Minnesota Sustainable Forest Incentive Act (SFIA) (SFIA)

Annual per-acre payments to private owners who keep forest land undeveloped and follow a registered woodland stewardship plan under an 8-, 20- or 50-year recorded covenant. DNR registers the plan; the Department of Revenue takes applications and pays each October.

• 20 or more contiguous acres

• At least 50% forest land as defined in Minnesota Statute 88.01, subdivision 7

• A registered forest management plan in place

• Covenant of 8, 20 or 50 years recorded with the County Recorder

Payments are taxable income; rates adjust yearly (max 10% change); new plan required every 10 years; land must not be developed during the covenant; 2025 law changes affect 2027 payments and withdrawal options.

Published amounts: The 2027 payment rates are currently calculated to be: 8 years Up to 1,920 acres enrolled: $12.73; More than 1,920 acres enrolled: $17.63; 20 years $17.63 / $22.52; 50 years $22.52 / $27.42 per enrolled acre. For new applications in 2027 and land that is in a conservation easement, the payment is $4.90 per acre. (revenue.state.mn.us)

Obtain a Woodland Stewardship Plan and register it with DNR (deadline October 31 for new applications), record the covenant with the county, then submit the SFIA application to the Department of Revenue by October 31.

Deadline text on the page: October 31 Deadline to submit SFIA application to Department of Revenue. Covenant also must be recorded with the County Recorder's Office by this date.