HB474 Summary

• Allows persons and entities to enter into valid, enforceable contracts to purchase, lease, or reserve lots within proposed subdivisions prior to plat approval, overturning the Kilgore Development court ruling that had voided such pre-approval contracts.

• Requires that subdivision plats must be approved by the county or municipal planning commission and recorded in the probate office before any lots can be conveyed to third parties.

• Prohibits counties and municipalities from adopting rules, regulations, or ordinances that would impair, impede, or prohibit offering for sale, negotiating for sale, or entering into valid contracts for lots within proposed subdivisions prior to approval.

• Makes definitional and procedural provisions consistent between county (Chapter 11-24) and municipal (Chapter 11-52) subdivision laws regarding the definition of "development" and "subdivision."

• Becomes effective immediately upon passage and applies only to contracts entered into after the effective date; does not validate contracts entered into prior to enactment.