Recent articles have been published in The Era concerning the issue of tax revenues from state-owned forest land and Pennsylvania Game Commission land.  Those articles have contained misleading statements stating that privately owned land enrolled under the Pa. “Clean and Green” law is taxed at “greatly discounted values mandated by the state.”  

The Clean and Green law (C&G) was passed many years ago specifically to help prevent tracts of open land and forest land from being divided up for small building lots and to keep farm and forest land providing jobs and enjoyment of having open space.  As an incentive for landowners with 10 acres or more, the assessed value of enrolled land in C&G was to be lowered allowing that land to be owned and managed over the long term and keeping it as profitable farms and growing forests.

In McKean County, C&G helps farmers and forest landowners alike, but the help is very little.  In the case of forest land, several credible studies have shown that it takes forest landowners a minimum of $8 per acre per year to maintain their forest as good growing woods for profitable harvest.  The taxes paid on those lands in McKean County average about $9 per acre if not enrolled in C&G and very little less, about $8 per acre, if in C&G.  In addition to both of these rates being so high that owners can not make a profit owning the land, there are several instances of forest owners paying a 200 percent tax penalty for being enrolled in C&G.

If it takes $8 per acre to pay the taxes plus $8 per acre to maintain good forest, by the time a crop is realized in 90 years, $1,440 per acre has been spent just to pay the taxes and to grow the crop.  An average timber harvest after 90 years of growth in our area would typically produce only a little more than paid in taxes and maintenance, generating a return of less than 1 percent per year vs. a stock market return of 8 percent of 9 percent.

The average home and business owner in McKean County pays 4 percent of their income in annual property tax.  The average forest land owner pays 30 percent of their potential forest income in annual property tax.  So it makes little business sense or even private ownership sense to maintain ownership of forest land in McKean County.  

Where will we be in years ahead if we lose our ability to grow good trees as part of our local economy and heritage?

John Stratton

Smethport