Ministry of ForestsGovernment of British Columbia
Learning Centre

 

Revenue

The Ministry’s Revenue mandate is to assert the financial interest of the Crown in its forest and range resources in a systematic and equitable manner.

Cruising: The sale of Crown timber is a business proposition and both the buyer and the Ministry of Forests (seller) must know the quantity and the quality of timber being sold. The cruise provides the essential data for determining stumpage rates, for establishing conditions of sale and for planning of the logging operation by the licensee.

Pricing / Appraisal: Timber Pricing is BC’s fair, systematic, and equitable method of setting stumpage rates on Crown Timber. Currently, there are two pricing systems in the appraisal manuals to calculate stumpage rates: the Market Pricing System (MPS) and Comparative Value Pricing (CVP). Both systems estimate log value and costs in appraisals. On the Coast, the Vancouver Log Market is used to determine log value. The interior estimates log value from lumber and chip prices.

Scaling is the measurement of timber to determine its volume and quality or grade. Scale data is reported by species and grade, and volumes are expressed in cubic metres. Scaling is performed by scalers who are licensed and authorized to scale by the Ministry of Forests and Range. In British Columbia, all timber (including private timber) that is harvested must be scaled. The scale provides the data used by the Ministry of Forests to assess and invoice stumpage and account for harvested volumes.

Billing: The Ministry of Forests and Range uses two main billing systems. Stumpage is invoiced through the Harvest Billing System (HBS). HBS provides accurate and timely data for both Weight Scale Billing and Piece Scale Billing by capturing detailed scale data electronically at its source, on a daily basis. The General Billing System (GBS) is the ministry’s invoicing system for all non-fibre invoicing such as annual rent, range and penalty invoices, as well as direct fire fighting costs and purchase of related mapping products.

Waste: Merchantable Crown timber, whether standing or felled, that is not reserved from cutting and remains on site upon the completion of primary logging of each cut block or at the expiry of the agreement or cutting permit is waste. The Forest Act and agreements require licensees to carry out waste assessments to quantify waste volumes.

Training for these Revenue areas consists of user guides, manuals, reference materials and web-based training.

To find learning resources for Revenue: click on Learning Store and look under Topic, or browse by keyword.

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