Austin Zwick, associate teaching professor and program director for the policy studies program in the College of Professional Studies and the Maxwell School of Citizenship and Public Affairs at Syracuse University, argues in Urban Governance that municipal planning and approval systems play a major role in housing affordability. His research examines how approval rules shape developers' choices and housing costs.
Zwick contrasts two models. De facto discretionary approval requires developers to meet codes but leaves final decisions to negotiations and case-by-case judgments by planners, elected officials, and sometimes public bodies. By-right systems grant approval when a project meets clear, listed requirements with no extra negotiation.
Negotiations can be used to secure public amenities or social housing units. In practice, however, builders with time, money, and political access can absorb long negotiations and then pass the added costs to buyers, while smaller builders struggle. Zwick cites a Vancouver case in which lengthy negotiations, public hearings, and political approvals added hundreds of thousands of dollars per unit before construction began. He advises that local governments streamline planning and approval processes so a wider range of affordable housing can be built, rather than relying only on federal funding or sweeping new laws.
- Discretionary: negotiation and political judgment.
- By-right: approval when clear standards are met.
Difficult words
- municipal — relating to a city or local government
- discretionary — based on choice or individual judgment
- by-right — allowed automatically when clear standards are met
- approval — official permission to proceed with a planapprovals
- streamline — make a process simpler and more efficient
- negotiation — discussion between parties to reach an agreementnegotiations
- affordability — ability of people to buy necessary goods or housing
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Discussion questions
- How might discretionary approval processes lead to higher housing prices? Give reasons from the article.
- What could be the main benefits and drawbacks of switching from discretionary to by-right systems in a city?
- How could smaller builders be supported so they do not lose out during negotiations and approvals?
- Besides streamlining approvals, what other actions could local governments take to increase the supply of affordable housing?