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Growth restrictions substitute government decisions for yours

by Andrew Cline

Growth and development have made North Carolina's economy one of the fastest-growing in America, with statewide unemployment near all-time lows. Yet all three levels of government in North Carolina – municipal, county and state – are considering or have already enacted restrictions designed to slow or halt new development, which critics say is ruining state residents' quality of life.

In September, Gov. Jim Hunt announced that state government may soon play a role in restricting development in N.C. cities and counties. Under Hunt's plan, the state would devise incentives to financially reward areas that implement so-called "smart growth" strategies, which provide for government direction of new growth. A special task force would help N.C. communities implement such policies, Hunt announced.

While Hunt was devising his anti-growth plan this summer, local governments across the state began enacting or considering their own growth restrictions. On Aug. 17, the Durham City Council – in an effort to control traffic congestion – voted 10-2 to impose a six-month moratorium on major development. For the next six months, land stretching from Research Triangle Park to South Durham will be off limits to any project that would add more than 150 cars to the roads, during rush hour.

Catawba County also enacted legislation recently to limit growth. The new plan would increase the minimum lot size in certain subdivisions from 20,000 feet to 2 acres. Commissioners said that the plan would channel growth, so that new businesses and homes would be closer to schools, police stations and water-and-sewer lines.

And Mecklenburg County commissioners are considering a county-wide land-use plan that would cluster development around transit stops, in an effort to ease traffic congestion.

In the Triangle, local-government officials are taking or considering measures to restrict growth in their communities. In July, Cary's Town Council approved an ordinance restricting development in areas where schools are overcrowded. No home-building permits will be issued if the proposed development would bring enough children to push an elementary school's enrollment above 148 percent of capacity, a middle school's enrollment above 132 percent of capacity, or a high school's enrollment above 141 percent of capacity. How the government would determine how many children were headed to a new development – and how many of those children would come from out-of-town, rather than from across town – is unclear.

Apex and Holly Springs have restricted growth to prevent it from exceeding the capacity of their water systems. In mid-September, Johnston County officials unveiled a plan to limit the increase in the number of building permits issued in the county to no more than 5.6 percent a year. The proposal would also mandate that 90 percent of building permits be reserved for single-family dwellings. Both Durham and Wake County commissioners are now also considering anti-growth proposals.

With growth a major issue in this fall's municipal elections, a number of office seekers in the Triangle ran on anti-growth platforms. Mayoral candidates in Chapel Hill and Raleigh and council candidates across the Triangle have pledged to pursue tough anti-growth agendas, if elected. One Raleigh mayoral candidate went so far as to proclaim that he would try to ban the creation of new strip malls.

Where traffic congestion is angering local commuters, new strip malls are eating up forested hilltops, and local schools are overcrowded, growth restrictions may seem like the only sane response.

But we must keep in mind a few vital considerations. Road congestion, for example, is caused by an undersupply of roads – which means that it can be alleviated only by building more roads. Strip malls serve legitimate commercial needs, and outlawing them will only redirect growth to things like shopping malls, which create their own problems.

The most important thing to remember, however, is that growth is directed by individuals who choose certain types of economic activity. Preventing such activity substitutes the government's preferences for those of individuals – and that usually makes everyone much worse off than if they had been allowed to make economic decisions on their own.

Andrew Cline is director of publications at the John Locke Foundation, a nonprofit, nonpartisan research institute located in Raleigh, and on the World Wide Web at www.johnlocke.org.

©2000 John Locke Foundation, Inc.
200 West Morgan Street, Suite 200
Raleigh, NC 27601
Phone: 919-828-3876
Facsimile: 919-821-5117

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