1. National Defense Authorization Act Title 30, Subtitle B, Section 3024 Cabin User and Transfer Fee (aka Cabin Fee Act) National Forest Homeowners

2. For Cabin Owners:  Stable and predictable fees.  Simple and manageable system.  Eliminates the risk of dramatic fee increases making cabins unaffordable & unmarketable.  Long term viability of the Cabin Program as a family-based recreation program for the middle class. For the Forest Service:  A far simpler and less costly program to administer.  A fair and reasonable return for the tax payer.  Continuation of this USFS recreation program with a reliable and long term source of revenue for the Forest Service.

3. FEE TABLE SUMMARY  11 Annual Fee Tiers  $650 - $5,650 Range 70% of fees < Avg Fee 30% of fees > Avg Fee  $1,200 Transfer Fee – upon change of cabin ownership  Temporary Fee waiver/reduction for impaired access or occupancy  USFS Fee retention after 10 years  USFS Review & Report to Congress after 10 years

4. Implementation TaskInputFeedbackAligned? Interim FeesNFHUSFSYes Completion of Appraisal CycleUSFSNFHYes Fee Tier AssignmentsNFHUSFSYes - Work in Process Transfer FeeNFHWork in Process Impaired Access/OccupancyUSFSNFHYes Permit AmendmentNFHWork in Process  The new law requires the USFS to implement CFA fees along with appropriate administrative rules & regulations within 12 months.  The USFS implementation of the CFA appears to be on track.  The communication between NFH and USFS is positive and continuing with no current issues.

5.  Assessed when a new permit is issued due to a cabin change of ownership.  NFH proposed a change of name on a permit presumes there’s a change of ownership, with some exceptions….. Legal Name Change Placing a cabin in a trust where the trustee is the same cabin owner Addition or removal of a spouse’s name (Marriage, Death, Divorce) Co-ownership when there is a change of permit holder but not change of ownership  The USFS position is unknown at this time, so we suggest…. Review the name(s) on your permit (is there any need to update?) If you are contemplating putting your cabin into a trust, or transferring the cabin to other family members……we recommend you act this year if you want to avoid a transfer fee in the future.

6. *NFH Estimate Only. USFS will determine CFA Fees prior to the 2016 Billing.

7. The new CFA law holds true to the NFH guiding principles for a new fee system…….  Preserves the cabin program, no cabin loss due to high fees.  Stable and Predictable fees, increased only by inflation, not by changes in the real estate market or a flawed appraisal system.  Strengthened cabin values for all, and the return of cabin marketability where it was lost due to high fees.  The elimination of cumbersome and expensive appraisals, reducing costs for the FS & cabin owners alike.  Simplicity and Longevity…..will withstand the test of time.  Strengthened relationships with the USFS with fee retention.  Peace and enjoyment of the simple cabin life once again.

8.  The CFA does not roll back fees to pre-2008 levels The average fee under CUFFA increased over 100% from 2008 to 2014. The CFA will yield a lower average fee in 2016, however, the ~10% reduction of average fee does not reverse the 2008-2014 increase.  While the vast majority of cabin owners perceive CFA fees will be ‘more fair’, there remain a few examples of permit fees that may not appear to be reasonable compared to others. The use of appraisal values for CFA fee Tier placement is the cause of these inequitable fee tier assignments.  While the CFA results in a range of fees supported by the market, there is no assurance every existing cabin owner is able or willing to pay the new fee.

9. THANK YOU! For your feedback, legislative contacts, and financial support. Questions?