What is the fundamental issue?
The U.S. Endangered Species Act (ESA), which protects endangered and threatened species and their habitats, can delay or prevent real estate development that might harm a protected species or its habitat.
I am a real estate professional. What does this mean for my business?
The ESA adds regulatory costs and burdens to property and economic development. It may also be a violation of the 5th Amendment by limiting (taking) the use of property through regulation without compensating the property owner.
NAR supports reform to the Endangered Species Act that:
- Recognizes economic impacts to the community when designating and recovering endangered species and habitat;
- Provides market-based incentives to encourage species protection;
- Compensates private property owners when they have been deprived of the economic value of their property; and
- Reduces regulations and streamlines the permitting process.
While not anticipating a comprehensive ESA reform legislative effort in 2022, NAR continues to pursue opportunities as they arise.
Legislation may be introduced that could help assess the economic cost of listing a species, provide additional transparency and accountability during the listing process and help reduce costs and streamline the listing process.
NAR supports reforms to the ESA that take into account the economic impacts of designating and recovering endangered and threatened species. NAR also supports safeguards that protect private property rights, incentives for species protection and the use of sound science in listing decisions.
In the meantime, NAR has commented on an unprecedented increase in listed species under the ESA as well as the proposed review of hundreds of species in a shortened timeframe, pursuant to a court settlement. NAR urges greater transparency and outreach by the Administration in its consideration of this staggering number of potential listings.
Land Use, Property Rights and Environment Committee