January - March 2014
Best Bid System for Selling Timber
By Jason E. Jensen, CF
Historically forestry division has always accepted the high bid for stateland timber sales. The high bid on a timber sale does not always result in the best management. The "best bid system" moves towards a performance based approach. This system rewards loggers that demonstrate good performance. The new bidding process is achieving a number of objectives. It provides a tangible incentive for logging crews to send all crew members through Professional Timber Harvester training. It also acknowledges the performance and commitment of Certified Master Loggers. The system provides a tangible benefit for Master Loggers and gives others a reason to consider applying for certification. The Department is very concerned about the quality of the management and is willing to pay for performance. It also provides landowners with the knowledge and confidence that there are trained and certified loggers available to assist with management of their forest. The best bid system has reduced contract administration time which allows staff to focus on other state and private land priorities.
There are several outcomes that we experiencing from this system including:
- 1. We are getting better management of our forests.
- 2. Additional loggers have signed up for the Professional Timber Harvester course.
- 3. Additional loggers are enrolling in the Certified Master Logger program.
- 4. Loggers have traditionally complained about the cost associated with Professional Timber Harvester training and Master Logger Certification. This system helps compensate them for the costs associated with the program.
- 5. Staff spend less time on timber sale administration since we are working with better contractors. This allows us to reallocate staff time to other program areas.
- 6. Better performance of Certified Master Loggers will carry over on private land timber sales that aren’t conducted with the assistance of a forester.
The performance based bid system that MDC is utilizing provides an incentive for good performance on both state and private land timber sales. It will also provide more staff time to conduct additional state and private land forestry projects. This bidding system will help MDC move towards the goal of raising the bar on the forest products industry and rewards loggers that are committed to outstanding performance.