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Category Zoning

Yglesias Gives Best Tweetstorm Ever

Matthew Yglesias has a group of tweets that begin with this: Someone needs to give me an Oscar one of these years so I can subject America to a tedious discussion of land use regulation. — Matthew Yglesias (@mattyglesias) February 27, 2017 “In the movies, there is no minimum lot size or maximum lot occupancy; we fill provide as much or as little parking as we want.” — Matthew Yglesias (@mattyglesias) February 27, 2017 “Fences is a powerful reminder that single-family zoning is not enough to make the American dream a reality.” — Matthew Yglesias (@mattyglesias) February 27, 2017

Only In California: Twisting an Anti-Exclusionary Law To Rationalize Exclusion

As a Market Urbanism reader, you are hopefully fluent in the problems of exclusionary zoning.  If you’re new to the term, there are some good pieces on the topic here and here.  Basically: exclusionary zoning is the use of zoning to price people out of a community.  The classic example is minimum lot sizes or minimum unit sizes: cities only zone parcels big enough to ensure low-income families cannot afford the housing.  When subsidies for affordable housing require specific unit attributes, like reduced parking ratios, a community can simply require parking ratios above that threshold (although states can move swiftly to stamp out such practices). States have also responded to exclusionary zoning practices with a wide array of policy interventions known collectively as “anti-snob laws.”  One key component of California’s anti-exclusionary efforts is called the Regional Housing Needs Allocation (RHNA).  The law requires each jurisdiction in the state to produce a Land Inventory (or Adequate Sites Inventory, or Sites Inventory, or Buildable Land  Inventory) that demonstrates the jurisdiction possesses space to accommodate anticipated housing needs at adequate densities.  Read “adequate densities” as dense enough to produce affordable units. Scott Wiener, the state senator representing San Francisco, is pushing to give the RHNA some real teeth. The most contentious component of the process is the definition of “need” for each jurisdiction.  The state calculates anticipated need based on population and jobs projections for each region.  Regional councils of government (COGs) are then empowered to distribute the regional need to each jurisdiction within that region.  Need is quantified in terms of units, and these needed units are further categorized into four groups: units affordable to Very Low Income, Low Income, Moderate Income, and Above Moderate Income households. Regional agencies had some flexibility in making these allocations in the past.  Thanks to SB 375, which passed in […]

When NIMBYs Use Renters’ Health To Stop Rental Housing

Davis, CA, is a small college town a twenty minutes’ drive outside of Sacramento (on a good day).  It has a vacancy rate on par with Manhattan despite being surrounded by flat, developable farmland.  Some critics attribute this absurd vacancy rate to Measure R, a ballot initiative approved by Davis residents in 2000 that requires a public vote on any peripheral development.  Since it’s passage, three developments went up for a vote, and all of them failed. The group that defends Measure R is known as the “Citizens for Responsible Planning” or CRP.  Throughout various development battles, CRP has strategically utilized air quality concerns to push new development further away from existing neighborhoods. They opposed the most recent Measure R development, Nishi Gateway, because toxic air quality made the site virtually uninhabitable, at least in their minds! In fairness: the site is sandwiched between railroad tracks and a major highway, Interstate 80.  So it’s a real concern. But fast-forward just six months later, and CRP is demanding the University of California, Davis, the area’s largest employer, dramatically expand its on-campus housing options for students, staff, and faculty.  In an effort to appear proactive, they produce a map of optimal sites to locate student housing on the UC Davis Campus.  One of the sites they select is adjacent to the Nishi parcel they so aggressively opposed development on just six months earlier.  Another parcel they suggest building housing on is also sandwiched between the same railroad tracks and highway that Nishi sat between, but just a couple miles further south (and further from existing neighborhoods).  You can see all of this in a map provided below, where the Nishi site they killed at the ballot is marked in red and the sites they claim to support student housing on are colored in blue: […]

How To Finance A Sanctuary City

President Trump has threatened to withhold all federal funds from so-called sanctuary cities–municipal governments that do not enlist their police departments in the president’s mass deportation plan. If he makes good on his threat, cities that insist on maintaining their sanctuary status can offset revenue losses with two policies: liberalizing land-use regulation and depoliticizing public land sales. It’s unclear exactly how much money each city would lose by maintaining its sanctuary status, but New York City, to name one example, relies on federal funding for 10% of its budget, according to state comptroller estimates. A sudden drop of that magnitude would devastate many jurisdictions, and Miami-Dade County has already caved. However, a handful of cities with high rents and very restrictive land-use regulations could dramatically increase property tax revenue and the value of city-owned real estate through liberalization. Millions of Americans would love to live in cities like New York, Los Angeles, San Francisco, Seattle, San Jose, Austin, Portland, and Denver, but legal restrictions on what can be built limit the number of housing units available and increase the cost of each unit. Some estimates have found that regulation alone accounts for fifty percent of the cost of housing in San Francisco. At the same time, land-use regulation has the opposite effect on the price of land itself. A plot of land with limited legal potential for development is worth much less than a plot a developer could use to build a large, lucrative building. Economist Keith Ihlanfeldt has found that the decrease in land values more than offsets the increase in home prices—meaning some cities are decreasing potential revenues by restricting development. San Francisco has large neighborhoods of single-family homes where rent levels would sustain large apartment towers. The drastic mismatch between what is currently allowed and what consumers demand suggests that land values would skyrocket if restrictions were relaxed. […]

7 Reasons To Oppose Los Angeles’ Neighborhood Integrity Initiative

[This piece was originally published on the site Better Institutions.] On March 7th, Los Angeles is going to vote on the type of city it wants to be. The vote will be over Measure S, formerly known as the Neighborhood Integrity Initiative (NII), which seeks to limit housing development in the city. Backers of the initiative claim that City Council is too beholden to developers, and that the pace of new housing and commercial development in the city is out of control. They also express concern that “mega projects” are making Los Angeles less affordable, since few new homes are being targeted at low and moderate income households.   It’s a really bad plan, but calling Measure S “bad” doesn’t go nearly far enough. It is, in fact, the Donald Trump of ballot initiatives. It’s a cynical effort to co-opt a legitimate sense of frustration—frustration felt by those who haven’t shared in the gains of an increasingly bifurcated society—and to use that rage and desperation for purely selfish purposes. It invites us to vent our frustrations and, in so doing, to further enrich those who helped to engineer our ill fortune. And as with Trump, a Measure S victory will roll back the clock on years of steady progress. Since I think there are a lot of folks out there who genuinely haven’t made up their minds about the initiative, or aren’t yet familiar with it, I’d like to summarize some of the most important reasons to oppose it when it comes time to vote this March. 1. IT WILL MEAN FEWER AFFORDABLE HOUSING UNITS FOR LOW INCOME HOUSEHOLDS. The Coalition to Preserve LA, which is backing the initiative, is turning this into a referendum on housing development in Los Angeles. They’re arguing that new homes have “wiped out thousands of […]

How Lexington Can Expand Affordable Housing (Without Touching the UGB)

  Lexington, Kentucky is a wonderful place, and that’s getting to be a problem. There’s nothing intrinsically wrong with the city: its urban amenities, thriving information economy, and unique local culture have brought in throngs of economic migrants from locales as exotic as Appalachia, Mexico, and the Rust Belt. The problem, rather, is that the city isn’t zoned to support this newfound attention. Over the past five years, the city has grown by an estimated 18,000 residents, putting Lexington’s population at approximately 314,488. Lexington has nearly tripled in size since 1970 and the trend shows no signs of stopping, with an estimated 100,000 new residents arriving by 2030. Despite this growth, new development has largely lagged behind: despite the boom in new residents, the city has only permitted the construction of 6,021 new housing units over the past five years—not an awful ratio when compared to a San Francisco, but still putting us firmly on the path toward shortages. The lion’s share of this new development has taken the form of new single-family houses on the periphery of town. Create your own infographics. Sources: ACS/Census Bureau   At the risk of sounding like a broken record, there’s nothing intrinsically wrong with single-family housing on the periphery of town. Yet in the case of Lexington, it’s suspect as a sustainable source of affordable housing. Lexington was the first American city to adopt an urban growth boundary (UGB), a now popular land-use regulation that limits outward urban expansion. As originally conceived, the UGB program isn’t such a bad idea: the city would simultaneously preserve nearby farmland and natural areas (especially important for Lexington, given our idyllic surrounding countryside) while easing restrictions on infill development. Create your own infographics. Source: Census Bureau   The trouble with Lexington is that the city has undertaken […]

Same Old Story: How Planners Continue to Drive Gentrification

Slum clearance in action

  Planners, like all professions, have their own useful mythologies. A popular one goes something like this: “Many years ago, us planners did naughty things. We pushed around the poor, demolished minority neighborhoods, and forced gentrification. But that’s all over today. Now we protect the disadvantaged against the vagaries of the unrestrained market.” The seasoned—which is to say, cynical—planner may knowingly roll her eyes at this story, but for the true believer, this story holds spiritual significance. By doing right today, the reasoning goes, planners are undoing the horrors of yesterday. This raises the question: are planners doing right today? That’s not at all clear. Just ask Hinga Mbogo. After emigrating from Kenya, Mr. Mbogo opened Hinga’s Automotive in East Dallas in 1986. Mr. Mbogo’s modest business is precisely the kind of thing cities need, providing a service for the community, taxes for the city, and blue-collar jobs. While perhaps not of the “creative class,” Mr. Mbogo and his small business represent the type of creative little plan that cities cultivate and depend on. Hinga’s Automotive has thrived for 19 years and looked primed for another 19. Unfortunately for Mr. Mbogo, Dallas planners had other plans. In 2005, the city rezoned the area to prohibit auto-related businesses. While rezonings—particularly upzonings—aren’t necessarily a bad thing, Dallas planners opted to force their vision through and implemented a controversial planning technique known as “amortization.” Normally when planners rezone an area, they allow existing uses that run afoul of the new code to continue operating indefinitely. These are known as “non-conforming uses” and they’re common in neighborhoods across the country, often taking the form of neighborhood groceries, restaurants, and small industrial shops. Yet under amortization, the government forces non-conforming uses to cease operating without any compensation. In the case of Hinga’s Automotive, this means […]

Kotkin And The Atlantic- Spreading ‘Localism’ Nonsense Together

The Atlantic Magazine’s Citylab web page ran an interview with Joel Kotkin today.  Kotkin seems to think we need more of something called “localism”, stating: “Growth of state control has become pretty extreme in California, and I think we’re going to see more of that in the country in general, where you have housing decisions that should be made at local level being made by the state and the federal level too. You have general erosion of local control.” In fact, land use decisions are generally made by local governments–which is why it is so hard to get new housing built.  This is as true in California as it is anyplace else; when Gov. Brown tried to make it easier for developers to bypass local zoning so they can build new housing, the state legislature squashed him.   Local zoning has become more restrictive over time, not less.  And the fact that state government has added additional layers of regulation doesn’t change that reality. But did the Atlantic note this divergence from factual reality, or even ask him a follow-up question? No, sir.  Shame on them!    

Collective Action Problems Are Similar For Land Use And Schools

I just read a law review article complaining that some white areas in integrated southern counties were trying to secede from integrated school systems (thus ensuring that the countywide systems become almost all-black while the seceding areas get to have white schools), and it occurred to me that there are some similarities between American school systems and American land use regulation.  In both situations, localism creates gaps between what is rational for an individual suburb or neighborhood and what is rational for a region as a whole. In particular, it is rational for each suburb to have high home prices (because that means a bigger tax base)- but I don’t think San Francisco-size rents and home prices are rational for a region as a whole.  Similarly, it is rational for each individual neighborhood within a city to have restrictive regulations, because if one neighborhood is less restrictive it suffers from whatever burdens might result from new housing, without the broader benefit of lower citywide housing costs. How are school districts similar?  Since the prestige of a neighborhood is related to its school district, and the prestige of school districts depends on their socio-economic makeup, it is rational for each suburb (or city neighborhood) to be part of a school district dominated by white  children from affluent families, rather than to be part of a socially and racially diverse district.  But if every middle-class or affluent area draws school district lines in a way that excludes lower-income children, the poor people are all concentrated in a few poor school districts (such as urban school districts in Detroit and Cleveland). Is this rational for the region as a whole?  I suspect not.

‘Who better to determine local needs than property owners and concerned citizens themselves?’

The Cato Institute’s Vanessa Brown Calder is skeptical of the Obama administration’s suggestion that state governments can play a role in liberalizing land-use regulation, a policy area usually dominated by local governments. In an otherwise thoughtful post responding to a variety of proposals, she writes that federal and state-level bureaucrats should step aside to allow local advocacy groups to fill the void. She asks, “Who better to determine local needs than property owners and concerned citizens themselves?” Pretty much anyone, really. Local control of land-use regulation is a mistake and concerned citizens in particular are ill-suited for making decisions about their neighbors’ property. Supporters of free societies usually oppose local control of basic rights for good reason. Exercising one’s rights can be inconvenient for or offensive to nearby third parties. Protesters slow traffic, writers blaspheme, rock bands use foul words, post-apartheid blacks live wherever they choose with no regard for long-held South African social conventions, and so on. These inconveniences obviously don’t override rights to freedom of expression, but lower levels of government might be persuaded by people whose sensibilities are offended by these expressions. People are more likely to favor restrictions on rights when presented with a specific situation than they are when asked about general principles. People are even more likely to favor restricting a specific, disliked person’s rights. The landmark First Amendment case, National Socialist Party of America v. Village of Skokie, is instructive. The plaintiffs, American Nazis planning a parade through a neighborhood populated by Holocaust survivors in Illinois, sued on First Amendment grounds when the local government tried to prevent them from carrying swastikas. The Supreme Court eventually ruled in favor of the Nazis because the First Amendment protects peaceful demonstrations with no regard for the vile or hateful content of the ideas being promoted […]

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