As discussed in "Smart Growth = Better Bottom Line?", recent studies demonstrate that dense, mixed-use urban development centered around public transit ("smart growth") can translate into economic gains for local businesses, citizens, and the government.  An additional cost-saving tool also available to eligible cities passed last year:  the "Compact, High-Density Urban Development" bill.

Although a participating city must follow a number of requirements, the SEPA cost savings and "no appeal" incentive for developers are significant. 

Tied to smart growth subarea planning around "major transit stops", this SEPA amendment encourages infill development in defined smart growth subareas by eliminating all SEPA based appeals of compliant development projects.  In order to ensure that project level environmental impacts are considered, participating cities must analyze the impacts by preparing a non-project EIS for the subarea. 

The upside to the adopting city?  Increased likelihood that on-the-ground development follows the adopted smart growth land use planning; and the ability to recoup the costs associated with the non-project EIS from the benefited projects (similar to a "late-comers" agreement). 

The benefit to property owners?  The ability to take advantage of SEPA already completed (saving time at project development stage); cost sharing of environmental review with other benefitted parties and the City; and the security in knowing that a project cannot be appealed under SEPA so long as it complies with the adopted subarea plan and development regulations.  

Although a participating city must follow a number of requirements, the SEPA cost savings and "no appeal" incentive for developers are significant.  The cost recovery under this SEPA tool, coupled with the smart growth advantages previously mentioned, provide a significant incentive for eligible cities to consider and reconsider smart growth land use planning.