Lost Ridge Timber Sale

NOTICE OF SALE Department of Natural Resources & Conservation Timber Sale The Lost Ridge Timber Sale is located within Sections 2, 3, 10,11,13, 14 & 15, T24N-R17W on the State's Swan Unit. Approximately 25,895 tons, consisting of mixed conifer sawlogs, are offered for sale. Sealed bids will be opened at the Department of Natural Resources & Conservation, 2705 Spurgin Road, Missoula, Montana on December 13, 2022 at 2:00 p.m. Bids may be hand delivered or mailed and will be accepted any time prior to the bid opening. DNRC recommends that bidders contact the Trust Land Management Division (406-542-4300) prior to the bid opening to ensure that your bid has been received. Bids must be accompanied by a deposit of $12,676.00, representing 5% of the minimum bid value of the sale in cashier's check, certified check, bank money order or bank draft to be applied to the first sale invoice for the successful bidder. Bid bonds will be accepted and, for the successful bidder, will be closed upon

execution of the Timber Sale Contract and Timber Sale Bond. The sale will be awarded to the highest responsible bidder. Award of the timber sale is conditional upon approval of the timber sale by the State Board of Land Commissioners at their November 21, 2022 meeting. If the successful bidder is unable to execute the contract within 30 calendar days from the date the sale is awarded, the bid deposit will be retained by the Department as liquidated damages. The right is reserved to reject any or all bids. Prospective bidders can obtain the sale prospectus, sale contract and bid forms from the Department of Natural Resources & Conservation, Trust Land Management Division, in Missoula (406-542-4300). Visit our website at http://dnrc.mt.gov/divisions/trust/forest-management/timber-sale-information for upcoming sales and bid results. http://dnrc.mt.gov/divisions/trust/forest-management/timber-sale-information TIMBER SALE PROSPECTUS STATE OF MONTANA DEPARTMENT OF NATURAL RESOURCES AND CONSERVATION Timber Sale Name: Lost Ridge For specific sale information, contact: Phone 406-754-2301 Chad Blanchard Swan Unit Office For copies of the Timber Sale Contract and bid forms, contact: Phone 406-542-4300 Forest Management Bureau DNRC Missoula Office Phone 406-751-2240 Northwestern Land Office General Bidding Information 1. Bids must be submitted on Department of Natural Resources & Conservation (State) bid forms. 2. Timber will be sold to the highest responsible bidder; however, the State reserves the right to reject any or all bids. 3. The State recommends that bidders contact the Forest Management Bureau, Trust Land Management Division (406-542-4300) prior to the bid opening to ensure that your bid has been received. 4. A Bid Deposit must accompany all bids and must be in the form of cash, cashiers check, certified check, money order, bank draft, surety bond or irrevocable letter of credit. 5. The Purchaser must submit a Performance Bond to the State within 30 days of notification of sale award. The bond amount will be, at a minimum, 20% of the total bid value of the sale. The performance bond may be cash, irrevocable letter of credit, surety bond or certificate of deposit. The performance bond must be maintained separately from other payments for the duration of the Timber Sale Contract. See the Timber Sale Contract for additional information. 6. The purchaser must submit an Advance Stumpage Payment prior to cutting any timber. The amount of the advance stumpage payment will cover six weeks of harvesting and be based on the expected harvest rate and the bid value of the stumpage. The advance stumpage payment may be cash, irrevocable letter of credit, payment bond or certificate of deposit. 7. At rates specified in the Contract, the purchaser will pay Forest Improvement Fees on all sawlog volume. All applicable Road Use and/or Maintenance fees will also be paid by the Purchaser in addition to stumpage payments. 8. This sale is being sold based on the gross weight of all species. Minimum price and bid price are on a per ton basis. Unless otherwise specified, the price applies to all species, green and dead. Price may vary by product. Billing will be based on gross weight. A weight ticket from a certified scale is required for each load hauled, regardless of product type. 9. The State has estimated the net scale merchantable sawlog volume to be sold under this Contract. Other products may be part of this sale. All delivered wood will be weighed and billed at per ton bid rates. The State recognizes that a percentage of delivered wood may not meet the log manufacturing and recovery standards of the Timber Sale Contract. The actual percentage will vary based on the log manufacturing and recovery specifications of the purchaser and tree conditions in the sale area. The actual delivered weight may vary, resulting in an overrun or under-run of the estimated tonnage. The State strongly recommends that bidders evaluate these effects before bidding. 10. The State does not conduct detailed road appraisals. All appraised costs are gross estimates or averages, provided only to show the relative amount of work required, and not the true market value. The State strongly recommends that bidders make their own estimates based on Contract requirements. Cost estimates provided are not guaranteed. 11. Bidders are encouraged to examine the complete Timber Sale Package and Sale Area prior to bidding. Additional information is available at the phone numbers shown above. 12. Estimates for sale volume, species percents, defect, product class, etc. provided in this prospectus and volume estimates listed in the Timber Sale Contract are not guaranteed. 13. This prospectus is provided for information purposes only. If the prospectus is in error or contradicts the Timber Sale Contract, the Contract governs. PROSPECTUS Version January 2018 2 Additional Sale Information 1. The Lost Ridge Timber Sale consists of eleven units (504 acres). a. Four ground-based units (153 acres, 1,120 MBF) b. Four skyline units (241 acres, 2,374 MBF) c. Three combination units (110 acres, 1,072 MBF) 2. The Lost Ridge Timber Sale Road package includes: a. Approximately 7.4 miles of new road construction that will include right-of-way harvesting, road pioneering, drain dip installations, CMP installations, grass seeding, maintenance, and final blading. b. Approximately 0.4 miles of temporary road construction. c. Approximately 34 miles of road maintenance including brush clearing and piling, right-of-way clearing, road widening, drain feature construction and repair, grass seeding, weed spraying, BMP improvements and initial, intermediate, and final blading. 3. Access/Directions a. The Lost Ridge Timber Sale is located east of Cilly Creek Road in the Cilly Creek, South Lost Creek drainages. The east side of the sale is accessed by Lost Creek Road off Highway 83 at Mile Post (MP) 69.7 south of Swan Lake, MT. The west side of the sale is accessed by the Cilly Creek Road from the Soup Creek Road off Highway 83 at MP 64.8 north of the Swan River State Forest Office. b. *See attached vicinity, sale, and haul route map with Notice of Sale. c. *Gate keys are required to access the upper end of the South Lost Creek Road and Upper Cilly Ridge Road which are available at the Swan River State Forest Office (34925 MT HWY 83, Swan Lake MT. 59911). 4. Pre-Bid Tour a. A pre-bid sale tour will be offered on November 21, 2022, meeting at 10 a.m. at the Swan River State Forest Office (34925 MT HWY 83, Swan Lake MT. 59911). Bidders are strongly encouraged to attend if possible. 5. Harvest Operational Period a. OPERATING PERIOD: Award date through March 16, 2023; June 16, 2023, through March 16, 2024; June 16, 2024 through March 16, 2025; June 16, 2025 through March 16, 2026; and when Soil Compaction Restrictions in Section VII.L.1 of this contract apply; when Hauling Restrictions in Section VII.N. of the timber sale contract apply. 6. Road Construction/Maintenance Operational Period a. OPERATING PERIOD: Award date through March 16, 2023; June 16, 2023, through March 16, 2024; June 16, 2024 through March 16, 2025; June 16, 2025 through March 16, 2026; and when Soil Compaction Restrictions in Section VII.L.1 of this contract apply; when Hauling Restrictions in Section VII.N. of the timber sale contract apply. Timber Sale Information Sheet Montana Department of Natural Resources and Conservation Page 1 SPECIES PP DF WL LP ES GF RC AF WP Dead TOTAL or AVE Minimum Bid per ton $9.79 Pounds per cubic foot 61.7 58.3 56.0 57.0 60.0 44.0 55.0 40.0 Estimated tons of sawlogs 4175 1912 87 10552 1858 2154 5158 0 25,895 tons Estimated tons of non-sawlog material 26 8 1 51 28 15 77 0 205 tons Gross MBF 763 472 18 2550 334 468 1130 0 5,735 MBF % Cull and Breakage 13.0 22.0 15.0 20.0 17.0 17.0 28.0 0.0 20.4% Net MBF 664 370 15 2039 279 390 811 0 4,567 MBF Average logs per MBF 15.8 12.0 19.3 12.2 23.4 22.5 27.6 0.0 17.0 logs/MBF Average DBH 16.3 18.1 13.0 17.4 12.4 14.9 12.6 0.0 14.8 in. 51 tons/ac 9.1 MBF/ac 67 4,078 10.7% Conversion Factor - Estimated tons hauled per thousand Scribner board feet 5.67 tons/MBF Contract Termination Date: Operating Period: Average tons to cut per acre Average MBF to cut per acre Calculated Sampling Error: Total cruised volume will fall between Tons Per Thousand Board Feet 25,895 estimated tons / Lost Ridge Contract Information 9/30/2026 Award date through March 16, 2023; June 16, 2023, through March 16, 2024; June 16, 2024 through March 16, 2025; June 16, 2025 through March 16, 2026; and when Soil Compaction Restrictions in Section VII.L.1 of this contract apply; when Hauling Restrictions in Section VII.N. of the timber sale contract apply Total Average TPA Cut and 5,056 Net MBF in 9 out of 10 cruises Timber Sale Cruise Data (Scribner 5.6" top DIB, Filter: All | All | Cut) 4,567 Net MBF Timber Sale Information Sheet Montana Department of Natural Resources and Conservation Page 2 $319,969 $12.36/ton $70.06/MBF Estimated Purchaser-do road maintenance cost total $20,933 Estimated Purchaser-do road maintenance cost per ton $0.81/ton $0.00/ton $0.00/ton 7.4 miles 0.5 miles 0.0 miles 0.0 miles 34.0 miles Unit # Acres Est Tons Est MBF Harvest Deadline 02-11 26.26 2011 355 March 16, 2026 10-01 35.02 2002 353 March 16, 2026 11-01 47.91 2897 511 March 16, 2026 11-02 35.66 1379 243 March 16, 2026 11-03 86.77 3329 587 March 16, 2026 11-05 61.31 4637 818 March 16, 2026 11-06 67.03 3483 614 March 16, 2026 11-07 25.85 1409 249 March 16, 2026 11-08 16.79 603 106 March 16, 2026 15-01 38.92 2700 477 March 16, 2026 15-07 62.06 1445 255 March 16, 2026 504 Ac. 25,895 tons 4,567 MBF Estimated road development cost per ton Estimated road development cost perMBF % of volume logged by skyline % of volume logged by clearcut or seed tree cut % of volume logged with tractors 85% 28% Road development and maintenance fees and estimates Private road maintenance charges per tonYarding distance other system (specify) Estimated haul distance (paved) Yarding distance tractor (average) Yarding distance skyline (average) 50.0 miles 500 ft. 800 ft. Estimated Purchaser-do slash disposal work per ton $0.00 $0.00/ton $0.00/ton $0 Estimated Purchaser-do FI per ton Estimated Purchaser-do slash disposal work total Estimated Purchaser-do FI total $ $121,447.55 $26.60/MBF 14.0 miles Unit harvest volume Forest Improvement fee estimated total $4.69/ton Estimated haul distance (unpaved) Forest Improvement fee quarterly installment $20,241.26 Miles of road maintenance and blading Forest Improvement fee perMBF Forest Improvement fee per ton Miles of road construction Miles of road reconstruction Miles of road with site improvements Miles of road reclamation or abandonment Purchaser fees and estimated costs 0 ft. USFS road maintenance charges per ton Logging Information 00%% of volume logged by other system (specify) Estimated road development cost total 72% Lost Ridge VICINITY MAP Project Name: Lost Ridge Project Location: approx. 6 air miles SE of Swan Lake, MT Sections: 2, 3, 10, 11, 13, 14, 15 Township: 24N Range: 17W 11 10 11 1212 1313 14151617 1818 19 19 19 2 20 20 21 21 22 22 23 2323 2424 24 2525 2525 27 26 2626 2728 28 29 29 3 3030 30 31 32 33 34 3535 3636 45 6 6 77 8 9 Cilly Creek Road U pp er C ill y R id ge R oa d Soup Creek Road Ci lly T ai l R oa d Lost Creek Road ̄ Chad Blanchard Attachment A2 Lost Ridge Timber Sale: Haul Route Sec. 2, 10, 11, 15 T24N R17W 0 0.85 1.70.42 MilesFMB Roads HIGHWAY OPEN Restricted Closure Class A Haul Route Rx OGM OSR Seed Tree Ownership MT DNRC USFS USFWS Lower Cilly Rd Spur A Spur 1003 C ill y Tr ai l R oa d C il ly Trail Road Cilly Tra il Road Cilly Trail R oad Up per Ci lly S oup CillySplit Road Cilly Trail Road Spur 15 09 U ppe r C illy Ridge Rd S pu r 1 00 5 U pper C illy R id g e R d 7000 4200 4000 68 00 48 00 3800 66 00 420 0 4400 66 00 4400 4000 4200 4400 4600 6400 4600 62 00 6000 5600 5800 5400 4800 5200 5000 11-06 11-05 11-01 11-02 10-01 15-01 11-03 15-07 11-07 11-08 02-01 11-02 Back to Lost Top Lost Road Mid dle Lo st Road Cilly to Lost Lo st C re ek R oa d ̄ Chad Blanchard Attachment A3 Lost Ridge Timber Sale: Unit Map Sec. 2, 10, 11, 15 T24N R17W 0 0.25 0.50.13 MilesFMB Roads Restricted Closure Class A Haul Route New Road Construction Temp Road SMZ Boundary Rx OGM OSR Seed Tree Line Ground Grizzly Bear Patch Wildlife corridor Hydrolines Intermittent Stream Perennial Stream Ownership MT DNRC USFS Contours 200 Contours 40 Spur1003 Lo st C ed ar S pu r Upper CillySoup Spu r1005 C illy Trail R oa d Cil ly TrailR oad Up per Cill y R idg e R d Cill y Tra il Road Cilly Split Road Cill yTrail Road 46 00 46 00 48 00 6600 48 00 4800 66 00 4000 5000 4200 50 00 4400 4600 4800 64 00 5000 6200 6000 56 00 5800 5400 520 0 11-06 11-05 11-01 11-02 10-01 15-01 11-03 15-07 11-07 11-08 02-01 11-02 Back to Lost Top Lost Road Mid dle L ost Ro ad Cilly t o L ost Lo st C re ek R oa d ̄ Chad Blanchard Attachment A4 Lost Ridge Timber Sale: Unit Map Sec. 2, 10, 11, 15 T24N R17W 0 0.2 0.40.1 MilesFMB Roads Restricted Closure Class A Haul Route New Road Construction Temp Road SMZ Boundary Rx OGM OSR Seed Tree Line Ground Grizzly Bear Patch Wildlife corridor Hydrolines Intermittent Stream Perennial Stream Ownership MT DNRC USFS Contours 200 Contours 40 Spur 1005 UpperCilly S oup Spur 1003 U pp er Cil ly S oup Cilly Trail R oa d C illy Trail Road Upper C illyRidge Rd Cilly Trail Roa d S p ur 1 005 C illy Trail Road Sp ur 15 09 U pper C illy R idge R d 540 0 5200 4000 52 00 44 00 58 00 5600 4200 5400 4400 5200 4600 480 0 5000 11-05 15-01 15-07 M id dl e Lo st Ro ad ̄ Chad Blanchard Attachment A5 Lost Ridge Timber Sale: Unit Map Sec. 2, 10, 11, 15 T24N R17W 0 0.1 0.20.05 MilesFMB Roads Restricted Closure Class A Haul Route Temp Road SMZ Boundary Rx OSR Seed Tree Wildlife corridor Hydrolines Perennial Stream Ownership MT DNRC Contours 200 Contours 40 1 10 11 12 1314151617 18 19 2 20 2526272829 3 30 31 32 33 34 35 6 36 45 7 8 9 Ci lly Cr ee k Ro ad Soup Creek Road Goa t Cre ek G oat Soup Cut-Across Goat Creek Gravel Pit Swan Unit Office ̄ Chad Blanchard Attachment A6 Lost Ridge Timber Sale: Goat Creek Gravel Pit Sec. 2, 10, 11, 15 T24N R17W 0 0.6 1.20.3 MilesFMB Roads HIGHWAY OPEN Restricted Closure Class A Haul Route Gravel Pit Hydrolines Intermittent Stream Perennial Stream Ownership MT DNRC MT FWP USFS Lost Creek Ro ad Lost Creek Road widening ̄ Chad Blanchard Attachment A7 Lost Ridge Timber Sale: Lost Creek Road widening Sec. 2, 10, 11, 15 T24N R17W 0 0.07 0.140.04 MilesFMB Roads OPEN Restricted Closure Class A Haul Route Gravel Pit Hydrolines Perennial Stream Ownership MT DNRC USFS