AFRC warns historic decline in timber volume and 77,000-acre set-aside will deepen budget shortfalls for schools, counties, and essential public services
The American Forest Resource Council (AFRC) today raised alarms about a historic collapse in Washington Department of Natural Resources (DNR) timber sales on state trust lands, warning that the decline threatens funding for public schools, libraries, fire districts, rural hospitals, and other essential public services.
The collapse also reduces revenue for DNR, the state general fund, and school construction, at a time when the Washington Legislature is grappling with another major budget shortfall across state agencies.
New DNR auction data show that only 114,391 thousand board feet of timber were sold in Western Washington during the first half of Fiscal Year 2026, representing just 25 percent of the agency’s annual target and the lowest mid-year volume in 22 years. Projections indicate the shortfall will continue, with only 34 percent of planned third quarter volume currently scheduled for auction.
The management of state trust lands is guided by the Washington Constitution and state and federal law, which require these lands to be actively managed for the benefit of defined trust beneficiaries.
Revenue from sustainable timber harvests supports public schools, libraries, counties, fire districts, and other critical community services, while also providing family wage jobs, forest products for local mills, recreation, clean air and clean water, and healthy wildlife habitat.
“The sharp drop in timber volume has real and immediate consequences for working families and public services,” said AFRC President Travis Joseph. “Reduced harvests mean less revenue flowing to classrooms, emergency services, the state general fund, and rural communities that rely on income from state trust lands.”
The decline also affects DNR itself. The agency depends on management fees from timber sales to pay for its workers and operations. Continued underperformance puts both trust beneficiaries and the agency at financial risk.
Active forest management on trust lands is also one of the most effective tools for reducing the risk of severe wildfire. Well managed forests are more resilient to insects, disease, and uncharacteristic fire that threaten both communities and natural resources. Meanwhile the agency is seeking $60 million from the Legislature to cover growing wildfire preparedness and mitigation costs.
“There is a growing disconnect between DNR’s request for additional wildfire funding and decisions that reduce active management on trust lands that benefit communities, fund agency operations, and reduce fire risk,” Joseph said.
Compounding these concerns is the Commissioner of Public Lands’ decision to remove 77,000 acres of legally operable state trust lands from future harvest. Analysis shows this action could result in up to $2 billion in lost revenue to trust beneficiaries, the state, and DNR over the next two decades. More than 43 percent of the affected acres under the CPL’s plan are county trust lands that directly support essential services in rural communities.
This decision follows a prolonged pause on legal and policy compliant timber sales involving mature, working forests and comes despite DNR’s own data showing that habitat conservation targets for older forest conditions are already being met or exceeded. Reducing the working forest land base even further deepens revenue losses, harms Washington businesses and jobs, shifts costs onto local communities, and increases reliance on imported wood from regions with weaker environmental standards.
“State trust lands were established to provide long term benefits to Washington communities through responsible, active management that balances environmental values, economic opportunity, and public services,” Joseph said.
“We urge state leaders and the Board of Natural Resources to follow the Washington State Supreme Court’s lead and honor DNR’s fiduciary duties to trust beneficiaries and restore a balanced approach to trust land management that supports schools, communities, forest health, and wildfire resilience for generations to come.”