Phased growth controls should be coordinated with a municipality’s ability to provide services to the new development such as sewers, water, public safety, schools or transportation. Rate-of-development programs limit the number of building permits issued in a municipality each year.  These programs, when combined with bonuses for building in smart growth locations and building affordable housing, can be another tool to help municipalities direct growth where they would like it.  For example, a community that allows 10% of the lots in a development to be permitted in a given year under the conventional rate-of-growth bylaw could allow more permits each year to developers who provide cluster plans.  If the developer allows public access to the open space in the cluster, they gain an additional bonus in lots released for sale per year.  Other public benefits, such as more affordable housing could also yield greater lot release per year.

A legislative change would allow municipalities to adopt rate-of-development restrictions consistent with local and regional growth targets.  One possible way of doing this would be to offer this tool only to municipalities that adopt smart growth plans and practices.  Affordable housing production should be exempt from rate-of-development restrictions, since the creation of affordable housing is a critical region-wide need.

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