Performance Bond Form

Timber Sale Contract

STATE OF CALIFORNIA

COUNTY OF

TIMBER SALE CONTRACT

KNOW ALL MEN BY THESE PRESENTS, that this contract made and entered into this day by and BETWEEN or , a corporation, hereinafter referred to as the "Seller(s)," whether one or more, and or , a corporation, hereinafter referred to as the "Purchaser(s)," whether one or more, WITNESSETH:

That the said Seller, for and in consideration of the sum of Ten and no/100 Dollars and other considerations paid by the said Purchaser, the receipt of which is hereby acknowledged, has granted, bargained, sold and conveyed, and do by these presents hereby grant, bargain, sell, and convey unto the said Purchaser all merchantable timber on their property located in County, State of California, and described as follows:

DESCRIPTION OF PROPERTY

Source of Title: DB , Pg

TO HAVE AND TO HOLD the same unto the said Purchaser, his successors and assigns, together with the following described rights, powers, and privileges, and subject to the following conditions, limitations, and reverter, that is to say:

1. The right to enter upon said lands from the execution of the timber deed until , except when extremely wet conditions exist which may result in excessive damage to the roads and residual stand of timber, to cut, haul, handle, manufacture, and remove from said lands the said timber hereby conveyed, together with the products thereof, which shall include all rights of ingress, egress, and regress on, over, and across said lands owned by the said Seller, necessary for said purposes.

2. The right to use all roads over and across said lands, with the right to lay-out, construct bunching areas, and use such other and additional roads as designated by representatives of both Parties as may be necessary in and about the cutting, hauling, manufacturing, and removing of the said trees and timber hereby conveyed, together with all other rights, privileges, and easements which may be useful in exercising the provisions of this contract.

3. The Purchaser, for himself and for his successors and assigns, agrees that in and about the cutting, hauling, handling, manufacturing, and removing of said timber and the products thereof, and in exercising the rights, powers, privileges and immunities granted herein, to do so in accordance with Management Practices as attached (See Exhibit “A”), or in accordance with Management Practices established by the State of California, and in accordance with good timber cutting practices...

4. It is understood and agreed and made a part of this contract that all of the rights, powers, and privileges herein given and granted shall terminate and be at the end at midnight on and that all of the trees and timber hereby conveyed, whether standing or fallen, which remain on said lands after said date shall immediately revert to and become the property of the undersigned grantors and their successors in title.

5. The Purchaser agrees to notify the Agent of the Seller, or its representatives, five days prior to entering the property.

6. Upon the execution of this contract, Purchaser has deposited with Seller a Cashier’s check in the amount of $ , which check is made payable to .

If Purchaser has caused any unnecessary damage... It is understood and agreed that the Purchaser pay to the Seller for any sawtimber trees cut that are not sold according to this contract at the rate of $ per M.B.F. (Doyle Scale) for pine sawtimber and $ per M.B.F. (Doyle Scale) for hardwood sawtimber. It is further understood that the Purchaser pay to the Seller for any pulpwood trees cut that are not sold according to this contract at the rate of $ per cord for pine or hardwood pulpwood.

7. All of Purchaser’s operations hereunder shall be at Purchaser’s own expense and by means of Purchaser’s own selection, and shall be exclusively at the risk and responsibility of Purchaser...

8. Endangered Species Clause - BUYER and SELLER take cognizance of the Federal Endangered Species Act...

Given under our hands and seals this the day of ,

Acknowledgment for Purchaser(s)

State of California

County of

On before me, , personally appeared , who proved to me...

Acknowledgment for Seller(s)

State of California

County of

On before me, , personally appeared , who proved to me...

EXHIBIT “A” - Management Practices

STREAMSIDE MANAGEMENT ZONES

Forest lands within the area immediately adjacent to waters of the State should be managed with specific attention given to measures that can be taken to protect both instream and downstream water quality values...

PERMANENT ROADS

1. Roads should be carefully planned.

2. Avoid locations in narrow canyons, marshes, wet meadows and Streamside Management Zones if there is another practical route.

3. Minimize the number of stream crossings.

4. Roads designed for stability with adequate drainage.

Construction of Permanent Roads

1. Use the minimum design standard consistent with the anticipated traffic and reasonable safety.

2. Stumps, logs, and slash should not be covered with fill material and incorporated into road beds.

3. Minimizing the amount of soil exposed will minimize soil erosion.

4. Road slopes should be determined by topography and soil type.

Maintenance of Permanent Roads

1. Regular periodic inspection.

2. Drainage devices should be kept open.

3. Back slopes and/or roadbeds may be seeded.

4. Special soil stabilizing materials are available for particularly vulnerable areas.

WATER CROSSINGS

1. Use fords only if stream beds are solid and if the installation of bridges and culverts will accelerate soil movement.

2. Bridges and overflow culverts should be constructed to minimize changes in natural stream beds during high water.

TRAILS

The basic principals set forth under Permanent Roads should be applied to Permanent Trails: however, techniques should be altered as appropriate.

HARVESTING

Temporary Access Roads and Landings

1. The location of temporary access roads (logging roads) should be planned before operations begin.

2. Road construction should be kept to a minimum.

3. Landings should be located to minimize the adverse impact of skidding on the natural drainage pattern.

4. Logging roads and landings should be located on firm ground, outside of Streamside Management Zones and above the ordinary high water mark of streams.

Felling

1. Careful felling can minimize the impact of subsequent phases of logging operations.

2. Trees should not be felled into streams, except where no safe alternative exists. In the latter case, such trees should be removed promptly.

Skidding

1. Timber cut in Streamside Management Zones should be removed by the method which causes the least damage.

2. Skidding should be done so as to avoid disrupting natural drainage and to prevent excessive soil displacement.

MECHANICAL SITE PREPARATION

1. Avoid excessive soil compaction.

2. Minimize erosion and the movement of sediment into waters.

3. Prevent accumulation of debris in ponds, streams or rivers.

FOREST CHEMICALS

1. BMPs are to use these products in accordance with the manufacturer’s instructions and state and federal regulations. No containers or equipment should be washed in any stream.

2. Lines located at right angles to the contour should be avoided. Grades, ditches and water bars should be planned and installed when the line is being constructed.

PRESCRIBED FIRE

1. Most soil erosion problems arising from prescribed burning come from fire lines being improperly installed.

2. Lines located at right angles to the contour should be avoided. Grades, ditches and water bars should be planned and installed when the line is being constructed.