[Federal Register Volume 61, Number 180 (Monday, September 16, 1996)]
[Rules and Regulations]
[Page 48625]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-23480]
[[Page 48625]]
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DEPARTMENT OF AGRICULTURE
Forest Service
36 CFR Part 223
Sale and Disposal of National Forest System Timber; Appraisal of
Timber for Land Exchange, Right-of-Way, or Other Authorized Use
AGENCY: Forest Service, USDA.
ACTION: Final rule; technical amendment.
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SUMMARY: The Forest Service is amending regulations for appraising the
value of timber under special circumstances. These regulations were
reviewed under phase II of the President's Regulatory Reinvention
Initiative and were determined to be repetitive and in need of
revision. The intended effect of this technical amendment is to remove
ambiguity and improve the usefulness of the rules by consolidating the
content of similar rules that provide the Chief of the Forest Service
appropriate appraisal methods for determining fair market value of
timber on land exchanges; right-of-ways, or other authorized use.
EFFECTIVE DATE: September 16, 1996.
FOR FURTHER INFORMATION CONTACT:
Jim Naylor, Timber Management Staff, Forest Service, telephone: (202)
205-0858.
SUPPLEMENTARY INFORMATION:
Background
The Organic Administration Act (16 U.S.C. 478) and the Federal Land
Policy and Management Act of 1976 (43 U.S.C. 1701 et seq.) authorize
the Secretary to allow occupancy and use of the national forests for
egress or ingress, for right-of-ways, or other authorized uses.
The National Forest Management Act (16 U.S.C. 472a(a)) directs that
all timber sold from National Forest System land be sold at not less
than its appraised, or fair market, value. Therefore, all timber of
merchantable size and quality sold in exchange for land or as timber
cut for right-of-ways or for other authorized uses is appraised
according to requirements set out in 36 CFR 223.60, Determining fair
market value. Section 223.60 was amended February 14, 1996 (61 CFR
5684), to remove the residual value appraisal procedure as the primary
method for determining fair market value. While the residual value
appraisal method may still be used and currently is used by Region 10,
it has been replaced primarily by the transaction evidence appraisal
method used in other regions.
Currently, there are two rules that address the process for
appraising the value of timber under special circumstances, one for
exchange of timber--Section 223.65, and another for right-of-way or
occupancy uses--Section 223.66. In this rulemaking, section 223.65 is
being amended to include appraisal of timber for right-of-way or other
authorized use, and Sec. 223.66 is being removed.
When the residual value method was the primary method for
appraising timber, direction was needed for the special circumstances
of appraising the value of timber when an exchange of land, right-of-
way, or other authorized use was granted. In order to ensure that the
method of appraisal under these specific circumstances reflected fair
market values, the rules at Sec. 223.65 and Sec. 223.66 included the
following language: ``Where residual value method is used, prices paid
for comparable timber will be considered and the residual value
adjusted accordingly.'' This statement allowed the use of transaction
evidence (the prices paid for comparable timber) in determining the
value of the timber. Since the amendment to Sec. 223.60 states that
``Valid methods to determine fair market value include, but are not
limited to, transaction evidence appraisals, analytical appraisals,
comparison appraisals, * * *'' direction permitting the use of
transaction evidence in determining the value of the timber is no
longer needed in the revised Sec. 223.65. Therefore, Sec. 223.65 is
being revised to state that ``The value of the timber * * * is to be
determined by the appraisal methods in Sec. 223.60 of this part.''
Regulatory Impact
This is a technical rule with no substantive effect; therefore, it
is not subject to review under USDA procedures and Executive Order
12866 on Regulatory Planning and Review. As a technical amendment, this
final rule also is exempt from further analysis under Executive Order
12630, Takings Implications; the Unfunded Mandates Reform Act of 1995;
the Paperwork Reduction Act of 1995; or Executive Order 12778, Civil
Justice Reform.
List of Subjects in 36 CFR Part 223
Exports, Government contracts, National forests, Reporting
requirements, Timber sales.
Therefore, for the reasons set forth in the preamble, Part 223 of
Title 36 of the Code of Federal Regulations is hereby amended as
follows:
PART 223--SALE AND DISPOSAL OF NATIONAL FOREST SYSTEM TIMBER
1. The authority citation continues to read as follows:
Authority: 90 Stat. 2958, 16 U.S.C. 472a; 98 Stat. 2213, 16
U.S.C. 618; 104 Stat. 714-726, 16 U.S.C. 620-620h, unless otherwise
noted.
Sec. 223.65 [Amended]
2. Revise Sec. 223.65 to read as follows:
Sec. 223.65 Appraisal of timber for land exchange; right-of-way, or
other authorized use.
The value of timber in land exchange or the value of timber
required to be cut for occupancy of a right-of-way or other authorized
use of National Forest System land for which payment will be made is to
be determined by the appraisal methods in Sec. 223.60 of this part.
Sec. 223.66 [Removed and Reserved]
3. Remove and reserve Sec. 223.66.
Dated: September 3, 1996.
David G. Unger,
Associate Chief.
[FR Doc. 96-23480 Filed 9-13-96; 8:45 am]
BILLING CODE 3410-11-M
