State and Local Reporter - 02/06/2003 (Plain Text Version)

Debora Trimpe, Chair
Flower Mound, Texas

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In this issue:
State & Local Reporter Gets New Look
Budget Challenges Are Legislatures' Top Priority
Legislatures Consider Notice and Right to Cure Bills
Berks County Teams with State, National Associations to Score Victories
Outstanding Officials and Programs Honored at SLGA Awards Breakfast
Builders, Counties Partner to Promote Common Interests
Industry News
Join the NAHB State and Local Government Affairs Listserv
Job Posting in North Carolina

Industry News

Alaska
In an effort to jumpstart the state’s economy, Alaska Governor Frank Murkowski announced his intention to reorganize the state’s habitat division, whose major responsibility is permitting projects.

The decision has been met with criticism. Five past commissioners of the Department of Fish and Game have argued that the change will affect the state’s ability to protect critical fish habitat.

However, Murkowski claims the change will not impact environmental issues. He says change is needed because the state’s habitat division has delayed and derailed major construction projects. The governor cited specific instances, including a highway interchange project that has been held up for 16 months.

Source: Associated Press, February 4, 2003

Florida
The agricultural economy in sourth Florida is in trouble, and many farmers who are struggling would gladly sell their land to developers. On the other hand, environmentalists are determined to preserve the land's rural look and feel.

Planners and elected officials in South Miami-Dade have been charged with the difficult task of deciding where growth should take place and where farmland should be preserved.

The groups have spent the last two years evaluating options and talking with stakeholders, and a detailed plan must be submitted to the Miami-Dade Commission by March. Preliminary findings conclude that large-scale vegetable farming is unlikely to survive in the long term and that the growing population’s demand for housing means that land currently farmed must be developed.

Source: The Miami Herald, December 27, 2002

Massachusetts
Planners and environmentalists in Massachusetts have been quick to tell new Governor Mitt Romney that the state’s antiquated zoning law needs to be changed.

Critics of the current law say it promotes sprawl, hampers local government and contains too many loopholes that are friendly to builders. A bill to rewrite it has been proposed, and advocates say that support from the executive branch may help the bill pass.

Homebuilders could take issues with reforms to the zoning law, which has been on the books for 80 years.

An attorney for the HBA of Massachusetts admits that the zoning law needs to be updated, but said that his members will oppose changes to certain provisions that protect builders.

Source: The Boston Globe, January 5, 2003

Minnesota
The recession has hit Minnesota especially hard, and wealthy homeowners are feeling the pinch. Even though home values continue to increase, the number of people who cannot afford their mortgage payment is increasing, too.

A mortgage foreclosure prevention counselor has seen a 50%increase in the number of people asking for help. In Carver County, which is home to some of the region’s highest household incomes and home values, foreclosures have almost tripled this year. Recent foreclosures include a $3 million home in Wayzata and a $400,000 home in Chanhassen.

For many, selling their home to avoid foreclosure poses a Catch-22. The large amount of debt on their current home would not yield enough equity to buy another one, but the state’s apartment market is both tight and expensive.

Source: Star Tribune, December 29, 2002

Utah
Cities that want a light rail extension to run through their communities ought to commit to mixed-use, high-density development around future stations, according to an aide for Salt Lake City Mayor Rocky Anderson. Those criteria will be considered in addition to more objective measures such as projected ridership, availability of funds, cost and environmental considerations.

Several Salt Lake City municipalities are hoping to land extensions of the city’s light-rail system. While city leaders would like to expand the downtown line west to the airport, regional planners and officials from the Utah Transit Authority would rather see extensions to the southwest.

Source: Salt Lake Tribune, January 21, 2003

National
A recent study by the Cato Institute in Washington D.C. says that measures of zoning strictness are closely linked to high prices.

While the study’s evidence is not definitive, it suggests that the majority of U.S. homes are priced at close to construction costs. In areas where home prices exceed the cost of new construction (typically in the Northeast and the South), land use regulation is responsible for high housing costs.

The study recommends that policy advocates who are interested in reducing housing costs should look to zoning reform. Lowering the implied zoning tax on new construction could have a significant effect on housing prices. Click here to view the full study.