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WCEL > Issues > Urban Growth and Development > Smart Bylaws Guide > Part 1 > Urban Containment Boundaries

Smart Bylaws Guide – Urban Containment Boundaries

Urban containment boundaries (UCBs, also known as Urban Growth Boundaries in the U.S.) are lines drawn on planning maps around developed areas showing where urban land ends and rural land begins. The purpose of UCBs is to provide suitable land for well-planned urban growth while maintaining the integrity of working lands. UCBs prevent low-density rural and exurban sprawl and encourage orderly development. In practice, UCBs create certainty for developers by directing where infrastructure investment will occur, and, coupled with zoning and other policies, channel growth into existing neighbourhoods and areas where density can be maximized.

UCBs assist local governments to meet a number of planning goals such as:

  • maximizing the use of existing infrastructure and minimizing new infrastructure costs;
  • revitalizing downtowns and town centres;
  • maintaining a working land base (agricultural, rural, forested, and other resource lands) and the green infrastructure;
  • creating vibrant mixed-use neighbourhoods;
  • minimizing air pollution by encouraging a mix of services near to residences and employment, thus decreasing the need for automobile use;
  • improving the viability of transit by concentrating development; and
  • protecting the environment.

While the term "urban containment boundary" may be controversial, UCBs are in place in most communities that have a mixture of urban and rural land. UCBs are good fiscal planning - they assist local governments to ensure that existing infrastructure is fully used before considering new greenfield development sites. They also support existing rural and urban economies.

Myths and Facts about Urban Containment

"UCBs increase housing prices by limiting the amount of land available for development" 
Myth - UCBs ensure that land is used efficiently and encourage the redevelopment of already-serviced yet underutilized land. The alternative, large lot development patters, actually increase housing costs over time (see A Case for Smart Growth, p.26).

"UCBs create more traffic congestion and over-densification."
 Myth - by creating more compact centres, residents have access to employment, shopping and recreation near their homes. The need for single occupancy vehicles decreases, and the viability and convenience of transit increases. Good design, a variety of housing forms in each street, and adequate natural space ensure a high quality of life in any neighbourhood.

"UCBs result in a greater diversity of housing and efficient use of infrastructure" 
Fact - Towns and cities with strong urban containment policies also have the most effective housing diversification and affordable housing strategies in place.

See the resources listed at the end of this page for more information.

Creating an Urban Containment Boundary 

Creating a UCB involves the use of a combination of the following tools:

Regional Growth Strategies and Official Community Plans - designating the UCB and establishing policies for its implementation and review;

Zoning - rezoning land to ensure that urban-type development cannot occur outside of the UCB (for example, using large minimum lot sizes), and that land inside the UCB is well-planned for future growth. This includes prohibiting or limiting commercial development outside of existing or planned commercial areas;

Infrastructure Limits and Timing of Servicing - amending capital plans and timing extensions of servicing to reflect the priorities of the UCB;

Agriculture Policies - ensuring UCBs reinforce agriculture policies and the integrity of the Agricultural Land Reserve;

Permit Caps - assessing the need to limit further approved growth until a certain amount of existing approved capacity has been completed, or to limit the number of new approvals per year. 

Urban Containment Boundaries

Urban Containment Boundary Strategies

For More Information

Holding the Line: Urban Containment in the U.S. (Brookings Institute, 2002). This report reviews the research on urban containment generally, and also examines the experience of such policies in particular metropolitan areas.

The Link Between Growth Management and Housing Affordability: The Academic Evidence (Brookings Institute, 2002). Urban growth boundaries have been criticized as increasing housing prices by limiting developable land. This report reviews the academic literature on the link between growth management and housing affordability. The paper concludes that the market as reflected in population growth is the primary determinant of housing prices. Sound growth management policies provide more affordable housing than traditional land use policies.

Myths and Facts about Urban Growth Boundaries (1000 Friends of Oregon).

Urban Growth Boundary (48th Report of the Parliament of South Australia's Environment, Resources and Development Committee, May 2003)


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