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A graph has arboricity α if its edges can be partitioned into α forests. The dynamic arboricity decomposition problem is to update a partitioning of the graph’s edges into forests, as a graph undergoes insertions and deletions of edges. We present an algorithm for maintaining partitioning into α+1 forests, provided the arboricity of the dynamic graph never exceeds α. Our algorithm has an update time of Õ(n^{3/4}) when α is at most polylogarithmic in n. Similarly, the dynamic bounded out-orientation problem is to orient the edges of the graph such that the out-degree of each vertex is at all times bounded. For this problem, we give an algorithm that orients the edges such that the out-degree is at all times bounded by α+1, with an update time of Õ(n^{5/7}), when α is at most polylogarithmic in n. Here, the choice of α+1 should be viewed in the light of the well-known lower bound by Brodal and Fagerberg which establishes that, for general graphs, maintaining only α out-edges would require linear update time. However, the lower bound by Brodal and Fagerberg is non-planar. In this paper, we give a lower bound showing that even for planar graphs, linear update time is needed in order to maintain an explicit three-out-orientation. For planar graphs, we show that the dynamic four forest decomposition and four-out-orientations, can be updated in Õ(n^{1/2}) time.