In this subtitle the following words have the meanings indicated. “Development rights and responsibilities agreement” or “agreement” means an agreement between a local governing body and a person having a legal or equitable interest in real property to establish conditions under which development may proceed for a specified time. “Local governing body” means the legislative body, the local executive, or other elected governmental body that has zoning powers under this division. “Public principal” means the governmental entity of a local jurisdiction that has been granted the authority to enter agreements under § 7–302(a) of this subtitle.

Subject to §§ 7–303 through 7–305 of this subtitle, the local governing body of a local jurisdiction may: by local law, establish procedures and requirements for the consideration and execution of agreements; and delegate all or part of the authority established under the local law to a public principal within the jurisdiction of the local governing body. The public principal may: execute agreements for real property located within the jurisdiction of the local governing body with a person having a legal or equitable interest in the real property, including property that is the subject of annexation of land to a municipal corporation; and include a federal, State, or local government or unit as an additional party to the agreement.

A development rights and responsibilities agreement shall include: a legal description of the real property subject to the agreement; the names of the persons having a legal or equitable interest in the real property subject to the agreement; the duration of the agreement; the permissible uses of the real property; the density or intensity of use of the real property; the maximum height and size of structures to be located on the real property; a description of the permits required or already approved for the development of the real property; a statement that the proposed development is consistent with the comprehensive plan and development regulations of the local jurisdiction; a description of the conditions, terms, restrictions, or other requirements determined by the local governing body of the local jurisdiction to be necessary to ensure the public health, safety, or welfare; and to the extent applicable, provisions for the: dedication of a portion of the real property for public use; protection of sensitive areas; preservation and restoration of historic structures; and construction or financing of public facilities. An agreement may: set the time frame and terms for development and construction on the real property; and provide for other matters consistent with this division.

Except as provided in subsection (b) of this section, the local laws, rules, regulations, and policies governing the use, density, or intensity of the real property subject to an agreement shall be the local laws, rules, regulations, and policies in force at the time the parties execute the agreement. If the local jurisdiction determines that compliance with local laws, rules, regulations, and policies enacted or adopted after the effective date of an agreement is essential to ensure the public health, safety, or welfare, an agreement may not prevent a local government from requiring a person to comply with those local laws, rules, regulations, and policies.

Before entering into an agreement, a person having a legal or equitable interest in real property or the person’s representative shall petition the public principal of the local jurisdiction in which the property is located. After receiving a petition and before entering into an agreement, the public principal shall conduct a public hearing. A public hearing that is required for approval of the development satisfies the public hearing requirement. The public principal of a local jurisdiction may not enter into an agreement unless the planning commission of the local jurisdiction determines whether the proposed agreement is consistent with the comprehensive plan of the local jurisdiction. If an agreement is not recorded in the land records of the local jurisdiction within 20 days after the date on which the parties execute the agreement, the agreement is void. The parties to an agreement and their successors in interest are bound to the agreement after the agreement is recorded. An agreement shall be void 5 years after the date on which the parties execute the agreement unless: otherwise established under § 7–303 of this subtitle; or extended by amendment under subsection (f) of this section. Subject to paragraph (2) of this subsection and after a public hearing, the parties to an agreement may amend the agreement by mutual consent. Unless the planning commission of the local jurisdiction determines whether the proposed amendment is consistent with the comprehensive plan of the local jurisdiction, the parties may not amend an agreement. The parties to an agreement may terminate the agreement by mutual consent. If the public principal or the local governing body determines that suspension or termination is essential to ensure the public health, safety, or welfare, the public principal or the local governing body may suspend or terminate an agreement after a public hearing. Unless the agreement is terminated under subsection (g) of this section, the parties to an agreement or their successors in interest may enforce the agreement.

This subtitle does not require the adoption of a local law by a local governing body or authorize a local governing body to require a party to enter into an agreement.