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About: Exaction     Goto   Sponge   NotDistinct   Permalink

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An exaction is a concept in US real property law where a condition for development is imposed on a parcel of land that requires the developer to mitigate anticipated negative impacts of the development. The rationale for imposing the exaction is to offset the costs, defined broadly in economic terms, of the development to the municipality. Exactions are similar to impact fees, which are direct payments to local governments instead of conditions on development.