Land Use Battles a Blight on City Budgets

The recent bankruptcy of the California city of Mammoth Lakes - brought on by a $43 million court decision in favor of a developer - is an extreme example of the cost of land use disputes. But it's indicative of a widespread problem in the state.

1 minute read

September 10, 2012, 8:00 AM PDT

By Jonathan Nettler @nettsj


You may be familiar with a spate of recent municipal bankruptcies in California. But in Mammoth Lakes, "It was not pensions or plummeting property values or questionable
accounting practices that pushed the tiny mountain resort town over the
edge: It was a $43-million court judgment in a lawsuit brought by a
developer after the town tried to back out of an agreement," note

.

"Peacocks, radio antennas, strip clubs and landslides have all sparked
high-profile cases, as well as the more common suits - such as the one
in Mammoth Lakes - by developers who were denied approval for a project
or neighbors and environmentalists trying to stall big-box stores or
large residential projects on sensitive land," report Sewell and Garrison. 

"These cases often
drag on for years, sometimes consuming millions of dollars in legal
bills even before the issues are resolved. A Times review found that in
several Los Angeles County cities, land-use litigation amounted to the
lion's share of their legal bills."

 

Sunday, September 9, 2012 in Los Angeles Times

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Cover CM Credits, Earn Certificates, Push Your Career Forward

Aerial view of town of Wailuku in Maui, Hawaii with mountains in background against cloudy sunset sky.

Maui's Vacation Rental Debate Turns Ugly

Verbal attacks, misinformation campaigns and fistfights plague a high-stakes debate to convert thousands of vacation rentals into long-term housing.

July 1, 2025 - Honolulu Civil Beat

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

July 9, 2025 - Diana Ionescu

Map of Haussmann's redesign of Paris in the 1850s through 1870s under Napoleon III.

In Urban Planning, AI Prompting Could be the New Design Thinking

Creativity has long been key to great urban design. What if we see AI as our new creative partner?

June 30, 2025 - Tom Sanchez

View of dense apartment buildings on Seattle waterfront with high-rise buildings in background.

King County Supportive Housing Program Offers Hope for Unhoused Residents

The county is taking a ‘Housing First’ approach that prioritizes getting people into housing, then offering wraparound supportive services.

July 11 - Real Change

Aerial view of suburban housing near Las Vegas, Nevada.

Researchers Use AI to Get Clearer Picture of US Housing

Analysts are using artificial intelligence to supercharge their research by allowing them to comb through data faster. Though these AI tools can be error prone, they save time and housing researchers are optimistic about the future.

July 11 - Shelterforce Magazine

Green bike share bikes parked in a row on a commercial street with outdoor dining and greenery.

Making Shared Micromobility More Inclusive

Cities and shared mobility system operators can do more to include people with disabilities in planning and operations, per a new report.

July 11 - Cities Today