Summary of Method of Determining Appraised Value

The formula to be used in determining the appraised value of property categorized as managed timberland is found in Appendix 5 of this rule.

APPENDIX 1

Timberland Classification Schedule

Class "A"

This land is adaptable for use as forest property. It may be adaptable to other profitable uses. There is a stand of trees of commercial species, the size being from fourteen (14) to twenty (20) inches dbh and above.

Class "B"

This land is also adaptable for use as forest property. It may be adaptable for other profitable uses. There is a stand of trees of commercial species, the size being from ten (10) to fourteen (14) inches dbh.

Class "C"

This land is adaptable for use as forest property. There is a stand of trees of commercial species, the size being from six (6) to ten (10) inches dbh.

Class "D"

This land is adaptable for use as forest property. There is a stand of trees of commercial species, the size being from four (4) to six (6) inches dbh.

Class "E"

This land is adaptable for use as forest property. There are trees of commercial species less than four (4) inches dbh. This class of timberland also includes clear cut property and property subjected to total harvest where the remaining commercial species are less than four (4) inches dbh.

APPENDIX 2

Minimum Number of Trees Required Per Acre to Determine 30 Square Feet of Tree Basel Area of 40% Stocking for Classification as Forest Land

---------------------------------------------------------------------------------------------------------------------D.B.H. D.B.H. in 2" Basel Area Per Per Per Range Classes Per Tree Acre 1/5 Acre 1/10 Acre ---------------------------------------------------------------------------------------------------------------------up to 2.9" Seedlings 400 80 40 3.0-4.9" 4 0.0873 400 80 40 5.0-6.9" 6 0.1964 153 31 15 7.0-8.9" 8 0.3491 86 17 9 9.0-10.9" 10 0.5454 55 11 6 11.0-12.9" 12 0.7854 38 8 4 13.0-14.9" 14 1.0690 28 6 3 15.0"+ 16+ 1.3983 21 4 2

NOTE:
(a) Area 1/5 acre, circle, diameter 105§4"; square 93.4" per side
(b) Area 1/10 acre; circle, diameter 74§6"; square 66'
(c) Number of seedlings present may qualify on a percentage basis; Example, 100 seedlings would be equivalent of 7.5 square feet of basal area (25% x 30 - 7.5)
(d) Seedlings per acre are based on total pine and hardwood stems. Where intensive pine management is practiced a minimum of 250 well distributed pine seedlings will qualify.

APPENDIX 3

Stumpage Price Regions

Region 1 Region 2 Region 3 Region 4 Region 5

Brooke Braxton Barbour Berkeley Boone Cabell Calhoun Greenbrier Grant Fayette Hancock Clay Monroe Hampshire Kanawha Jackson Doddridge Nicholas Hardy Lincoln Marshall Gilmer Pendleton Jefferson Logan Mason Harrison Pocahontas Mineral McDowell Ohio Lewis Preston Morgan Mercer Pleasants Marion Randolph Mingo Putnam Monongalia Tucker Raleigh Tyler Ritchie Upshur Summers Wetzel Roane Webster Wayne Wood Taylor Wyoming Wirt

APPENDIX 4

TABLE OF HARVEST VOLUMES PER ACRE WITHTABLE OF HARVEST VOLUMES PER ACRE WITH HARVEST INTERVALS OVER AN 80 YEAR ROTATION CYCLE

35 Years 55 Years 80 Years Total Grade 1

Site Index (75 or more) 4.6 Cords 2.6 Cords 3.3 Cords 10.5 Cords (Very Good to Excellent) 1.5 MBFs 4.4 MBFs 8.6 MBFs 14.5 MBFs

Grade 2

Site Index (65-74) 3.3 Cords 7.0 Cords 4.6 Cords 14.9 Cords (Fair to Good) 1.0 MBFs 3.2 MBFs 5.5 MBFs 9.7 MBFs

45 Years 80 Years Total

Grade 3

Site Index (less than 65) 3.1 Cords 15.4 Cords 18.5 Cords

(Poor) .8 MBFs 3.7 MBFs 4.5 MBFs

Scribner rule. Schnur, G. Luther. UNITED STATES DEPARTMENT OF AGRICULTURE Tech. Bul. No. 560. 1937. The Tax Commissioner may adopt a different timber scale and revise yields as standards of timber utilization change or as new information becomes available on timber yields of forest stands.

APPENDIX 5

For Class II Parcels:

Appraised Value Per Acre = [[Present worth of 1] x [(Future value of Harvest Income) - (Future value of management costs)]] less discounted property tax Class II rate.

For Class III & IV Parcels:

Same formula except the discounted property tax rate for Class III and Class IV properties is used.

Until the present natural resource and county computer systems can be programmed to change appraisals based on tax classifications or until a new computerized appraisal system can be put into effect, the property tax discount shall be a blended rate including both Class II and Class III rates.

APPENDIX 6

AV = (P1V1) + (P2V2) + (P3V3) where AV = Property Appraised Value P1 = Total Acreage of Parcel in Soil Productivity Grade 1 P2 = Total Acreage of Parcel in Soil Productivity Grade 2 P3 = Total Acreage of Parcel in Soil Productivity Grade 3 V1 = Value of Soil Productivity Grade 1 V2 = Value of Soil Productivity Grade 2 V3 = Value of Soil Productivity Grade 3