FOREST MANAGEMENT AND STUMP TO FOREST GATE CHAIN

SCS Global Services ReportFOREST MANAGEMENT ANDSTUMP-TO-FOREST GATE CHAIN-OF-CUSTODYSURVEILLANCE EVALUATION REPORTState of Maryland DNR – Forest ServiceMaryland, USASCS-FM/COC-00069P580 Taylor Ave, E1Annapolis, MD 21401Jack Perdue, Forest Resource Planning, 9DATE OF FIELD AUDIT23-26/April/2018DATE OF LAST UPDATE22/May /2018SCS Contact:Brendan Grady DirectorForest Management Certification 1.510.452.8000bgrady@scsglobalservices.com2000 Powell Street, Ste. 600, Emeryville, CA 94608 USA 1.510.452.8000 main 1.510.452.8001 faxwww.SCSglobalServices.com

Forest Management & Stump-to-Forest Gate Chain-of-Custody Surveillance Evaluation Report PUBLICForewordCycle in annual surveillance audits1st annualaudit2nd annualaudit3rd annualauditX 4th annualauditOther(expansion ofscope, Major CARaudit, specialaudit, etc.):Name of Forest Management Enterprise (FME) and abbreviation used in this report:State of Maryland DNR – Forest Service (MD DNR, DNR)All certificates issued by SCS under the aegis of the Forest Stewardship Council (FSC) require annualaudits to ascertain ongoing conformance with the requirements and standards of certification. A publicsummary of the initial evaluation is available on the FSC Certificate Database http://info.fsc.org/.Pursuant to FSC and SCS guidelines, annual / surveillance audits are not intended to comprehensivelyexamine the full scope of the certified forest operations, as the cost of a full-scope audit would beprohibitive and it is not mandated by FSC audit protocols. Rather, annual audits are comprised of threemain components:§ A focused assessment of the status of any outstanding conditions or Corrective Action Requests(CARs; see discussion in section 4.0 for those CARs and their disposition as a result of this annualaudit);§ Follow-up inquiry into any issues that may have arisen since the award of certification or prior tothis audit; and§ As necessary given the breadth of coverage associated with the first two components, anadditional focus on selected topics or issues, the selection of which is not known to thecertificate holder prior to the audit.Organization of the ReportThis report of the results of our evaluation is divided into two sections. Section A provides the publicsummary and background information that is required by the Forest Stewardship Council. This section ismade available to the public and is intended to provide an overview of the evaluation process, themanagement programs and policies applied to the forest, and the results of the evaluation. Section Awill be posted on the FSC Certificate Database (http://info.fsc.org/) no less than 90 days aftercompletion of the on-site audit. Section B contains more detailed results and information for the use bythe FME.Version 7-0 (December 2016) SCS Global ServicesPage 2 of 51

Forest Management & Stump-to-Forest Gate Chain-of-Custody Surveillance Evaluation Report PUBLICTable of ContentsSECTION A – PUBLIC SUMMARY . 41. GENERAL INFORMATION . 41.1 Annual Audit Team . 41.2 Total Time Spent on Evaluation . 51.3 Standards Employed . 52 ANNUAL AUDIT DATES AND ACTIVITIES . 52.1 Annual Audit Itinerary and Activities . 52.2 Evaluation of Management Systems . 83. CHANGES IN MANAGEMENT PRACTICES . 84. RESULTS OF THE EVALUATION . 94.1 Existing Corrective Action Requests and Observations . 94.2 New Corrective Action Requests and Observations . 125. STAKEHOLDER COMMENTS . 145.1 Stakeholder Groups Consulted . 145.2 Summary of Stakeholder Comments and Responses from the Team, Where Applicable . 156. CERTIFICATION DECISION . 157. CHANGES IN CERTIFICATION SCOPE . 158. ANNUAL DATA UPDATE . 198.1 Social Information . 198.2 Annual Summary of Pesticide and Other Chemical Use . 19SECTION B – APPENDICES (CONFIDENTIAL) . 20Appendix 1 – List of FMUs Selected For Evaluation . 20Appendix 2 – List of Stakeholders Consulted. 20Appendix 3 – Additional Audit Techniques Employed . 22Appendix 4 – Pesticide Derogations . 22Appendix 5 – Detailed Observations . 22Appendix 6 – Chain of Custody Indicators for FMEs . 51Version 7-0 (December 2016) SCS Global ServicesPage 3 of 51

Forest Management & Stump-to-Forest Gate Chain-of-Custody Surveillance Evaluation Report PUBLICSECTION A – PUBLIC SUMMARY1. General Information1.1 Annual Audit TeamAuditor Name:Qualifications:Auditor Name:Qualifications:Beth JacqmainAuditor role: FSC Lead AuditorBeth Jacqmain is a Certification Forester with SCS Global Services. MS ForestBiology/Ecology from Auburn University and BS Forest Management from MichiganState University. Beth has 20 years’ experience in the forestry field including publicland management, private consulting, and private corporate. Qualified ANSI RABaccredited ISO 14001 EMS Lead Auditor and a qualified FSC Lead Auditor for ForestManagement/Chain of Custody. Audited and led FSC certification andprecertification evaluations, harvest and logging operations certificationevaluations, and has participated in joint PEFC and American Tree Farmcertifications. A 9-year member of the Forest Guild, 20 year adjunct-Faculty withItasca Community College, Natural Resources Department. Jacqmain’s experience isin forest management and ecology; ecosystem silviculture; the use of silviculturetowards meeting strategic and tactical goals; tree regeneration; forest timberquality improvement, conifer thinning operations, pine restoration, and fire ecologyin conifer dominated systems. Beth has experience in forest ecology andmanagement in the Midwest, Pacific Northwest, and the southeastern US (oakecology in longleaf pine-wiregrass systems).Mike FerrucciAuditor role: SFI Lead AuditorMike Ferrucci is qualified as a RAB-QSA Lead Auditor (ISO 14001 EnvironmentalManagement Systems), as an SFI Lead Auditor for Forest Management,Procurement, and Chain of Custody, as an FSC Lead Auditor Forest Managementand Chain of Custody, as a Tree Farm Group Certification Lead Auditor, and as aGHG Lead Auditor. Mike has led Sustainable Forest Initiative (SFI) certification andprecertification reviews throughout the United States. He has also led orparticipated in joint SFI and Forest Stewardship Council (FSC) certification projectsin nearly one dozen states and a joint scoping or precertification gap-analysisproject on tribal lands throughout the United States. He also co-led the pioneeringpilot dual evaluation of the Lakeview Stewardship Unit on the Fremont-WinemaNational Forest.For 12 years Mike was the SFI Program Manager for NSF – International StrategicRegistrations responsible for all aspects of the firm’s SFI Certification programs. Inthat role Mike developed and managed one of the largest forest and chain ofcustody certification programs in the U.S.Mike has conducted Chain of Custody audits for all segments of the forest productsindustry, including printers, corrugated and box producers, integrated papercompanies, paper distributors, solid wood mills, engineered wood productsfacilities, brokers, and distributors. In audits with pulp mills, corrugated producers,and box plants Mike has addressed the issues involving recycled content. Mike hasalso conducted or participated in assessments of forest management operationsthroughout the United States, with field experience in 4 countries and 33 states.Mike Ferrucci has 37 years of forest management experience. His expertise is inVersion 7-0 (December 2016) SCS Global ServicesPage 4 of 51

Forest Management & Stump-to-Forest Gate Chain-of-Custody Surveillance Evaluation Report PUBLICsustainable forest management planning; in certification of forests as sustainablymanaged; in the application of easements for large-scale working forests, and in theecology, silviculture, and management of mixed species forests, with an emphasison regeneration and management of native hardwood species. Mike has conductedor participated in assessments of forest management operations throughout theUnited States, with field experience in 4 countries and 34 states. Mike has been amember of the Society of American Foresters for over forty years. He is Past Chairof the SFI Auditor’s Forum. Mike is also a Lecturer at the Yale School of Forestry andEnvironmental Studies, where he has taught graduate courses and workshops inforest management, harvesting operations, professional forest ethics, privateforestry, and financial analysis.1.2 Total Time Spent on EvaluationA.B.C.D.Number of days spent on-site assessing the applicant:Number of auditors participating in on-site evaluation:Additional days spent on preparation, stakeholder consultation, and post-site follow-up:Total number of person days used in evaluation:32281.3 Standards Employed1.3.1. Applicable FSC-Accredited StandardsTitleX Forest Stewardship Standard FSC US FM (2010)X FSC Trademark Standard (FSC-STD-50-001 V1-2)All standards employed are available on the websites of FSC International (www.fsc.org), the FSC-US(www.fscus.org) or the SCS Standards page -and-programdocuments). Standards are also available, upon request, from SCS Global Services(www.SCSglobalServices.com).1.3.2. SCS Interim FSC StandardsTitleX SCS COC indicators for FMEs, V6-0X SCS Interim Standard was developed by modifying SCS’ Generic Interim Standard to reflect forestThismanagement in the region and by incorporating relevant components of the Draft Regional / National Standardand comments from stakeholders. More than one month prior to the start of the field evaluation, the SCS DraftInterim Standard for the country / region was sent out for comment to stakeholders identified by FSCInternational, SCS, the forest managers under evaluation, and the National Initiative. A copy of the standard isavailable at and-program-documents or upon request fromSCS Global Services (www.SCSglobalServices.com).2 Annual Audit Dates and Activities2.1 Annual Audit Itinerary and ActivitiesSummary:The audit team visited 32 field sites, including:Version 7-0 (December 2016) SCS Global ServicesPage 5 of 51