The Wisconsin Builders Association (WBA) has secured a legal victory against the Village of Sussex regarding land development regulations. The lawsuit, funded by the Builders Legal Action and Research (BLAR) Fund with support from the Metropolitan Builders Association and Madison Area Builders Association, addressed surety bond requirements imposed by the village.
Robert Procter, WBA's outside legal counsel from Axley Attorneys, explained that "the Village of Sussex was requiring developers to enter into developer agreements that placed surety bond requirements on those developers beyond what is allowed by statute." He added that these requirements significantly increased financial burdens on single-family housing developments, costs ultimately transferred to homebuyers.
In 2015 and 2017, the WBA collaborated with state legislators to establish statutory rules concerning surety amounts, types, and durations. These rules aimed to protect municipalities while minimizing additional housing costs. However, Sussex contended it could exceed these statutory limits through developer agreements as part of subdivision approvals.
Judge Michael Maxwell of the Waukesha County Circuit Court issued a declaratory order nullifying Sussex's ordinances conflicting with state law. The court also permanently prohibited the village from imposing requirements beyond those permitted by statute.
WBA Executive Director Brad Boycks commented on the ruling: "In a time when there is a critical lack of housing, this is an important win not only for developers but homeowners all across the state." He noted that Sussex's requirements were both illegal and contributed to unnecessary delays in development and construction processes.
The Wisconsin Builders Association represents 21 local associations dedicated to supporting members in building communities statewide. It advocates for 4,000 home building industry members to maintain affordable and accessible housing for Wisconsin families.
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