Woodland Income
You have a lot of options to reduce woodland stewardship costs or generate revenue from your land. This page has basic information about some of those options, with links and contact information to help you move forward.
​“Cost-sharing” to reduce woodland improvement expenses
Cost-sharing is available to reduce the expense of a variety of woodland improvement practices. Eligible practices include tree planting, site preparation (removal of brush or fallen timber to enable tree planting), wildlife habitat enhancement, woodland stand improvement (tree thinning) treatments, and many others. The availability of cost-sharing funds changes over time and often varies by location. Read up a bit here, then learn more by contacting your local Soil and Water Conservation District or DNR Forestry office. Links to their contact info are below.
An annual payment through Minnesota’s Sustainable Forests Incentive Act
Minnesota’s Sustainable Forests Incentive Act provides an annual payment to woodland owners who have a current, professionally developed management plan and who follow that plan, including keeping their woods forested. The program is designed to keep forest land forested and encourage active, sustainable woodland management. The payment can be considerable. To learn more, read about SFIA or contact a local service provider below.​​​
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Selling timber, a renewable resource
Timber is a renewable resource that has many advantages over alternative building materials like steel or concrete. Minnesota has a strong wood products industry, which creates opportunities for woodland owners to sell timber. Market prices depend heavily on your available wood species, volume and quality; terrain limitations and road access; current market conditions; and other factors. UMN Extension has some basic information about selling timber. A local professional forester (below) can help you understand the value of your timber, the best time to put it on the market, how to protect your investment, and what local logging contractors might be best suited to your job.
Reduced property taxes through Minnesota’s 2c tax classification
Like SFIA, Minnesota’s 2c managed forest land tax classification is designed to reduce the tax burden associated with woodland ownership. The annual property tax savings depend on your location, acreage, and other factors. To learn more, read about the 2c Managed Forest Lands tax class or contact a local service provider below.
Selling carbon offset credits
Carbon credits are still pretty new, and may or may not be available. They’re based on the fact that healthy forests pull a lot of carbon out of the atmosphere and store it as wood. (Wood is 50% carbon by dry weight, and all from atmospheric sources.) So, growing more wood can help offset climate change that’s driven by rising atmospheric carbon. Early carbon credit programs tend to target large-acreage owners, mainly for reasons of administrative efficiency. However, these programs are changing, and it may be worth looking into options. Because many different players are in this market, we recommend reading up on the basics of carbon in Minnesota’s woods, then contacting a local professional forester, who can help you understand what options, if any, are available.
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Where to find help
DNR Forestry Offices and forest health info
Your local Soil and Water Conservation District
The Minnesota Forestry Association has links and contacts to help woodland owners
Search for local info from UMN Extension