Richmond argues that the growth boundary and related policies have allowed builders to produce housing more suitable for today's buyers. But the zoning was completely out of step with those demographic and economic realities. While Oregon law does not usurp local government's zoning powers, it does limit them. One law requires all permits to be processed by local government within 120 days, for example. A state planning agency, the Department of Land Conservation and Development, negotiates multifamily housing targets with each city.
Uncooperative cities stand to lose state revenue sharing and even zoning authority.
Home builders got an even tougher law passed last year. For housing projects that meet certain density goals, cities must process permits within 63 days. No local hearings and no appeals are allowed. Communities that fail to meet the timetable must return half of the developer's fee. Still, Morissette warns that density can be overdone.