County Projected Wired to County Projected Wired to County LAST CROCKER SORTS RESALE MULTIPLE SORT 1/8/2025 IN AUDIT 5447 $2,632,574.00 100%$1,974,431 324-100%$400,583 $0 $0 $1,573,847 $0 $0 $0 $0 $0 $1,573,847 $0 $400,583 $0 324- 57.4%N/A $0 $0 $0 $0 $214,721 $0 $226,990 $0 $441,711 $0 $0 $49,078 321- 9.8%N/A $0 $0 $0 $0 $36,659 $0 $38,754 $0 $75,413 $0 $0 $8,379 320- 32.80%N/A $0 $0 $0 $0 $122,698 $0 $129,708 $0 $252,406 $0 $0 $28,044 AC ALDER C3000107548 LUMP SUM 6/18/2025 10/30/2026 765 $122,996.00 100%$92,247 213-100%N/A $0 $5,088 $0 $0 $46,123 $0 $46,124 $0 $92,247 $5,088 $5,088 $9,224 TOTALS 9309 $3,895,616 $2,921,712 $400,583 $0 $5,088 $1,573,847 $0 $420,201 $0 $441,576 $0 $2,435,624 $5,088 $405,671 $94,725 SKIDDER LINE TBD LUMP SUM 10/28/2026 10/31/2028 3214 $723,150 100%$542,363 351-100%N/A $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $542,363 ANTE UP TBD LUMP SUM 2/24/2027 10/31/2028 5492 $1,305,500 100%$979,125 320-100%N/A $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $979,125 TOTALS 18,015 $5,924,266 $4,443,200 $400,583 $0 $5,088 $1,573,847 $0 $420,201 $0 $441,576 $0 $2,435,624 $5,088 $405,671 $1,616,213 All revenue figures are for calendar years, and already have DNR management fees deducted. 2026 Q1 All Revenue:$29,877 Non-timber:$24,789 Com. Sites $24,789 ROW/RUP $0 LEASES $0 SPECIAL FOREST PROD.$0 Timber:$5,088 3rd Quarter JEFFERSON COUNTY REVENUE PROJECTIONS FOR 2026 (ALL NUMBERS ARE ESTIMATES AND ARE SUBJECT TO CHANGES) SALES CURRENTLY UNDER CONTRACT. SALE NAME CONTRACT NO. SALE TYPE SALE DATE EXP. DATE Total Volume TOTAL VALUE % COUNTY TOTAL VALUE TO COUNTY TAX DIST. PREVIOUS YEARS 1st Quarter 2nd Quarter 4th Quarter PROJECTED 2026 Yearly Total WIRED SALE TOTAL WIRED TO COUNTY 2027 under contract ALL NUMBERS ARE ESTIMATES AND ARE SUBJECT TO CHANGE SALES PROJECTED TO BE SOLD IN FISCAL YEAR 2026 (ALL NUMBERS ARE ESTIMATES AND ARE SUBJECT TO CHANGE) MALADJUSTED C3000106773 LUMP SUM 1/29/2025 10/31/2026 3097 $1,140,046.00 100%$855,035