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In the past, managing your forest land usually meant managing the trees
to produce the maximum amount of wood mass for a given pulp or sawtimber
species. However, in addition to managing for these timber products, there
are other enterprises which can diversify a forest resources management
program and also may provide financial return to the landowner. In this
publication we highlight six of the major enterprises which the landowner
might incorporate into a forest resource management scheme. These enterprises
include forest grazing, Christmas trees hunting leases, pine straw, fee
fishing and firewood.
Why add other enterprises to your land? Timber is a long-term investment with returns available only after 20 or more years. In many circumstances additional, shorter term income from the forest land would be beneficial. For instance, a grazing lease on the land might provide additional income during the early years of a plantation. In other cases, other enterprises might be added for aesthetic reasons or as a hobby. Persons who love wildlife and/or hunting might want to manage parts of their forest land for wildlife. Many landowners might want to manage their land for several products at once, resulting in a mosaic of different enterprises. Adding and managing a successful forest resource enterprise, like any
other business, involves planning and decision-making prior to its establishment
and throughout the life of the enterprise. Some of the general steps that
need to be followed to successfully begin and manage an alternative enterprise
are:
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Introduction
The pine forests of the southeastern United States have been grazed by cattle for approximately 400 years. Prior to state-mandated fence laws, cattle were allowed to roam over the “open range” seeking forage wherever it could be found. Ranchers used frequent burning to keep fresh forage available for the cattle, often without regard to the ownership of the land. Today livestock are required to be fenced, and prescribed fire is managed to keep young pine stands protected until the trees are sufficiently mature to withstand fire. Timber and cattle production on the same area can be very compatible. However, the combination of the two enterprises requires advanced planning and increased management. Herbaceous understory vegetation, which is the primary forage for livestock, and overstory trees compete for the available sunlight. Therefore, the amount of forage being produced within a forest stand will depend upon the age, density, and planting configuration of the overstory trees. In general, the greater amount of sunlight reaching the forest floor, the greater amount of forage that can be produced. Newly planted pine plantations will produce maximum levels of forage regardless of tree density or planting configuration. As the trees age and their crowns develop, forage production will decline unless the trees are planted in a configuration that will allow open spaces to exist in the forest canopy (Figure 1). Such configurations are called "wide-row spacings," and are designed to provide adequate timber production and sustained forage production throughout the rotation age of the tree stand. Owners of forest land who do not own cattle may wish to lease their forage resources in the understory to a cattle owner. Many functional leases are arranged and secured by verbal agreement and a hand shake, but a written lease document is suggested to reduce potential confusion or misunderstandings between the two parties. Steps to Add Grazing to a Pulp or Saw Timber Enterprise
Wide-row tree spacings have not been commercially used to an extent which will allow an estimate of comparative costs. Costs of site preparation will vary according to the extent of the treatment (total cutover area or actual strips where trees will be planted) and to the intensity of treatment. At any given level of site preparation intensity, costs for strip treatment should be proportionally reduced from that of total area treatment. Lease costs for forest grazing are extremely variable. A survey of prices paid in 15 Florida counties in 1984 averaged $1.84 per acre, but ranged from $0.25 to $9.41 per acre (Tanner and Gates [In Press]). Depending on whether the leased forest land is all young plantation or all mature plantation, the average cost of $1.84 per acre will equate to a cost range of approximately $20.00 to $100.00 per head of cattle per year. This hypothetical example should support the benefit to the forest and cattle owner of establishing a lease price according to the amount of forage available. Advantages
Forest land often supplies a relatively inexpensive source of cattle forage. Proper use of this resource may provide additional income to the landowner over that of growing timber alone. Technical and educational information concerning forest grazing can be obtained from county Cooperative Extension Service offices. Technical field assistance can be obtained from the Florida Division of Forestry for tree-related matters and from the U.S.D.A. Soil Conservation Service for forage and livestock-related matters. It is suggested that consultation with a certified public accountant and an attorney-at-law be obtained in developing a grazing lease contract. |
Introduction
A profitable Christmas tree operation in Florida demands intensive cultural management to produce well-shaped, high-quality trees over a short rotation (usually 3 to 4 years). The traditional northern conifer will not grow well in the Florida climate; however, certain species native to Florida, if tended properly, may grow well and provide a less expensive Christmas tree. Combating the few major diseases and insects of native Christmas tree species will reduce the likelihood of poor quality trees due to pest damage and increase the financial return and success of Christmas tree plantings. Northern conifers such as Scots pine, balsam fir, and Norway spruce traditionally have been the Christmas tree species preferred by Florida consumers. When energy costs were inexpensive, these trees could be grown in the north and midwest over a long rotation (8 to 9 years), shipped to southern markets, and growers could still make substantial profits. However, with the increase in fuel and labor costs, it is now almost as expensive to ship a tree to Florida from northern and mid-western areas as it is to grow it. The increased prices of northern conifers have stimulated new interest in producing native trees in Florida for local markets. Northern conifers managed for Christmas trees require long, cold winters during which the trees enter a period of dormancy as a part of their natural development. In Florida, the growing season may extend throughout the year, not enabling northern trees to become dormant. As a result, the desirable spring and summer flushes of foliage which are critical for shaping of high-quality trees do not occur. Certain native trees adapted for the Florida climate do not need as much cold to become dormant, and so they routinely produce the spring and summer foliage needed for local Christmas tree production. Three native tree species are recommended for Christmas tree production in Florida but care must be taken to match each species with the characteristics of the soil where each will be planted:
More than 32 million living trees are cut and sold from retail lots or "choose and cut" operations in the United States each year. In Florida, approximately 700,000 are shipped to retail lots from out-of-state while an additional 50,000 trees are grown in-state. Florida producers of Christmas trees are seeking to expand their share of the statewide market through the "choose and cut" system which maximizes tree freshness and minimizes grower losses. Unfortunately, Christmas tree species grown in Florida do not experience severe winters and may not become dormant. When cut, the trees tend to dry out quickly and not retain acceptable moisture in the branches and needles for an attractive appearance. Customers prefer trees in the 5 to 7 foot height range due to limitations of house or apartment space and cost of the tree. Florida-grown trees in this height range sold retail for $18 to $24 each in 1987 while out-of-state trees on retail lots sold for 25% to 50% higher. Florida producers also sell large numbers of trees wholesale to in-state retailers for $10 to $11 per tree. Steps The labor required for many of these steps is summarized in Table 1
(below).
During the second and subsequent years, the first shearing of the season
should occur first in the spring, after bud break but before the new shoots
are 4 to 6 inches long. A mid- to late summer shearing is necessary, and
early fall shearing may be needed to force as much energy as possible from
height growth back into the conical form for growth of the foliage.
Following these simple rules for planting and shearing will increase the likelihood that top-quality trees will be produced. As Florida Christmas tree growers improve their skills, the quality of trees will improve, and in a competitive market place, the trees with optimal form and thickness should sell first. Values will vary depending upon economies of scale and level of mechanization Costs and Returns
Advantages
Christmas tree production in Florida may be a profitable alternative enterprise for either the full-time or part-time grower provided an adequate local market exists. The grower should start small (1 to 2 acres per year) and expand slowly to satisfy the local market without exceeding the number of trees to be sold in any one season. The production of only the highest quality trees should be the guiding principle of the operation since poor-quality trees do not sell well and weaken the reputation of Florida grown trees. |
Introduction
Demands for outdoor recreational opportunities in the United States tripled from 1962 to 1983 and this trend is expected to increase in the future, particularly in a tourist-oriented state like Florida (Doig 1986). Leasing of private lands for recreational uses such as hunting, fishing, hiking, and camping, which normally have minimal impact on the land is becoming an increasingly popular alternative that may be supplemental to other land uses and income. Leases for hunting in the southeastern United States have expanded in popularity and extent in the last two decades; Florida experienced an estimated 16 to 25 percent growth in the use of hunting lease systems in the decade 1975 to 1985 (Wiggers and Rootes 1987). This section will describe the status of hunting leases in Florida and their potential as a source of revenue for landowners. Steps Prior to deciding whether or not to lease private land for hunting,
it may be useful for the landowner to consider the following:
Of the many alternative enterprises for forest lands with potential for producing income, hunting lease arrangements involve relatively low cost unless the land is managed extensively for wildlife or advertising and marketing costs become extreme. Usually, access to the land is about all that is provided by the landowner, and the costs associated with this are minimal. If major improvements to facilities are made or if intensive management to enhance native wildlife populations is begun, the expenses are often cost-shared with or handled completely by the hunting club. Returns or income per acre resulting from hunting leases are highly
variable, and data on these returns have been difficult to accurately estimate,
depending not only on the factors listed in Step 2 above, but on the willingness
of landowners who operate hunting leases to share accurate information.
Private landowners often are reluctant to share information on the magnitude
of "extra" income, and hunting leases are a good example of an enterprise
where survey results must be considered conservative. A survey was conducted
in 15 counties in Florida in 1984 that indicated an overall average of
$2.29 per acre per year (range of $1.32 to $2.73 per acre). Currently,
average hunting lease prices for typical land where white-tailed deer are
the primary species hunted are expected to be in the range of $2.50 to
$3.00 per acre. Extremes of average prices charged in 1987 appeared to
be $0.34 per acre paid to landowners by the Florida Game and Fresh Water
Fish Commission (for lands included in Wildlife Management Areas) up to
a high of $5.74 (range $3.08 to $8.53) per acre for lands leased for hunting
by Deseret Ranches, Inc. near Melbourne, Florida. In addition to "per acre"
income from hunting leases, it is common for landowners to gain additional
income from "trophy" animals taken on the property (up to $500 to 600 for
a large white-tailed buck). Overall, the returns per acre for leased lands
in Florida are lower than those in the adjacent states of Georgia and Alabama.
The potential exists for substantial increases in Florida in upcoming years
as a result of increased urbanization and recreational use trends.
Conclusions A growing need exists for outdoor recreation in Florida and public lands are not able to handle the numbers of people and provide the necessary quality recreational experiences. Private lands have and will increasingly continue to be used for recreation; charging for access to these lands is becoming "the rule" in many areas of the state and nation. A recent publication reported that over 50 percent of private lands in Florida are leased for hunting and the future trend is for expansion of this activity (Wiggers and Rootes, 1987). Hunting leases offer landowners a low-cost alternative enterprise in which they can annually make an average of $2.00 to $4.00 or more per acre by allowing access to their lands. The advantages for the landowner seem to overshadow the disadvantages; however, wildlife resources and lower-income hunters do not necessarily benefit from this system. |
Introduction
Longleaf and slash pine trees, greater than six years old, annually deposit a blanket of needles on the forest floor. Landowners can substantially increase their income by selling these needles as pine straw mulch to nurseries and homeowners. Stanton (1986) stated that retail sales of North Carolina longleaf pine straw bales exceeded $10 million in 1985. Also, he reported that sales could be doubled and tripled if owners are made aware of the financial returns and markets are expanded into northern states. In Florida, 27,633 acres of longleaf pine and 355,671 acres of slash
pine were planted in the three-year period 1985 through 1987. In six years,
these plantings could supply a great deal of pine straw and add to the
income of the landowners. Longleaf and slash pine grow well in sandy, acidic
soils with low organic matter in the surface layer. Most of the soils in
central and north Florida are of this type and have potential for pine
straw as a forestry enterprise. One precaution, however, is that repeated
removal of pinestraw from the forest floor may reduce the long-term productivity
of the soil and forest stand.
Steps to Establish a Pine Straw Site:
The biggest challenge with raking pine straw in an established pine stand is weeds. If there is an abundance of grass, brush, and/or hardwoods it may be impossible to rake the pine straw. If the understory is fairly clean, vegetation control may permit raking. After controlling vegetation, follow steps 5 through 8 above to rake, bale, and sell pine straw. Costs and Returns The following tables give estimated costs (Table 3) and estimated returns
(Table 4) for ten acres:
Table 3. Estimated costs to establish 10 aces in pine straw production.
Table 4. Estimated returns for 10 acres in pine straw production.
These costs and returns are based on the landowner not owning any equipment to bale the pine straw or to transport the bales to a store for marketing. If pine straw is sold to a company which comes in and bales it and hauls it, the income may be at least $30 per acre per year from that company. Advantages
Conclusions Pine straw production has the potential to supplement the income of landowners during the years when no income will be received from a timber harvest. The production of pine straw is a natural process and requires very little management to produce an adequate supply for the market. However, if the landowner decides to purchase the equipment needed to bale pine straw and transport it to a market, expenses may exceed income for many years of pine straw production. The method that provides the most profit immediately to the landowner is contracting with a baling service company which will pay per acre for baling the forest stand. The landowner should be aware that baling for a long period of time on a partial of land may drastically reduce the long-term soil productivity of that land. |
Introduction
The number of resident anglers in Florida is rapidly increasing due to the growing interest in fishing and Florida's rapidly growing population. In addition, millions of non-resident anglers vacation in Florida each year. Fishing pressure on our public waters is increasing, with many people looking for alternative places to fish, often closer to home. Fee fishing -- paying for the right to fish and/or paying for any fish that are caught -- is becoming popular among anglers. Many ponds are seldom fished by their owners; these can be turned into alternative sources of revenue. Fee fishing is appealing to a wide variety of individuals including those anglers who like to fish, but are limited by time or resources (such as not owning a boat). Fee fishing can be attractive to tourists or individuals who fish on an occasional basis because no license is required to fish in a private pond that is owned by a single individual. Owners of ponds which are operated for fee fishing and which are larger than 20 acres are required to obtain a permit from the Florida Game and Freshwater Fish Commission. The cost is $3.00 per acre per year. No permit is required for smaller ponds. There are three basic types of fee fisheries: long-term leasing, day-leasing, and fish-out operations. The steps, costs and returns, and advantages and disadvantages of each type of fishing are described below. Long-Term Leasing Long-term leasing generally involves exclusive fishing rights to a private pond or lake leased on a long-term basis to an individual or group of individuals such as is done with hunting leases. Management of the pond is often the responsibility of the lessee. Long-term leasing generally involves quality fishing for largemouth bass or panfish. Location and aesthetics are often the most important selling points. Many people fish to relax, to escape the hustle and bustle of their daily life. They desire a quality fishing experience. Unlike hunting leases which require a large quantity of land to support adequate game, fishing leases can be rather small in size. One acre of water can naturally produce 300-400 pounds of harvestable size fish with proper management. So a minimum number of acres of water can produce many hours of productive fishing. Long-Term Leasing - Steps
The major costs to the pond owner will be locating a suitable lessee and having the lease prepared. Advertising costs can be highly variable. The cost of having the lease prepared by an attorney should be minimal. Any work requested by the lessees should be paid for by the lessees. Liability insurance is usually obtained and paid for by the lessee. Returns vary substantially from less than $100 per year to almost $100,000 per year. For example, a 3,600-acre reservoir in central Florida currently leases for $70,000 per year. Access is limited to 60 individuals. The amount of the lease increases each year with the CPI (Consumer Price Index), not to exceed a 5% increase in any one year. The members must jointly pay for liability insurance. Long-Term Leasing - Advantages
Day-leasing involves collecting a daily use fee from the fisherman. Pond management is the responsibility of the operator. Ponds of at least an acre in surface area, but commonly closer to 5 to 10 acres in size are good prospects for day-leasing. Most are located in close proximity to a public road, having good visibility to individuals traveling by. Harvest by fishermen relies primarily on natural production of the pond. Most fishing is for species such as the largemouth bass, bluegill (bream), redear sunfish (shellcrackers), and crappie (speckled perch). Channel catfish can be supplementally stocked to attract fishermen. Much of the fishing pressure is in the spring of the year when these species are close to shore and easily caught. An aesthetically pleasing pond or one that offers good fishing tends to attract the interest of local fishermen. Many fishermen will ask the landowner for the right to fish such a pond, while others may trespass to gain access. Such an "attractive nuisance” may be considered a liability, but such a situation can be turned into an alternative source of income. Instead of allowing free fishing for all, a pond owner can charge a nominal fee for a day of fishing. Hence, the term "day-leasing”. Family and friends can still be allowed free access to the pond. A number of ponds, particularly in north Florida are operated in such a manner. Ponds located near travel trailer parks and overnight camping areas may attract a number of non-resident fishermen. Day-Leasing -- Steps
The costs of maintaining a day-leasing enterprise are intermediate to those of long-term leasing and operating a fish-out enterprise. One major cost is collecting the daily use fee or checking fishermen for current permits. Moderate travel expenses may incur if the pond is remotely located. Another major cost is liability insurance. Current costs for such insurance run from $350 to $1500 per year for $2 to $3 million of insurance. Management input into the pond is usually minimal because the pond owner can rely upon the natural production and carrying capacity of the pond to produce the fish that are harvested. Supplemental stocking can increase the catch by the anglers and their interest in returning to the pond. The cost of such a program varies with the quantity and cost of the fish stocked. Returns from a stocking program can far outweigh its cost. Additional costs that may be incurred are those associated with properly managing the pond for fishing. These include such practices as aquatic weed control, fertilization, liming, and supplemental feeding. Daily fees in Florida generally range from $2.00 to $7.00 per day for adults for bass/bream ponds, but can go as high as $50.00 per day for ponds with quality bass fishing. Children should be accompanied by an adult and are often admitted free or at half of the adult fee. Senior citizens are sometimes given a discounted price. Several individuals in north Florida are managing their large (>50 acres) ponds for "trophy bass" fishing. Catching a single bass of 10 pounds or larger may net the pond-owner $1000. Currently, it is illegal to sell black bass; however, fishermen may be charged for the right to fish for bass. Day-Leasing - Advantages
Day-Leasing -- Disadvantages
"Fish-out", "put and take", or "pay by the pound" fisheries involve stocking a pond with fish and then charging the angler for each fish that is caught. Consequently, fish populations in this type of operation must be maintained at artificially high levels by regular stocking of catchable-size fish, usually channel catfish. Fish-out ponds involve the highest level of management, the highest costs, and potentially the highest returns to the pond owner of any type of fee fishing enterprise. They provide the excitement and challenge of fishing with improved chances of catching fish. Fish-out ponds are appealing to families with small children and singleparent families because of the likelihood of catching fish. They can be an excellent place to take someone who is learning to fish because of the ease of catching fish. Fish-Out Ponds -- Steps
It is difficult to determine costs of operating fish-out ponds because
many management alternatives are available. The major expenditure will
be for fish. Live catfish can be purchased in Florida for $0.75 to $1.10
per pound. An entry fee of $1.00 or more per person should be charged.
The price per pound of fish caught varies from $1.25 to $2.00 per pound
live weight.
Labor is a major expenditure because someone must be at the site during all hours of operation to rent and sell concessions, to weigh fish and collect the appropriate fees, to keep the facilities free of litter, and to minimize the loss of fish by theft. Other costs include construction of an office and concession area and toilet facilities, fencing or natural barriers to keep trespassers out and fish in, fish feed, and monitoring and maintaining proper water quality. The return from a fish-out operation is limited only by the number of pounds of fish that can be sold. A 7-acre fish-out operation located in Escambia County, Florida has sales as high as 80,000 pounds per year. Channel catfish are obtained at $0.75 per pound delivered and sold for $1.35 per pound live weight. Of these, 16% are sold out of holding tanks. This operation has 11 small ponds. If fish are cleaned on the premises, county health department requirements should be followed. This usually requires a triple stainless steel sink with hot running water to be on the premises. Fish cleaning service runs around $0.30 per pound live weight. Several operators have indicated that they make more money from selling drinks, food, bait, and tackle than from the fish that are sold. Fish-Out Ponds -- Advantages
Fishing has a different meaning for different people. Fee fishing is a means through which Florida pond owners can supply fishing opportunities to the increasing number of anglers in the state and simultaneously use an under-utilized resource for economic gain. Fee fishing is both a form of entertainment and a source of fresh fish for the user. Fee fishing operations in Florida are rapidly increasing in number, but vary substantially in their success. Little is known as to why this variation occurs and what attracts anglers to these facilities Moderate to large-size ponds with controlled access are best suited for long-term leasing, while small to moderate-size ponds can be day-leased or stocked and used in fish-out operations. Pond construction costs are not listed above and can be substantial. Fee fishing can be a source of additional income, but the most important thing to remember about fee fishing is that it involves people management more than fish management. If an individual does not want to take the time to deal with people, yet wants to use his pond as a source of revenue, then he or she would be best advised to lease it on a long-term basis to minimize the amount of contact with people. For additional information on fee fishing and pond management, contact your local county agricultural extension agent, your county Soil Conservation Service agent, or the nearest regional office of the Florida Game and Fresh Water Fish Commission. Local phone numbers for these agencies are listed in the government section of your phone book. |
Introduction
Firewood businesses are viable alternatives in many Florida counties, especially in areas adjacent to suburban and urban population centers. If you already own land with trees on it, the harvesting and marketing of firewood can bring extra income, as well as provide an opportunity to improve your woodland management. If you have a commercial timber harvest planned, firewood may also be available in the tops and branches left on site. Tree species are critical in determining the price of firewood. Many people are reluctant to burn pine due to the impression that it generates large amounts of creosote. Any wood produces this flammable substance if not burned properly and you should be able to successfully market mixed loads of hardwood and pine, especially if the hardwoods dominate. Oaks, hickory, dogwood, ash, beech, red maple, sycamore and cherry are all woods of high to medium density and will burn well (For information on wood characteristics see Flinchum 1980). Steps
If you own your land, chainsaw, and truck, then fuel, safety equipment and time are your only costs. If you do not own the basic equipment there is a substantial investment involved. You may expect to cut about 1/2 cord of wood from the trunk and branches of a tree with a 12-14 inch base. An acre of good hardwood land should be able to produce about 2 cords of wood per year. Your returns will vary regionally and locally and according to your
marketing techniques and skills. Current prices vary from $80 to $115 per
standard cord (seasoned, delivered and stacked) in Alachua County to $115
to $125 (unstacked) in St. Petersburg. Some businesses in the Tampa Bay
area are charging $125 to $150 per cord if the buyer picks it up and
Measures of wood vary. Ethical business persons will advertise full (or standard) cords or face cords depending on what they sell. Advantages
Disadvantages
Conclusions Firewood production and marketing can provide a steady supplement to income of many forest landowners in Florida. However, unless there are large acreages involved, it is unlikely that Floridians could depend on a firewood business as a sole income. A well-devised forest management plan for your land should provide a marketable supply if you own eight acres or more. Firewood production requires substantial work and should not be undertaken without planning for markets, returns on your investment, and the impact on your forest land. The advantages of firewood production in terms of management benefits
may outweigh the monetary returns in the early stages of the business,
but alter becoming an established business, firewood production can be
a viable source of supplemental income.
Literature Cited Doig, H.E. 1986. The importance of private lands to recreation. Pages 7.10 In: Recreation on Private Lands: Issues and Opportunities. Washington. D.C. Duryea, M. L. and J. C. Edwards. 1987. Planting southern pines. Florida Cooperative Extension Service, IFAS, University of Florida Circular 767.14 p. Tanner, G. W. and C. A Gates. (In Press). Survey results of grazing leases in Florida, 1984. Florida Cooperative Extension Service, IFAS. Wildlife and Range Sciences Circular 781. University of Florida, Gainesville. Kidder, G., N. B. Comerford and A V. Mollitor. 1987. Fertilization of slash pine plantations. Florida Cooperative Extension Service, IFAS. University of Florida, Gainesville. Circular 735. 5p Marion. W.R, and J. A. Hovis. 1985. Developing a hunting lease in Florida. Florida Cooperative Extension Service, IFAS, Wildlife and Range Sciences Fact Sheet WRS-1. University of Florida, Gainesville. 3 p. Stanton, W.M. 1986. Longleaf pine straw production. Woodland Owner Notes. North Carolina Agriculture Extension Service. Raleigh, North Carolina. No.18.4 p. Wiggers, E. P., and W. Rootes. (1987). Lease hunting: Views of the nation's wildlife agencies. Trans. North Amer. Wildl. Nat. Resour. Conf. 52:525-529. |