Coldwell Banker House

2,200-square feet 4 bedroom 2-1/2 baths Family room 2-car garage Nice neighborhood

$170,000 in Houston

$320,000 in Portland

$422,000 in Modesto

$1,100,000 in San Jose

Growth- Management Planning Efforts to control the rate and/or the location of future growth.

$933,000 in London

LAFCos CEQA Planning/Appeals Why Is California Housing So Expensive?

Rule: Housing will remain affordable as long as developers have access to vacant, unregulated land outside of city limits

Private property is "an institution that communities reshape over time to promote evolving goals." —Eric Freyfogle

New York City’s historic preservation "law embodies a comprehensive plan to preserve structures of historic or aesthetic interest wherever they might be found in the city" —Justice Brennan, PennCentral

New London had "carefully formulated an economic development plan that it believes will provide appreciable benefits to the community" —Justice Stevens, Kelo v. New London

"The taking occurred in the context of a comprehensive development plan." —Justice Kennedy, Kelo v. New London

“Government regulation is responsible for high housing costs where they exist.” Edward Glaeser & Joseph Gyourko

The Planning Penalty Added cost per median- valued home $165,000 in Modesto $316,000 in Los Angeles $513,000 in San Jose $850,000 in San Francisco-Oakland area

The Total Annual Penalty Added cost to all people who bought homes in the nation, state, or region during 2005 $136 billion in California $275 billion in U.S.A.

More volatile prices Declines in employment and income Ensures that only affluant people can afford to live in a region “Boutique city catering only to elite”

“In sprawled areas, black households consume larger units and are more likely to own their homes.” Matthew E. Kahn

“Had Portland's policies been applied nationwide over the last 10 years, over a million young and disadvantaged families, 260,000 of them minority families, would have been denied the dream of home ownership.” Randall Pozdena The New Segregation

Solutions Worse Than the Disease Inclusionary Zoning Subsidies to Low-Income Housing Rent controls Tax-increment financing These practices reduce housing costs for a small minority by driving up the cost of housing and/or taxes for everyone else

“Inclusionary zoning produces few units. After passing an ordinance, the average [Bay Area]city produces fewer than 15 affordable units per year.” Powell & Stringham

“Inclusionary zoning makes other homes more expensive. We estimate IZ causes the price of new homes in the median city to increase by $22,000 to $44,000.” Powell & Stringham

“New housing production drastically decreases the year after cities adopt inclusionary zoning.... New construction decreases 31 percent.” Powell & Stringham

“Price controls fail to get to the root of the affordable housing problem.... The real problem is government restriction on supply.” Powell & Stringham

“If policy advocates are interested in reducing housing costs, they would do well to start with zoning reform.” Edward Glaeser & Joseph Gyourko

Ban Government Planning Repeal LAFCos, CEQA, and other state planning laws Shut down city planning Replace planning with: User fees Markets Mission-specific agencies

Protecting freedom, mobility, and affordable homeownership

Recovering from Planning San Jose, CA November 10–12, 2007

Land Use Without Zoning Houston, TX May 16–18, 2008

For more information: Web sites: ti.org cato.org americandreamcoalition.or g