59 
pursuit of a predetermined end. Despite these efforts, most of Stein’s 
communities were not entirely successful. The large initial investments 
and the high cost of capital carrying charges pushed the price of their 
housing units above the reach of low-income workers. 
The large scale planning efforts of Stein and others depended to a 
ereat extent on federal financial aid. The early Federal efforts at new 
community development were typified by complete governmental 
ownership of land control of planning and initial financing with the 
result that the projects were both well designed physically and 
rapidly developed. However, the communities later suffered because 
of poor planning for the transition of administration from the Federal 
agency to local government and as a result of the adverse economic 
impact accompanying the termination of Federal subsidies. 
in contrast to the rather minor and inconclusive role that the 
Federal Government has played in new community development, the 
British Government has committed itself as a matter of national 
policy to the development of new towns. The New Towns Act of 
1946 * authorizes the Minister of Housing and Local Government to 
select new town sites and to appoint development corporations, under 
the direction of prominent citizens, to carry out planning and develop- 
ment. The development corporations then acquire land, by compulsory 
purchase if necessary, undertake planning and contract for construc- 
tion services. Although they have power to construct certain public 
services, the services normally provided by local authorities are not 
undertaken. The corporations are funded by public loans and exercise 
virtually complete control over development, but are not conceived 
of as a substitute for local government. initially, town boundaries are 
to be coincident with existing lines of jurisdiction and upon completion, 
of development, the corporation is dissolved and administration passes 
to a national commission which assumes ownership and control of the 
new town. Although, upon transferral to the Commission for the 
New Towns, further local control is permitted, the new towns remain 
essentially under the control of the National Government.® 
One of the most significant concepts underlying new town planning 
in England is the concept that incremental increases in land values 
resulting from the development of new towns should accrue to the 
public; and that public ownership provides the most effective method 
to control iand use. 
Since passage of the original New Towns Act, over 20 new towns 
have been designated.® Originally conceived as vehicles for the decen- 
tralization of population and control of urban growth, new towns are 
now used as a policy instrument to stimulate industrial and economic 
growth in underdeveloped regions and to coordinate population and 
industrial growth. 
While the British new town program has been the most extensive, 
it has not been exclusive. Stockholm, Sweden, bas undertaken to build 
satellite new towns as part of its municipal growth policy.t° Tapiola 
79 and 10 Geo. 6, c. 68. ¢ 
§ For a history of the English new towns, see F. Osborne and A. Whittick, “‘The New Towns” (1963); 
See also L. Rodwin. ‘‘The British New Towns Policy’’ (1956). 
® For an excellent discussion of the history and development of new communities with recommendations 
for governmental action, see Advisory Commission on Intergovernmental Relations, ‘Urban and Rural 
America: Policies for Future Growth,” ch. 1V: New Communities and Their Objectives (1968) (hereinafter 
cited as ACIR: Urban and Rural America) at 67. 
10 Tbid., See also R. Duckworth and D. Kertzman, “Development Corporations,’’ The Maryland-Na- 
tional Capital Park and Planning Commission (1968). 
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