Chapter 03. Forest Management Programs

“Conservation purposes” includes soil erosion, watershed protection, fiber production, windbreaks, Christmas tree production, sound barriers, and wildlife habitat development, but does not include planting of trees for ornamental purposes.

“Department” means the Department of Natural Resources — Forest Service.

“Forest Conservation and Management Agreement” means an agreement between the Department and a woodland owner of 5 or more contiguous acres which sets the conditions by which a woodland owner may enter and remain in the management program.

“Forest Conservation and Management Program” means a program developed pursuant to the authority provided in Tax-Property Article, §8-211(p), Annotated Code of Maryland, which is designed to encourage landowners of Maryland to keep and develop land for productive woodland purposes.

“Secretary” means Secretary of the Department of Natural Resources.

A representative of the Department shall develop a tree-planting plan and examine the planting site of trees planted for conservation purposes.

Windbreaks, other than those placed to protect cropland soil from wind erosion, and sound barriers shall be at least four rows of trees wide, and the individual rows of trees shall be staggered.

All trees and tree seedlings, cuttings, and wildlife shrubs shall be planted in the State, unless exempted by the Secretary.

All trees for roadside planting shall be planted on public road rights-of-way or other public lands. A tree-planting plan shall be developed by a representative of the Department before the trees are allocated.

A report of the planting shall be furnished by the planter when requested by the Department.

The planting shall be protected as far as possible from fire, grazing, and trespass.

Trees may not be sold or offered for sale with the roots attached for removal from the land as live or ornamental trees.

“Assistant Secretary” means Assistant Secretary of Land Resources; and

“Woodland owner” means the owner of at least 5 contiguous acres of land dominated by trees and other woody vegetation.

Except as provided in §C(2) of this regulation, a woodland owner shall pay a nonrefundable fee for participating in the Forest Management Program as follows:

The fees required under §C(1)(b) and (c) of this regulation do not apply when:

Capable of growing more than 20 cubic feet of wood per acre per year; and

Available for the application of scientific forest management practices for the primary purpose of growing and harvesting forest tree species.

These regulations apply to all reforestation and timber stand improvement practices conducted for the purpose of growing and harvesting forest tree species on 3 to 1,000 acres of land which is, or will become, a portion of commercial forest land which totals from 3 to 1,000 acres, owned or leased.

These regulations do not apply to practices related to the establishment or production of ornamental and Christmas trees.

Reforestation includes the planting of open ground, the replanting of harvested forest land and the establishment of natural regeneration through natural seeding or sprout regrowth. Reforestation includes the planting of seedlings to supplement natural growth, using a combination of mechanical or chemical site preparation methods, prescribed burning, planting, seeding, seedling release and animal control methods. It will result in the establishment of 400 or more healthy sprouts and seedlings per acre of commercially desirable species, well spaced and free to grow.

Timber stand improvement includes any combination of accepted forestry practices, as described in Natural Resources Article, §5-219(a)(3), Annotated Code of Maryland, which are necessary to maintain or improve the rate of growth, tree form, tree quality, stand health or stand composition, which are of a long term nature, not designed solely to insure regeneration or which do not result in immediately saleable forest products.

To receive certification, all practices may not be less than 3 acres and not more than 1,000 acres in size and be conducted pursuant to a plan prepared by a professional forester licensed by the State.

Chemicals shall be applied as specified by label instructions and in accordance with standards established by the Maryland Department of Agriculture.

The growth and culture of ornamental and Christmas trees are not acceptable practices.

During the year of initial certification, a taxpayer may subtract all direct costs of reforestation and timber stand improvement, less the amount received through federal cost share programs, from his federal adjusted gross income on his Maryland return.

During the year of final certification, a taxpayer may subtract from his federal adjusted gross income all eligible costs from initial certification plus twice the cost of any supplemental reforestation and timber stand improvement measures after first subtracting the amount received from these supplemental measures through federal cost share programs.

All direct costs associated with certified reforestation and timber stand practices such as the costs of tools and machinery, including depreciation resulting from use in the implementation of practices, labor, consultant fees, chemicals including herbicides, insecticides, rodenticides, animal repellents and fertilizer, seed and seedlings may be included in calculating the cost of the project.

The costs of the taxpayer's own labor and the cost of fencing, road building, or performance beyond that needed to insure the practice will serve its primary purpose are not eligible.

Practices which have failed due to unusual circumstances, as certified by a professional forester registered by the State, may be repeated a maximum of two additional times before costs may no longer be subtracted for income tax purposes.

Only those practices which meet the minimum standards established in these regulations at a reasonable cost are eligible for initial certification by a professional forester licensed by the State.

Certification shall be recorded on forms supplied by the Department and:

Copies of the initial certification forms shall be distributed as follows:

The taxpayer shall submit one copy of the initial inspection report form with the Maryland State Income Tax form when claiming a subtraction modification to federal adjusted gross income for reforestation or timber stand improvement.

The taxpayer shall request final certification by a representative of the Department within 2 years of initial certification.

Final certification shall be granted if the practice meets the minimum standards established under these regulations within 2 years of initial certification.

A practice which does not meet the minimum standards within 2 years may be extended for an additional period of time as specified in a plan prepared by a professional forester licensed by the State.

A practice which has been successfully completed at the end of an approved extension shall be granted final certification.

A practice which has been attempted in good faith for a total of three times and does not meet minimum standards due to unusual natural or man-made circumstances shall be granted final certification, specifying the reasons for unsuccessful completion.

Final certification shall:

Copies of the final certification report forms shall be distributed as follows:

The taxpayer shall submit one copy of the final inspection report form with the Maryland State Income Tax form when claiming a subtraction modification to federal adjusted gross income for reforestation or timber stand improvement.

A practice will be decertified if:

A practice will be decertified if the property does not remain as commercial forest land for 15 years after final certification unless the change in land use was brought about by a transfer at death or other involuntary conversion.

A change in land use to a portion of the property will result in a decertification of only that portion of the property with costs distributed accordingly unless the remaining forest land is less than 3 contiguous acres, in which case the entire practice will be decertified.

Decertification will:

Copies of the decertification report shall be distributed as follows:

Repayment.