DNR Annual Report 2020 by Washington State Department of Natural Resources

2020 Annual Report

2020 DNR ANNUAL REPORT

Contents

04 31 36 37

FISCAL MANAGEMENT DATA*

TIMBER MANAGEMENT DATA*

B OARDS AND LEADERSHIP

CONTACT INFORMATION AND DNR REGIONS MAP

For disabled persons needing this information in an alternate format, please contact: DNR Communications and Outreach Mail Stop 47003 Olympia, WA 98504-7003 Email information@dnr.wa.gov Phone 360-902-1000 TRS: 711 This document is available in PDF format at: dnr.wa.gov/about/fiscalreports/dnr-annual-reports Cover Photo by Cristofer Jeschke/ Unsplash.com

Hilary S. Franz Commissioner of Public Lands * Fiscal and timber pages account for the revenues DNR generated, collected, and expended during Fiscal Year 2020—July 1, 2019 to June 30, 2020. This report was prepared by the Washington State Department of Natural Resources (DNR). It provides information required by the following statutes: RCW 79.10.010, RCW 79.64.100 and RCW 79.64.030

2020 DNR ANNUAL REPORT

15 16 17 18 19

STATE GR ANT L ANDS Resource Management Cost Account (RMCA) State Grant Lands RMCA Upland General Distribution of Revenue from Upland State Grant Lands Common School, Indemnity and Escheat Grants University Grants Original and Transferred (UW) Charitable, Educational, Penal and Reformatory Institutions Grant (CEP&RI) Capitol Building Grant Normal School Grant (EWU, CWU, WWU and TESC) Scientific School Grant (WSU) Agricultural College Trust Management Account (ACTMA) Agricultural School Grant (WSU)

20 21 22

STATE FOREST L ANDS Forest Development Account (FDA) General Distribution of Revenue from State Forest Lands State Forest Lands

24 25

STATE AQUATIC L ANDS Aquatic Resources and RMCA—Aquatic General Distribution of Revenue from State-Owned Aquatic Lands

26 30

FISC AL NOTES State Trust Lands Management Fund Accounting Report

8 9 10 11 12 13 14

ABOUT THESE PAGES ◗ These pages account for the revenues DNR generated, collected and expended during Fiscal Year 2020 (July 1, 2019 – June 30, 2020). ◗ Most revenues DNR generated are from activities on upland state trust lands and aquatic lands. Distribution of revenue is governed by statute and varies according to trust and revenue source. ◗ DNR manages 2.1 million acres of forestlands that generate revenue for state trusts, mostly from timber sales. On pages 31 to 34, DNR provides data on timber management activities on forested state trust lands, as required by RCW 79.10.010(3).

◗ Fiscal information is presented as a combination of tables, pie charts, and notes. The notes provide context for the tables. ◗ Underlined bold numbers are totals or subtotals. ◗ Some pages show dollars in thousands. Totals may not add exactly due to rounding. ◗ There is no individual page for the Community College Forest Reserve Trust. (See Fund Activity, page 7). ◗ These pages include data for federally granted trust lands and for legislatively established trust lands, including State Forest Lands (formerly known as Forest Board lands). Trusts are listed individually. ◗ Counties that contain State Forest Lands, but are not listed for an activity, did not have that activity during Fiscal Year 2020.

Fiscal Data

OVER ALL AGENCY OPER ATIONS Total Revenue Total Expenditures DNR-Administered Funds Funds Administered by Other Entities

Management

4 5 6 7

2020 D N R A N N UA L R E P O R T 4

FISCAL DATA

Total Revenue | FY 2020 REVENUE BY SOURCE

Source

FY 2020

F Y 2019

Total Funds

Sales Timber sale removals Timber sales-related activities Forest road assessments Nursery seedling sales Miscellaneous Leases Agriculture Aquatic Commercial real estate Mineral and hydrocarbon Communication sites Rights-of-way Miscellaneous Other Revenue Interest income Fire assessments and cost reimbursement Grants and contributions Permits, fees and related charges Miscellaneous Total Revenue from Operations

$201,145 28

$222,903 223

13,595

12,400

4,554 2,625 $221,947

3,779 534 $239,838

$23,954 22,624 10,283 2,281 5,010 563 2,781 $67,496

$24,420 35,501 10,202 1,620 4,907 1,494 2,703 $80,848

$1,565 22,184 19,523 3,877

$1,814 15,047 26,252 4,275

4,445 $51,594 $341,038

22,662 $70,050 $390,736

$21,257 475 $21,732

$2,948 125 $3,073

$362,770

$393,809

Other Activity

Land transfers 3 Land bank 4 Total Revenue Total Totals may not add due to rounding. Amounts reported in thousands of dollars

Amounts are reported in thousands of dollars. ■ About This Page Revenues are shown for two years for comparison. Differences between the years reflect changes in market conditions, legal requirements, availability of resources, and other factors.

2020 D N R A N N UA L R E P O R T 5

FISCAL DATA

Total Expenditures | FY 2020 EXPENDITURES BY PROGRAM2

FY 2020

F Y 2019

Operating $56,719 43,805

$113,532 48,332

41,898 22,777

27,244 21,091

19,104 17,802 16,223 14,231

22,614 19,688 17,550 19,358

13,659 11,393

11,996 7,901

Administration Geology & Earth Resources

5,915 5,038

6,264 5,283

Agricultural Resources Law Enforcement

1,988 1,754

1,674 1,630

$272,307

$324,156

20,223 14,456 4,609 4,516

14,178 141 6,498 4,936

4,478 1,790

2,906 3,909

1,316 989 530 610 $53,516

3,340 3,741 0 274 $39,924

$325,823

$364,080

Fire Suppression Product Sales & Leasing Resource Protection Agency Support Land Management Forest Practices Aquatic Resources Engineering Services Interagency Payments Asset & Property Management

Total Operating Expenditures Capital Real Estate and Property Acquisition Trust Land Transfers Forest Health Facilities & Roads Miscellaneous 2 Forest Practices Puget Sound Corps Recreation & Natural Areas Community Forests Aquatic Resource Total Capital Expenditures Total Expenditures Total 2 Amounts reported in thousands of dollars. See accompanying notes. Totals may not add due to rounding.

Amounts are reported in thousands of dollars. ■ About This Page Expenditures are shown for two years for comparison. Differences between the years reflect changes in the programs, legal requirements, salaries and benefits, inflation, and other factors. DNR’s expenditures reflect the Department’s diverse work. Land management activities, funded by trust land revenue, are investments in the long-term benefits and productivity of the resources. Other activities, funded by non-trust revenue sources, support regulatory, assistance and resource protection programs, as well as agency operations. Capital expenditures include land acquisitions on behalf of state trusts and natural areas.

2020 D N R A N N UA L R E P O R T 6

FISCAL DATA

DNR-Administered Funds – Revenue and Expenditures | FY 2020 Fund Title

Beginning Balance 7/1/19

Revenue

Expenditure

Ending Balance 6/30/20

$7,197

$29,490

$(23,840)

$12,847

38,350

44,701

(56,557)

26,494

16,679 6,213 15,458 381

33,989 522 10,190 1,587

(35,968) (5,860) (14,729) (1,416)

14,700 875 10,919 552

$45,928

$75,778

$(81,813)

$39,893

$7,202 523 N/A 1 139 94 9,918

$13,643 54 13,248 0 21 23 12,591

$(13,135) (50) (5,607) 0 (1) (3) (12,970)

$7,710 527 N/A 1 159 114 9,539

n/a 518 N/A 9,462 11,819 698 21 (1,575)

2,300 2,458 447 11,240 15,267 602 20 1,042

(1,272) (832) (5,956) (7,723) (12,829) (1,136) 0 (342)

n/a 2,144 N/A 12,979 14,257 164 41 (875)

181 N/A N/A 9,122 13 1,497 1,268 1,018

(157) 6 393 3,410 58 4,566 1,935 755 $83,921

0 (3,388) (2,007) (6,407) 0 (5,010) (1,313) (899) $(80,880)

24 N/A N/A 6,125 71 1,053 1,890 874

$159,699

$(162,693)

Trust Management Accounts* Forest development (FDA) 3 Resources management (RMCA) Total RMCA-Uplands subtotal 4 RMCA-Land Bank subtotal 4 RMCA-Aquatics subtotal Agricultural college (ACTMA) Other DNR-Administered Funds Access road revolving Aquatic lands dredged material Aquatic lands enhancement 7 Clarke-McNary Community forest trust Conservation areas stewardship Contract harvesting revolving Derelict vessel removal 8

Marine resources stewardship ORV and nonhighway vehicle 6 Park land trust revolving 10 See Fiscal Notes, pages 54-58. Totals may not add due to rounding. Real property replacement 3, 17 Spec forest products outreach/edu State forest nursery revolving Surface mining reclamation Surveys and maps

Total DNR-Administered Funds 14 See accompanying notes. Totals may not add due to rounding. Amounts reported in thousands of dollars.

■ About This Page

Federal lands revolving Forest and fish support 9 Forest fire protection assessment Forest health revolving Forest practices application Geothermal Landowner contingency forest fire

Amounts are reported in thousands of dollars.

DNR’s fiscal activity includes generating revenue for a variety of funds and accounts, some of which benefit state trust beneficiaries and some of which fund state programs, including DNR’s own. DNR’s fiscal activity also includes expenditures supporting its work. Some of the accounts that receive revenue from DNR or that fund DNR’s expenditures are managed by DNR; others are managed by other agencies. * These accounts fund DNR’s management of state trust lands. Revenue may be carried over from year to year. As a result, any given year’s expenditures do not necessarily correlate to that year’s revenue.

** The RMCA trust balance includes $874,857 dedicated by law (RCW 79.19) to Land Bank purchases of lands that replace previously sold trust lands. See pages 8, 18, 20, and 24 for more detailed accounting. FDA and RMCA are funded through revenue generated from the lands whose management they support. ACTMA is not funded through such revenue, but instead through a legislative appropriation from the State General Fund. N/A = not applicable

2020 D N R A N N UA L R E P O R T 7

FISCAL DATA

Other Funds – Revenue and Expenditures | FY 2020 Fund Title

Revenue

Expenditure

Net Fiscal Activity

$73,374

1,099 1,925

0 0

1,099 1,925

644

3,624 27 27 27 27 4,360 71,910

(8) 0 0 0 0 0 0

3,616 27 27 27 27 4,360 71,910

$157,045

$(8)

$157,037

$5,429 2,617 810 3,110 123 $12,089

$0 0 0 0 0 $0

$5,429 2,617 810 3,110 123 $12,089

$33,692

$(109,631)

$(75,939)

341 491

(337) 0

4 491

(1,213)

4 1

0 (10,670)

4 (10,669)

Model toxics control capital Nova program Pension funding stabilization State building construction

606 0 0 0 14 $33,936

(2,807) (12) (270) (1,620) (37,773) $(163,120)

(2,201) 0 (270) (1,620) (37,759) $(129,172)

Total Activity - Other Funds 14 Total All Funds and Activities

$203,070 $362,770

$(163,128) $(325,821)

$39,954 $36,948

Trust Current Funds 13 Common school construction Community college forest reserve WSU bond retirement UW bond retirement 19 CEP&RI EWU capital projects CWU capital projects WWU capital projects TESC capital projects Capitol building construction Forest board counties 16 Trust Permanent Funds 13 Agricultural college (WSU) Normal school (EWU, CWU, WWU, TESC) Common school (K-12) Scientific (WSU) State university (UW) 19 Other Funds General fund Air pollution control Budget stabilization Cleanup settlement 17 Developmental disabilities community trust Disaster response Model toxics control operating

See accompanying notes. Totals may not add due to rounding. Amounts reported in thousands of dollars.

Amounts are reported in thousands of dollars. Totals may not add due to rounding. Notes 1 to 20 may be found in Fiscal Notes on pages 26-30.

2020 D N R A N N UA L R E P O R T 8

FISCAL DATA

Resource Management Cost Account (RMCA) | FY 2020 EXPENDITURES

REVENUE

Source Beginning Balance (July 1, 2019)

$38,349,880

RMCA Revenue Uplands Aquatics

34,510,918 10,190,260

Total revenue

44,701,178

Less Expenditures 2 Agricultural Resources Asset & Property Management Product Sales and Leasing Land Management Law Enforcement Correctional Camps Administration Interagency payments Agency support

1,977,481 3,805,761 10,228,249 7,376,450 916,088 516,247 1,645,816 5,222,966 7,008,548

Aquatic resources Engineering services

10,174,595 1,824,864

Total Operating Expenditures Total Capital Expenditures

50,697,065 5,860,000

Total Expenditures

56,557,065

RMCA Fund Balance (June 30, 2020)*

Totals may not add due to rounding.

■ About This Page The Resource Management Cost Account (RMCA) funds DNR’s Land Management activities on state grant lands. DNR deposits a portion of the revenue it generates from these lands into the account, and the Legislature appropriates funds from the account to DNR for expenditures. The RMCA can be used only for land management expenses (e.g., reforestation, preparing timber sales, or managing aquatic leases) that support federally granted state lands. * RMCA fund balance includes $874,857 in upland trust reserved for Land Bank sell-first purchases. See page 10 for details.

$26,493,991

2020 D N R A N N UA L R E P O R T 9

FISCAL DATA

State Grant Lands | FY 2020 REVENUE

DISTRIBUTION

Grand Total All Funds

Trust Current Funds 13

Trust Permanent Funds 13

Resource Management Cost Account 15

$73,732,405

$40,445,659

$12,501,682

$20,785,064

14,570

5,942

794

7,833

13,784,000 475,010 $88,005,985

13,784,000 0 $54,235,601

0 0 $12,502,476

0 475,010 $21,267,908

Leases Agriculture Dryland Irrigated Grazing and Other Aquatic Lands

$5,033,459 17,789,278 1,084,069 22,625,543

$3,068,392 12,043,079 709,139 13,100,440

$440,643 315,229 44,459 0

$1,524,423 5,430,970 330,472 9,525,103

Special Use Commercial Real Estate

2,189,639 10,277,720

1,424,985 7,016,538

87,166 76,748

677,488 3,184,434

Mineral and Hydrocarbon Rights-Of-Way

1,848,979 481,846

1,066,897 227,313

127,455 78,859

654,627 175,674

Communication Sites Special Forest Products

3,022,183 226,125

1,799,781 130,986

301,025 25,672

921,376 69,468

$64,578,841

$40,587,550

$1,497,254

$22,494,036

$720,383 (9)

$157,792 (253,524)

$876 0

$561,716 253,515

(9,982) 778,291 $1,488,683

2,555,430 52 $2,459,750

(2,555,430) 644,253 $(1,910,301)

133,986 $939,235

$154,073,508

$97,282,901

$12,089,430

$44,701,178

Source Sales Timber Sales 11, 15, 19 Timber Sales-Related Activities 1 Trust Land Transfer Program Land Sales (Includes Land Bank) 4

Other Revenue Interest Income Non-Trust Revenue 16, 17 Operating Transfer 1, 12, 17 Permits, Fees, and Miscellaneous 1

Total Revenue

Totals may not add due to rounding.

(9,982)

■ About This Page State grant lands (upland and aquatic) were granted to Washington at statehood by the federal government. Each upland parcel is assigned to a specific state trust dedicated to financially supporting a specific beneficiary (e.g., the Common School Trust supports construction of K-12 schools). The aquatic lands are designated as a public trust to benefit the public as a whole. Income from state grant lands is divided among trust beneficiary accounts and the RMCA, which DNR uses to manage the lands.

2020 D N R A N N UA L R E P O R T 10

FISCAL DATA

Resource Management Cost Account (RMCA) Upland | FY 2020 Source Beginning Trust Balance (July 1, 2019) Upland Revenue Operating Revenue Total Upland Revenue Less: Expenditures 2 Agricultural Resources Asset & Property Management Product Sales & Leasing Land Management Law Enforcement Correctional Camps Administration Interagency Payments Agency Support Engineering Services

Granted Trusts

Land Bank

Total Uplands

$16,678,450

$6,213,183

$22,891,633

33,989,244 33,989,244

521,674 521,674

34,510,918 34,510,918

1,977,481 3,805,761

0 0

1,977,481 3,805,761

10,228,249 7,376,450 916,088 516,247 1,163,500 3,236,841

0 0 0 0 0 0

10,228,249 7,376,450 916,088 516,247 1,163,500 3,236,841

4,922,449 1,824,864

0 0

4,922,449 1,824,864

Total Operating Expenditures Total Capital Expenditures

35,967,930

5,860,000

Total Expenditures Ending Trust Balance (June 30, 2020)

35,967,930

5,860,000

41,827,930

$14,699,764

$874,857

$15,574,621

Totals may not add due to rounding.

About Next Page Generally, by law, each beneficiary of the granted land trusts receives 70 percent of the revenue earned from its lands, and the remaining 30 percent goes to the RMCA to fund DNR’s management of the lands. This chart shows the combined distribution in Fiscal Year 2020, with each trust beneficiary’s share proportional to its share of the total revenue earned, and with the RMCA share divided among DNR’s expenditures from the account for upland management activities. Expenditures are appropriated by the Legislature and are ongoing investments to keep the lands productive and to generate future income for the trusts. * This chart is based on statewide averages. Detailed breakdown of DNR programs contain examples only, not a complete listing. This chart does not include revenue from the Agricultural School trust lands because 100 percent of revenue from those lands is distributed to the trust. ** Per Board of Natural Resources Resolution #1472, the management fund deduction of revenues from granted lands was established at 31 percent, effective 8/18/15.

2020 D N R A N N UA L R E P O R T 11

FISCAL DATA

General Distribution of Revenue from Upland State Grant Lands* | FY 2020

N SCHOOLS 5 7. 2 %

BEN T S

EFICIAR

IES

6 9%

O MM

5.5% Land Management ❙ Reforestation, Pre-commercial Thinning, Fertilization, and Vegetation Mgmt. ❙ Genetic Improvement of Seedlings ❙ Forest Nursery ❙ Scientific Support ❙ Data Stewardship ❙ Landscape Planning

DISTRIBUTED TO TRUST BENEFICIARIES 69%

D 3 1%

Learn more about general distribution of revenue from Upland State Grant Lands on page 10.

RESOURCE MANAGEMENT COST ACCOUNT (RMCA) UPLAND 31%**

2.8% Institutions and Prisons

2.1% Normal Schools (WWU, EWU, CWU, and TESC) 3.4% Capitol Buildings

0.9% Administration ❙ Policy Analysis ❙ Executive Management ❙ Internal Audit ❙ Communications ❙ Budget and Economic Services ❙ Legal Affairs 4.3% Capital Investments ❙ Land Bank

*** Expenditures from Land Bank.

7.6% Product Sales & Leasing ❙ Presales Activities ❙ Oil, Gas, and Commercial Site Leasing ❙ Rock and Gravel Sales Assessments ❙ Right-of-Way Granting and Acquisition ❙ Contract Administration ❙ Leasing 0.4% Special Employment ❙ Correction Camps Program 1.4% Engineering Services ❙ Resource Mapping

0.6% Univ. of Washington 3% WA State University (Scientific Trust only)

2.8% Asset & Property Management ❙ Asset Planning ❙ Land Transactions ❙ Public Use ❙ Recreation ❙ Natural Areas ❙ Natural Heritage

3.6% Agency Support ❙ Finance ❙ Personnel and Equipment ❙ Data Systems Management and Support ❙ Geographic Information Systems ❙ Region Administration ❙ Facilities ❙ Environmental Analysis

1.5% Agricultural Resources ❙ Agricultural and Grazing Leases ❙ Weed Management ❙ Permits 2.4% Interagency Payments 0.7% Law Enforcement ❙ Investigative Services

2020 D N R A N N UA L R E P O R T 12

FISCAL DATA

Common School, Indemnity and Escheat Grants | FY 2020 REVENUE

DISTRIBUTION

Total Funds

Common School Construction

Common School Permanent

Resource Management Cost Account 15

$49,163,738

$34,000,140

$15,163,598

12,825

5,384

(0)

7,441

13,784,000 475,010 $63,435,573

13,784,000 0 $47,789,524

0 0 $(0)

0 475,010 $15,646,049

$3,903,216 17,401,755 993,687

$2,693,219 12,007,211 685,637

$0 0 0

$1,209,997 5,394,544 308,049

Aquatic Lands Special Use

0 2,008,601

0 1,385,935

0 0

0 622,666

Commercial Real Estate Mineral And Hydrocarbon

10,157,745 190,607

7,008,844 4,864

0 126,655

3,148,901 59,088

Rights-Of-Way Communication Sites

71,170 2,335,293

8,700 1,589,313

39,806 0

22,664 745,980

140,828 $37,202,902

97,172 $25,480,894

0 $166,460

43,657 $11,555,548

$160,438 157,770 (1,516) 756,391 $1,073,083

$104,016 0 0 0 $104,016

$95 0 0 643,908 $644,003

$56,327 157,770 (1,516) 112,483 $325,064

$101,711,558

$73,374,434

$810,463

$27,526,661

Source Sales Timber Sales 11, 15 Timber Sales-Related Activities 1 Trust Land Transfer Program Land Sales (Includes Land Bank) 4

Leases Agriculture Dryland Irrigated Grazing and Other

Special Forest Products

Other Revenue Interest Income Non-Trust Revenue 16 Operating Transfer 1, 15 Permits, Fees, and Miscellaneous 1

Totals

Totals may not add due to rounding.

■ About This Page Income from these state grant lands and escheat lands (those with no known heirs) supports construction of state public kindergarten through 12th grade schools. The beneficiary’s share of income is distributed to the Common School Construction Account and the Common School Permanent Account, which generates perpetual interest for the support of school construction. This distribution varies by activity and is governed by law.

2020 D N R A N N UA L R E P O R T 13

FISCAL DATA

University Grants Original and Transferred (UW) | FY 2020 REVENUE

Source 19

DISTRIBUTION

Total Funds

UW Retirement Bond

State (UW) University Permanent

Resource Management Cost Account 15

$751,951 (1)

$0 0

$519,208 (1)

$232,742 (0)

0 $751,950

0 $0

0 $519,208

0 $232,742

Sales Timber Sales 11 Timber Sales-Related Activities 1 Land Sales (Includes Land Bank)

Leases Agriculture Dryland Irrigated Grazing and Other Aquatic Lands Special Use Commercial Real Estate Mineral and Hydrocarbon Rights-Of-Way Communication Sites Special Forest Products

Other Revenue Interest Income Non-Trust Revenue 16 Operating Transfer 1, 12, 17, 19 Permits, Fees, and Miscellaneous 1

Total Revenue

Totals may not add due to rounding.

$192,622 0 34,484

$0 0 0

$132,909 0 23,794

$59,713 0 10,690

0 10,676

0 0

0 7,366

0 3,309

103,472 0

0 0

71,396 0

32,076 0

1,400 0

0 0

966 0

434 0

14,333 $356,987

0 $0

9,890 $246,321

4,443 $110,666

$12,876 1,950 (6,040) 204 $8,990

$1,055 0 642,877 0 $643,932

$89 0 (642,877) 0 $(642,788)

$11,733 1,950 (6,040) 204 $7,846

$1,117,927

$643,932

$122,741

$351,254

■ About This Page Income from these state grant lands supports construction of buildings for the University of Washington. Some of these lands were acquired at the time of statehood, and some lands were transferred to this trust from the CEP&RI trust by the Legislature in 1893. The beneficiary’s share of income is distributed to the University Permanent and UW Bond Retirement accounts. This distribution varies by activity and is governed by law.

2020 D N R A N N UA L R E P O R T 14

FISCAL DATA

Charitable, Educational, Penal and Reformatory Institutions Grant (CEP&RI) | FY 2020 REVENUE

DISTRIBUTION

Total Funds

CEP & RI Account

Resource Management Cost Account 15

Timber Sales Timber Sales-Related Activities 1

$3,275,740

$2,260,261

$1,015,480

235

162

Land Sales (Includes Land Bank)

0 $3,275,976

0 $2,260,423

0 $1,015,553

Source Sales

Leases Agriculture Dryland Irrigated Grazing and Other Aquatic Lands Special Use Commercial Real Estate Mineral and Hydrocarbon Rights-Of-Way Communication Sites Special Forest Products

$417,156 3,783 16,879 0 6,275

$287,837 2,610 11,647 0 4,330

$129,318 1,173 5,233 0 1,945

11,150 1,222,545

7,694 843,556

3,456 378,989

50,903 208,585

35,123 143,923

15,780 64,661

34,166 $1,971,441

23,575 $1,360,294

10,591 $611,147

$63,640 9,415 0 3,464 $76,519

$3,625 0 0 0 $3,625

$60,015 9,415 0 3,464 $72,894

$5,323,935

$3,624,342

$1,699,593

Other Revenue Interest Income Non-Trust Revenue 16 Operating Transfer Permits, Fees, and Miscellaneous 1

Total Revenue

Totals may not add due to rounding.

■ About This Page Income from these state grant lands is used to establish and maintain institutions managed by the Department of Corrections (such as prisons) and the Department of Social and Health Services (such as the Western State Hospital). The beneficiary’s share of income is distributed to the CEP&RI Account.

2020 D N R A N N UA L R E P O R T 15

FISCAL DATA

Capitol Building Grant | FY 2020 REVENUE

DISTRIBUTION

Total Funds

Capitol Building Construction

Resource Management Cost Account 15

Timber Sales 11, 15 Timber Sales-Related Activities 1

$6,023,058

$4,185,258

$1,837,800

574

396

178

Land Sales (Includes Land Bank)

0 $6,023,632

0 $4,185,653

0 $1,837,978

$62,356 0 6,006

$43,026 0 4,144

$19,330 0 1,862

0 24,063

0 16,604

0 7,460

0 4,886

0 3,372

0 1,515

40,014 96,442

27,610 66,545

12,404 29,897

12,452 $246,221

8,592 $169,893

3,860 $76,329

$83,203

$4,477

$78,726

11,057 (578) 245 $93,927

0 0 0 $4,477

11,057 (578) 245 $89,450

$6,363,780

$4,360,023

$2,003,756

Source Sales

Leases Agriculture Dryland Irrigated Grazing and Other Aquatic Lands Special Use Commercial Real Estate Mineral and Hydrocarbon Rights-Of-Way Communication Sites Special Forest Products

Other Revenue Interest Income Non-Trust Revenue

Operating Transfer 1, 15, 17 Permits, Fees, and Miscellaneous 1

Total Revenue

Totals may not add due to rounding.

■ About This Page Income from these state grant lands supports construction of state government office buildings at the Capitol Campus in Olympia. The beneficiary’s share of income is distributed to the Capitol Building Construction Account.

2020 D N R A N N UA L R E P O R T 16

FISCAL DATA

Normal School Grant (EWU, CWU, WWU and TESC) | FY 2020 REVENUE

Source

DISTRIBUTION

Total Funds

EWU, CWU, WWU, TESC Capital Projects

Normal School Permanent

Resource Management Cost Account 15

$3,654,620

$2,616,513

$1,038,108

(34)

0 $3,654,586

0 $0

0 $2,616,513

0 $1,038,073

$64,218 48,199 11,175

$44,310 33,257 7,710

$0 0 0

$19,907 14,942 3,464

0 26,257

0 18,117

0 0

0 8,140

0 0

220 0 2,388 $152,456

0 0 1,648 $105,043

151 0 0 $151

68 0 740 $47,261

$41,467 6,261 (1,848) 752 $46,632

$2,957 0 0 0 $2,957

$0 0 0 0 $0

$38,510 6,261 (1,848) 752 $43,675

$3,853,674

$108,000

$2,616,664

$1,129,010

Sales Timber Sales 11, 15 Timber Sales-Related Activities 1, 17 Land Sales (Includes Land Bank)

Leases Agriculture Dryland Irrigated Grazing and Other Aquatic Lands Special Use Commercial Real Estate Mineral and Hydrocarbon Rights-Of-Way 17 Communication Sites Special Forest Products

Other Revenue Interest Income Non-Trust Revenue Operating Transfer 1, 15, 17 Permits, Fees, and Miscellaneous 1

Total Revenue

Totals may not add due to rounding.

■ About This Page Income from these state grant lands supports construction at Eastern Washington University, Central Washington University, and Western Washington University (regional universities). These three universities were originally called “normal schools.” The Evergreen State College (TESC) was added to this trust by the Legislature to begin receiving revenue after July 1, 1995. The beneficiary’s share of income is distributed to the Normal School Permanent Account and capital project accounts for each university. This distribution varies by activity and is governed by law.

2020 D N R A N N UA L R E P O R T 17

FISCAL DATA

Scientific School Grant (WSU) | FY 2020 REVENUE

DISTRIBUTION

Total Funds

WSU Bond Retirement

Scientific Permanent

Resource Management Cost Account 15

Timber Sales Timber Sales-Related Activities 1

$4,830,119

$3,332,782

$1,497,337

569

392

176

Land Sales (Includes Land Bank)

0 $4,830,687

0 $0

0 $3,333,174

0 $1,497,513

$277,926 65,521 3,788

$0 0 0

$191,769 45,209 2,614

$86,157 20,311 1,174

0 109,574

0 0

0 75,606

0 33,968

0 0

7,941 260,766

0 0

5,479 179,929

2,462 80,838

19,923 $745,439

0 $0

13,747 $514,353

6,176 $231,086

$68,038

$7,968

$(94)

$60,164

9,992 0 2,234 $80,264

0 737,343 0 $745,312

0 (737,343) 345 $(737,093)

9,992 0 1,889 $72,045

$5,656,391

$745,312

$3,110,435

$1,800,645

Source Sales

Leases Agriculture Dryland Irrigated Grazing and Other Aquatic Lands Special Use Commercial Real Estate Mineral and Hydrocarbon Rights-Of-Way Communication Sites Special Forest Products

Other Revenue Interest Income 17 Non-Trust Revenue

Operating Transfer 12 Permits, Fees, and Miscellaneous 1

Total Revenue

Totals may not add due to rounding.

■ About This Page Income from these state grant lands supports construction of buildings at Washington State University. The beneficiary’s share of income is distributed to the Scientific School Permanent and the WSU Bond Retirement accounts. This distribution varies by activity and is governed by law.

2020 D N R A N N UA L R E P O R T 18

FISCAL DATA

Agricultural College Trust Management Account (ACTMA) | FY 2020 EXPENDITURES

REVENUE

Source Beginning Fund Balance (July 1, 2019)

$380,725

Revenue Operating Revenue * Interfund Transfer from General Fund 5

1,583,000

Total Revenue

1,586,812

Less Expenditures 2 Agricultural Resources Asset & Property Management Product Sales & Leasing Land Management Law Enforcement Correctional Camps Administration Interagency Payments Agency Support Engineering Services Total Operating Expenditures Total Capital Expenditures Total Expenditures and Other Charges

ACTMA Fund Balance (June 30, 2020)

*Includes treasurer’s interest. See accompanying notes. Totals may not add due to rounding.

3,812

10,485 84,045 391,452 410,502 12,002 16,034 45,717 109,913 197,664

■ About This Page This account funds DNR’s management of the Agricultural College trust lands. The ACTMA is funded through an appropriation from the state General Fund. (As of July 1, 1999, Agricultural College trust lands do not contribute to the RMCA, which supports DNR’s management of other state grant lands.) *Includes treasurer’s interest. See accompanying notes on pages 6-10.

137,868 1,415,682 0 1,415,682

$551,855

2020 D N R A N N UA L R E P O R T 19

FISCAL DATA

Agricultural School Grant (WSU) | FY 2020 REVENUE

Source

DISTRIBUTION

Total Funds

WSU Bond Retirement

Agricultural College Permanent

Sales Timber Sales

$6,033,179

Timber Sales-Related Activities 1

403

Asset Transfer/Loan Repayment Land Sales (Includes Land Bank)

0 0 $6,033,582

0 0 $0

0 0 $6,033,582

$115,965 270,019

$0 0

$115,965 270,019

18,051 0

0 0

18,051 0

4,194 5,352

0 0

4,194 5,352

800 32,456

0 0

800 32,456

121,096 2,035 $569,968

0 0 $0

121,096 2,035 $569,968

$4,891 0 0 0

$4,105 0 1,175,210 0

$786 0 (1,175,210) 0

$4,891

$1,179,315

$(1,174,424)

$6,608,441

$1,179,315

$5,429,126

Leases Agriculture Dryland Irrigated Grazing and Other Aquatic Lands Special Use Commercial Real Estate Mineral and Hydrocarbon Rights-Of-Way Communication Sites Special Forest Products

Other Revenue Interest Income Non-Trust Revenue Operating Transfer 12 Permits, Fees, and Miscellaneous

Total Revenue

Totals may not add due to rounding.

■ About This Page Income from these state grant lands supports construction of Washington State University’s buildings. All revenue from these lands is income for the trust and is divided between the Agricultural College Permanent Account and the WSU Bond Retirement Account. This distribution varies by activity and is governed by law.

2020 D N R A N N UA L R E P O R T 2 0

FISCAL DATA

Forest Development Account (FDA) | FY 2020 EXPENDITURES

REVENUE

Source Fund Balance (July 1, 2019)

$7,196,525

Revenue Operating Revenue

29,489,862

Total Revenue

29,489,862

Less Expenditures 2 Agricultural Resources Asset & Property Management Product Sales & Leasing Land Management Law Enforcement Correctional Camps Administration Interagency Payments

409 1,197,288 8,509,865 6,499,670 275,587 468,184 716,044 1,803,873

Agency Support Engineering Services

3,092,115 1,277,282

Total Operating Expenditures Capital Expenditures

23,840,317 0

Total Expenditures and Other Charges

23,840,317

FDA Fund Balance (June 30, 2020)

See accompanying notes. Totals may not add due to rounding.

About Next Page By law, revenue from State Forest Lands (formerly known as Forest Board Lands) goes to the county in which the land is located, the state general fund for the support of Common Schools, and to the FDA to fund DNR’s management of the lands. Distribution differs for Transfer lands and Purchase lands—see the small pie charts. The large pie chart shows the combined total distribution for Fiscal Year 2020, with the FDA share divided among DNR’s expenditures from the account. Expenditures are appropriated by the Legislature and are ongoing investments to keep the lands productive and to generate future revenue. * This chart is based on statewide averages. Detailed breakdown of DNR programs contains examples only, not a complete listing.

$12,846,070

** Per Board of Natural Resources Resolution No.1408, the management fund deduction for FDA was increased to 25 percent effective 7/2/13. Totals may not add due to rounding. Notes 1 to 20 may be found in Fiscal Notes on pages 26-30. Purchase lands, see definition on page 22. Transfer lands, see definition on page 23.

2020 D N R A N N UA L R E P O R T 21

FISCAL DATA

General Distribution of Revenue from State Forest Lands* | FY 2020 PURCHASE LANDS 80,217 acres FU

0.3% Law Enforcement ❙ Investigative Services

A 50 %

State General Fund 23.5%

Counties 26.5%

1.5% Engineering Services ❙ Resource Mapping

T I E S 6 7. 8 % UN

COUNTIES

2 7.

2.1% Interagency Payments

UNTIES

DIRECT CONTRIBUTION STATE GENERAL FUND 4.4%

TRANSFER LANDS ** 537,797 acres

FOREST DEVELOPMENT ACCOUNT (FDA)

A portion goes to the State General Fund Counties also redistribute revenue to junior taxing districts, bond retirement, road funds, and other obligations. These vary by county. Learn more about general distribution of revenue from State Forest Lands on page 22.

0.8% Administration ❙ Policy Analysis ❙ Executive Management ❙ Internal Audit ❙ Communications ❙ Budget and Economic Services ❙ Legal Affairs

7.6% Land Management ❙ Reforestation, Pre-commercial Thinning, Fertilization, and Vegetation Mgmt. ❙ Genetic Improvement of Seedlings ❙ Forest Nursery ❙ Scientific Support ❙ Data Stewardship ❙ Landscape Planning

1.4% Asset and Property Management ❙ Asset Planning ❙ Land Transactions ❙ Public Use ❙ Recreation ❙ Natural Areas ❙ Natural Heritage

3.6% Agency Support 0.5% ❙ Finance Special ❙ Personnel and Employment Equipment ❙ Correctional ❙ Data Systems Camp ❙ Management Program and Support ❙ Geographic Information 9.9% Systems Product Sales ❙ Facilities & Leasing ❙ Region ❙ Presales Activities Administration ❙ Oil, Gas, and ❙ Environmental Commercial Analysis Site Leasing ❙ Rock and Gravel Sales Assessments ❙ Right-of-Way Granting and Acquisition ❙ Leasing ❙ Contract Administration

2020 D N R A N N UA L R E P O R T 2 2

FISCAL DATA

State Forest Lands | FY 2020 REVENUE

Source

CONTRIBUTING LANDS

Total Funds

Transfer Lands

Purchase Lands

$98,536,302 13,065

$82,364,779 12,491

$16,171,523 573

$98,549,367

$82,377,270

$16,172,097

$293,835 70,950 431,570 70,788 1,971,136 $2,838,279

$233,427 50,845 431,570 68,138 1,373,596 $2,157,576

$60,408 20,105 0 2,650 597,541 $680,703

Sales Timber Sales Timber Sales-Related Activities 1

Leases Agriculture/Minor Forest Products Commercial/Special Use Mineral and Hydrocarbon 16 Rights-Of-Way Communication Sites

Other Revenue Interest Income 1, 17 Permits, Fees, and Miscellaneous 1 Treasurer’s Revenue FDA Non-Trust Revenue 16 18

Totals

N/A—not applicable. Totals may not add due to rounding.

$809

$(313)

$1,123

4,178,541

83,955 464,340 $4,727,646

N/A N/A $4,178,228

N/A N/A $1,123

$106,115,292

$88,713,074

$16,853,923

■ About This Page and Next Page Income from these lands is distributed to the counties in which the lands are located, the state General Fund for the support of common schools, and the Forest Development Account (FDA) for DNR’s land management expenses on these lands. There are two categories of State Forest Lands (formerly known as Forest Board Lands): Purchase lands and Transfer lands. Purchase lands were given to the state or purchased by the state at low cost. The FDA receives half the income from these lands. The other half is divided between the respective county and the state general fund for the support of common schools. N/A: Not applicable.

2020 D N R A N N UA L R E P O R T 2 3

FISCAL DATA

State Forest Lands | FY 2020 REVENUE

Recipient

Total Funds

CONTINUED CONTRIBUTING LANDS

Transfer Lands

Purchase Lands

County Clallam

$7,119,479

$7,111,872

Clark 16

4,173,268

4,168,891

4,377

Cowlitz Grays Harbor

239,060 2,479,412

207,400 169

31,660 2,479,243

Jefferson King Kitsap Klickitat Lewis Mason

1,872,958 3,858,376 1,038,243 (1,610) 11,838,194 1,847,664

1,823,651 3,858,376 963,432 739 11,213,549 1,847,065

49,306 0 74,811 (2,349) 624,645 599

Okanogan Pacific

72 3,626,260

72 3,628,704

0 (2,445)

Pierce Skagit

99,331 10,116,710

0 0

Skamania Snohomish

1,670,174 6,632,836

1,640,470 6,618,038

29,704 14,798

90,290 7,415,252 2,856,189 4,854,070 83,955 $71,910,183

90,290 5,365,115 2,856,189 4,840,622 N/A $66,450,686

0 2,050,138 0 13,448 N/A $5,375,542

$27,968,298 1,057,224 0 464,340 $29,489,862 $4,715,247

$21,205,807 1,056,582 N/A N/A $22,262,389 $0

$6,762,491 642 N/A N/A $6,763,133 $4,715,247

$106,115,293

$88,713,075

$16,853,923

Stevens Thurston Wahkiakum Whatcom Treasurer's Revenue 18

$7,608

Forest Development Account Trust Activity Permits, Fees, & Miscellaneous 1 Treasurer's Revenue FDA Non-Trust Revenue 16 General Fund - State Total Revenue

N/A—not applicable. Totals may not add due to rounding.

Transfer lands were forfeited to the counties in which they were located when the private landowners failed to pay property taxes, primarily in the 1920s and 1930s. The counties turned the lands over to the state. DNR now manages these lands and distributes at least 75 percent of the income to the counties and up to 25 percent of the income to the Forest Development Account (FDA). N/A: not applicable.

2020 D N R A N N UA L R E P O R T 2 4

FISCAL DATA

Aquatic Resources | FY 2020 REVENUE

DISTRIBUTION

Source

Total Funds

Aquatic Lands Enhancement

Aquatic Resources Activities Leases

$22,625,543

$13,100,440

$9,525,103

430,141 277,742

215,106 155,880

215,036 121,862

285,829

29,588

256,241

(196,454) 15,001 $23,437,802

(253,524) 52 $13,247,542

57,071 14,949 $10,190,260

Mineral and Hydrocarbon Rights-Of-Way Interest Income 1 Non-Trust Revenue 16, 17 Miscellaneous

Total Revenue

Resource Management Cost Account 15

Totals may not add due to rounding.

RMCA | AQUATIC EXPENDITURES

REVENUE

Source Trust Balance (July 1, 2019)

$15,458,247

RMCA Aquatic Revenue Less Expenditures 2 Aquatic Resources Administration Interagency Payments Agency Support Total Operating Expenditures Total Capital Expenditures Total Expenditures Trust Balance (June 30, 2020)

See accompanying notes. Totals may not add due to rounding.

10,190,260

About Next Page By law, revenue from state-owned aquatic lands goes to the Aquatic Lands Enhancement Account (ALEA) for aquatic resource enhancement and to the RMCA to fund DNR’s management of state aquatic lands. Distribution differs for different types of aquatic land — see the small pie charts. The large pie chart shows the combined total distribution, with the ALEA share divided among state agency expenditures from that account, and the RMCA share divided among DNR’s expenditures from the RMCA. Expenditures are appropriated by the Legislature and are ongoing investments to keep the submerged lands productive. * This chart is based on statewide averages. Detailed breakdown of DNR programs contains examples only, not a complete listing. ** The ALEA portion of revenue from harbor areas in fourth-class towns is redistributed to those towns twice each year. See fiscal note #7, page 26.

10,174,595 482,316 1,986,125 2,086,100 14,729,136 0 14,729,136

Totals may not add due to rounding. Notes 1 to 20 may be found in Fiscal Notes on pages 26-30.

$10,919,371

2020 D N R A N N UA L R E P O R T 2 5

FISCAL DATA

General Distribution of Revenue from State-Owned Aquatic Lands* | FY 2020

2.7% Recreation and Conservation Funding Board 1.5% University of Washington

5 ALEA

ALEA

C %

1.1% Department of Health

AQUATIC LANDS ENHANCEMENT ACCOUNT (ALEA) 56.5% RESOURCE MANAGEMENT COST ACCOUNT (RMCA) AQUATIC 43.5%

4.4% Department of Agriculture

. 5%

0.7% State Parks and Recreation Commission

Learn more about general distribution of revenue from state-owned aquatic lands on page 24.

30.0% Aquatic Resources ❙ Nearshore Habitat ❙ Geoducks ❙ Port Management ❙ Contaminated Sediments ❙ Operations, Administration, and Policy Development

23.1% Department of Natural Resources

5% 6.

5 0%

5 22.9% Department of Fish and Wildlife

HARBOR AREAS ** Effective 2/6/06

5 0%

ALEA

SECOND CLASS TIDELANDS & SHORELANDS

ALEA

FIRST CLASS TIDELANDS & SHORELANDS

BEDS OF NAVIGABLE WATERS

1.4% Administration ❙ Policy Analysis ❙ Executive Management ❙ Internal Audit ❙ Communications ❙ Budget and Economic Services 5.9% Interagency Payments 6.2% Agency Support ❙ Finance ❙ Personnel and Equipment ❙ Data Systems ❙ Management and Support ❙ Geographic Information Systems ❙ Facilities ❙ Region Administration

2020 D N R A N N UA L R E P O R T 2 6

Fiscal Notes These numbered notes provide context and explanations for data in the tables on the fiscal pages that follow, where they are referred to by numerical superscript. A note may apply to more than one page. Although similar to notes in prior reports, these notes apply only to this report (FY 2020). AC R O N Y M S ACTMA Agricultural College Trust Management Account AFRS Agency Financial Reporting System ALEA Aquatic Lands Enhancement Account CEP&RI Charitable, Educational, Penal, and Reformatory Institutions Trust COLA Cost of Living Adjustment CWU Central Washington University EWU Eastern Washington University FDA Forest Development Account FY19 Fiscal Year 2020 (July 1, 2019 – June 30, 2020) K-12 Kindergarten to 12th grade schools RMCA Resource Management Cost Account TESC The Evergreen State College UW University of Washington WSU Washington State University WWU Western Washington University

1 | REVENUE SOURCES

For reporting purposes, DNR follows the modified accrual basis of accounting per Generally Accepted Accounting Principles (GAAP). Under this measurement focus, revenues are recognized and recorded when they become both measurable and available, i.e., when invoiced. Timber sales include removals from Contract Harvesting Revolving Account and Forest Health Revolving Account sales. For Contract Harvesting Account sales, allocation to the trusts happens at the time of distribution, generally at the end of the sale. Timber sale-related activities include contract extensions, slash disposal, trespasses, and default settlement payments. Miscellaneous sales include publications, GIS data, honor camp activities, surveys, and maps. Miscellaneous leases include special use and special forest products. Interest income includes interest on contracts, interest assessed for late payments, and interest earned from account (treasurer’s interest). Permits, fees, and related charges include surface mining permits, log patrol licenses, aquatic lands dredged material disposal site fees, forest practices damage assessments and permits, survey records recording fees, application/assignment fees, burning permit fees, and local government assessments. Operating transfers include transfers attributed to prior period revenue. Miscellaneous other revenue includes prior period adjustments, recoveries of prior biennium expenditures, miscellaneous treasurer transfers, as well as revenue from the ORV & Nonhighway Vehicle and Natural Resources Conservation Areas Stewardship accounts. 2 | EXPENDITURE CATEGORIES

Administration includes Executive Management & Operations, Internal Audit, Communications & Outreach, Policy & Governmental Operations, Legal Compliance and Environmental Review. Interagency payments are payments made to other state agencies (the Attorney General, State Auditor, Financial Management, Enterprise Services, Secretary of State, etc.) and various telecommunication vendors for services they provide to the department.

Agency support includes the following programs: Human Resources (personnel, safety, and training), Finance (accounting, payroll, risk management, and purchasing), Budget & Economics, Information Management (IT), Geographic Information Systems, Facilities, Region Administration and Environmental Analysis. Miscellaneous capital projects for Fiscal Year 2020 include the Pasco Local Improvement District and the Public School Seismic Safety Assessment. Total Expenditures of $325,822,864 for Fiscal Year 2020 excludes the interfund transfer from General Fund to the Agricultural College Trust Management Account in the amount of $1,583,000 (see footnote #5). 3 | LAND TRANSFERS

Real Property Replacement: During Fiscal Year 2020, a total of $3,310,000, an amount equivalent to the property value, was received from (1) transfers to other government entities, (2) resolution of trespass violations, or (3) transfers in lieu of condemnation. This money is used to acquire replacement trust lands. Trust Land Transfer: During Fiscal Year 2020, a total of $13,784,000 was distributed to the Common School Construction Account from the Trust Land Transfer program. Encumbered State Forest Land: During Fiscal Year 2020, the Encumbered State Forest Land, a program enabled by Second Substitute House Bill 1484 (2009 session), resulted in distributions from timber value in the amount of $1,040,750 to the Forest Development Account and $3,122,250 to Skamania County. 4 | LAND BANK

DNR uses the Land Bank program (RCW 79.19) to reposition trust land assets for better future income production. Through the Land Bank, state trust lands are auctioned to private buyers. Land Bank transactions are accounted for by trust within each of DNR’s management funds. Revenue from Fiscal Year 2020 sales, existing contracts and interest was $475,010 to the RMCA. A total of $874,857 in the RMCA’s fund balance is reserved to acquire property to replace trust property previously sold through the the Land Bank program.

5 | AGRICULTURAL COLLEGE TRUST MANAGEMENT ACCOUNT

Per RCW 79.64.090, the revenue on Agricultural College trust lands is distributed 100 percent to the agricultural college permanent fund or WSU bond retirement account. The management of the agricultural college trust lands is funded from the Agricultural College Trust Management Account. This account is dependent on legislative appropriation for funding. Currently, the Legislature appropriates the money for this purpose from General Fund under a proviso. For Fiscal Year 2020 the total interfund transfer from General Fund was $1,583,000. 6 | ORV & NONHIGHWAY VEHICLE ACCOUNT

This account provides for acquisition, planning, development, maintenance, and management of ORV recreation facilities, non-highway roads, and non-highway road recreation facilities; education and law enforcement programs related to non-highway vehicles; and construction and maintenance of campgrounds and trailheads. DNR, the Department of Fish and Wildlife, and the Parks and Recreation Commission spend from the account in support of these functions. The Department of Licensing collects revenue for the account from taxes, licenses, permits and fees. DNR administers the account according to legislative appropriations. See Figure 1 for the account’s total fiscal activity for Fiscal Year 2020. 7 | AQUATIC LANDS ENHANCEMENT ACCOUNT

This account provides for the purchase, improvement and protection of aquatic lands for public purposes. DNR, the Department of Fish and Wildlife, the Department of Agriculture, the Parks and Recreation Commission, the Recreation and Conservation Funding Board, the Department of Health, and the Puget Sound Partnership spend from the account for these purposes. DNR administers this account and only the DNR fiscal activity is reported on the Department Administered Funds section of the annual report. See Figure 2 for the account’s total fiscal activity for Fiscal Year 2020.

2020 D N R A N N UA L R E P O R T 27

Figure 1

Figure 4

ORV & Nonhighway Vehicle Account

Forest and Fish Support Account

Beginning Balance

$1,757,954

Revenue Licensing Natural Resources

$3,645,666 5,523

Dept of Revenue 3,651,189

Natural Resources

(336,006)

Parks and Recreation

(184,391)

Net Fiscal Activity

Natural Resources (3,908,727)

$11,112,958

Revenue Parks and Recreation* (Discover Pass)

$14,090,629 16,913

Natural Resources

Puget Sound Partnership

13,103

Treasurer's Deposit Income

324

Natural Resources

(72,399)

(860,000)

13,188,569

*Includes operating transfer.

Natural Resources

(5,607,254)

Figure 6

Agriculture

(1,081,451)

University of Washington

(360,222)

Health

(281,610)

Parks & Recreation

(182,983) 0

Net Fiscal Activity

Common School Construction Account Capitol Building Construction Account (13,797,254)

$10,504,273

*Includes operating transfers. Treasurer’s transfers include $620,000 loan repayment to the Clean-Up Settlement account (15H). $400,000 for the Geoduck Aquaculture Research, and $160,000 from the Marine Resource Stewardship. .

Figure 3 Derelict Vessel Removal Account

$2,299,704 769,844 102,918 0

3,172,466

Expenditures Natural Resources Net Fiscal Activity Ending Balance

State University Permanent Account Total Trust Funds

(1,271,862) (17,670)

2,475,003

(2,007,194)

467,808 $3,128,451

(1,289,532) 1,882,934 $3,008,841

FY 2020

Total-To-Date

$967,407

$28,104,931

368,776

10,713,602

1,180,485

34,395,226

4,530

16,360,301

$2,521,198

$89,574,060

Resource Management Cost Account Common School Trust

$322,805

$9,367,901

Capitol Building Trust

123,149

3,574,281

Normal School Trust

392,936

11,402,882

1,510

5,453,435

$840,399

$29,798,500

Total RMCA $1,125,907

Revenue

Licensing

Normal School Permanent Account

University School Trust

Beginning Balance

50,016

FDA/RMCA Loan Repayment

(608,686)

Ending Balance

342,723

Net Fiscal Activity

(5,618,946)

(664,787)

2,082,263

Ending Balance

Fish and Wildlife

Recreation & Cons. Funding Board

$2,660,643

Expenditures

Dept of Revenue

$2,969,742

Beginning Balance

Treasurer's Deposit Income

(840,186)

Ending Balance

Park Land Trust Revolving Account

Revenue

Natural Resources Licensing

(5,955,840)

Figure 5

Beginning Balance

Puget Sound Partnership

(5,955,840)

$1,500,417

Aquatic Lands Enhancement Account

Treasurer's Transfer*

5,115,654

Net Fiscal Activity

Figure 2

Distribution to Fourth Class Towns

447,170

(257,537)

Ending Balance

Fish and Wildlife

4,668,484

Expenditures (3,388,330)

Fish and Wildlife

Natural Resources*

$3,809,929

Revenue

Expenditures Natural Resources

Beginning Balance

2020 D N R A N N UA L R E P O R T 2 8

8 | DERELICT VESSEL REMOVAL ACCOUNT

This account provides for costs and reimbursements to authorized public entities for the removal of derelict and abandoned vessels. DNR spends from the account for these purposes and the Department of Licensing spends from the account for the purpose of administering the collection of revenue for the fund. DNR administers this account and only the DNR fiscal activity is reported on the Department Administered Funds section of the annual report. See Figure 3 for the account’s total fiscal activity for Fiscal Year 2020. 9 | FOREST AND FISH SUPPORT ACCOUNT

This account was created in 2007 to provide for activities pursuant to the state’s implementation of the forests and fish report as defined in Chapter 76.09 RCW and related activities, including, but not limited to, adaptive management, monitoring, and participation grants to tribes; state; and local agencies; and not-for-profit public interest organizations. DNR spends from the account for these purposes and the Department of Revenue spends from the account for the purpose of administering the collection of revenue for the fund. Sources of revenue for this account include surcharges on timber and wood product manufacturers, extractors, and wholesalers, per RCW 82.04.260 (12). DNR administers this account and only the DNR fiscal activity is reported on the Department Administered Funds section of the annual report. See Figure 4 for the account’s total fiscal activity for Fiscal Year 2020. 10 | PARK LAND TRUST REVOLVING ACCOUNT

This account is used for acquiring real property as a replacement for the property transferred to the State Parks and Recreation Commission in order to maintain the land base of the affected trusts, and to receive voluntary contributions for the purpose of operating and maintaining public use and recreation facilities. This account may also be used to hold funding for future acquisition of lands for the

community forest trust program, or to purchase replacement forest land. In May 2011, the Governor signed the Discover Pass into law (see also RCW Title 79A) intended to provide revenue to maintain recreation access to state lands and meet the increasing demand for outdoor recreation. Effective July 1, 2011 the Discover Pass was required for vehicle access to recreation lands which include state parks, boat launches, campgrounds, heritage sites, wildlife and natural areas, trails and trailheads. DNR’s portion (8 percent) of this revenue is transferred to this account by the State Parks and Recreation Commission. DNR’s recreation program spends from this portion of the account. DNR administers this account and only the DNR fiscal activity is reported on the Department Administered Funds section of the annual report. See Figure 5 for the account’s total fiscal activity for Fiscal Year 2020. 11 | FDA /RMCA LOAN REPAYMENT

The Board of Natural Resources resolution #635 in 1990 and #756 in 1992 authorized settlement of the FDA debt to the RMCA by transferring timber-cutting rights on State Forest Purchase lands to the Common School, Capitol Building, Normal School and University granted trusts. A onethird interest in assets (timber cutting rights) of the FDA on 35,625 acres was transferred to these trusts. The value of these transfers eliminated the debt between FDA and RMCA. A total of $3,361,597 was distributed to the trusts from timber harvested during Fiscal Year 2020. The RMCA received $840,399 from this activity. Since this is repayment of a loan, the transactions are recorded as an operating transfer rather than current period revenue. The values from the harvest activity by fund as well as RMCA trust for Fiscal Year 2020 and in total since the adoption of resolution 635 in 1990 are in Figure 6. 12 | OPERATING TRANSFERS

According to the Office of Financial Management’s interpretation of generally accepted accounting principles, debt service funds (funds used to pay off debts), such as the UW or WSU Bond Retirement accounts, cannot receive

revenue directly. Instead, revenue to these two funds are recorded to the respective permanent funds, and then an operating transfer is made to the appropriate debt service fund. 13 | TRUST FUNDS – CURRENT AND PERMANENT

Trust Current Funds are funds that individual trust beneficiaries can draw from. Trust Permanent Funds are endowments, which generate interest that can be transferred to the Current Funds. 14 | FISCAL ACTIVITY FOR OTHER TYPE FUND(S) ADMINISTERED BY DNR

Natural Resources Equipment Account (411): Total other fiscal activity does not include funds classified as internal service funds. The Natural Resources Equipment Account is DNR’s only internal service fund. This fund is used to maintain, replace, and provide equipment to the Department’s programs on a rental basis. In Fiscal Year 2020, this fund had revenue of $23,184,101 and expenses of $19,106,101. Miscellaneous Program Account (759): Total other fiscal activity does not include program account 759. This account is used to record the activity and balances of local accounts used by property management companies responsible for managing commercial real estate properties managed in trust by the department. In Fiscal Year 2020, this fund had revenue of $898,063 and expenses of $623,427. 15 | RMCA PORTION OF TRUST LAND REVENUE

The Resource Management Cost Account received 31 percent on most transactions and the trusts received 69 percent of revenue from trust lands during Fiscal Year 2020. Also, some revenue transactions are subject to different distribution ratios. These transactions include aquatic resources, miscellaneous nontrust revenue, interest earnings, land sales transactions, and interfund loan repayment, the last of which affects the Common School, University, Capitol Building and Normal School trusts. Figure 7 (a,b,c) reflects trust activity with Forest Board Repayment activity. Refer to footnote #19 for trust activity related to University Trust.

16 | NON-TRUST REVENUE AND OTHER MISCELLANEOUS

Non-trust revenue cannot be attributed to a specific trust. Activities include forest road assessments, miscellaneous services, manuals and publications, prior period recoveries and adjustments, application fees, and interest income. 17 | NEGATIVE REVENUE

Any negative revenue reflects accounting adjustments (such as baddebt write-offs, credit memos) from a prior fiscal year. Fiscal Year 2020 negative revenue in Cleanup Settlement account reflects accounting of loan repayment from the Aquatic Lands Enhancement and State Toxics Control accounts. 18 | TREASURER’S REVENUE

Due to the schedule for distributing revenue, revenue from State Forest Lands may earn interest before it is distributed to the appropriate county. Interest earnings cannot be attributed specifically to Transfer Lands or Purchase Lands. This revenue is accounted for as treasurer’s revenue and is distributed to the appropriate county. 19 | UNIVERSITY TRUST – ORIGINAL , TRANSFERRED, REPAYMENT

The accounting for the University Trust combines activity from original University trust lands, lands which have been transferred to the trust, and the University trust’s share of interfund loan repayment as described in footnote #11. See Figure 8 for the breakdown of the different elements contributing to the information for University Grants for Fiscal Year 2020.

2020 D N R A N N UA L R E P O R T 2 9

Figure 7a Common School / Escheat Trust Trust Activity Timber Sales Timber Sales-Related Leases Misc Interest Income Fees / Service Charges Operating Transfer-In Subtotal

Total Revenue

Com. School Construction

Com. School Permanent

RMCA

$47,873,526

$33,032,733

14,840,793

12,825

5,384

(0)

7,441

37,202,902

25,480,894

166,460

11,555,548

30,556

20,934

9,622

112,483

1,290,212

967,407

322,805

86,522,504

59,507,353

166,460

26,848,691

1,288,696

(1,290,212)

Forest Board Repayment Sales Operating Transfer-Out Subtotal Total Trust Activity

(1,516)

86,520,988

59,507,353

166,460

26,847,175

129,882

83,082

46,705

14,259,010

13,784,000

475,010

801,678

643,908

157,770

15,190,570

13,867,082

644,003

679,485

$101,711,558

$73,374,434

$810,463

$27,526,661

Non-Trust Activity STO Interest Land Sales / Trust Land Transfer Other Revenue Total Non-Trust Activity GRAND TOTAL

Figure 7b

Figure 7c

Capitol Building Trust Activity Timber Sales

Normal School Total Revenue

Cap. Bldg. Construction

RMCA

$5,531,133

$3,816,482

$1,714,651

574

396

178

246,221

169,893

76,329

(2,474)

(3,258)

784

Fees/Service Charges

245

Operating Transfer-In

491,925

368,776

123,149

6,267,624

4,352,288

1,915,336

Timber Sales-Related Leases Late Interest

Subtotal

Operating Transfer-Out Subtotal

491,347

(491,925)

(578)

6,267,046

4,352,288

1,914,758

STO Interest

85,677

7,735

77,942

Other Revenue

11,057

Total Non-Trust Activity

96,734

7,735

$ 6,363,780

$4,360,023

88,998 $2,003,756

Total Trust Activity Non-Trust Activity

GRAND TOTAL

Timber Sales Timber Sales-Related

Total Revenue

Capital Projects

Normal Sch. Permanent

RMCA

$2,081,200

$1,436,028

$645,172

(34)

152,456

105,043

151

47,261

Late Interest

(67)

(51)

(17)

Fees/Service Charges

752

Leases

Operating Transfer-In

1,573,421

1,180,485

392,936

Subtotal

3,807,727

104,992

2,616,664

1,086,071

1,571,572

(1,573,421)

Forest Board Repayment Sales

Trust Activity

Operating Transfer-Out Subtotal Total Trust Activity

(1,848)

3,805,879

104,992

2,616,664

1,084,222

41,535

3,008

38,527

6,261

47,796

3,008

44,787

$3,853,674

$108,000

$2,616,664

$1,129,010

Non-Trust Activity STO Interest Land Sales / Trust Land Transfer Other Revenue Total Non-Trust Activity GRAND TOTAL

2020 D N R A N N UA L R E P O R T 3 0

Figure 8 University Trust Trust Source/Activity

Total Revenue

Bond Retirement

20 | STATE TRUST LANDS MANAGEMENT FUND ACCOUNTING REPORT

University Permanent

RMCA

University-Transferred Timber Sales Timber Sales-Related Leases

$745,910

$514,678

$231,232

226,515

156,295

70,220

Misc-Trespass

(1)

(0)

Late Interest

Sale of Property-Other Fees/Service Charges Operating Transfer-In Operating Transfer-Out Total

166

561,575

555,534

(555,534)

4,530

1,510

(555,534)

978,728

555,534

120,029

303,165

130,473

90,026

40,447

University Original Timber Sales Leases Fines & Forfeits Late Interest Fees/Service Charges

Operating Transfer-In

87,342

Operating Transfer-Out

(87,342)

Total

130,553

87,342

2,712

40,499

Timber Sales

Timber Sales Related

University-Repayment

Operating Transfer-Out

Late Interest

(6,040)

Total

(6,040)

12,737

1,055

11,682

Non-Trust Allocation STO Interest Non-Trust Revenue Allocation Total GRAND TOTAL

1,950

14,687

1,055

13,632

$1,117,927

$643,932

$122,741

$351,254

Figure 9 RMCA/FDA Debt/Loan Accounting For Fiscal Year 2020 Grant Lands

State Forest Lands

2020 Trust Charges

Beginning Balance

$56,557,065

$23,840,317

RMCA Expenditures

$56,557,065

$23,840,317

FDA Expenditures Cumulative Debt/Loan

Fiscal Year 2020 Management Fund Debt Status As of June 30, 2020, no debt exists between the State Forest Lands (Forest Development Account) and the Grant Lands (Resource Management Cost Account).

Statutory Authority and Requirements: Subject to legislative appropriation, the Department of Natural Resources is authorized by RCWs 76.12.110 and 79.64.030 to use funds from the Resource Management Cost Account (RMCA) and Forest Development Account (FDA) interchangeably in the management of State Grant Lands and State Forest Lands. The law also states, however, that an annual accounting will be kept of payments made by one fund on behalf of another. For example, when RMCA funds are used to pay for activities on State Forest Land, it shall be considered a debt against the FDA. RCW 79.64.030 also requires that the results of the accounting be reported to the Legislature at the next regular session. Accounting Procedures Beginning with fiscal year 1996, the following Cost Allocation System accounting procedures have been used to calculate any debt or loan between the management funds: A. All operating program expenditures that can be determined to benefit a particular land category are directly charged to that land category. B. Expenditures for majority of the department’s operating programs for which the benefiting land category cannot be determined (indirect expenditures) are allocated to land categories based on staff month percentages derived from personnel time charged directly to those land categories or by Western Washington forested acres. C. Capital outlay expenditures that benefit particular land categories are determined in advance then charged by land category in the ratio set by appropriations. D. Agency Administration and Support costs are allocated to land category based on agency work plans for the year as established during the budget process. E. Direct charges and indirect charges are totaled by land category within the Cost Allocation System. Expenditures paid from the RMCA and FDA accounts are compared to these total charges for Grant Lands and State Forest Lands to determine how much of the charges were paid from one account on behalf of the other. If RMCA funds were used to pay State Forest charges, a debt principal is incurred in that amount. If State Forest funds were used to pay RMCA charges, the debt principal is reduced by that amount. Funding adjustments may be made periodically during the fiscal year to align expenditures by fund with total charges for Grant Lands and State Forest Lands to prevent the accumulation of any new debt in the year. F. As required by law, interest is charged on the debt incurred. A full year’s interest is charged on cumulative debt carried from the previous year. One half year’s interest is calculated on the change in the debt principal occurring during the current year. G. Cumulative debt from the preceding year, plus new principal and interest charges are totaled to determine the new cumulative debt. See Figure 9.

Timber Data

Management

TIMBER DATA

2020 D N R A N N UA L R E P O R T 3 2

TIMBER DATA

Timber Volume | Sold and Harvested | FY 2020 Trust / Beneficiaries

Acres Sold

Timber Volume Sold (mbf) b

Timber Vol. Harvested c (mbf) b

STATE FOREST TRANSFER

(FORMERLY KNOWN AS FOREST BOARD TRANSFER LANDS)

Clallam Clark Cowlitz Jefferson King Kitsap Lewis Mason Pacific Pierce Skagit Skamania Snohomish Thurston Wahkiakum Whatcom Subtotal Transfer

485 154 88 0 229 116 649 313 149 78 1,075 378 611 364 174 251 5,114

35,246 2,040 4,544 6,925 11,309 3,496 22,810 7,215 6,644 3,244 29,817 10,054 16,591 15,349 4,833 10,543 190,660

37,630 14,771 711 5,173 11,244 2,292 28,980 6,846 8,159 597 40,656 2,946 21,140 16,497 6,530 15,045 219,217

STATE FOREST PURCHASE

Subtotal Purchase

Acres Sold

Timber Volumea Sold (mbf) b

Timber Vol. Harvested c (mbf) b

Common School, Indem. & Esch. Agricultural School University Transfer CEP and RI Capitol Building Normal School Escheat Scientific School University Original Comm. Coll. For. Res. University Repayment Forest Board Repayment King County Water Pollution Forest Health Treatments (multiple trust) f

3,663 745 1,818 69 973 247 64 528 118 0 55 392 42

117,243 24,361 20,715 2,094 40,753 9,265 2,541 16,802 3,018 0 2,974 20,807 511

144,600 17,253 3,036 7,805 23,156 6,436 141 13,274 0 2,982 0 22,812 180

Subtotal

268 0 0 154 2 0 22 8 44 505

10,945 0 1 6,649 195 0 991 250 2,157 21,285

92 85 299 10,819 392 1 5,287 0 0 521 227 4,023 21,746

6,733

73,356

46,188

15,447

334,440

287,863

5,114

190,660

219,217

505

21,285

21,746

21,066

546,385

528,826

Subtotal Transfer Subtotal Purchase Statewide Total f

■ About This Page

(FORMERLY KNOWN AS FOREST BOARD PURCHASE LANDS)

Clallam Clark Cowlitz Grays Harbor Jefferson Kitsap Lewis Pacific Pierce Skamania Snohomish Thurston

Trust / Beneficiaries

Timber volume sold per acre depends on site-specific conditions and harvest method.

mbf: thousand board feet

Volume harvested is estimated for sales partially harvested. e

Includes University Repayment data.

Forest health commercial treatments are conducted on multiple federal trusts in Eastern Washington and those volumes and acres are combined.

not occur in the same fiscal year. Revenues are generated when timber is harvested. Market conditions can influence number of sales and volume sold. Sales that contain more than one trust and/or beneficiary report estimated acres and volumes for each specific trust. Sales that benefit more than one trust, distribute revenues proportionally by value based on percentage of area. Numbers may not add due to rounding.

Notes

Source

Timber is sold before it is harvested. Timber sale contracts are typically two or more years in length, with most timber harvest schedules determined by individual purchasers. Sale and harvest of timber may or may

FY20 NaturE report TSC 311 run on 9/22/2020.

2020 D N R A N N UA L R E P O R T 3 3

TIMBER DATA

Timber Acres Harvested a | FY 2020 Trust / Beneficiaries

Acres Commerc. Thinned Small Wood b

Acres Partially Cut/Older Stand Thinning c

Acres Regeneration Harvestd

Total Acres

207

948

1,155

1941

584

653

1960

1956

114

129

1947 1939

Aver. Year of Regen. Cut Stand

STATE FOREST TRANSFER

Clallam Clark Cowlitz

■ About This Page a The Department tracks harvest method information in ten categories; for purposes of this report, per RCW 79.10.010, the data are aggregated into three harvest methods. b

202

224

Kitsap

1957

Commercial thinning/small wood generates revenue, promotes growth of the remaining trees, and creates desired future forest conditions.

Lewis

684

693

1947

Mason

267

1938

Jefferson King

Partial cuts/older stand thinnings generate revenue and help achieve desired future forest conditions.

Pacific

211

1938

Pierce

Skagit

379

1,013

1,392

1953

103

1943

Regeneration harvests refer to any removal of trees intended to assist natural tree regeneration or create space for replanting.

Skamania Snohomish

318

568

886

1947

■ Notes

Thurston

368

1938

Wahkiakum

176

183

1934

Harvested acres shown are Fiscal Year 2020 activities only; acres are reported again in the future if additional harvest activities occur. Acres harvested are estimated for sales partially harvested. Timber volume harvested per acre depends on site-specific conditions and harvest method.

Whatcom

439

477

1964

1,241

5,658

6,912

1948

Clallam

1908

Clark

1925

Subtotal Transfer STATE FOREST PURCHASE

Cowlitz

1937

Grays Harbor

301

304

1951

Lewis

132

1959

Skamania

1949

Snohomish

1950

Thurston

112

1944

586

596

1948

Subtotal Purchase Comm. School, Indemn. Total

1,340

4,100

5,481

1952

Agricultural School Total

211

467

678

1954

University Transfer Total

141

198

1958

222

1949

Capitol Building Total

163

531

694

1951

Normal School Total

364

148

512

1964

1947

211 3

5 0

384 110

600 113

1957 1975

CEP & RI Total

Escheat Total Scientific School Total Comm. Coll. Forest Res. Total Forest Board Repayment Total

527

1943

King Co. Water Poll. Ctrl Dist T

1983

Subtotal

2,437

6,561

9,044

Statewide Total

3,688

12,805

16,552

Sales that contain more than one trust beneficiary report estimated acres harvested for each specific trust. Sales that benefit more than one trust distribute revenues proportionally by value based on percentage of area. Acres do not include forest improvement treatment (FIT) and Forest Health (FH) sales. Numbers may not add due to rounding. Source TSC 348 FY20 NaturE report run on 9/22/2020.

2020 D N R A N N UA L R E P O R T 3 4

TIMBER DATA

Silviculture a | FY 2020 Trust / Beneficiaries

Acres Planted b

STATE FOREST TRANSFER

(FORMERLY KNOWN AS FOREST BOARD TRANSFER LANDS)

Clallam Clark Cowlitz Grays Harbor King Kitsap Lewis Mason Pacific Pierce Skagit Skamania Snohomish Thurston Wahkiakum Whatcom Subtotal Transfer Total

856 467 105 49 65 151

347 384

363 335 321 333

480

354

334 290 65 594

333 334 330 318

14 496 321 86 272 4,645

340 300 325 368 348 338

622 380 196 1 0 0 109 0 43 0 0 0

1,130

312

724

332

334

360

305

5,087

347

1,231

314

320

6,503 306 464 38

215

331 361 435

0 700 78 105 0

285

349

330

Other Trust Total

14,918

312

2,592

Total - All Trusts

20,344

320

4,509

1,453

STATE FOREST PURCHASE

Subtotal Purchase Total

Agricultural School Capitol Grant Charitable/Educational/ Penal & Reformatory Instit. Common School and Indemnity Community College Forest Reserve Escheat Forest Health Treatment e Normal School Scientific School University - Original

(FORMERLY KNOWN AS FOREST BOARD PURCHASE LANDS)

Clark Grays Harbor Lewis Pacific Pierce Skamania Thurston

Acres Plantedb

University - Transferred Water Pollution Control Division Trust Land

Stems Preper Acre c commercially (average) Thinned Acresd

Other Trusts / Beneficiaries

Stems Preper Acre c commercially (average) Thinned Acresd

330

519

326

152

33 33 96 0 77 781

312 318 330 0 328 325

0 3 0 12

291 464

■ About This Page

These data are included in the 2020 Annual Report to Trust Beneficiaries, per RCW 79.10.010.

Silvicultural activities are forest management practices. Implementation of silvicultural practices varies according to site-specific conditions and availability of management funding.

Acres planted include all planting processes and all tree species.

Average per acre. (Stems per acre planted depend on site-specific conditions and anticipated survival rates).

Pre-commercially thinned acres increase yield rate per acre by selectively decreasing overcrowding of saplings. Assigned to activities classified as forest health treatments funded by forest health funding sources (Forest Health Revolving Account or Capital Forest Health funding). Numbers may not add due to rounding.

Source *Data from LRM on 8-25-2021.

2020 D N R A N N UA L R E P O R T 3 5

TIMBER DATA

Deferrals | FY 2020 Trust / Beneficiaries

No Deferral Acres

FORMERLY KNOWN AS ACRES OFF-BASE FOR HARVEST

Short-Term Def. Acres

Long-Term Def. Acres

STATE FOREST TRANSFER

Trust / Beneficiaries

Long-Term Def. Acres

44,156

2,145

7,438

Capitol Grant

74,577

3,184

21,443

Clallam

65,618

2,257

20,943

23,364

147

1,652

Cowlitz

10,259

142

2,099

115

Jefferson

11,770

2,161

King

15,925

2,473

3,070

6,756

413

Community Forest Trust Escheat

Kitsap

Short-Term Def. Acres

Agricultural School

Clark Grays Harbor

No Deferral Acres

CEP&RI-Transferred

CEP&RI Comm. School, Indenmity & Esch. Community College Forest Reserve

38,237

476

3,175

884,749

33,604

160,588

1,116

47,437

243

278

Klickitat

18,508

541

4,700

114

697

Lewis

33,989

414

3,891

Normal School

44,556

949

10,117

Mason

24,802

238

1,686

Scientific School

56,509

1,026

8,527

3,803

109

566

Pacific

11,231

236

2,743

39,432

138

13,479

Pierce

6,832

1,588

Skagit

64,469

2,173

15,468

Okanogan

Skamania

26,635

9,676

Snohomish

49,036

1,327

9,481

Stevens

127

Thurston

17,234

276

1,305

Wahkiakum

10,002

130

1,892

Whatcom Subtotal Transfer

Trust / Beneficiaries

23,258

203

4,715

421,924

10,003

81,489

No Deferral Acres

Short-Term Def. Acres

Long-Term Def. Acres

156

2,060

1,620

STATE FOREST PURCHASE

Clallam Clark Cowlitz Grays Harbor

225

26,252

1,436 3

Jefferson

Kitsap

Klickitat

Lewis

2,840

Mason

507

Pacific

5,422

139

2,227

Pierce

3,114

119

Skamania

2,493

1,839

Snohomish

1,632

Stevens Thurston Whatcom Subtotal Purchase

20,627

1,843

797

152

66,292

177

9,449

University Original University Transferred Water Pollution Control Division Trust Land

5,096

336

2,650

128,957

Other Lands* Subtotal

1,247,017

42,164

355,628

Total – All TRUSTS

1,735,232

52,343

446,566

■ About This Page These data are in the 2016 Annual Report to Trust Beneficiaries, per RCW 79.10.010. With the adoption of the 2004 Sustainable Harvest Level, DNR no longer classifies lands as “off-base” or “onbase,” but instead designates deferral status. Long-term deferral approximates “offbase.” Deferral status is determined by whether the silviculture and land management activities, including harvest, are permitted or deferred for a period of time. Shortterm deferrals represent forestlands anticipated to be deferred from harvest in the next 10 years. Long-term deferrals represent forestlands anticipated to be deferred from harvest beyond 10 years and forestlands managed for non-timber harvest revenue objectives. Acres are designated as deferrals because they are inoperable, are low site, contain permanent research plots, are upland wildlife management areas, are timber gene pool reserves, are on unstable slopes in riparian buffers, are located in a northern spotted owl nest patch, contain a northern spotted owl site center, are identified as marbled murrelet habitat, are

included in the Olympic Experimental State Forest deferral areas, or are the result of the Settlement Agreement reached in 2006, or the 2006 Policy for Sustainable Forests Old-Growth Policy. (All of these decisions were included in the 2007 sustainable harvest adjustment for Western Washington State Trust forestlands.) A site can be deferred due to one or more factors. Deferral classifications are not permanent designations. DNR may change the classification as specific forest stands or sites are re-evaluated. Acreage updates and changes can occur over time due to technological refinements in data gathering and analysis. Numbers may not add due to rounding or potential double counting. *Other lands include: Administrative Site, Land Bank, Milwaukee Road Corridor, Natural Area Preserve, Natural Resources Conservation Area, Tidelands—2nd-Class, Trust Status Not Applicable or Unknown. Source: Deferral Status of State Forestlands DNR Forest Resources Division, LDO v20200718, 2020.

2020 DNR ANNUAL REPORT

BOA R D O F N AT U R A L R ESOU RC ES (2 02 0) Hilary S. Franz, Chair, Commissioner of Public Lands Jim Cahill, designee for Governor Jay Inslee Dr. Dan Brown, Director, School of Environmental & Forest Sciences, College of The Environment, University of Washington Chris Reykdal, Washington State Superintendent of Public Instruction André-Denis G. Wright, Dean, College of Agricultural, Human & Natural Resource Sciences, Washington State University Bill Peach, Clallam County Commissioner D N R M A N AG EM E N T (2 02 0) Hilary S. Franz, Commissioner of Public Lands Katy Taylor, Chief Operating Officer and Department Supervisor Stephen Bernath, Deputy Supervisor, Forest Practices Angus Brodie, Deputy Supervisor, State Uplands Katrina Lassiter, Acting Deputy Supervisor, Aquatics George Geissler, Deputy Supervisor, Wildfire and Forest Health, and State Forester Brule Burkhart, Deputy Supervisor, Administration and Information Technology Michael Lenker, Acting Division Manager, Human Resources Lislie Sayers, Contracts & Procurement Manager Lauren Burnes, Director of Organizational Change Management Amanda Jahshan, Legislative Director Joenne McGerr, Director of Tribal Relations Lenny Young, Deputy Chief Operating Officer Dan Stonington, Policy Advisor Dan Siemann, Policy Advisor Stephanie Celt, Executive Policy Advisor Tom Bugert, Senior Strategic Advisor Carlo Davis, Communications Director F O R ES T P R AC T I C ES BOA R D (2 02 0) Stephen Bernath, Chair, Commissioner of Public Lands’ designee Vicki Raines, Elected county official Carmen Smith, General public member and independent logging Bob Guenther, General public member and small forest landowner Ben Serr, Department of Commerce Rich Doenges, Department of Ecology Kelly McLain, Department of Agriculture Jeff Davis, Department of Fish and Wildlife Noel Willet, Timber Products Union Tom Nelson, General public member David Herrera, General public member Brent Davies, General public member Paula Swedeen, General public member

NORTHWEST REGION

SEDRO WOOLLEY

COLVILLE

FORKS

NORTHEAST REGION

ENUMCL AW

OLYMPIC REGION

SOUTH PUGET REGION

OLYMPIA SOUND

ELLENSBURG

CASTLE ROCK

PACIFIC CASCADE REGION SOUTHEAST REGION

PACIFIC CASCADE REGION 601 Bond Road P.O. Box 280, Castle Rock, WA 98611-0280 360-577-2025

NORTHEAST REGION 225 S. Silke Road Colville, WA 99114 509-684-7474

OLYMPIC REGION 411 Tillicum Lane Forks, WA 98331-9271 360-374-2800

NORTHWEST REGION 919 N. Township St. Sedro-Woolley, WA 98284-9384 360-856-3500

SOUTH PUGET SOUND REGION 950 Farman Ave. N. Enumclaw, WA 98022-9282 360-825-1631 SOUTHEAST REGION 713 Bowers Road Ellensburg, WA 98926-9301 509-925-8510

Visit our website dnr.wa.gov Send an email information@dnr.wa.gov Call us 360-902-1000 Come in See addresses at left CHECK OUT OUR SOCIAL MEDIA LINKS

Facebook WashDNR YouTube WAstateDNR Twitter @waDNR Fire Twitter @waDNR_fire Instagram washDNR

DNR Workforce In June 2020, the Department of Natural Resources had 1,377 permanent, year-round employees. DNR is an equal opportunity employer.

Contact

OLYMPIA HEADQUARTERS 1111 Washington St. SE MS 47000 Olympia, WA 98504-7000 360-902-1000

dnr.wa.gov

DNR Annual Report 2020

Articles inside

State Grant Lands

General Distribution of Revenue from State-Owned Aquatic Lands

FISCAL NOTES

Agricultural College Trust Management Account (ACTMA

RMCA Upland

Resource Management Cost Account (RMCA