Reducing urban tree canopy loss through incentives
The chart below is drawn from an article by Elise Willis and others. You can find it here.
Willis, E. M. et al, Greening development: Reducing urban tree canopy loss through incentives (2024) Urban Forestry and Urban Greening
Type of Incentive* | Description | What Developers Say |
Increased density tradeoff (8) | Allow developers to increase density in exchange for additional tree planting and preservation. | “So, it’s a trade-off. I want to build a little bit of a bigger building on my site, but in return, I’ve got to do enhanced green space.” “So that would be an incentive, to allow increased density, increased FAR, possibly reduced setbacks, in exchange for planting more trees.” |
Reduce impact fees (7) | Allow developers to contribute a lower amount of money in some impact fee categories (e.g., stormwater infrastructure) in exchange for additional tree preservation and planting. | “If the city said, ‘Look, instead of paying $50,000 in impact fees for your project, I’ll reduce it to $25,000 if you agree to plant 50 more trees.’ I’m up for that. My attitude might be, provided there’s room of course, well that’ll beautify my project, I’d rather put my money into my project than pay it as a fee to the government.” |
Reduce tax liability (5) | (a) Allow developers to reduce tax payments over the course of several years to offset the cost of tree preservation and planting. (b) Allow the land seller to pay lower taxes in exchange for tree preservation after the sale. | (a) “I think the decrease in impact fees and tax liability, lowering tax liability, if you can make that happen in your education, your research paper, I think those are ways to save money and to preserve trees well.” (b)“Also, I think maybe some tax abatement if the landowner sells property with a condition in the contract that requires the builder to preserve X number trees, or percentage of trees over 36 in. [91.4 cm], which can be verified by a tree survey. Then that seller should possibly get a tax incentive because he’s trying to be a good steward of the land and not just sell his property for the highest price. He’s actually trying to do more by restricting his lands to ensure that there’s benefit in the long-term from the tree canopies.” |
Plant instead of paying into a Tree Fund (5) | Allow developers to plant trees on public or other private properties instead of only paying mitigation fees into a city’s/county’s Tree Fund. | “I can probably plant trees at half what it costs the city to plant trees. So if they wanted to incentivize me in the sense that instead of paying to the Tree Fund, I’ll go plant some trees. Pre-approve the tree planting and let’s go plant some trees.” |
Rewards program (3) | This applies more to builders and urban infill developers, where they get credit for tree preservation on an individual tree basis. For each tree they preserve on a site they get credits that can be applied to other sites in the form of reduced tree mitigation, landscape points, or a faster permit process. | “Almost like a running tab of “hey I saved five trees over here, I’ve got to take out two on this other lot of mine.” I’m getting no credit for what I saved but I’m having to pay for the two I took out. So is there a way to, this may be a lot of work for someone but is there a way to kind of trace that or track that through a system to where it keeps you kind of whole. And I think always down to money with us, but truly that’s how the business operates.” |
Faster permit process (2 | Process development applications and building permits faster in exchange for additional tree preservation and planting. | “So we’re talking about 18, almost 24 months it’s taking to get a project approved. You scale that down to 6 months, 10 months, maybe 12 months for larger projects, you would see more people willing to be more inclined to preserve trees and green space. Because it’s financially beneficial to us.” |
Tree relocation credit (2) | Offer cost reductions, credits/recognition, or reduce penalties in exchange for tree preservation and relocation, especially for specimen trees. | “Some consideration for extraordinary preservation or extraordinary relocation, the costs associated with that, some recognition of that in reductions in other things.” |
Stem wall builds (2) | Allow developers to build stem walls, which raises the grade of the building onto a block wall and only requires clearing the area for the buildings and roads/ driveways (working with the existing grades, instead of balanced site construction). | “And we used to build that way before all the regulations, but there’s this always a push now to make sure all the water on that lot goes to the streets. It’s sort of a hybrid. You could create hybrid subdivisions that would be super attractive because you only take down those trees that are the driveway and the house, and that’s it that’s all you take down. But no city has embraced that.” |
Planned development overlay (1) | A planned development overlay is a type of land use zoning that would allow the municipality and developer to create special regulations for a specific site to increase tree preservation and planting. | (a) “Or you know maybe there’s a reduced permit fee that you pay the city possibly.” (b) “And that’s where the incentives come in, because the developer’s choosing to go that route instead of just the normal route, which would be he’s got to take the trees out.” |
Sell land at a reduced cost (1) | City donates or sells vacant or unused land to developers at a reduced cost in exchange for tree preservation and planting. | “Maybe the city donates land to us, because the land cost is huge. If there was some site that they are just sitting on that they don’t have any use for. Or give us some sort of below-market price cost? That sounds like it’s always down to money with us, but truly that’s how the business operates.” |
Expand wetland buffer to include trees (1) | Offer flexibility with wetland buffer requirements so that tree preservation areas can be included and credited without reducing the buildable area. | “But if I can even increase my wetland boundary to preserve a tree line but reduce my upland buffer to make up so I don’t lose the buildable area, that would be definitely an incentive too.” |
*Number of developers out of 20 who mentioned this type of incentive during interviews.