Until 1906, the sole source of receipts was the sale of timber. In the fiscal year 1907, however, timber sales furnished less than half the receipts. The following statement concerning the timber sales of the fiscal years 1904-1907 will serve to bring out the change that followed the transfer of control to the forest service in the midst of the fiscal year 1905:-- +--------+---------------+-------------+---------------+ | Fiscal | Amount of | Amount of | Receipts from | | Year. | Timber Sold. | Timber Cut. | Timber Sales. | +--------+---------------+-------------+---------------+ | | Bd.-ft. | Bd.-ft. | $ | | 1904 | 112,773,710 | 58,435,000 | 58,436.19 | | 1905 | 113,661,508 | 68,475,000 | 73,270.15 | | 1906 | 328,230,326 | 138,665,000 | 245,013.49 | | 1907 | 1,044,855,000 | 194,872,000 | 686,813.12 | +--------+---------------+-------------+---------------+ These figures show (1) a large excess each year in the amount of timber sold over that cut and paid for; (2) nine times as much timber sold at the end of the four-year period as at the beginning and three times as much cut; and (3) a much higher price obtained per thousand board-feet at the end of the period than at the beginning. Each of these matters calls for comment. The sales are of stumpage only; the government does no logging on its own account. 1. More timber is sold each year than is cut and paid for, because many of the sales extend over several years. With increasing sales the amount sold each year for future removal has exceeded the amount to be removed during that year under sales of earlier years. Large sales covering a term of years are made because the national forests contain much overmature timber, which needs removal, but which is frequently too inaccessible to be saleable in small amounts. To prevent speculation the time allowed for cutting is never more than five years, and cutting must begin at once and be continued steadily. 2. The volume of sales has increased rapidly because much forest is ripe for the axe, the demand is strong, and control by trained men makes it safe to cut more freely. The increase is marked both in small and in large sales, but a score of sales for less than $5000 are made against one for more. The total cut is still far below the annual increment of the forests. As the demand grows restrictions must increase in order to husband the present supply until the next crop matures.