David E. Johnson PE: Land Development Regulations

Land development regulations implemented by local, regional, state, and federal agencies have increased costs, decreased buildable area and increased the time to obtain permits to start construction.

Do you agree or disagree?

Real estate development practices have not really changed significantly except for regulatory oversight, increased bulk requirements, and conservative land development standards. Let’s first review changes to infrastructure design for real estate projects and permits will follow.

Land development is taken for granted until it doesn’t work properly!

Clearing – More efficient machines used for clearing are offset by requirements to save trees and not just specimen trees. We all recognize the benefit of specimen trees to the aesthetic appearance of a project but government’s pendulum swings again!

· Tree surveys

· Tree save areas

· Tree buffers

· Retain natural vegetative cover

· Save endangered plants and include buffers around those plants

· Shade Tree Commissions

· Urban Foresters

· Heat Islands

Soil erosion and sedimentation control – a separate set of design plans illustrating what must be done to stop erosion from a site. Have you ever noticed public projects i.e. schools. I have been watching one elementary school under construction for about a year and no silt fence, tracking pad, inlet protection, etc. as yet!

Now there are two stages to the soil erosion plan. Phase I measures are implemented during construction and Phase II installed once the infrastructure is in place.

· Temporary sediment ponds

· Rock dams

· Inlet protection – more elaborate than ever!

· Empty bags of seed have to be retained to show what was planted

Government’s pendulum swings again!

Earthwork – with AutoCad, surveying and engineering information is vital to grading contractors. If we would learn to design in phases corresponding with cash flow, real estate projects would not be idle today! However, in some areas, grading is limited in scope based on stabilization requirements rather than cash flow. “Good sites” are limited and the cost of taking marginal land into a productive real estate project requires a team of professionals that know how to use land.

Sewer – government allocated wastewater treatment plant capacity during the peak building years. Many plants are not functioning at capacity but the plants on paper are at capacity! Thus, most governments are NOT planning for future development.

Sewer standards and details are based on maintenance problems and engineering preferences. When is the last time you were able to alter a sewer design approach from the local standards?

· Minimum pipe size

· Pipe material

· Maximum length of pipe between manholes

· Maximum depth of a sewer line

· Cost for wastewater treatment plant capacity

· Cost for a sewer connection

Government pendulum will swing again by forcing developers to follow the sewer line and limit extensions. We will see more sewer moratoriums than we experienced back when the Clean Water Act was enacted

Drainage – so what has changed over the past 40 years in drainage? The most significant change is the control of the quantity and quality of runoff leaving the site after development. This requirement typically removes “upland” area from development potential. Not only it is the cost of the land but the cost to construct and the cost to maintain these facilities.

· Pipe material – not so much. Most municipalities continue to require RCP.

· Minimum pipe size – this continues to inch up. Used to be 12-inches and now up to 24-inches. How about the cost of manufacturing? I used for many years $1/inch/foot for in-place cost estimating. It is probably up to a $1.50 now or more since many plants are shut down or at reduced production.

· Stormwater management facilities

· Best Management Practice facilities

· Limiting the amount of impervious surface on each project

· Bonding requirements

· Maintenance requirements – some municipalities are requiring developers to post

· 10-yr maintenance bonds for SWM and BMP maintenance!

· Wetland areas must not be touched! Buffers added to the wetland areas based on the quality of the wetland. Take land off the market.

· Jurisdictional streams and buffers required on each stream including limited crossing standards.

· Do we need to talk about the Corps or EPA?

· Do we need to discuss the definition of a wetland?

· Flood plains --- yes, I understand the FEMA (FIA) maps and the updating of elevations. However, there are some communities which are imposing their own flood plain limits over and above the federal requirement.

Government’s pendulum swings again!

Water – pipe material, water pressure, distance between fire hydrants have all changed over time. The cost of “water” will increase more than any natural resource used by all consumers!

Curb – curb or no curb – that is the question!

Roads & ROW– wow, where do we start? I will just list and you fill in the blanks:

· Maximum and minimum grades

· Minimum centerline radius

· Tangent between reverse curves – yes or no?

· Maximum length of a cul-de-sac; definition of a cul-de-sac or connectivity?

· Are the width of streets increasing or decreasing?

· Road standards established by an engineer or the fire department?

· Parking or no parking on streets

· Traffic calming devices

· Connectivity versus cul-de-sacs

· Bike lanes

· Sidewalks - width and location

· Street trees

· Utility locations, i.e. water, sewer, drainage, gas, telephone, electric, cable

· Pavement material and thickness

YES, land development design requirements have changed over the past 40-years but the incremental cost in all of the changes combined has been offset by efficient construction methods, material changes and creative design approaches. I am going to go out on a limb here because costs will vary from state to state and local jurisdiction to local jurisdiction. The land development cost to develop a 50-ft wide lot for a single family home:

1970’s cost: $10,000

2010 cost: $15,000

2013 cost: ? – interest rates and the cost of materials are on the increase

Please correct me if I am way out of line.

If the cost of infrastructure cost of design professionals or cost of materials (at least NOT YET) hasn’t significantly affected the price of a home, then what is adding to the cost per unit?

In my opinion, LAND!

Government regulations eliminate land from buildable area resulting in a reduction of the number of units, commercial space, etc. and thus the cost for land increases on a per unit basis.

True or Untrue?

In our local paper this past week included an article quoting a government official “an increase in land development requirements never caused a developer to leave town!” This statement illustrates the vacuum or power sphere regulators work in.

True or untrue?

Do you really think government’s

control of our

land development industry

will be less restrictive in the future?

Permitting will be a separate blog post that will take a look at the cost but also the time to comply with all of the regulations, permits and requirements imposed at all levels of government. Many regulations are void of cost considerations, void of reality, and void of practical solutions!