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Most 'Smart" Growth Activity is Taking Place in the States

The Metropolitan Corporate Counsel, May 1999

In January, Vice President Gore announced the administration's "Livability" agenda. The centerpiece of this agenda is a FY2000 budget request of $2 billion for purchasing undeveloped land, creating parks and combating sprawl. These efforts by the Clinton administration brought a state and local issue to the front of the federal stage and into presidential politics; however, most of the activity regarding "smart" growth is occurring at the state and local level.

Over 200 growth management bills are currently pending in state legislatures. In the November 1998 elections, voters across the county approved more than 100 state and local initiatives addressing urban sprawl and growth management in nearly 20 states. These approved ballot initiatives triggered $7.5 billion in additional state and local conservation spending.

Smart growth, growth management, livable communities and sustainable development are some of the terms used to describe efforts to control urban sprawl. Urban sprawl is defined as low-density, segregated use, automobile-dependent development on the fringe of urban suburbs. It is characterized by ever-expanding suburbs surrounding an aging and sometimes decaying inner city. Urban sprawl is said to be the cause of local traffic jams, greater pollution, crowded schools, and the loss of farmland.

States are attempting to control growth through a variety of initiatives such as, incentives to develop certain areas, land use planning, growth restrictions, preserving open space and revising spending priorities.

While there was a great amount of activity on smart growth in 1998, the issue has expanded in 1999 to become one of the highest priorities in state legislatures. Most states are just beginning to consider how to address the issue, and states that already have adopted smart growth initiatives continue to discuss which approach is best. The following highlights the major state legislative activity regarding smart growth.

Arizona

In 1998, Arizona enacted Governor Jane Hull's (R) Growing Smarter legislation. This new law requires better planning for open spaces and provides $20 million a year for eleven years for the state to purchase open space in urban areas. Fourteen bills were introduced in Arizona this year, some aiming to strengthen and some aiming to weaken the existing legislation.

Governor Hull is supporting measures, unpopular with most lawmakers, to strengthen Growing Smarter. These proposals require communities to write and follow general plans that address important issues like transportation, and give counties more authority to fight poorly planned "wildcat" subdivisions.

Several bills have been introduced to protect a property owner's right to develop their land from efforts to control urban sprawl or preserve land. These bills would require compensation for any decline in property value, exempt cities and towns outside Maricopa and Pima counties from planning requirements, and prohibit zoning changes which restrict the use or reduce the value of land.

California

In California, smart growth efforts are more prevalent on the local level. While there have been sixteen growth management bills introduced in the California legislature this year, the important growth issues are infrastructure repair and water supply.

In the next twenty years, California's population is expected to reach 50 million. This is the equivalent of adding the entire population of the state of New York to California's current population. The state's infrastructure needs more than $90 billion in repairs. And the state is already struggling with water shortages.

The bills that have been introduced in the Legislature address funding urban parks, transportation planning revolving funds, consideration of water supply in land use planning, conservation easements; and redevelopment of closed military bases.

Colorado

Smart growth efforts in Colorado have focused mainly on proposals to enact a law similar to Oregon's, which requires the establishment of growth boundaries. While these proposals are not expected to pass, the issue of growth boundaries could resurface again during continued legislative efforts to control sprawl.

Florida

Sixteen bills smart growth bills have been introduced in Florida. A majority of these bills focus on urban "infill" and redevelopment through the use of Brownfields and Empowerment Zones. A few bills would establish greenways and encourage land conservation.

Illinois

In 1998, the Illinois legislature created "The Illinois Smart Growth Task Force." The Task Force released its recommendations in January, and they focused on the preservation of farmland. The Task Force recommended that Illinois farmland be declared an irreplaceable natural resource, and that all development involving farmland should be reviewed by the Department of Agriculture. The Task Force also recommended that smaller counties be given greater say in state funding for development of farmland. Farmland preservation legislation has been introduced and reported from committee.

New York

The New York legislature is considering bills that call on the governor to prepare a smart growth strategy to promote economic competitiveness through infrastructure development and land use planning. The Legislature is also considering bills to conserve open space.

Oregon

In 1973, Oregon became the first state to address smart growth by establishing growth boundaries around cities and requiring planning for future growth. This year, more than 25 growth management bills have been introduced. Many of these bills would prohibit farmland from inclusion in growth boundaries, require more extensive study in amending land use plans, and require coordination of transportation policies.

Pennsylvania

The Pennsylvania legislature is considering bills that attempt to provide new tools to regulate development, like mixed use zoning, while protecting property owners. Proposed legislation would also attempt to encourage the preservation of farmland.

Virginia

The Virginia legislature established a joint committee to study development patterns and residential growth in the state. The committee held its first meeting during the legislative session and is expected to continue to meet during the 1999 interim period. At the first meeting, more than 40 speakers addressed the committee. The committee is expected to develop several legislative initiatives to be considered during the 2000 session.

What Does This Mean To Corporate America?

State smart growth proposals could impact businesses that are planning expansion or rely upon new development. An example of this is the retail industry, where certain segments require particular site specification for their stores. Some state level smart growth initiatives could seriously impede retail growth in suburban areas through growth restrictions and disincentives. Even though smart growth initiatives are beginning to appear on the federal level, most of the activity is occurring at the state and local level

 


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