Growth Management Growth Management PoliciesPolicies

Garrett ChrostekGarrett Chrostek

ECON 539ECON 539

3-9-083-9-08

The ProblemThe Problem

Urban Sprawl- increases in size of urban area Urban Sprawl- increases in size of urban area outpace population growthoutpace population growth

Occurs when converting new lands to urban Occurs when converting new lands to urban uses is cheaper/more profitable than efficient uses is cheaper/more profitable than efficient uses or refurbishing existing urban areasuses or refurbishing existing urban areas

Associated withAssociated with-Declines in downtowns-Declines in downtowns-Increased costs of community services-Increased costs of community services-Environmental Problems-Environmental Problems

History of SprawlHistory of Sprawl

Development of American CitiesDevelopment of American Cities DepressionDepression Federal Housing AdministrationFederal Housing Administration National Transportation CommissionNational Transportation Commission Federal Housing ProjectsFederal Housing Projects

Declines in DowntownsDeclines in Downtowns

Sprawl pushes people further awaySprawl pushes people further away Increases demand for suburban strip Increases demand for suburban strip

malls/big box storesmalls/big box stores Increased leakagesIncreased leakages Losses in town identityLosses in town identity

Cost of Community Cost of Community ServicesServices

Budgets are typically dependent on number of Budgets are typically dependent on number of people not the size of the service areapeople not the size of the service area

Requires more resources to serve same Requires more resources to serve same number of peoplenumber of people

Subsidies imbedded in building permit Subsidies imbedded in building permit requirements leads to suburban development requirements leads to suburban development withdrawing more money than they contribute withdrawing more money than they contribute in property taxesin property taxes

Counties with growth management policies can Counties with growth management policies can expect to save approximately 10% on cost of expect to save approximately 10% on cost of community services compared to counties community services compared to counties without (Burchell and Mukherji, 2003) without (Burchell and Mukherji, 2003)

Environmental ProblemsEnvironmental Problems

Impervious surfacesImpervious surfaces Decline in ecosystem servicesDecline in ecosystem services Interferences with wildlife life processesInterferences with wildlife life processes Resource use-construction & Resource use-construction &

maintenancemaintenance CommutingCommuting

Benefits of Open Space and Benefits of Open Space and Compact CommunitiesCompact Communities

Recreation and amenity valuesRecreation and amenity values Ecosystem servicesEcosystem services Increased efficiency in providing Increased efficiency in providing

community servicescommunity services Support public transit Support public transit

Growth Management Growth Management PoliciesPolicies

Big 3Big 3 ZoningZoning Permitting ProcessesPermitting Processes Urban Growth BoundariesUrban Growth Boundaries

ZoningZoning

Zoning schemes designate particular Zoning schemes designate particular parcels for particular land uses and parcels for particular land uses and specific regulations for those land usesspecific regulations for those land uses

Started in 1920’s, standard practice Started in 1920’s, standard practice todaytoday

Combats sprawl through regulations for Combats sprawl through regulations for particular land uses-minimum densitiesparticular land uses-minimum densities

Susceptible to political pressuresSusceptible to political pressures

Permitting ProcessesPermitting Processes

Traditionally- regulate number and type Traditionally- regulate number and type of building permitsof building permits

Modern- attach conditions on builder to Modern- attach conditions on builder to remove imbedded subsidiesremove imbedded subsidies

Reduce sprawl by controlling rate of Reduce sprawl by controlling rate of growth and removing building practices growth and removing building practices conducive to sprawlconducive to sprawl

Not politically popular, subject to lawsuits Not politically popular, subject to lawsuits

Urban Growth BoundariesUrban Growth Boundaries

Drawing lines around urban areas and Drawing lines around urban areas and applying rules that make properties within applying rules that make properties within the boundary more conducive to the boundary more conducive to development than properties outsidedevelopment than properties outside

Provides incentives to use land Provides incentives to use land efficiently, infill, refurbishefficiently, infill, refurbish

Requires regional coordinationRequires regional coordination

Optimal SolutionOptimal Solution

As no single growth management tool As no single growth management tool can adequately address the problem of can adequately address the problem of urban sprawl, best used in combination urban sprawl, best used in combination under a regional or state systemunder a regional or state system

Oregon modelOregon model Has led to increased concentration of population Has led to increased concentration of population

and preservation of agricultural lands (Nelson, 1994 and preservation of agricultural lands (Nelson, 1994 and Kline and Alig, 1999) and Kline and Alig, 1999)

Equity in property prices(Jun, 2006 and Jaeger and Equity in property prices(Jun, 2006 and Jaeger and Plantinga, 2007)Plantinga, 2007)

Opposition to Growth Opposition to Growth Management PoliciesManagement Policies

Comes from pro-growth interests and low Comes from pro-growth interests and low income housing advocatesincome housing advocates

Stifles economic growth, property appreciation, Stifles economic growth, property appreciation, and increases the price of housingand increases the price of housing

Oregon ranked 10Oregon ranked 10thth in economic growth 1993- in economic growth 1993-2003 (Harrah, 2005), 52003 (Harrah, 2005), 5thth in housing in housing appreciation since 1980 (OFHEO, 2008) appreciation since 1980 (OFHEO, 2008)

Low income housing consumers not priced out Low income housing consumers not priced out as long supply meets demand (Nelson, as long supply meets demand (Nelson, Pendall, Dawkins, and Knaap, 2002) Pendall, Dawkins, and Knaap, 2002)

ConclusionsConclusions

Population will increase, resources will Population will increase, resources will become more scarcebecome more scarce

Growth management policies are proven Growth management policies are proven to reduce sprawl w/o negative impacts on to reduce sprawl w/o negative impacts on economy or housing marketseconomy or housing markets

Should be implemented by more states, Should be implemented by more states, counties, and municipalitiescounties, and municipalities

ReferencesReferences

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Washington D.C.: National Academy Press Washington D.C.: National Academy Press Burchell, Robert W. and Mukherji, Sahan. 2003. Burchell, Robert W. and Mukherji, Sahan. 2003. Conventional Development Versus Managed Growth: The Costs of SprawlConventional Development Versus Managed Growth: The Costs of Sprawl. American . American

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academic evidence. academic evidence. Washington DC: Brookings Institute CenterWashington DC: Brookings Institute Center Office of Federal Housing Enterprise Oversight. 2008. Widespread house price declines in fourth quarter. Press release, February Office of Federal Housing Enterprise Oversight. 2008. Widespread house price declines in fourth quarter. Press release, February

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