Pets and disease have many impacts on the environmental management and land use decision-making. Previous works less discussed about the effect of disease and carbon payment on the optimal rotation length. This study models the effect of disease on the optimal rotation length and the maximum land expectation value of Taiwan forest management. In the empitical analysis of this study, the situation of disease has a shorter optimal rotation length and a lower maximum land expectation value than the situation of no disease. In the sensitivity analysis of this study, at the both of the situation of no disease and disease, the increase of the carbon price, per-cubic-metre price of timber and land rent after harvesting (distribution rate of timber volumn) will increase the optimal rotation length and maximum land expectation value. The increase of the timber logging cost and carbon release rate after harvesting will increase the optimal rotation length and decrease the maximum land expectation value. The increase of the discount rate will decrease the optimal rotation length and maximum land expectation value. In the situation of disease, the increase of the infection rate will not necessarily decrease the optimal rotation length, but the maximum land expectation value will be decreased.