Bill > SB1045

This bill creates new regulations for real estate development by establishing limits on what infrastructure costs local and state governments can require developers to fund. Specifically, the bill defines "development property" as residential developments under 300 single-family homes or multi-family residences under 500 units, and establishes that governments cannot compel developers to pay for "nonessential infrastructure" - which is defined as infrastructure not directly required for the creation, maintenance, and growth of the specific development property. The bill prohibits governments from requiring developers to fund infrastructure that is not contiguous to their development property or infrastructure beyond what was initially estimated as needed during the project's planning stage. Importantly, the bill does not modify existing zoning, permitting, or tax laws, and will take effect on July 1, 2025, applying to contracts entered into, renewed, or amended on or after that date. The legislation aims to reduce financial burdens on property developers by preventing local governments from mandating expansive or unrelated infrastructure investments as a condition of development approval.

Government Affairs

https://wapp.capitol.tn.gov/apps/Billinfo/default.aspx?BillNumber=SB1045&ga=114