Should I be paying???

[FeltzE]

Sigidi,

Having timber delivered to your home for your own use is normally within the confines of the laws in residential areas, what gets you in trouble is having it delivered, processing it then reselling it, then you can be potentially considered industrial, or commercial for the manufacture and or resale.

When receiving timber from a contractor the determination should be made that the contractor is removing the timber based on the contracted requirements and not selling standing timber that would otherwise be the property of the landowner. It could be argued that if there is any profit to be gained that the property owner should ultimately receive the gain as the true owner, however if the owner contracted to have the area landscaped and those trees removed, it then becomes a factor of the contract. The contractor could have bid the job based on a resale of the timber value or the cost of the disposal of the waste (timber). I would recommend that if there is any question that a written contract for the timber sale or split for sawing is complete before pulling equipment on site or removing stock.

I failed to mention earlier, that if I don't go for the 50/50 split of lumber for free logs. I have done that in the past especially when I first got started. But I have found that if you don't have a dry place to wharehouse the lumber you are ultimately in a loosing battle. Poor looking lumber that has been out in the weather for 6 months dosn't have the sale value that bright lumber fresh off the mill has. I try to keep an assortment of logs on hand rather than an assortment of lumber. Its easier to keep the right inventory, and my inventory can support any of several different cut requirements when still in the log form but you won't get a 2x6 out of 2x4 in the near future.

Last comment.... Always take care of your sources, If a contractor, tree service or utility company routinely comes your way with free timber, keep them on your phone list, and give them a call see if they need any lumber for local projects. IF they show with a big order give them a substantial discount, if they need a few boards for a project make it a freebe.

Eric

[Arthur]

Sigidi

We have supplied mills for a lot of milling contractor and have a data base on charges they make for Australian hardwoods.

What we advise with the cost of running a swinger is a min. of $200 per hour or $300 per cubic for milling onsite where they keep the wood.

If you are buying low quality with cost $30 to $50 per cubic.  Good logs (1.5m x 6m) with no pipe can cost $500 per cubic.  I have seen 5cu m murry gum going for $4000 for the log.

Remember to messure and price in log cubic not cut timber cubic as your recovery rate will depend on the quality of the log.

Worth watching Don MaCay on site behind the Coolangatta airport.  He has been there for some years milling for the developers.  They in turn use the wood for most of the fencing for the development.

[FeltzE]

On another note, if the contractor needs lumber and is willing to provide the timber, contract to come in and saw for a fee just like any other customer.

I have sawn for out of state contractors that have come to our area. One in particular was doing a "site clean up" from an old gas plant in the down town area. They took out several trees. They found me and contracted me to haul them out and sawmill them. They sent a truck to haul them 400 miles north when done.

Eric

[sigidi]

Hi to all,

thx heaps for all the great info.

Just a quick update - I've agreed to pay $10 per log cubic metre (about 425 board foot of log) also as there is issues with general public coming on site while I'm milling they prefered it if I hauled the logs away.

On ownership of logs the developer confirmed as Ron said, they have purchased the land and therefore the tree's are their's - so as I suspected I won't actually be paying the land owner anything for their logs... so this was more than likely a bit of BS :-/

Haulage of the 15 trees has been quoted to take about two hours to complete to my milling location at $88/hour.

So to sum up I'm paying $0.02 board foot and hauling the logs away at about $176 expense to me for what the developer just trashes and has to pay someone to get rid of for them.

One thing which I keep hanging on to is, at least these trees will be used for something rather than just wasted and that was the whole idea behing my business in the first place - tree cycling I think it's known as.
Before I go (and give you all a chance to tell me how silly I was - which is totally fine, any pointers greatly received) I'd like to let you all know this is a one time only thing, next one will be negotiatied a little better, or I'll look elswhere.

THX

[Buzz-sawyer]

I think you made out fine....
I recomended paying no more than 5 cents....so, you will come out way ahead iff you can find/make a market for the stuff.....
I see no problem repeating the deal over and over.....cheap enough, Do you have to cut it down?
I buy standing hardwood for 4 or 5 cents and pay all expenses......your doin better than me......