Echo Prospectus.doc

STATE OF SOUTH DAKOTAPRIVATE

DEPARTMENT OF AGRICULTURE AND NATURAL RESOURCES

Echo Good Neighbor Authority Timber Sale Prospectus

1. INTRODUCTION

This prospectus is intended to provide information to interested person which, as a supplement to the information from the published advertisement, and personal inspection of the sale areas, will enable them to prepare bids for the purchase of this timber. Please read it carefully.

1.1 SCHEDULE OF ACTIVITIES (SUBJECT TO CHANGE)

2. TOUR

A tour of the sale area has been scheduled for December 12, 2025 The tour will meet at the intersection of CSP/FS Rd 602 and US Hwy 16A/Iron Mountain Rd, approximately 4.8 miles to the north of the Iron Mountain Rd and State Highway 36 junction. The tour will begin at 9:00 am will go no later than 12:30 pm. Questions or inquires about the tour can be directed to Tim May, tim.may@state.sd.us or (605) 484-4903.

3. SALE AREA

A detailed Timber Sale Area Map, attached, describes the location of and the method in which timber sale and unit boundaries are marked. The sale area is located within the Mystic Ranger District boundary, approximately 15.3 miles from Hermosa, SD The legal description is portions of Sections 25, 26, 35, & 36 of Township 2S, Range 6E, Custer County, South Dakota.

The sale area is divided into 7 units. The net sale area encompasses 364 acres available for harvest and operable, with an optional 16.8 acres. Units boundaries are identified using a combination of marking paint and virtual.

Rubber-tired skidder operability is defined as slopes less than or equal to 40% slope and free of excessive rock. The Purchaser will be required to harvest all designated timber on acres meeting the operable definition.

All inoperable areas of the sale have been prepared for harvest. Areas classified as inoperable may be harvested at the purchaser’s option.

4. TIMBER

Minimum specification for sawtimber is 9.0 inches diameter breast height (DBH), 8-foot scaling length, 6 inch diameter inside bark (DIB) top, 10.67 merchantability factor with a minimum of one piece per tree. Minimum specifications for Products-other than-logs (POL) are 5.0 – 8.9-inch DBH, 8-foot scaling length, 4 inch top diameter inside bark.

Cutting, skidding, decking, hauling and purchase of all included timber is required.

Total estimated net sale volume is 852 CCF of ponderosa pine sawtimber and 103 CCF of ponderosa pine POL.

All property boundaries have been marked with 3 vertical RED stripes; Two extend from the ground to DBH marking the boundary line. A middle mark faces into the sale unit. All interior unit boundaries are virtual. The Purchaser is responsible for obtaining a GPS that is capable of determining the location of the true virtual boundary +/- 30 feet.

Estimates of volume, average diameter, etc. are based on a tree measurement variable plot cruise of 127 points. Standardized volume tables, Bell-Dilworth Log Scaling and Timber Cruising were used to calculate ponderosa pine sawtimber volume on this timber sale to a 6” top and ponderosa pine POL volume to a 4” top. See Table 1.

5. OPERATIONS

The operating schedule for this sale will be as follows:

The contract termination date is March 31, 2028 A maximum of three units will be open for logging at any time. Additional units will be released as earlier units are closed out.

Special yarding requirements, protection of residual stands, and improvements are discussed below.

6. LOGGING PROVISIONS

All units are Description by Prescription.

The prescription for Units 1 – 6 is as follows:

1) Target residual live trees spacing of 20 feet, with acceptable limits of 16-24 feet

2) Thinning from below of the 5 inch and greater DBH size Ponderosa Pine.

3) Preference for leave trees will be for trees greater than 8.9 inch DBH, dominate or co-dominant and show good phenotype characteristics. Favor sawtimber as residual trees where POL and sawtimber are mixed.

4) All trees with canker or decay fungi should be cut before others.

The prescription for Unit 7 is as follows:

1) Target residual live trees spacing of 20 feet, with acceptable limits of 16-24 feet

2) Thinning from below of the 5 inch and greater DBH size Ponderosa Pine.

3) Preference for leave trees will be for trees greater that 8.9 inch DBH, dominate or co-dominant and show good phenotype characteristics. Favor sawtimber as residual trees where POL and sawtimber are mixed.

4) All trees with canker or decay fungi should be cut before others.

5) All trees with a PINK horizontal slash at DBH are identified as leave tree and cannot be cut. They will not be considered in the 20 foot spacing requirement and are to be treated as ghost trees.

Unit 2 contains a wildlife ATP and no logging operations will be allowed from March 15 – August 31.

Unit 4 contains a wildlife ATP and no logging operations will be allowed from February 1 – August 15.

No logging operations will be allowed in the identified Streamside Management Zones. No piling or equipment will be allowed to operation in the adjacent Meadows.

7. ROADS

The Timber Sale Area map shows the location of the roads associated with the timber sale and the level of work required. All interior timber sale roads will be low standard, of native materials with 12 foot running surfaces.

There are approximately 6.42 miles of existing interior sale road that will require pre and post haul maintenance. There are approximately 0.6 miles of temporary roads that will need to be improved for hauling purposes and closed at the end of the sale. See attachment A.

No hauling will be allowed across Custer State Park, along CSP Rd 602 from April 1 – October 31.

8. APPRASIAL AND MINIMUM ACCEPTABLE BID

The minimum acceptable bid is $0.25 per CCF of ponderosa pine sawtimber.

The minimum acceptable bid is $0.25 per CCF of ponderosa pine POL.

9. PAYMENT

Sawtimber on this sale will be weight scaled and paid for in units of CCF. Each 75.11 pounds of timber hauled will equal one (1) cubic foot of timber volume. Scaling arrangements will comply with contract specifications.

POL on this sale will be weight scaled and paid for in units of CCF. Each 75.29 pounds of POL hauled will equal one (1) cubic foot of volume.

An advance payment of 25% will be required at the time of contract signing. The advance payment will be made available for draw down once 50% of the sale has been completed. Monthly invoices will be billed out on the 15th of every month during harvest operations and will be based on the previous months scaled timber.

This is a flat rate sale with no escalation or de-escalation provisions.

10. DEPOSITS, PERIODIC PAYMENTS AND BONDS

A performance bond of 10% of the total estimated sold stumpage value will be required at the time of contract signing.

This contract includes a brush disposal deposit of $5.76 per CCF of sawtimber and POL.

11. STANDARD CONTRACT TERMS

Any contract or agreement resulting from this prospectus will include, at a minimum, the substance of the contract terms and conditions set forth in Appendix A. However, as part of the negotiation process, the language of a specific term or condition listed in Appendix A could be modified upon agreement between the State and the bidder. Additional terms and conditions may be required.

12. LENGTH OF CONTRACT

This is a 3-year timber sale contract and will terminate on March 31, 2029

13. BIDDING PROCEDURE

All sealed bids must be completed and received to Amanda Morrison, 3305 West South Street, Rapid City SD 57702 by the date and time indicated in the Schedule of Activities.

Bids received after the deadline will be late and ineligible for consideration.

A $500.00 bid guarantee in the form of a certified check, bank draft, money order, bid bond, irrevocable letter of credit, or cash must accompany all sealed bids.

Bids should be addressed and labeled as follows:

TIMBER – SEALED BID

ECHO GNA TIMBER SALE

Amanda Morrison 3305 West South Street

Rapid City, SD 57702 No proposal shall be accepted from, or no contract or purchase order shall be awarded to any person, firm or corporation that is in arrears upon any obligations to the State of South Dakota, or that otherwise may be deemed irresponsible or unreliable by the State of South Dakota.

14. MODIFICATION OR WITHDRAWAL OF BIDS

Bids may be withdrawn by the offeror prior to the established due date and time.

No oral, telephonic, telegraphic or facsimile responses or modifications to informal, formal bids, or will be considered.

15. PROPRIETARY INFORMATION

The proposal of the successful offeror(s) becomes public information. Proprietary information can be protected under limited circumstances such as client lists and non-public financial statements. An entire proposal may not be marked as proprietary. Offerors must clearly identify in the Executive Summary and mark in the body of the proposal any specific proprietary information they are requesting to be protected. The Executive Summary must contain specific justification explaining why the information is to be protected. Proposals may be reviewed and evaluated by any person at the discretion of the State. All materials submitted become the property of the State of South Dakota and may be returned only at the State's option.

16. GOVERNING LAW

This Agreement shall be governed by and construed in accordance with the laws of the State of South Dakota, without regard to any conflicts of law principles, decisional law, or statutory provision which would require or permit the application of another jurisdiction’s substantive law. Venue for any lawsuit pertaining to or affecting this Agreement shall be in the Circuit Court, Seventh Judicial Circuit, Pennington County, South Dakota.

17. BID REQUIREMENTS AND COMPANY QUALIFICATIONS

17.1 The offeror is cautioned that it is the offeror's sole responsibility to submit information related to the evaluation categories and that the State of South Dakota is under no obligation to solicit such information if it is not included with the proposal. The offeror's failure to submit such information may cause an adverse impact on the evaluation of the proposal.

17.2 Offeror's Contacts: Offerors and their agents (including subcontractors, employees, consultants, or anyone else acting on their behalf) must direct all of their questions or comments regarding the RFP, the evaluation, etc. to the buyer of record indicated on the first page of this RFP. Offerors and their agents may not contact any state employee other than the buyer of record regarding any of these matters during the solicitation and evaluation process. Inappropriate contacts are grounds for suspension and/or exclusion from specific procurements. Offerors and their agents who have questions regarding this matter should contact the buyer of record.

18. TIMBER SALE AWARD PROCESS

18.1 The Timber Sale will be awarded to the highest bidder, under the condition the highest bid is greater than or equal to the stated minimum bid.

18.2 In the case of a tie for highest bid, those bidders with the tie bid will be asked to submit a revised offer.

18.3 The State reserves the right to reject any or all proposals, waive technicalities, and make award(s) as deemed to be in the best interest of the State of South Dakota.

TABLE 1:

852 CCF Total Volume

NOTES: Sawtimber defect is average observed defect. Total Net CCF includes volume of landings and roads.

TABLE 2:

TABLE 3:

VOLUME PER DIAMETER CLASS

TABLE 1a.

NOTES: POL defect is average observed defect. Total Net CCF includes volume of landings and roads.

TABLE 2a:

POL VOLUME PER DIAMETER CLASS

*Rounded to nearest 1/10th.