Center For Sustainable Economy, Resps V. Wa State Dept Of Natural Resources, Apps

CourtCourt of Appeals of Washington
DecidedFebruary 17, 2026
Docket86667-2
StatusPublished

This text of Center For Sustainable Economy, Resps V. Wa State Dept Of Natural Resources, Apps (Center For Sustainable Economy, Resps V. Wa State Dept Of Natural Resources, Apps) is published on Counsel Stack Legal Research, covering Court of Appeals of Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Center For Sustainable Economy, Resps V. Wa State Dept Of Natural Resources, Apps, (Wash. Ct. App. 2026).

Opinion

IN THE COURT OF APPEALS OF THE STATE OF WASHINGTON

CENTER FOR SUSTAINABLE ECONOMY, LEGACY FOREST No. 86667-2-I DEFENSE COALITION and SAVE THE OLYMPIC PENINSULA, DIVISION ONE

Respondents, PUBLISHED OPINION

v.

WASHINGTON STATE DEPARTMENT OF NATURAL RESOURCES, BOARD OF NATURAL RESOURCES, WASHINGTON STATE DEPARTMENT OF ECOLOGY; and COMMISSIONER OF PUBLIC LANDS HILARY FRANZ, in her official capacity,

Appellants.

COBURN, J. — One hundred acres of forest land held in trust by the State are

subject of this appeal. The State proposed harvesting this land as part of an approved,

long-term sustainable harvest level decade plan. That plan was based on a Final

Environmental Impact Statement that considered climate change impacts from a

landscape perspective of all western Washington forested land held in trust. The

Department of Natural Resources issued a determination of nonsignificance for the

harvest, which several environmental groups challenged. The superior court rejected

the determination and ordered the state agency to (1) assess site-specific climate

change impacts; and (2) to consider, as required under RCW 43.21C.030(2)(e), 86667-2-I/2

proposed alternative uses for the specific subject resources. We conclude the

determination of nonsignificance was not clearly erroneous and strike the superior

court’s order requiring DNR to conduct a site-specific climate impact assessment but

hold that DNR must comply with RCW 43.21C.030(2)(e) before any future sale can be

approved. Accordingly, we reverse in part, affirm in part and remand.

BACKGROUND

The Washington State Department of Natural Resources (DNR) and the Board of

Natural Resources (Board) manage approximately three million acres of forested state-

owned lands. Conservation Nw. v. Comm’r of Pub. Lands, 199 Wn.2d 813, 817, 514

P.3d 174 (2022). Pursuant to the Omnibus Enabling Act of 1889, Ch. 180, 25 Stat. 676

(Enabling Act), the federal government granted to the State of Washington several

hundreds of thousands of acres of land. Id. “This significant land grant was made ‘for

the support of common schools’ and other state institutions.” Id. Our state Supreme

Court determined that the Enabling Act “make[s] clear that the federal government

intended to create a trust whereby the State accepted control of the granted lands with

the express understanding that the lands were not its absolute property but, instead,

were to be held and used exclusively for the enumerated purposes.” Id. at 826.

Additionally, pursuant to RCW 79.22.040, individual counties have granted land to the

State “with the explicit understanding that they are held in trust for the benefit of those

counties.” Id. at 817.

“The creation of a trust imposes several key duties on the trustee.” Id. at 829.

“With respect to trusts in land, specifically, the trustee owes a general duty ‘to use

reasonable care and skill to make the trust property productive’ through leasing or

2 86667-2-I/3

managing it to generate income.’” Id. at 829-30 (citing RESTATEMENT (SECOND) OF

TRUSTS § 181 & cmt. a (A.L.I. 1959).

The Enabling Act did not restrict the State to a specific actual use of granted

lands. Conservation Nw., 199 Wn.2d at 833. Rather, the State Legislature requires DNR

to utilize a “multiple use” concept in administering public lands. RCW 79.10.120.

Accordingly, “[t]here appear to be myriad ways DNR could choose to generate revenue

from the state and forest board lands or otherwise put them to use for the benefit of the

enumerated beneficiaries.” Conservation Nw., 199 Wn.2d at 833-34.

One such way was through the Habitat Conservation Plan (HCP) which DNR

created in 1997 to conserve habitat for endangered species. This plan was submitted to

the United States Department of Fish and Wildlife and the National Marine Fisheries

Service for review to determine whether the plan complied with the Endangered

Species Act. The HCP covers around 1.6 million acres of DNR-managed state forest

land, conserving the habitat of the marbled murrelet, riparian-dependent species, and

other species. As a result of creating the HCP, the U.S. Department of Fish and Wildlife

granted DNR an “incidental take permit”, shielding it from liability under the Endangered

Species Act. The incidental take permit allowed DNR to harvest land under the HCP

without violating the Endangered Species Act.

The HCP was amended in 2019 based upon a Long-Term Conservation Strategy

for the Marbled Murrelet, known as “Resolution No. 1559,” and a new incidental take

permit was granted to DNR. Conservation Nw., 199 Wn.2d at 819. DNR based its

selection of Resolution No. 1559 on the Long-Term Strategy for the Marbled Murrelet

Final Environmental Impact Statement (Marbled Murrelet FEIS). The Marbled Murrelet

3 86667-2-I/4

FEIS considered eight conservation alternatives, including a “no action” alternative that

represented a range of conservation strategies for the marbled murrelet on DNR-

managed land. At the time this FEIS was conducted, 1.38 million acres of DNR-

managed lands were analyzed and under each alternative it was approximated that

between 576,000-743,000 forest acres would be protected. The Board selected the

eighth alternative, known as “Alternative H” which conserved 604,466 acres. 1

The Legislature also specifically directs DNR to “manage the state-owned lands

under its jurisdiction which are primarily valuable for the purpose of growing forest crops

on a sustained yield basis” so that timber is harvested “on a continuing basis without

major prolonged curtailment or cessation of harvest.” RCW 79.10.310, .320. “To this

end, the department shall periodically adjust the acreages designated for inclusion in

the sustained yield management program and calculate a sustainable harvest level.”2

RCW 79.10.320.

For the stated purpose of meeting its obligations under local, state, and federal

laws consistent with its policies, including the HCP, DNR proposed to establish a

sustainable harvest level for the 2015-2024 planning decade for forested state trust

lands in western Washington. In compliance with the State Environmental Policy Act

(SEPA), DNR issued the 2019 Final Environmental Impact Statement (FEIS) on

Alternatives for the Establishment of a Sustainable Harvest Level to assist in

establishing a sustainable harvest level. Under the 2019 FEIS, DNR analyzed six

1 Notably, the Marbled Murrelet Strategy included 441 additional acres to Alternative H located in southwest Washington. Therefore, the total acres conserved under the Marbled Murrelet Strategy was 604,907. 2 RCW 79.10.300

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