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Fiscal Policy and Urban Growth Challenges: US Perspectives on Property Tax Reform in Warsaw

In a meteoritic rise from the dark days of World War II and Soviet hegemony, Warsaw has experienced an economic renaissance in recent years, boasting one of the largest stock exchanges in Europe and one of the fastest growing economies on the continent. However, the city and its surrounding areas suffer from a serious lack of comprehensive urban growth strategies, with only sixteen percent of the city being master planned despite increasing housing, transportation, and infrastructure needs. This absence, combined with a general public aversion to centralized decision-making and weak local government fiscal policies — particularly with regard to the laws governing the setting and administration of real property taxation — has caused and will likely continue to exacerbate Warsaw’s urban growth problems. This Article explores and assesses these various challenges and their causes and recommends the adoption of the U.S. special taxing district model as one vehicle that could be used to facilitate a more effective structure for urban and growth planning in the Warsaw metropolitan area.