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State vs. Local, state vs. State

This piece delivers a sobering reality check for anyone who believes state-level zoning reform is a silver bullet for the housing crisis. Reason reports that despite a surge in pro-growth legislation, local resistance is not just surviving—it's evolving into a sophisticated, multi-front war that includes ballot initiatives, lawsuits, and even military lobbying. The evidence suggests that simply passing a law in a state capital is no longer enough when local power structures have learned to weaponize every remaining tool at their disposal.

The Illusion of State Supremacy

The core argument is that the political momentum for deregulation has hit a hard wall of local autonomy. "Perhaps the major development in housing policy over the past five years has been state legislators' increasing willingness to intervene in heretofore mostly local zoning decisions," the piece notes, setting the stage for a dramatic reversal. Yet, the narrative quickly pivots from legislative victories to implementation failures. The editors highlight a stark statistic: while only one parking reform bill passed in 2019, "as of 2026, 89 parking reform bills have been introduced, and 33 have passed." On paper, this looks like a landslide. In practice, it is a stalemate.

State vs. Local, state vs. State

The piece argues that the assumption that state officials are naturally "pro-growth" is flawed because they often defend local powers that actively suppress construction. This is a crucial distinction. It suggests that the problem isn't just a lack of laws, but a fundamental conflict of interest within the government itself. The editors point out that "municipalities operate powerful state-level lobbying operations to prevent reforms from passing in the first place that would reduce localities' powers to regulate land use." This reframes the issue from a simple policy debate to a structural power struggle.

The whole premise of state zoning preemption laws is that some localities aren't going to adopt sufficiently pro-growth policies on their own. It shouldn't be a surprise, then, that some local governments, or in Lakewood's case, local voters, will use the control they retain over zoning generally to thwart state zoning preemption laws.

This dynamic is vividly illustrated in Colorado, where voters in Lakewood overturned zoning reforms supported by the mayor, city council, and even the U.S. representative. The backlash was fueled by rhetoric that the reforms would "destroy" neighborhoods in the service of "corporate greed." The piece notes that roughly 22,000 voters chose to repeal the changes, returning the city to restrictive codes. This outcome underscores a historical parallel to Village of Euclid v. Ambler Realty Co., the 1926 Supreme Court case that cemented local zoning power; the spirit of that decision is alive and well, even when state legislatures try to override it.

Critics might argue that the Lakewood vote was an anomaly driven by specific local fears rather than a systemic failure of state preemption. However, the broader pattern of municipalities suing the governor to protect "home rule" powers suggests this is a coordinated defense of the status quo.

The Legal Double Bind

The coverage then shifts to Massachusetts, revealing a contradictory strategy where state officials simultaneously sue to remove barriers to housing while defending regulations that make building unprofitable. The piece details how Attorney General Andrea Campbell intervened to defend Cambridge's "inclusionary zoning" program, which mandates that 20 percent of new units be affordable. While Campbell previously sued nine municipalities for blocking apartments near transit, she now argues that forcing developers to build below-market units is a "key tool in addressing Massachusetts' housing shortage."

This creates a legal paradox. The editors explain that property owners argue these mandates violate Supreme Court rulings against conditioning permits on the surrender of property rights. "Research typically finds that these policies raise market-rate housing prices while producing few affordable housing units," the piece states, highlighting the economic inefficiency of the very policy the state is defending.

Campbell has put herself in the position of suing to overturn "exclusionary" zoning laws that prohibit apartment construction, while also defending "inclusionary" zoning laws that make it impractical.

This section effectively exposes the half-measures of modern housing policy. The state wants to appear pro-housing by allowing density, but then uses inclusionary zoning to ensure that density remains financially unviable for developers. It is a policy of "paper compliance" that achieves little in reality. The argument is strengthened by the observation that this is not unique to Massachusetts, but "emblematic of an unfortunate reality where more and more policymakers are seeing the light on zoning while doubling down on other supply impediments."

The Military as a Lobbying Tool

Perhaps the most startling revelation comes from Arizona, where the piece uncovers how local governments enlisted the Department of Defense to kill a "starter home" bill. The editors obtained records showing that the DOD only raised concerns after being alerted by municipalities surrounding military bases. "While the DOD has not been tracking this bill, it was brought to our attention this morning by the municipalities surrounding our military installations," an email from a DOD representative reveals.

This maneuvering allowed Governor Katie Hobbs to veto the bill, citing national security concerns that were, in fact, driven by local zoning interests. The piece notes that the DOD confirmed it was unaware of the bill until the city of Glendale intervened. "The emails obtained by Reason confirm this story. They show that the DOD flagged its initial outreach to Hobbs as coming at the behest of local governments in the state," the editors write. This is a masterclass in regulatory capture, where local interests co-opt federal resources to block state-level reform.

At the minimum, the DOD's late-breaking opposition to H.B. 2570 gave Hobbs convenient cover to veto the bill.

The irony here is palpable. A bill designed to help families afford homes was stopped by a coalition of local governments and the military, despite bipartisan legislative support. The piece suggests that "tax-funded lobbying leagues for municipalities" are becoming increasingly crafty in protecting their turf. This goes beyond simple NIMBYism; it is an institutionalized resistance to change that leverages the full weight of the state and federal apparatus.

Critics might note that military safety is a legitimate concern, but the timing and coordination of the DOD's intervention suggest the primary motive was preserving local control over land use, not protecting runways.

Bottom Line

The strongest part of this argument is its unflinching look at the gap between legislative intent and on-the-ground reality; passing a law is the easy part, enforcing it against entrenched local power is the hard part. The piece's biggest vulnerability is that it offers no clear path forward other than highlighting the depth of the problem, leaving readers with a sense of policy paralysis. The reader should watch for how state governments respond to these legal and political roadblocks, as the current mix of preemption and local resistance threatens to stall the entire housing supply revolution.

Deep Dives

Explore these related deep dives:

  • The Geography of Nowhere Amazon · Better World Books by James Howard Kunstler

  • The New Urban Crisis Amazon · Better World Books by Richard Florida

  • Village of Euclid v. Ambler Realty Co.

    This 1926 Supreme Court decision established the legal precedent that allows local governments to enforce zoning laws, providing the constitutional foundation for the local resistance described in the article.

  • Medium-density housing

    The article highlights the repeal of reforms allowing 'middle housing' in Lakewood; this specific term refers to the niche category of duplexes and triplexes that state legislators are now trying to mandate over local opposition.

  • Parking mandates

    While the article cites the Parking Reform Network, this entry explains the specific economic mechanism by which mandated parking spaces artificially inflate housing costs and reduce density, clarifying exactly what the 'burdensome regulations' actually are.

Sources

State vs. Local, state vs. State

by Various · Reason · Read full article

Happy Tuesday, and welcome to another edition of Rent Free. This week, we look at a few stories that highlight the challenges and risks that come with attempting to reform local land use regulations at the state level.

Perhaps the major development in housing policy over the past five years has been state legislators' increasing willingness to intervene in heretofore mostly local zoning decisions, generally with the goal of making those zoning regulations less discretionary and less burdensome.

It once seemed radical when a state lawmaker would propose eliminating local parking minimums or requiring cities to permit multiunit housing in single-family neighborhoods.

Now, such legislation is routinely introduced and increasingly enacted into law.

To give one example, the Parking Reform Network, which advocates for eliminating laws that require that developments come with a minimum number of parking spaces, reports that three state-level parking reform bills were introduced in 2019 and one passed. As of 2026, 89 parking reform bills have been introduced, and 33 have passed.

Yet passing reforms on paper at the state level does not guarantee that local governments and local residents will eagerly comply with state-level deregulation.

One reason advocates support evolving housing policy from the local to the state level is their belief that state officials are more naturally pro-growth, and thus will support more liberal housing regulations.

Yet even where state officials have found religion on zoning reform, they will still go to bat for localities' power to impose other regulations that reduce housing construction.

Municipalities also operate powerful state-level lobbying operations to prevent reforms from passing in the first place that would reduce localities' powers to regulate land use. 

In Colorado, a Popular Rebellion Against Zoning Reform.

Last Tuesday, voters in the Denver-area suburban community of Lakewood, Colorado, voted decisively to repeal a series of zoning amendments that had allowed denser housing to be built in more areas of the city, and with fewer required parking spaces.

As Denverite reports, the city's reforms had the support of the city's mayor, its city council, the local U.S. representative, and a long list of advocacy groups. But critics easily won the day with the argument that permitting more density citywide would "destroy" neighborhoods in the service of "corporate greed."

The preliminary results show that of the 35,000 people who participated in the special election, roughly 22,000 voted to repeal the city's reforms and return to the

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