Oregon lawmakers are considering changing a 1970s law known as the urban growth boundary in response to a severe lack of affordable housing in the state. The law, which was put in place to prevent suburban sprawl and protect farmland, forests, and nature, has been a key part of Oregon’s development and green reputation. However, interconnected homelessness and housing crises have led lawmakers to consider exceptions to the law in order to address the housing shortage.
A bill introduced by Democratic Gov. Tina Kotek aims to jumpstart home construction by making changes to the urban growth boundary law. The bill would allow cities to acquire new land for housing development and require a percentage of new units to be affordable. Currently, cities must forecast population growth over 20 years before requesting changes to the urban growth boundary, a process that can be lengthy and complex.
The proposed bill includes a number of restrictions and requirements to ensure that cities are eligible for the one-time exemption to the urban growth boundary rules. Cities must prove a lack of land and affordable housing, outline their growth history, assess developed land inside the current boundary, and show that a percentage of households are severely cost-burdened. The bill also limits the amount of land that can be added to the boundary and includes guardrails to expire the exemption in 2033.
Lawmakers and housing experts believe that addressing the housing crisis in Oregon requires more than just changes to the urban growth boundary law. Rising construction costs, a labor shortage, and increasing corporate ownership of housing also need to be addressed. Although the bill has received support from both Democrats and Republicans, some believe that the restrictions on boundary expansion may limit its effectiveness in addressing the housing shortage.
In the past, lawmakers have made changes to the urban growth boundary law to spur industrial growth, and last year, a measure was approved to designate sites for expansion to accommodate semiconductor factories. The current bill aims to strike a balance between easing restrictions for developers and preserving the integrity of the urban growth boundary law. Lawmakers have a limited time to approve the bill before the legislative session ends on March 10, and Gov. Kotek has been working to win support from members of her own party who may have concerns about the proposed changes.
