3_Osgood_Appendix_B.doc

Osgood Stewardship IRSC

APPENDIX B

STEWARDSHIP CONTRACT TIMBER REMOVAL SPECIFICATIONS

*BT.0 CONTRACT AREA

*BT.2 Claims

*CT.0 TIMBER SPECIFICATIONS

*CT.1 Included Timber

*CT.1.1 Standard Timber

*CT.1.2 Substandard Timber

*CT.1.3 Damaged Timber

*CT.1.3.1 Damaged by Contractor

*CT.1.3.2 Negligent or Willful Damage

*CT.1.3.4 Minor Damage by Natural Causes

*CT.1.4 Unintentionally Cut Timber

*CT.1.6 Other Material

*CT.2 Utilization and Removal of Included Timber

*CT.3 Timber Designations

CT 3.2 Construction Clearing

CT 3.2.1 Road Clearings

*CT 3.2.2 Other Authorized Clearings

CT.3.5 Individual Trees

*CT.3.7 Minor Changes

*CT.4 Volume Estimate

*DT.0 RATES OF PAYMENT

*DT.1 Current Contract Rates

*DT.4 Other Payment Rates

*DT.4.1 Material and Quantities Not in Division AT *DT.4.2 Timber Cut Through Mistake

*DT.4.2.1 Designated Timber Cut But Not Removed

*DT.4.3 Undesignated Timber Damaged Without Negligence

*DT.4.4 Undesignated Timber Unnecessarily Damaged or Negligently or Willfully Cut

*DT.4.5 Liquidated Damages

ET.0 PAYMENTS

*ET.1 Amount Payable for Timber

*ET.2 Integrated Resource Account *ET.3 Deposits When Payment Guaranteed

GT.0 OPERATIONS

*GT.4 Conduct of Logging

*GT.4.1 Felling and Bucking

*GT.4.1.1 Felling in Clearings

*GT.4.1.2 Stump Heights

*GT.4.1.3 Limbing

*GT.4.2 Skidding and Yarding

GT.4.2.1 Rigging

*GT.4.2.2 Landings and Skid Trails

*GT.4.2.3 Skidding on Roads

GT.4.2.4 Arches and Dozer Blades

*GT.6.3 Temporary Roads

*GT.6.4 Landings

*GT.6.5 Skid Trails and Fire Lines

*GT.6.6 Current Operating Areas

*GT.6.7 Erosion Control Structure Maintenance

*GT.7 Slash Disposal

*GT 8 Measuring

**GT.8.1 Product Identification

IT.0 OTHER CONDITIONS

*IT.1 Title and Liability

*IT.1.1 Title Passage

*IT.1.2 Liability for Loss

*IT.5 Sale of Other Materials

List of Special Provisions R5-KT-CT.3.5# Designation of Timber, Cutting Unit Boundaries, and Subdivision/Payment Unit Boundaries (6/12) R5-KT-GT.3.3.1 Log Trucking (2/05)

R5-KT-GT.4.1# Felling, Bucking, and Limbing (8/07)

R5-KT-GT.4.2# Ground Based Skidding (12/06)

R5-KT-GT.7# - Slash Treatment (12/2006) R5-KT-GT.8-2# Measuring – Option 2 (2/05)

WO-KT-IT.6.8 Use of Timber (9/04) Division AT

Location and Area:

T. 12N, R. 17E, Sec. 12, 25 & 36; T. 12N, R. 18E, Sec. 7, 15, 21, 23, 26, 27, 30 & 31 (MDB&M) Mount Diablo Base and Meridian

*Volume Estimate and Utilization Standards

Quantity Unit of

Measure Minimum Specifications

Diameter Breast High (d.b.h.)

(inches) Number of Minimum Pieces per Tree Length (feet) Diameter Inside Bark at Small End (inches) Merchantability Factor

Timber Subject to Agreement

Total Quantity

*The sawlog and biomass cruise is subject to a check cruise in the spring of 2016 when conditions permit.

Sawlog cruise error=5.53%; Biomass cruise error (small standing live and dead trees and sawlog tops)=31.09%

Standing dead greater than 10” dbh and down wood removal estimates are derived from stand exam data.

Timber Designations, acres are approximate:

Number

Acres

Clearcutting Units (CT.3.1)

Overstory Removal Units (CT.3.3)

Understory Removal Units (CT.3.4)

Individual Trees (CT.3.5)

Incompletely Measured (CT.3)

Designation by Description or Prescription (KT-CT.3)

High Stumps

All Species

Sawtimber (All Units) Maximum 6 inches or 4 inches above natural obstacles (e.g., rocks)

Roads

Name and Date of Governing Road Specifications:

Class Approx.

Length (mi./km.)

Sheet Numbers and Approval Date Performance Responsibility

Staking1/

N/A

1/ Indicate timing, i.e., before clearing (BC) or after clearing (AC).

Specification sheets with itemized construction codes also attached

Schedule of Payment Units

Payment

Unit

Number Approx.

Acres To be Paid for at Flat Rates

Total

Flat

Rate

Payment

Total

Required

Deposits For Slash

Disposal $

Measure

WF/RF

LP

JP

IC

WF/RF

LP

JP

IC

WF/RF

LP

JP

IC

WF/RF

LP

JP

IC

WF/RF

LP

JP

IC

WF/RF

LP

JP

IC

WF/RF

LP

JP

IC

WF/RF

LP

JP

IC

Sawtimber

Sawtimber

Sawtimber

Sawtimber

Sawtimber

Sawtimber

Sawtimber

Sawtimber

Sawtimber

Sawtimber

Sawtimber

Sawtimber

Sawtimber

Sawtimber

Sawtimber

Sawtimber Sawtimber

Sawtimber

Sawtimber

Sawtimber Sawtimber

Sawtimber

Sawtimber

Sawtimber Sawtimber

Sawtimber

Sawtimber

Sawtimber Sawtimber

Sawtimber

Sawtimber

Sawtimber

235.3 0.5 35.5 24.0 503.1 0.9 145.5 7.7 273.5 106.3 9.6 0.0 425.6 185.8 28.9 0.0 19.1 551.9 6.2 0.0 71.1 138.8 474.8 0.0 86.7 11.5 214.0 2.8 243.6 69.3 151.5 3.5

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

CCF

$1190.62 $0.50 $177.50 $24.00 $2,545.68 $0.90 $727.50 $7.70 $1,383.91 $106.30 $48.00 $0.00 $2,153.53 $185.80 $144.50 $0.00 $96.65 $551.90 $31.00 $0.00 $359.77 $138.80 $2,374.00 $0.00 $438.70 $11.50 $1070.00 $2.80 $1,232.62 $69.30 $757.50 $3.50 N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

N/A

APPLICABLE REGIONAL CLAUSES MAY BE ADDED

UNITED STATES DEPARTMENT OF AGRICULTURE

Forest Service

TIMBER REMOVAL SPECIFICATIONS

CLAUSES FOR TREE MEASUREMENT TIMBER REMOVAL CONTRACTS

(Applicable to Contracts to be Measured Before Felling) This Division is organized into Parts, Sections, Subsections, and Items. These are numbered in accordance with the following scheme: Part BTl.0, Section BTl.1, Subsection BTl.11, and Item BTl.111. References to a Part include all Sections, Subsections, and Items within that Part; references to a Section include all Subsections and Items within that Section; and references to a Subsection include all Items within that Subsection. Cross references within this contract cite the reference number of the applicable Division, Part, Section, Subsection, and Item. Descriptive headings used are not to be considered in determining the rights and obligations of the parties hereunder. The Standard Clauses in this Division are subject to Specific Conditions of the contract stated in Division AT. Wherever appropriate, Specific Conditions established in Division AT are herein cited by reference number. References to Standard Clauses also apply to Special KT Clauses with the same numbers. These clauses are applicable only to the timber removal portion of the Osgood Stewardship IRSC Stewardship Contract except where otherwise specifically referenced. “Timber” when used in this appendix includes timber and other products.

BT.0—CONTRACT AREA

BT.2 Claims. Valid claims are excluded from Contract Area, except those on which timber cutting is authorized in writing by the claimant and except mining claims on which cutting is authorized by the Act of July 23, 1955 (30 USC 614). Claims that limit Contractor’s rights to operate under this contract and that Forest Service has been able to identify are shown on Contract Area Map. Contractor is not obligated to operate contrary to existing claim limitations. Forest Service shall designate boundaries of claims on the ground to the extent necessary to identify Included Timber.

CT.0—TIMBER SPECIFICATIONS

CT.1 Included Timber. “Included Timber” consists of:

CT.1.1 Standard Timber. Live and dead trees and portions thereof that meet Utilization Standards and are designated for cutting.

CT.1.2 Substandard Timber. Live and dead trees that:

(a) Do not meet Utilization Standards and

(b) Are located in Clearcutting Units or construction clearings or are otherwise designated for cutting.

CT.1.3 Damaged Timber.

CT.1.3.1 Damaged by Contractor. Undesignated live trees meeting Utilization Standards (a) within 200 feet slope distance from centerline of roads constructed hereunder which are damaged by Contractor's construction to the extent that considerable deterioration or mortality is imminent and are designated by Forest Service for felling before the nearest road segment is substantially completed; or (b) which are damaged by Contractor in logging and are subsequently Marked before Contractor has completed skidding or yarding operations in the immediate area. By agreement, such trees may be left without charge if their removal would cause undue damage or be grossly uneconomic.

CT.1.3.2 Negligent or Willful Damage. Undesignated timber meeting Utilization Standards and unnecessarily damaged or negligently or willfully cut by Contractor, if included by Forest Service.

CT.1.3.4 Minor Damage by Natural Causes. Undesignated trees within Contract Area and meeting Utilization Standards, that become insect infested, windthrown, suffer serious damage, or die, as designated by agreement.

CT.1.4 Unintentionally Cut Timber. Trees within or immediately adjacent to Contract Area or to road construction or other authorized clearing outside Contract Area, not designated for cutting but that are cut through mistake by Contractor, when included by Forest Service.

CT.1.6 Other Material. Species or products not listed in the contract, upon written approval of Forest Service.

CT.2 Utilization and Removal of Included Timber. “Utilization Standards” for trees and minimum pieces are stated in Division AT. To meet minimum tree specifications, trees must equal or exceed tree diameters listed in Division AT and contain at least one minimum piece. Except for timber required or authorized to be left, Contractor shall fell and buck such trees and shall remove from Contract Area all pieces that:

(a) Meet minimum piece standards in Division AT or

(b) Do not meet such standards, but would have qualified as part of minimum pieces if bucking lengths were varied to include such material.

CT.3 Timber Designations. Timber designated for cutting shall be confined to Contract Area, except as otherwise provided. Contract Area Map indicates Payment Units, if any, where Marking is to be done after solicitation, except for construction clearing, minor changes, and damaged timber. The boundaries of cutting units were plainly marked on ground before solicitation and are shown on Contract Area Map. The number of units and approximate acreage of timber designations are stated in Division AT.

CT.3.2 Construction Clearing. All timber is designated for cutting that is within the clearing limits of roads constructed hereunder or is in other authorized clearings. All dead or unstable live trees are designated for cutting that are sufficiently tall to reach Contractor’s landings, work areas, or the roadbed of Specified and Temporary Roads when Marked in advance of work in the immediate area. Pieces meeting Utilization Standards from such dead or unstable live trees shall be removed, unless there is agreement that to do so could damage the road. Such designation may be revised as part of agreed changes in road location.

CT.3.2.1 Road Clearings. Timber within the clearing limits of Roads is within separate Payment Units, as shown on Contract Area Map, and the quantities are in Division AT. The quantities of dead or unstable trees designated outside the clearing limits are not included in Division AT.

CT.3.2.2 Other Authorized Clearings. Timber within authorized clearings for Temporary Roads, landings, or other construction clearings is designated for cutting. Quantities of such timber are not included in Division AT.

CT.3.5 Individual Trees. All trees to be cut, other than in the units described in CT.3.2, are Marked or designated by description. Trees are “Marked” when individually designated by Forest Service with paint marks above and below stump height. Contract Area Map indicates areas plainly identified on the ground where leave trees are Marked to be left uncut.

CT.3.7 Minor Changes. Within Contract Area, minor adjustments may be made in boundaries of cutting units or in the timber individually Marked for cutting when acceptable to Contractor and Forest Service.

CT.4 Volume Estimate. The estimated volumes of timber by species designated for cutting and expected to be cut under Utilization Standards are listed in Division AT. The estimated volumes stated are not to be construed as guarantees or limitations of the timber volumes to be designated for cutting under the terms of this contract.

DT.0—RATES OF PAYMENT

DT.1 Current Contract Rates. Included Timber that is Released for Cutting shall be paid for at Current Contract Rates determined under this Section. “Current Contract Rates” shall be Flat Rates. Flat Rates shall be those listed in Division AT or B2 of the Schedule of Items. In the event contract time is adjusted, Current Contract Rates shall be continued in the same manner as immediately prior to the adjustment period.

DT.4 Other Payment Rates.

DT.4.1 Material and Quantities Not in Division AT. Incidental amounts of products or portions of trees of species that do not meet Utilization Standards may be removed without charge. Such material from Clearcutting Units and construction clearings may be purposely removed in more than incidental amounts without charge subject to agreement on deposits for road maintenance and use. Such material from other than Clearcutting Units and construction clearings may be purposely removed in more than incidental amounts without charge upon written approval of Contracting Officer, and subject to agreement on deposits if needed for road maintenance and use. Other species or products not listed may, upon written approval of Contracting Officer, be cut and removed without charge other than Required Deposits established by agreement. Timber for which the quantity is not included in the estimate, shall be paid for at Current Contract Rates and Required Deposits.

DT.4.2 Timber Cut Through Mistake. Undesignated timber meeting Utilization Standards, cut by Contractor through mistake and included by the Forest Service, shall be removed and paid for at Current Contract Rates and Required Deposits, unless such material is not listed. In such event, Forest Service, in accord with standard Forest Service methods, shall establish rates to be paid.

DT.4.2.1 Designated Timber Cut But Not Removed. Standard timber shall be removed prior to acceptance of a Subdivision for completion of logging. There shall be no charge when (a) leaving the incidental material is justified under existing conditions, or (b) Cut timber is left by option or requirement.

DT.4.3 Undesignated Timber Damaged Without Negligence. Undesignated timber meeting Utilization Standards, damaged without negligence by Contractor and designated by Forest Service, shall be cut, removed, and paid for at Current Contract Rates and Required Deposits.

DT.4.4 Undesignated Timber Unnecessarily Damaged or Negligently or Willfully Cut. Undesignated timber meeting Utilization Standards and unnecessarily damaged or negligently or willfully cut by Contractor, if included by Forest Service shall be cut, removed, and paid for at Current Contract Rates and Required Deposits that are in addition to liquidated damages. If such timber is of a species or size not listed in Division AT or is of a quality different from designated timber, Contracting Officer shall establish payment rates in accord with standard Forest Service methods.

DT.4.5 Liquidated Damages. Unnecessary damage to or negligent or willful cutting of undesignated timber, on portions of Contract Area cut over under this contract is likely to cause substantial silvicultural or other damage to the National Forest. It will be difficult, if not impossible, to determine the amount of such damage. Therefore, Contractor shall pay as fixed, agreed, and liquidated damages an amount equivalent to the amount payable at Current Contract Rates. If designated by the Forest Service, Contractor shall remove such damaged timber.

ET.0—PAYMENTS

ET.1 Amount Payable for Timber. Current Contract Rates and Required Deposits in effect when a Payment Unit is Released for cutting shall be applied to the timber quantities to determine the amount Contractor shall pay. Payment shall be in the form of Stewardship Credits or cash.

E.2 Stewardship Account

“Stewardship Account” is an account of all Contractor’s deposits, credits, Payment Guarantees, and the charges for:

a. Timber, or other Products at rates specified in contract

b. Slash disposal and road maintenance at Required Deposit rates,

c. Stewardship Credits established,

d. Contract Scaling Deposits, and

e. Other Charges provided in this contract.

Cash deposits and Stewardship Credits earned shall be recorded currently in such account.

Charges for timber cut shall be made when Forest Service prepares and furnishes to Contractor periodic statements of volume and value of such timber cut and scaled. Charges against Stewardship Credits shall be limited to timber value in excess of Required Deposits. Required Deposits and Other Charges shall be paid in cash.

Contractor shall make cash deposits to meet Contractor’s obligations within 15 days of billing by the Forest Service. Deposits shall be made to Forest Service, USDA, by mail or delivery to the address shown on the bill for collection.

ET.3 - Deposits When Payment Guaranteed. (05/10) To the extent payment guarantee is provided under Clause entitled, “PRODUCT PAYMENT GUARANTEE” requirements for advance cash deposits shall be waived for the value of Product on contract area that is cut, but not removed, and for the value of Products removed from contract area, up to limit of remaining stewardship credits to be earned and exchanged for value of included product except for Required Deposits and Associated Charges. Associated charges shall be waived for not more than one monthly billing period.

GT.0—OPERATIONS

GT.4 Conduct of Logging. Unless otherwise specifically provided herein, Contractor shall fell trees designated for cutting and shall remove the portions which meet Utilization Standards, except for occasional trees inadvertently not cut or trees or pieces not removed for good reason, including possible damage to forest resources or gross economic impracticability at the time of removal of other timber. Logging shall be conducted in accordance with the following, unless other clauses set forth requirements to meet special or unusual logging conditions:

GT.4.1 Felling and Bucking. Felling shall be done to minimize breakage of Included Timber and damage to residual timber. Unless agreed otherwise, felling shall be done by saws or shears. Bucking shall be done to permit removal of all minimum pieces set forth in Division AT. Contractor may buck out cull material when necessary to produce pieces meeting Utilization Standards. Such bucked out material shall contain a minimum amount of sound wood, not in excess of the net Measure in percentage of gross Measure, or based on the merchantability factor, whichever is stated in Division AT. If necessary to assess extent of defect, Contractor shall make sample saw cuts or wedges.

GT.4.1.1 Felling in Clearings. Insofar as ground conditions, tree lean and shape of clearings permit, trees shall be felled so that their tops do not extend outside construction clearings and areas of regeneration cutting.

GT.4.1.2 Stump Heights. Stumps shall not exceed, on the side adjacent to the highest ground, the maximum heights set forth in Division AT, except that occasional stumps of greater heights shall be acceptable when necessary for safe and efficient conduct of logging. Except for acceptable high stumps stated above, Contractor shall re-cut high stumps so they will not exceed heights specified in Division AT and shall dispose of severed portions in the same manner as other logging debris or as otherwise agreed. The stump heights shown in Division AT were selected with the objective of maximum reasonable utilization of the timber unless Contract Area Map shows special areas where stump heights are lower for aesthetic, land treatment or silvicultural reasons.

GT.4.1.3 Limbing. When Forest Service determines it is necessary to minimize damage to the residual stand during skidding, Contractor shall cut exposed limbs from products prior to skidding. Contractor may leave uncut those limbs that cannot be cut with reasonable safety.

GT.4.2 Skidding and Yarding. Methods of skidding or yarding specified for particular areas, if any, are indicated on Contract Area Map. Outside Clearcutting Units and construction clearings, insofar as ground conditions permit, products shall not be skidded against reserve trees or groups of reproduction and tractors shall be equipped with a winch to facilitate skidding.

GT.4.2.1 Rigging. Insofar as practicable, needed rigging shall be slung on stumps or trees designated for cutting.

GT.4.2.2 Landings and Skid Trails. Location of all landings, tractor roads, and skid trails shall be agreed upon prior to their construction. The cleared or excavated size of landings shall not exceed that needed for efficient skidding and loading operations.

GT.4.2.3 Skidding on Roads. Products may be skidded on permanent roads authorized for hauling only by prior written agreement.

GT.4.2.4 Arches and Dozer Blades. Skidding tractors equipped with pull-type arches or dozer blades wider than tractor width or C-frame width, whichever is greater, shall not be used in residual timber outside Clearcutting Units and other authorized clearings, except on constructed tractor roads or landings, unless there is written agreement that residual timber will not be damaged materially by such use.

GT.6.3 Temporary Roads. As necessary to attain stabilization of roadbed and fill slopes of Temporary Roads, Contractor shall employ such measures as outsloping, drainage dips, and water-spreading ditches.

After a Temporary Road has served Contractor’s purpose, Contractor shall give notice to Forest Service and shall remove bridges and culverts, eliminate ditches, outslope roadbed, remove ruts and berms, effectively block the road to normal vehicular traffic where feasible under existing terrain conditions, and build cross ditches and water bars, as staked or otherwise marked on the ground by Forest Service. When bridges and culverts are removed, associated fills shall also be removed to the extent necessary to permit normal maximum flow of water.

GT.6.4 Landings. After landings have served Contractor’s purpose, Contractor shall ditch and slope them to permit water to drain or spread. Unless agreed otherwise, cut and fill banks around landings shall be sloped to remove overhangs and otherwise minimize erosion.

GT.6.5 Skid Trails and Fire Lines. Contractor shall construct cross ditches and water-spreading ditches on tractor roads and skid trails, where staked or otherwise marked on the ground by Forest Service. Forest Service shall designate cross ditching on Contractor-built fire lines prior to or during construction. By agreement, Contractor may use other comparable erosion control measures, such as backblading skid trails, in lieu of cross ditching.

GT.6.6 Current Operating Areas. Where logging, road construction, or other stewardship project work is in progress but not completed, unless agreed otherwise, Contractor shall, before operations cease annually, remove all temporary log culverts and construct temporary cross drains, drainage ditches, dips, berms, culverts, or other facilities needed to control erosion.

Such protection shall be provided, prior to end of October 15, for all disturbed, unprotected ground that is not to be disturbed further prior to end of operations each year, including roads and associated fills, tractor roads, skid trails, and fire lines. When weather permits operations during October 15 – May 1, Contractor shall keep such work on any additional disturbed areas as up to date as practicable.

GT.6.7 Erosion Control Structure Maintenance. During the period of this contract, Contractor shall provide maintenance of soil erosion control structures constructed by Contractor until they become stabilized, but not for more than 1 year after their construction. Contractor shall not be responsible for repair of such structures damaged by other National Forest users whose activities are not a part of Contractor’s Operations.

GT.7 Slash Disposal. Contractor’s timing of product removal and preparatory work shall not unnecessarily delay slash disposal. Specific slash disposal measures to be employed by Contractor are stated in elsewhere herein and are in addition to Required Deposits for slash disposal.

GT.8 Measuring. “Measuring” is the estimation of timber quantities using certain dimensions and applicable volume tables or formulae to determine the contents of trees or stands in a standard manner. Sampling may be on an individual tree or area basis. Examples of standard procedures are tree measurement, sample tree measurement, and area estimate. The quantity of timber designated or to be designated for cutting has been or shall be Measured, as specified in this contract GT.8.1 Product Identification. For contracts west of the 100th meridian, before removal from Contract Area, unless Contracting Officer determines that circumstances warrant a written waiver or adjustment, Contractor shall:

(a) Hammer brand all products that are eight (8) feet or more in length and one-third (1/3) or more sound, on each end that is seven (7) inches or more in diameter

(b) Paint with a spot of highway-yellow paint all domestic processing products that are eight (8) feet or more in length and one-third (1/3) or more sound, on each end that is seven (7) inches or more in diameter. Each paint spot must be not less than three (3) square inches in size.

Contracting Officer shall assign brands and, if Contract Area is within a State that maintains a log brand register, brands shall be registered with the State. Contractor shall use assigned brand exclusively on logs from this contract until Contracting Officer releases brand. Contractor will furnish and apply highway-yellow paint of a lasting quality (oil-base or equivalent).

All hammer brands and/or highway-yellow paint must remain on logs until they are domestically processed. Contractor shall replace identifying marks if they are lost, removed, or become unreadable. Contractor may remanufacture products into different log lengths. Except for logs remanufactured as part of the mill in-feed process immediately before processing, remanufactured products must be rebranded with the assigned contract brand and repainted with highway-yellow paint, unless otherwise agreed to in writing by Contracting Officer. For such remanufactured products, Contracting Officer may approve use of a brand to be used exclusively as a catch brand, in lieu of the assigned contract brand.

IT.0—OTHER CONDITIONS

IT.1 Title and Liability.

IT.1.1 Title Passage. All right, title, and interest in and to any Included Timber shall remain in Forest Service until it has been cut, removed from Contract Area or other authorized cutting area, and paid for, at which time title shall vest in Contractor. Timber cut under the terms of clause Product Payment Guarantee, shall be considered to be paid for. Title to any Included Timber that has been cutand paid for, but not removed from Contract Area or other authorized cutting area by Contractor on or prior to contract termination, shall remain in Forest Service.

IT.1.2 Liability for Loss. If Included Timber is destroyed or damaged by an unexpected event that significantly changes the nature of the Included Timber, such as fire, wind, flood, insects, disease, or similar cause, the party holding title shall bear the timber value loss resulting from such destruction or damage; except that such losses caused by insect or disease after felling of timber shall be borne by Contractor, unless Contractor is prevented from removing such timber by the Forest Service. Deterioration or loss of value of salvage timber is not an unexpected event. In the event Included Timber to which Forest Service holds title is destroyed, Contractor will not be obligated to remove and pay for such timber. In the event Included Timber to which Forest Service holds title is damaged, Contracting Officer shall make an appraisal to determine for each species the difference between the appraised unit value of Included Timber immediately prior to the value loss and the appraised unit value of timber after the loss. Current Contract Rates in effect at the time of the value loss shall be adjusted by said differences to become the redetermined rates.

There shall be no obligation for Forest Service to supply, or for Contractor to accept and pay for, other timber in lieu of that destroyed or damaged. This Subsection shall not be construed to relieve either party of liability for negligence.

IT.5 Sale of Other Materials. Forest Service reserves the right to sell from Contract Area during the period of this contract any materials or products not subject to its terms, but shall not permit removal, possession or use thereof which will materially interfere with Contractor's Operations. Contractor shall not be obligated to do any work made necessary by the action of others.

KT-CT.3.5# - Designation of Timber, Cutting Unit Boundaries, and Subdivision/PAYMENT UNIT Boundaries (6/2012) Trees are designated for cutting under CT.3.5# only if designated as shown in the Timber Designation table below. The boundaries of Subdivisions/Payment Units and Cutting Units are designated as shown in the Boundary Designation table below. Trees used for boundary designation are not to be cut.

SPECIFICATIONS PURSUANT TO KT-CT.3.5# - DESIGNATION OF TIMBER, CUTTING UNIT BOUNDARIES, AND SUBDIVISION/PAYMENT UNIT BOUNDARIES

Timber Designation Table

Cutting Unit/

Subdivision/Area/Payment Unit

Individual Tree Mark. Individual trees are designated for cutting only if Marked above and below stump height with the specified paint color.

N/A

Leave Tree Mark. All live < > are designated for cutting unless Marked as leave trees. Leave trees are Marked above and below stump height with the specified paint color. Contract Area Map indicates areas plainly identified on the ground where leave trees are Marked to be left uncut.

N/A

Designation by Spacing KT-CT.3.5.1#

N/A

Designation by Species and Diameter, KT-CT.3.5.2#

N/A

Designation by Damage Class, KT-CT.3.5.3#

N/A

Designation by Row Spacing, KT-CT.3.5.4#

Subdivision/Payment Unit and Cutting Unit Boundary Designation Table

KT-GT.3.3.1 - LOG TRUCKING (2/2005) To promote safe operations on National Forest roads and on Specified Roads, loads shall be safely secured before trucks move from the landing or loading location.

KT-GT.4.1# - FELLING, BUCKING, AND LIMBING (8/2007) Unless otherwise agreed in writing, Contractor’s felling, bucking, and limbing operations shall be conducted as specified in the table below.

SPECIFICATIONS AND TREATMENTS PURSUANT TO KT-GT.4.1# - FELLING, BUCKING AND LIMBING

No Lop

“No Lop” N/A

Whole Tree Yarding

“Whole” N/A

Treatment of Stumps

“TS”

Within areas shown on Sale Area Map, Purchaser shall treat stumps of all live Jeffery Pine, Lodgepole Pine, White Fir/Red Fir, Western White Pine, and Sugar Pine trees equal to or greater than 12 inches stump diameter, (measured inside bark) unless otherwise agreed in writing. Treatment shall be with a borate compound registered by EPA in the State of California for prevention of annosus root disease.

Treatment shall consist of removal of sawdust and other loose debris from the cut surface of the stump and application of a thin layer of the borate compound uniformly over the entire cut surface, including exposed wood surfaces on the stump sides, at the rate specified on the product label. Any surface irregularities on the stump preventing application of a uniform layer of borate compound shall be cut level prior to treatment. Unless waived in writing, Purchaser shall also apply an approved colorant mixed with the borate compound to insure complete coverage. Treatment should be done as soon as possible but shall be completed no later than 24 hours after felling, otherwise stumps shall be re-cut and treated.

Purchaser shall not apply borate compound during heavy rain fall or when such precipiation rate is predicted within 24 hours of application to cause borate compound to be flushed off the stump and become ineffective, in that case treatment shall be reapplied. Application shall be completed within 24 hours of the precipitation having ceased. Borate compound also shall not be applied to stumps located within N/A feet of live streamcourses and meadows/wetlands shown on Sale Area Map and/or N/A feet of sensitive plant location boundaries as flagged on the ground.

Purchaser shall provide the borate compound and colorant and apply it in compliance with the State of California laws and regulations pertaining to pesticides and pest control operations. Borate compound storage shall be located such that any spillage will not contaminate water. All spills shall be promptly cleaned up and spilled material disposed of according to the product label. All spills occuring in water or over 1 pound shall be reported to Forest Service within 8 hours.

Purchaser shall submit at the end of each month a “Monthly Summary of Pesticide Use Reports” to the appropriate County Agricultural Commissioner with a copy to the District Ranger.

KT-GT.4.2# - GROUND BASED SKIDDING (12/2006) Unless otherwise agreed in writing, the method of skidding Included Timber shall be as shown on the Contract Area Map, by areas, with symbols defined in the following table:

Ground-Based Skidding Table - KT-GT.4.2#

Products shall be end-lined as needed to protect resources or residual timber from unnecessary damage. The number of chokers shall be limited as necessary to avoid unnecessary damage to resources or residual timber. By agreement, tractors may be used to separate products to prevent stain.

Notwithstanding above, hand felling using chainsaws may be required in or adjacent to sensitive areas to protect resources from unnecessary damage.

Trees which exceed capability of specified equipment may be felled, bucked and skidded in a manner consistent with requirements of G.4.1. Felling and Bucking, K-G.4.1# - Felling, Bucking, and Limbing Requirements and the above “TRAC”, “SUSP”, “SPACE”, “ENDL”, and “MAX” requirements.

Notwithstanding above, hand felling using chainsaws may be required in or adjacent to sensitive areas to protect resources or residual timber from unnecessary damage.

All Products shall be removed by an all-wheel drive forwarder with at least 3 axles capable of self-loading and unloading. The forwarder shall carry all products free of the ground during removal. The loading crane shall have a minimum-operating radius of 15 feet. Log landings and transfer points shall be agreed in advance of harvesting.

Included Timber exceeding the harvester's capability may be felled by conventional chainsaw methods, forwarded to nearest skid trail and processed into a finished Product with harvester or chainsaw, consistent with the requirements in G.4.1. and K-G.4.1# - Felling, Bucking, and Limbing and the above “TRAC”, “SUSP”, “SPACE”, “ENDL”, and “MAX” requirements.

KT-GT.7# - SLASH TREATMENT (12/2006) Contractor shall pile, scatter, yard, construct firelines or otherwise treat slash defined in specifications below, within designated areas. Work required of Contractor shall be in accordance with the following slash plan and specifications, and the Contract Area Map.

All vegetative debris associated with construction of Specified Roads such as unutilized timber, brush and grubbed stumps is Construction Slash. Measures to be taken by Contractor for treatment of Construction Slash are set forth in the attached road construction specifications and in the attached slash treatment specifications.

Vegetative debris larger than 1 inch in diameter outside bark and 3 feet long resulting from Contractor's Operations, other than Construction Slash, is Logging Slash. Measures to be taken by Contractor for treatment of Logging Slash are set forth below unless otherwise agreed in writing.

Forest Service and Contractor shall jointly develop a schedule for completion of slash treatment on the various portions of Project Area prior to Contractor's Operations.

Removing may be substituted for treatment of any other specified method.

By agreement in writing, certain slash may be left for fuelwood. When the specified treatment is by a combination of methods, Logging Slash not treated by one of the methods shall be treated by the other(s).

See the slash treatment specification table below.

SPECIFICATIONS PURSUANT TO KT-G.7# - SLASH TREATMENT (12/2006)

Specified slash treatment methods shall be shown on Contract Area Map or listed in the following tables by the following symbols:

Slash Treatment Methods

Scat 18"

Scat 30"

Unit

Large End d.o.b. (in)

Length (feet)

Unit

Large End d.o.b. (in)

Unit

Large End d.o.b. (in)

Unit

Large End d.o.b. (in)

Firelines constructed by hand shall be cleared of all vegetative debris larger than one inch in d.o.b. and three feet long. The width of firelines shall be at least N/A feet, except across the top of cutting units where the width shall be at least N/A feet. At least N/A feet shall be scraped to mineral soil. In areas where there is potential for burning material to roll, the fireline shall be constructed in a trenched manner on the downhill side.

Tractor lines shall be cleared of all vegetative debris, larger than one inch in diameter and three feet long, to a width of at least N/A feet, with at least N/A feet to mineral soil. No slash, brush, or other vegetative debris shall be buried in or under berms created in the construction of firelines. All limbs overhanging into the fireline, shall be removed to a minimum height of 8 feet.

In subdivisions N/A and shown on Contractor Area Map, Logging Slash shall be scattered within N/A feet slope distance of the inside edge of firelines.

PILING SPECIFICATIONS. All piles shall be reasonably compact and free of soil to facilitate burning and shall be constructed of such size and at such distance from trees so that burning shall not result in unnecessary damage to residual timber. Such Logging Slash shall be bucked into lengths not exceeding ten feet prior to piling. Maximum width of tractor, with brush rake attached, shall not exceed 12 feet. Machine Piling is not required on areas where use of tractors would cause undue damage to residual timber or where slopes exceed 35 percent. Piles shall be located a distance of at least twice their height in feet from the outer edge of tree crowns or snags. Piles shall be no less than four feet in height or greater than 15 feet in height. Material extending three feet or more outside the edge of a pile shall be trimmed. An eight foot fuelbreak shall be cleared of all but fine material around each Machine Pile and an 18 inch wide fireline shall be cleared to mineral soil around the outer ring of the fuelbreak. For hand piles, Contractor shall construct a fireline cleared to mineral soil and at least 3 feet wide around each pile. In areas where there is a potential for burning material to roll, firelines, including those for Machine Piles, shall be trenched on the downhill side of each pile to adequately prevent material from crossing firelines. Trenches shall be constructed by hand unless otherwise agreed.

UNIT AND SUBDIVISION SLASH TREATMENT SPECIFICATIONS.

SLASH TREATMENT

Subdivision or Unit No Specified Method Prohibited Method

All Units Remove, Masticate, Chip, Lop & Scatter, or Pile

LANDINGS AND DISPOSAL SITES. Unutilized logs accumulated at landings and disposal sites shall be Decked by Contractor for disposal by Forest Service. The maximum height of decks is shown in the following table.