HF 3345

as introduced - 86th Legislature (2009 - 2010) Posted on 03/03/2010 04:21pm

A bill for an act
relating to local government; regulating subdivision development contracts;
amending Minnesota Statutes 2008, section 462.358, subdivision 2a.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2008, section 462.358, subdivision 2a, is amended to
read:

Subd. 2a.

Terms of regulations. new text begin new text end new text begin new text end

new text begin (a) new text end The standards and requirements in the
regulations may address without limitation: the size, location, grading, and improvement
of lots, structures, public areas, streets, roads, trails, walkways, curbs and gutters,
water supply, storm drainage, lighting, sewers, electricity, gas, and other utilities; the
planning and design of sites; access to solar energy; and the protection and conservation
of flood plains, shore lands, soils, water, vegetation, energy, air quality, and geologic
and ecologic features. The regulations shall require that subdivisions be consistent with
the municipality's official map if one exists and its zoning ordinance, and may require
consistency with other official controls and the comprehensive plan. The regulations may
prohibit certain classes or kinds of subdivisions in areas where prohibition is consistent
with the comprehensive plan and the purposes of this section, particularly the preservation
of agricultural lands. The regulations may prohibit, restrict or control development for
the purpose of protecting and assuring access to direct sunlight for solar energy systems.
The regulations may prohibit the issuance of permits or approvals for any tracts, lots, or
parcels for which required subdivision approval has not been obtained.

new text begin (b) new text end The regulations may permit the municipality to condition its approval on
the construction and installation of sewers, streets, electric, gas, drainage, and water
facilities, and similar utilities and improvements or, in lieu thereof, on the receipt by the
municipality of a cash deposit, certified check, irrevocable letter of credit, bond, or other
financial security in an amount and with surety and conditions sufficient to assure the
municipality that the utilities and improvements will be constructed or installed according
to the specifications of the municipality. Sections 471.345 and 574.26 do not apply to
improvements made by a subdivider or a subdivider's contractor.

new text begin (c) new text end A municipality may require that an applicant establish an escrow account or
other financial security for the purpose of reimbursing the municipality for direct costs
relating to professional services provided during the review, approval and inspection of
the project. A municipality may only charge the applicant a rate equal to the value of the
service to the municipality. Services provided by municipal staff or contract professionals
must be billed at an established rate.

new text begin (d) new text end When the applicant vouches, by certified letter to the municipality, that the
conditions required by the municipality for approval under this subdivision have been
satisfied, the municipality has 30 days to release and return to the applicant any and all
financial securities tied to the requirements. If the municipality fails to release and return
the letters of credit within the 30-day period, any interest accrued will be paid to the
applicant. If the municipality determines that the conditions required for approval under
this subdivision have not been satisfied, the municipality must send written notice within
seven business days upon receipt of the certified letter indicating to the applicant which
specific conditions have not been met. The municipality shall require a maintenance
or performance bond from any subcontractor that has not yet completed all remaining
requirements of the municipality.

new text begin (e) new text end The regulations may permit the municipality to condition its approval on
compliance with other requirements reasonably related to the provisions of the regulations
and to execute development contracts embodying the terms and conditions of approval.
new text begin The municipality must not require conditions in the development contract relating to
building permit fees, park fees, transportation fees, or off-site improvements unless the
conditions have a direct and proportionate relationship to the proposed subdivision, are
authorized by law, or are agreed upon by all parties to the development contract. Unless
otherwise agreed upon by all parties to the development contract, the municipality must
provide a copy of the development contract to the applicant at least five working days
before the municipality approves the subdivision. The copy of the contract must include all
relevant terms, conditions, and exhibits specific to the proposed project. new text end The municipality
may enforce such agreements and conditions by appropriate legal and equitable remedies.