Floyd
From what I've read of a BC study, they said that using cattle for 1 month out of the year didn't have too many detrimental effects. There was some compaction and some decrease in infiltration rates after 8 years. They didn't seem to recommend any longer time frame than that.
Are you grazing in Ponderosa pine stands? When I worked in Oregon, between Klamath Falls and Medford, it seemed like the only place that there was any grazing was in those types of stands.
BlaBla
All the studies seem to indicate that growing quality hardwoods and cattle grazing are not compatable for any sustained period. Those that do say anything about grazing always go back to saying a stand of poor quality wood.
I don't see any reason to put cattle into a poor quality stand. It should be converted over to a high quality stand, and that would mean you need good reproduction. You won't get that with livestock in the stand.
One report talked about livestock not causing soil compaction, but then stated it was sheep. I can see sheep being a much better option than cattle. Although, if they are anything like goats, there won't be much left.
I think if you want to get into agroforestry, I would go more on the mushroom and herbal alternatives. Shitake and morels have a good market value. Ginseng will probably give you more money than timber. If you could get black truffles, then there's another high value crop.
I think any grazing considerations have to be looked at pretty hard. Its not just a matter of letting the livestock run free.